NORDEN Financial Results Overview
In the face of ongoing geopolitical uncertainties and a challenging market environment, NORDEN presented a commendable performance with a net profit reaching USD 163 million in 2024. This growth is notable given the return on invested capital at 14% for the year. In the final quarter of 2024, the company reported a net profit of USD 30 million, highlighting its resilience in navigating tough market conditions.
Performance Breakdown by Business Segment
Freight Services & Trading
While the year was marked by challenges in the Freight Services & Trading division leading to a full-year net loss of USD 74 million, NORDEN has remained committed to steering this segment back towards profitability. The focus has been on adapting strategies that could improve performance, and early signs of recovery are promising.
Assets & Logistics
An exceptional performance was reported by the Assets & Logistics segment, achieving a net profit of USD 236 million. This success can be attributed to strong earnings and advantageous market conditions, particularly through vessel sales. Given the continued high asset prices, the estimated Net Asset Value (NAV) of this division was determined at DKK 425 per share by year-end 2024, which showcases the strong financial health of NORDEN’s fleet.
Shareholder Returns
Looking to reward shareholders, NORDEN proposed a distribution of USD 27 million for the fourth quarter through dividends and a new share buy-back program. This brings the total distribution to USD 100 million for the year, reflecting the company’s commitment to returning value to its investors.
CEO Insights
Jan Rindbo, NORDEN’s CEO, stated:
"Geopolitical uncertainties and the volatility of supply and demand during the past year illustrated the complexities of our business environment. Nevertheless, NORDEN has shown its capacity to adapt through operational excellence and a diverse portfolio. Our results reflect this adaptability, with a net profit of USD 163 million and a solid return on invested capital.”
Future Outlook
As we look towards 2025, initial guidance indicates lower profitability ranges between USD 20 million and USD 100 million. This forecast incorporates already signed transactions and reflects a cautious but proactive approach to the expected lower sales gains amid a challenging market.
Dividend Information
Shareholders can anticipate the upcoming dividend, which will be processed through VP Securities based on the holdings registered as of 14 March. Stocks will be traded cum interim dividend until 12 March, and any trades after this date will reflect the shares traded ex-interim dividend. The dividend is expected to become available in shareholder accounts by 17 March.
Contact Details
For further inquiries, please reach out to:
Therese Möllevinge
Head of Investor Relations
Phone: +45 41 37 16 38
Isabella Zaugg Hansen
Investor Relations Manager
Phone: +45 27 62 90 96
Frequently Asked Questions
What was NORDEN's net profit for 2024?
NORDEN reported a net profit of USD 163 million for the year 2024.
How much will shareholders receive in dividends?
Shareholders can expect a total distribution of USD 100 million for 2024, including dividends for the fourth quarter.
What are the expected profits for 2025?
For 2025, NORDEN anticipates a profit range between USD 20 million and USD 100 million.
Who can I contact for investor relations inquiries?
For questions regarding investor relations, contact Therese Möllevinge at +45 41 37 16 38 or Isabella Zaugg Hansen at +45 27 62 90 96.
What challenges did NORDEN face in 2024?
NORDEN faced challenges in the Freight Services & Trading business, which recorded a net loss for the year due to market fluctuation and geopolitical issues.
