TECHNOLOGY

By | 2020 Newsletter week 21 | No Comments

Reducing Energy Consumption By Retrofit

DFDS’ VICTORIA SEAWAYS and two MR tankers from Hafnia and Maersk Tankers are part of Green Ship of the Future’s Retrofit project.

Green Ship of the Future has released a report to show how retrofitting can result in significant reduction of energy consumption decreasing fuel consumption and emissions on board three vessels, including the DFDS ferry. According to the project findings, this can be achieved through technology that is available today with a return of investment of less than three years.

The report finds that VICTORIA SEAWAYS can potentially achieve up to 11.1% reduction of fuel consumption by implementing new and proven technology that is easily implemented such as new propellers and new hull coating exemplified by Hempel in this report. All the suggested solutions were calculated towards an estimated payback time of three years to show the potential of making a green investment in a manner that minimizes operational cost and improve the potential of profitability.

DFDS Q1 Published – Outlook Mainly Affected by Travel Restrictions

By | 2020 Newsletter week 19 | No Comments

Ferry Shipping News already published the Preliminary Results for Q1, a few weeks ago.

The definitive results are now available on the DFDS website.

Outlook

EBITDA before special items for 2020 is likely to be reduced towards DKK 2bn. The outlook – that is significantly more uncertain than usual – builds on a number of assumptions of which key elements are freight volumes and the impact of travel restrictions on passenger route operations and volumes. The current suspension of passenger activity has a significant financial impact that may amount to up to around 60% of the potential decrease in EBITDA in 2020 compared to 2019.

FERRY SHIPPING

By | 2020 Newsletter week 18 | No Comments

DFDS Optimises Seaways Following Changes in Northern Baltic Market Conditions

The schedule on the Estonia-Sweden route (Paldiski-Kapellskär) has been improved by offering both freight customers and passengers more attractive evening departures and morning arrivals through the week. Evening departures in both directions will now be possible every day by the addition of a second vessel.

This improvement is enabled by a halving of sailings between Paldiski and Hanko (Finland) following reduced demand on this route. This allows the ropax SAILOR on the route to be deployed on both Paldiski-Hanko and Paldiski-Kapellskär. On the latter it will sail in addition to OPTIMA SEAWAYS.

In addition, a freight agreement has been entered into with Eckerö Line on the freight route between Muuga (Tallinn) and Vuosaari (Helsinki). (vessel: FINBO CARGO)

The agreement starts from the end of April 2020.

With these changes, a total of 30 departures per week between Estonia and Finland can be offered to DFDS’ customers.

FERRY FINANCE

By | 2020 Newsletter week 17 | No Comments

A Solid DFDS Publishes Preliminary Q1 Figures

  • Preliminary Q1 revenue decreased 1% to DKK 3.8bn (mainly due to drop in passenger revenue) and preliminary EBITDA before special items decreased 10% to DKK 610m.
  • Around half of the decrease in EBITDA was related to lower passenger activity caused by Covid-19. The other half of the decrease was due to a negative Covid-19 impact on freight, increased earnings in the comparison period Q1 2019 from UK stockpiling ahead of Brexit and a lower result for special cargo logistics mainly due to one-off costs.
  • Current key priorities are to take care of employees’ and partners’ health and well-being, to preserve jobs and to continue to provide vital ferry and logistics services for our customers as well as contributing to keeping Europe’s transport infrastructure open for business.
  • DFDS has a solid financial position.
  • Suspension since mid-March of two routes, Copenhagen-Oslo and Amsterdam-Newcastle, with a large overweight of passengers vs freight.
  • Freight capacity reduced since end-March/beginning-April in remaining network of 20 ferry routes that predominantly carry freight. Capacity is reduced through lay-up of currently 12 of 50 ferries as well as other measures to reduce the number of sailings. All 20 routes continue to operate.
  • Channel and Baltic Sea passenger activity reduced to only essential travel. Reduced number of drivers per cabin in Baltic Sea.
  • Participation in government wage and fixed cost compensation programs to preserve affiliation with employees and mitigate financial impacts.
  • Around 2,200 employees so far sent on paid leave within such programs in areas with reduced activity.
  • Cost saving and postponement initiatives, including hiring freeze.
  • Reduction of investments targeting a reduction of around 20% of the investments of DKK 2.3bn planned for 2020.

Key risks

  • Reliability and continuity of operations are contingent on employee health and continued exemption of our operations from lock-down initiatives.
  • Passenger earnings in the high season — June-August — are at risk.
  • Lower activity in certain sectors may reduce freight volumes. The automotive sector is a key risk in this regard.

DFDS expects to publish its final Q1 statements on May 7.

Torben Carlsen, the CEO of DFDS has been vlogging regularly. On the 24th of April he already published Vlog 6 on DFDS News, a website mainly aimed at DFDS staff and crew.

By | 2020 Newsletter week 13 | No Comments

In a very natural and human way he talks mainly to the DFDS people, about why the long passenger routes had to be closed down temporarily and how agreements with Governments will help to re-employ the same staff after the crisis.

The format is very simple: just talking selfie-style, as he was talking to you personally. Because of the simple way of filming and communicating one can better feel Mr. Carlsen’s emotions, making it very honest.

DFDS

By | 2020 Newsletter week 12 | No Comments

Copenhagen-Oslo route suspended. PEARL SEAWAYS and CROWN SEAWAYS laid up in Copenhagen. Danish aid package for business means that crews on Pearl and Crown can be sent home with pay.

DFDS is temporarily suspending sailings on its Newcastle to Amsterdam (IJmuiden) ferry route.

The last sailings on the route before the temporary suspension will be from Amsterdam on Saturday 21 March and from Newcastle on Sunday 22 March.

Passenger capacity will be reduced to 50% on DFDS sailings from Dover to Calais and Dunkirk and Newhaven to Dieppe. There will not be a reduction in sailings, the schedules will remain the same.

DFDS stopped bookings of accompanied units and any other passengers on North Sea routes from Gothenburg to Ghent, Immingham or Zeebrugge.

Units that are normally driver accompanied can of course continue to be shipped, but only on an unaccompanied basis.

FERRY FINANCE

By | 2020 Newsletter week 12 | No Comments

DFDS’ Outlook for 2020 Has Been Suspended

DFDS’ outlook for 2020 has been suspended following further restrictions on intra-European travel and general lock-down measures across Europe.

Passenger ferry services generated around 16% of DFDS’ total revenue of DKK 17bn in 2019.

The majority, 84%, of DFDS’ total revenue is thus generated by freight activities, including freight ferry services and logistics solutions.

As anticipated in the outlook for 2020, freight volumes linked to UK were for the first two months of 2020 lower than last year as volumes in Q1 2019 were boosted by UK stockpiling.

Freight ferry volumes between Europe and Turkey were above 2019 for the first two months of 2020, likewise in line with expectations.

The result for the first two months of 2020 was overall in line with expectations.

Until now freight activity has been in line with expectations but has started to decrease as manufacturing plants suspend operations and demand in general is impacted by the lock-downs. Contingency planning to mitigate effects of changes in demand and operations for both ferry and logistics activities is ongoing across DFDS’ network.

The further restrictions on intra-European travel and general lock-down measures have significantly reduced financial visibility and the outlook for 2020 is therefore suspended.

DFDS Reveals New Relaxation Lounge on DUNKERQUE SEAWAYS

By | 2020 Newsletter week 8 | No Comments

Since Monday 17 February, passengers looking for peace and quiet can enjoy the new Relax Lounge on DUNKERQUE SEAWAYS. The lounge boasts luxury reclining chairs built into an airline style pod for extra privacy, complimented by soft lighting for the perfect stress-free environment. Prices depend on availability and start from £6 per person each way.

Children under 16 are not permitted into the Relax Lounge.

The ships’ Premium Lounge areas have also been fully refurbished with comfortable lounge furniture and modern décor to provide the luxurious and peaceful surroundings demanded by the modern traveller.  This private lounge is open 24 hours a day and is available for all ages from £12 per person each way. Passengers can enjoy complimentary glass of Prosecco, premium snacks and pastries, hot and cold refreshments and hot food available from the Premium Lounge menu.

With the success of the Horizon restaurant, a pizza, pasta, salad concept on the Dover to Calais routes, the refit also includes this restaurant being installed on all three ships on the Dover to Dunkirk route. Here guests can enjoy a selection of freshly cooked, made to order pizzas, pasta dishes and healthy salads. Passengers can place their order, take a buzzer with them to their table and collect their meals when called.

Passengers will also benefit from new bathroom facilities throughout the ship and can now enjoy watching a spot of television in the Lighthouse Café, with newly installed TVs as an additional feature.

The refit was designed by SMC Design and carried out by Aecor Marine, with the bathrooms being fitted by Trimline.

DELFT SEAWAYS will be fully refitted from 1st March with DOVER SEAWAYS at the end of March 2020.

FERRY PORTS

By | 2020 Newsletter week 8 | No Comments

DFDS Looking for New Inland Areas Behind the Port of Trieste

The Danish shipping company DFDS, which two years ago took over the Turkish player Un RoRo with its maritime line from Istanbul to North Adriatic and France and the port terminal in Italy, intends to invest in new areas behind the port of Trieste.

Jens Peder Nielsen, head of Samer Seaports & Terminals, said to Ferry Shipping News that the group is interested in areas connected to the railway and part of the port’s free zone. “The aim is to increase intermodal services between Trieste and inland destinations in Central and Eastern Europe” Nielsen said. “We are looking at areas of at least 50-100,000 square metres where we can move the cargo units we transport between Italy and Turkey on board our ships and between Trieste and the rest of Europe by train”.

Samer Seaports & Terminals has plans also to invest in a new gantry crane and to upgrade the rail shuffle currently existing on the quay of the North Adriatic port.

In the 2019 full year report DFDS states “that port congestion in Trieste lowered the efficiency of train services” and also added that “the last major restructuring to be completed is to improve the operational efficiency of the two ports currently operated in Trieste. This is expected to be achieved during Q2 2020”.