Eimskip: First quarter 2025 results

Core Insights - The company's Q1 2025 results show seasonal fluctuations but an overall year-on-year improvement in performance [1] Financial Performance - Revenue for Q1 2025 was EUR 200.3 million, up EUR 6.5 million or 3.4% from Q1 2024 [2] - Expenses increased to EUR 185.0 million, a rise of EUR 5.4 million or 3.0% year-on-year [2] - EBITDA for the quarter was EUR 15.3 million, reflecting a 7.7% increase from EUR 14.2 million in Q1 2024, with an EBITDA margin of 7.7% compared to 7.3% last year [2] - Net earnings were negative at EUR 0.8 million, down from positive earnings of EUR 0.5 million in the same period last year, primarily due to increased depreciation and lower profit from affiliates [2] - Cash flow from operations was strong at EUR 16 million, significantly higher than EUR 2.7 million in Q1 2024 [2] Operational Highlights - The CEO noted a 6.6% increase in volume in the sailing system despite operational disruptions from bad weather [3] - The sailing system's improved performance was attributed to increased volume, better utilization, and a slight decrease in cost per transported unit [4] - The international freight forwarding segment saw EBITDA rise to EUR 2.5 million from EUR 2.0 million, despite a 12% decrease in volume due to market turmoil and container shortages [5] - Trucking and terminal operations performed well, while warehousing utilization decreased due to lower inventory levels of seafood products [6] Market Context - The company faces challenges from regulatory requirements and uncertainties in international trade, alongside discussions of potential new tax burdens in Iceland [7] - The company remains optimistic about future performance, anticipating seasonal fluctuations with higher activity levels in the second and third quarters [8] - The unique position in the North Atlantic provides resilience to economic fluctuations, as home markets rely heavily on sea transport for imports and exports [8]