DFDS Cuts 2019 Outlook on Brexit
By Laxman Pai Aug 14 2019 / MarineLink
Danish international shipping and logistics company DFDS announced that the exceptional uncertainty on the outcome of Brexit is currently reducing UK trade and visibility.
Uncertainties surrounding Brexit made the world’s leading ferry operator downgrade its full-year expectations for revenue and operating profit. CEO Torben Carlsen describes the circumstances as “extraordinary.”
The biggest Nordic ferry operator lowered its expected revenue growth to 6-8% from a previous growth forecast of 10-12%. It now expects EBITDA before special items of 3.5-3.8 billion Danish crowns ($520 million – $570 million) from a previous forecast of 3.8-4.0 billion.
Since 2016, DFDS has been preparing for Brexit. “Our international Brexit team works with our local teams as well as the customs and border authorities in each country to prepare for Brexit, and we have come a long way with this,” says Kell Robdrup, Senior Vice President and responsible for North Sea freight routes and major port terminals. Preparations include training and hiring staff to build knowledge and competence relating to customs clearance.
“We aim to offer customs clearance as a new service to our customers. In addition to customs competence, this includes allocating or acquiring extra space at terminals for customs clearance, and for storing trailers that are awaiting customs clearance,” says Kell Robdrup.