DFDS posts H1 financial report
Denmark's DFDS reported second-quarter revenue of DKK 2,971m, which is 3% below last year's numbers and profit before tax of DKK 23, a 92-percent slump from Q2 2011. Profit before tax and special items totaled DKK 90 representing a 62-percent decline.
"Continued recession in several European countries reduced demand in freight and passenger markets in Q2, and the Q2 result was thus lower than expected," DFDS Group press release said.
"Moreover, market conditions for DFDS’ activities in the English Channel are expected to deteriorate in the second half-year. As a consequence, the expected operating profit (EBITDA) before special items is reduced by 11% for the full year 2012."
”Compared with last year, the quarter’s result has declined considerably, as the upswing in 2011 peaked in Q2, after which the current economic downturn began. During the next six months we therefore expect to achieve results that are closer to last year’s performance,” said CEO Niels Smedegaard.
“Despite the difficult market conditions in the freight market our transport and logistics activities made some headway in Q2, supported by our efficiency projects. Continuing growth in several of the Baltic routes is another positive element. The Channel, on the other hand, is expected to be affected in the second half-year by the opening of a new competing route, and this has been included in our revised and lower result guidance for 2012,” Niels Smedegaard added.
DFDS’ quarterly results are impacted by seasonality, with low season in Q1 and high season in Q3.
More details on: http://www.dfdsgroup.com/