Cadeler A/S(US:CDLR)2026-03-24 11:33Currency and Interest Rate Exposure - The Group's largest currency exposure is related to future instalments for newbuild vessels, amounting to USD 496 million[886]. - A 10% deterioration in the USD:EUR exchange rate would decrease the result before tax by EUR 1.6 million for 2025, compared to EUR 1.8 million for 2024 and EUR 4.6 million for 2023[887]. - The EURIBOR interest rate was 2.1%, 2.9%, and 3.9% at the end of 2025, 2024, and 2023, respectively[890]. - An increase of 100bps in the EURIBOR interest rate would raise interest costs by EUR 15.6 million for 2025, EUR 5.9 million for 2024, and EUR 2.1 million for 2023[891]. - The average fixed rate of interest rate swaps is 2.83% for 2025, slightly up from 2.78% in 2024 and 2.81% in 2023[924]. - The Group's interest rate risk has been partially hedged, with the average fixed rate of cap/floor swaps ranging between 2.1% and 1.1%[924]. Financial Obligations and Debt Financing - As of 31 December 2025, total obligations related to newbuild vessels amounted to EUR 462 million, with USD obligations translating to EUR 422 million[904]. - The Group anticipates seeking additional debt financing for milestone payments related to the delivery of the third A-class newbuild vessel[903]. - The total committed financial liabilities amount to EUR 1,696 million, with EUR 411 million unutilised as of 31 December 2025[940]. - The Group's outstanding guarantees totalled EUR 253 million as of December 31, 2025, related to offshore wind installation projects[975]. - The total utilized debt as of December 31, 2025, was EUR 468 million, due within 5 years[1043]. Derivative Assets and Liabilities - The Group's total derivative assets amounted to EUR 2,682 thousand as of 31 December 2025, a decrease from EUR 18,468 thousand in 2024[917]. - The total derivative liabilities were EUR 13,716 thousand as of 31 December 2025, down from EUR 16,414 thousand in 2024[917]. - As of 31 December 2025, derivatives measured at fair value through profit or loss resulted in a gain of EUR 2,116 thousand, compared to a loss of EUR 26 thousand in 2024 and a gain of EUR 403 thousand in 2023[918]. - The cumulative fair value change of cash flow hedges at 31 December 2025 is EUR (8,958) thousand, a significant improvement from EUR 1,799 thousand in 2024 and a loss of EUR (21,559) thousand in 2023[922]. - The cumulative fair value change for foreign currency risk hedging at year-end 2025 is EUR 881 thousand, compared to EUR 16,744 thousand in 2024[932]. - The fair value of derivative assets as of December 31, 2025, was EUR 2.64 million, while derivative liabilities amounted to EUR 13.7 million[1042]. Revenue and Profitability - The company reported a revenue of EUR 422,004,000 for 2025, a significant increase from EUR 126,680,000 in 2024, representing a growth of 233%[986]. - Gross profit for 2025 was EUR 200,686,000, compared to EUR 49,397,000 in 2024, indicating a gross margin improvement[986]. - Operating profit surged to EUR 145,469,000 in 2025 from EUR 11,050,000 in 2024, reflecting a substantial operational efficiency gain[986]. - Total revenue for 2025 reached EUR 422.0 million, a significant increase of 233% compared to EUR 126.7 million in 2024[1015]. - Revenue from Denmark was EUR 102.5 million in 2025, up from EUR 51.1 million in 2024, while UK revenue increased to EUR 131.6 million from EUR 68.1 million[1015]. Expenses and Employee Compensation - The cost of sales for 2025 was EUR 221.3 million, compared to EUR 77.3 million in 2024, reflecting a 186% increase[1016]. - Employee compensation for 2025 totaled EUR 60.6 million, a 67% increase from EUR 36.3 million in 2024[1023]. - The average number of full-time employees rose to 570 in 2025, up from 344 in 2024[1023]. - The total administrative expenses for 2025 were EUR 55.2 million, compared to EUR 38.3 million in 2024[1016]. Assets and Liabilities - The company’s total assets increased to EUR 1,881,851,000 in 2025, up from EUR 1,733,293,000 in 2024, marking a growth of 8.6%[989]. - Total equity rose to EUR 1,254,240,000 in 2025, compared to EUR 1,134,497,000 in 2024, an increase of 10.5%[990]. - The company’s non-current liabilities increased to EUR 472,665,000 in 2025 from EUR 372,243,000 in 2024, indicating a rise in long-term debt obligations[989]. - The carrying amount of investments in subsidiaries increased to EUR 1,105.5 million in 2025, up from EUR 745.5 million in 2024, due to additions of EUR 360.1 million[1037]. Newbuild Vessels and Commitments - The company has commitments for newbuild vessels totaling EUR 2,154,000,000, with remaining commitments of EUR 1,395,000,000 due by December 2024[978]. - The company delivered two new P-class WTIVs, Wind Peak and Wind Pace, in 2024 and 2025, respectively, with final payments made upon delivery[979]. - The company entered into contracts for three A-class FIVs, with the third expected to be delivered in Q2 2027[980]. Compliance and Audit Matters - There have been no breaches of financial covenants for any interest-bearing loans and borrowings in the current period[908]. - The Group is in compliance with all covenants across its debt facilities, including a minimum equity ratio of 35% and a debt service coverage ratio of at least 2:1 for the Holdco Facility[952][954]. - The audit focused on the complexity of determining performance obligations in contracts, making revenue recognition a key audit matter[1079]. - The company’s internal controls over the revenue recognition process were evaluated, including management's review controls over contracts[1080]. - The audit included inspection of customer contracts to assess the identification of distinct performance obligations and measurement methods against IFRS standards[1081]. - The adequacy of the company's disclosures in Note 3 to the consolidated financial statements was evaluated[1082].