Interim report – First quarter of 2018
Attached please find the full report as PDF file.
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Announcement no. 8
2 May 2018
Interim report – First quarter of 2018
Today, the Board of Directors approved the interim report for the first quarter of 2018. The full report in English is attached as PDF file and contains the following highlights:
Results
Adjusted result* for Q1 2018: USD 9 million (Q1 2017: USD 1 million)
- Dry Operator: USD 3 million
- Dry Owner: USD 5 million
- Tankers: USD 0 million (USD 10 million)
EBIT Q1 2018:
USD 18 million (USD 0 million)
* ”Profit/loss for the period” adjusted for “Profit from sale of vessels etc.”
Markets
- Dry Cargo: Normal seasonal weakening of dry cargo market at rate levels higher than recent years
- Tankers: Disappointing winter market
Performance
- Dry Operator: Positive result and investment in positioning of vessels
- Dry Owner: 2 vessels sold, 3 newbuildings delivered and T/C portfolio further expanded
- Tankers: TCE earnings 7% above benchmark – short-term capacity further increased
Vessel values
- Dry Cargo: +1%
- Tankers: -2%
Guidance
Expectations for the adjusted result for the year maintained at USD 10 to 50 million.
Good start to the year
”The Dry Operator business unit continued to deliver a profitable performance in a first quarter market characterised by seasonal weakening. In addition to profit taking in regional markets, Dry Operator invested in positioning of vessels into the Atlantic, which we will benefit from in the second quarter. The Tanker business once again outperformed the market generating a break-even result, and NORDEN maintains the full-year expectations despite increased uncertainty for demand growth due to rising global trade tensions. With low fleet growth and agile business units, NORDEN is well positioned to make the most of the markets regardless of this.”
CEO Jan Rindbo
A telephone conference will be held today at 3:30 p.m. (CET), where CEO Jan Rindbo and CFO Martin Badsted will comment on the report. It is requested that all participants have joined the meeting by latest 3:25 p.m. (CET) – Danish participants please dial in on +45 3515 8121, overseas participants please dial in on +44 (0)330 336 9411 or +1 929 477 0448. The telephone conference will be shown live at www.ds-norden.com, where the accompanying presentation will also be available.
For further information: CEO Jan Rindbo, tel. +45 3315 0451.
Key figures and ratios for NORDEN
| 2018 | 2017 | 2017 | ||||
| USD million | Q1 | Q1 | Q1-Q4 | |||
| INCOME STATEMENT | ||||||
| Revenue | 591.2 | 440.2 | 1,808.6 | |||
| Contribution margin | 31.8 | 20.7 | 116.7 | |||
| EBITDA | 17.1 | 10.3 | 68.1 | |||
| Profit/loss from the sale of vessels, etc., net | 9.2 | -0.2 | 0.9 | |||
| Depreciation, amortisation and impairment loss, net | -10.5 | -10.6 | -42.2 | |||
| Profit from operations (EBIT) | 18.4 | 0.1 | 23.3 | |||
| Profit for the period | 18.0 | 0.7 | 24.6 | |||
| Adjusted result for the period* | 8.8 | 0.9 | 28.4 | |||
| 2018 | 2017 | 2017 | ||||
| 31-mar | 31-mar | 31-dec | ||||
| STATEMENT OF FINANCIAL POSITION | ||||||
| Total assets | 1,310.8 | 1,280.8 | 1,326.5 | |||
| Equity | 849.6 | 792.6 | 834.4 | |||
| Liabilities | 461.2 | 488.2 | 492.1 | |||
| Invested capital | 891.4 | 739.7 | 836.7 | |||
| Net interest-bearing assets | -41.8 | 52.8 | -2.3 | |||
| Cash and securities | 203.1 | 264.0 | 219.5 | |||
| CASH FLOWS | ||||||
| From operating activities | -25.3 | -9.4 | 6.3 | |||
| From investing activities | -19.5 | 33.0 | -0.2 | |||
| – hereof investments in property equipment and vessels | -65.1 | -4.2 | -106.9 | |||
| From financing activities | 22.5 | -5.1 | 3.0 | |||
| Change in liquidity for the period | -22.3 | 18.5 | 9.1 | |||
| 2018 | 2017 | 2017 | ||||
| USD million | Q1 | Q1 | Q1-Q4 | |||
| SHARE-RELATED KEY FIGURES AND FINANCIAL RATIOS: | ||||||
| Number of shares of DKK 1 each (including treasury shares) | 42,200,000 | 42,200,000 | 42,200,000 | |||
| Number of shares of DKK 1 each (excluding treasury shares) | 40,467,615 | 40,467,615 | 40,467,615 | |||
| Number of treasury shares | 1,732,385 | 1,732,385 | 1,732,385 | |||
| Earnings per share (EPS)(DKK) | 0.44 (3) | 0.00 (0) | 0.61 (4) | |||
| Diluted earnings per share (diluted EPS) (DKK) | 0.44 (3) | 0.00 (0) | 0.61 (4) | |||
| Book value per share (excluding treasury shares) (DKK) 1) | 21.0 (126) | 19.6 (136) | 19.8 (123) | |||
| Share price at end of period, DKK | 108.3 | 141.2 | 116.5 | |||
| Price/book value (DKK) 1) | 0.86 | 1.04 | 0.90 | |||
| OTHER KEY FIGURES AND FINANCIAL RATIOS | ||||||
| EBITDA-ratio 2) | 2.9% | 2.4% | 3.8% | |||
| ROIC | 2.8% | 0.0% | 2.9% | |||
| ROE | 2.8% | 0.1% | 3.0% | |||
| Equity ratio | 64.8% | 61.9% | 62.9% | |||
| Total no. of ship days for NORDEN | 28,804 | 22,093 | 93,738 | |||
| USD/DKK rate at end of the period | 601.01 | 696.55 | 620.77 | |||
| Average USD/DKK rate | 605.90 | 698.27 | 659.53 | |||
| 1) Converted at the USD/DKK rate at end of period. 2) The ratios were computed in accordance with ”Recommendations and Financial Ratios 2015” published by the Danish Society of Financial Analysts. However, ”Profits from the sale of vessels, etc.” have not been included in EBITDA. * Adjusted result for the period was computed as “Profit/loss for the period” adjusted for “Profit from the sale of vessels, etc.” including vessels in joint ventures. | ||||||
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DAMPSKIBSSELSKABET NORDEN A/S, 52, STRANDVEJEN, DK-2900 HELLERUP, CVR NO. 67758919