Scandlines Stable

The 2014 proved to be a smooth sailing for ferry operator Scandlines as the company pushed to strengthen its competitive position through investments in new ferries.

Scandlines recorded moderate revenue growth of 1 percent to EUR 509 million in 2014 (2013: EUR 505 million) based in particular on progress in the Germany-Denmark corridor and positive developments in catering and retail.

Ferry services experienced positive growth with a significant 5.5 percent increase in freight unit volume to 0.7 million, a 0.4 percent increase in the number of passengers transported to 11.1 million and a small 0.5 percent decrease in the number of cars transported to 2.5 million.

The result from ordinary activities (recurring EBITDA) increased by 4 percent to EUR 179 million (2013: EUR 172 million), corresponding to a recurring EBITDA margin of 35 percent.

This progress was attributed to freight volume growth, operational improvements and efficiency initiatives. The result for the year increased by 25 percent to EUR 74 million (2013: EUR 59 million).

“I am pleased with our performance in 2014 as we succeeded in growing our revenue and profit while improving our operations and strengthening our competitiveness. Our ferry services in the important German-Danish corridor showed good results, and we recorded the highest volume of transported freight units ever,” says CEO Søren Poulsgaard Jensen.

In 2014, Scandlines accelerated its efforts to future-proof the business, with investments totalling EUR 122 million (2013: EUR 28 million).

The increase was mainly attributable to Scandlines signing an agreement with Danish shipyard FAYARD for the final completion of two new vessels. The two hybrid ferries are expected to be operational on the Rostock-Gedser route in the second half of 2015, further strengthening the route as an efficient, reliable and competitive corridor through Central Europe.

“We have built a highly competitive and stable business, and we remain committed to developing our position as a customer-focused high-frequency ferry operator with a strong emphasis on catering services on board as well as retail shopping in our BorderShops. We are confident that our strategy will strengthen Scandlines further in 2015 and beyond,” says Jensen.

The outlook for 2015 is positive, and Scandlines expects overall revenue and net income growth of 3-5 percent based on growth in the Germany-Denmark corridor.