Good second quarter for DFDS

Monday, 23 August 2010

DFDS’s ro-ro and port terminal businesses performed “better than expected” in the second quarter of the year, writes Katerina Kerr.

Group revenue increased 18.4% on the same period in 2009 to Dkr1.95 billion (US$332.1m), while ebitda increased 48.3% to Dkr345 million.

The company saw 2Q pre-tax profit rise to Dkr140 million, compared with Dkr36 million a year earlier.

Ro-ro revenue increased by 19.7% to Dkr917 million, as a result of volume growth in all markets and the strengthening of the kroner.

The container shipping segment recorded a Q2 increase of 1.7% in revenue on last year to Dkr291 million

CEO Niels Smedegaard said: “Performance was strong in the second quarter, due to a combination of increased freight volumes and more efficient operations.

“We will maintain our focus on streamlining operations and the integration of DFDS and Norfolkline in the second half of the year. The integration process has been under way since 12 July, and is running according to plan.”

Following the “better than expected” performance in the second quarter, the company has upgraded its full-year expectations by Dkr75 million and now expects to make a pre-tax profit of Dkr275 million.


Meanwhile, DFDS is to convert its ro-pax route between Rosyth, Scotland, and Zeebrugge, Belgium, to freight-only at the end of the year.

The single ro-pax vessel currently deployed on the route will be replaced by two ro-ro ships to improve frequency (to four times a week from three) and freight capacity on the route.

“The route’s ro-pax product concept has proven not financially viable, due to insufficient passenger demand, while demand from freight customers has met expectations,” said the company.