Currency Risk Exposure - The Cadeler Group's largest currency risk exposure is future instalments for the M-Class and A-Class New Builds, totaling USD 1,112.0 million as of March 25, 2025[235]. - A 10% deterioration in the USD:EUR exchange rate would decrease profits before tax by EUR 1.8 million based on USD cash holdings as of December 31, 2024[236]. - The Cadeler Group has a significant foreign currency risk exposure with future instalments for the M-Class and A-Class New Builds totaling USD 1,112.0 million as of March 25, 2025[272]. Interest Rate Risk - The interest rate under Credit Facilities is based on the 3-month EURIBOR, which was 2.9% and 3.9% at December 31, 2024 and 2023, respectively[240]. - If the EURIBOR increased by 100 basis points, the cost to the Cadeler Group would have increased by EUR 5.9 million for the year ending December 31, 2024[241]. - The Cadeler Group seeks to hedge 50% of its interest rate exposure and evaluates the potential cost and benefits of fixed interest rate borrowings on an ongoing basis[239][242]. - The fair value of interest rate swaps for 2024 includes a notional amount of EUR 355.1 million for between 2 and 5 years[269]. - The fair value of interest rate swaps for 2023 was EUR 555.0 million for between 2 and 5 years[269]. Liquidity Risk Management - The Cadeler Group manages liquidity risk by maintaining sufficient cash and committed credit facilities, with total obligations in EUR of 691 million, 516 million, and 188 million due in less than 1 year, between 1 and 2 years, and between 2 and 5 years, respectively, as of December 31, 2024[254]. - As of December 31, 2024, cash and cash equivalents are considered low credit risk, primarily held in banks with high credit ratings[251]. Credit Risk Management - The maximum exposure to credit risk is the carrying amount of trade receivables and other receivables, with trade receivables from external customers subject to immaterial credit loss[245][250]. - The Cadeler Group uses a provision matrix to measure lifetime expected credit losses for trade receivables, grouping them based on shared credit characteristics and days past due[249]. Hedging Activities - The cumulative fair value change of cash flow hedges at December 31, 2024, was EUR 1.8 million, with interest rate risk hedging at (14.9) million and foreign currency risk hedging at 11.6 million[265]. - The cumulative fair value change in the hedging reserve as of January 1, 2024, was (EUR 11.8 million), compared to EUR 3.2 million in 2023[271]. - The fair value adjustment for the year 2024 resulted in a decrease of EUR 3.3 million, while in 2023, it was a decrease of EUR 14.2 million[271]. - The nominal amount of FX forward contracts for 2024 includes USD 104.5 million for less than 1 year and USD 55.4 million for between 1 and 2 years[274]. - The fair value adjustment for FX forward contracts in 2024 was EUR 12.2 million, compared to a decrease of EUR 3.5 million in 2023[274]. - The fair value adjustment for FX option collars in 2024 was EUR 5.6 million, while in 2023, it was a decrease of EUR 0.8 million[274]. - The total movements in the hedging reserve as of December 31, 2024, showed a net position of EUR 16.7 million, compared to (EUR 9.7 million) in 2023[274]. - The company aims to match critical terms between hedged items and relevant hedge instruments to mitigate hedging ineffectiveness[273].
Cadeler A/S(CDLR) - 2024 Q4 - Annual Report