
DFDS’ CEO Torben Carlsen © Shippax
Q1-numbers from DFDS in a transitional year
FinanceDFDS’s revenue went up 8% to DKK 7.5 billion in the first quarter of 2025. Organic growth was -1%, EBIT reduced by DKK 317 million to DKK -117 million. Adjusted free cash flow increased DKK 573 million to DKK 246 million. CO2 ferry emission intensity from own fleet lowered 5.9%. “2025 is a transitional year, as noted in our latest annual report, where we lay the groundwork for improving financial performance following the events of 2024. Firstly, most of our business units are as expected on track to uphold performance or improve in 2025. Secondly, we are making progress on resolving three specific focus areas,” comments DFDS’ CEO Torben Carlsen.
The three areas are: Adapting Mediterranean ferry operations to the changed competitive environment. Turning Logistics’ Türkiye & Europe South around to breakeven by year-end 2025. Delivering on the Logistics turnaround projects initiated in 2024.
He explains that, as expected, the three focus areas’ substantial negative earnings impact in Q4 2024 continued into Q1 2025. In March, the earnings trend started to improve following the execution of multiple turnaround actions during the quarter. The actions taken include price increases, capacity adjustments, headcount reductions, closure of unprofitable activities, and office closures/mergers. And further actions are being taken and he expect the improving earnings trend to become more visible in the Q2 results and in the remainder of the year.
“We are a transport provider moving goods and people in and around Europe. The expansion of our network to regions positioned to benefit from nearshoring continue to be validated by recent geopolitical events. In addition, Europe’s determination to become more self-reliant is likely to grow trade in the coming years with manufacturing hubs such as Türkiye and Morocco. Shorter-term we are not assuming any market tailwinds as the shift in US policies and the ensuing uncertainties may further dampen the already muted European economic growth outlook for 2025. Germany’s decision to step up defence and infrastructure spending is set to fuel European growth, but material impacts on activity levels are not expected before 2026. Meanwhile, our focus is on adapting to a low-growth market environment”, Torben Carlsen says.
DFDS believe in today’s Q1 reporting that earnings outlook for 2025 is unchanged which is an EBIT of around DKK 1.0 billion.
Total Q1 freight volumes decreased slightly by 0.2% compared to Q1 2024 as a positive impact on March volumes from the Easter timing difference balanced a somewhat slow start to the year. North Sea volumes were 2.1% below 2024 due to mainly lower automotive volumes and food export volumes to the UK. Total Q1 trailer volumes between Türkiye and Europe increased compared to 2024 while the Mediterranean network’s volumes decreased 3.1%. The decrease followed some loss of market share due to the addition of freight ferry capacity by a new competitor from mid-September 2024.
Channel freight volumes were overall on level with 2024 while Baltic Sea volumes increased 3.2%. Strait of Gibraltar volumes increased 13.2% despite capacity reduction compared to 2024.
Q1 passenger volumes decreased 27.4% to 0.8 million compared to 2024 and decreased 12.1% adjusted for the sale of the Oslo-Copenhagen route and the Tarifa-Tanger Ville route where departures were halved as operations were ramped down in preparation for exiting the route following the loss of a tender to continue to operate the route. The adjusted decrease was to a large extent driven by the negative impact of the Easter timing difference compared to 2024.
Activity levels in DFDS’ Logistic Division continued overall to be subdued in Q1, especially in Nordic and Continent markets. Margin pressures remain as tendering activity is high while road transport overcapacity persisted and production cost levels did not ease. Supply/demand is more balanced in UK & Ireland.
Full report DFDS Q1 Report 2025 | DFDS (INT)
© Shippax
May 06 2025
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