Lower volumes and high investments in a transition year

Fjord1 reports revenue of NOK 689 million, EBITDA of NOK 225 million and net
profit after tax of NOK 104 million in the second quarter. 
The second quarter was characterised by:
•	Financial result impacted by temporary revenue decline mainly explained by
transitional changes in the ferry portfolio
•	Positive result contribution from all four segments, but weaker results in
Catering compared to second quarter last year
•	Overall stable operations in a period with high overall activity due to
preparations of new contracts starting up in 2020 and seasonal variations
•	High investments in newbuilds, rebuilds, quays and infrastructure to allow for
zero- and low emission fuel and strengthen competitiveness in future tenders
•	Temporary increase in net interest bearing debt (NIBD) to 3.7 billion –
remaining in compliance with loan covenants

Current year is a transitional year for Fjord1 with significant investments in
vessels and infrastructure combined with preparations for start-up of new
contracts next year. This led to a decline in revenue and EBITDA and an increase
in the NIBD level in the second quarter compared to the second quarter last
year. In addition, the loss of the high traffic route Halhjem-Sandvikvåg in
Bjørnefjorden, with effect from 1 January 2019, explains lower volumes and
revenues in the quarter. 

“Despite that we are in a transitional year with lower volumes and large
investments, we have positive results in all four segments and EBITDA-margin of
33% which is at the same level as second quarter last year.”, says Dagfinn
Neteland, CEO 

“We are satisfied with the operational progress in the second quarter. Following
quarter end, we are pleased to have signed the contract for the Halsa-Kanestraum
connection for the period 2021-2030. The signing on 16 August, marks our
position as a leading player in the Norwegian ferry market”, says Neteland 

First half year 2019
Fjord1 reports NOK revenue of NOK 1.329 million, EBITDA of NOK 383 million and
net profit after tax of NOK 118 million in the first half of 2019. The revenue
was down by 12% compared to first half 2018, mainly explained by the ongoing
transitional changes in the ferry portfolio and loss of high traffic route
Halhjem-Sandvikvåg. The revenue is temporarily down in 2019 but set to grow with
new contracts starting up 1 January 2020.
The following key events took place in the first half of 2019: 
•	Delivery of the two 120 PCE ferries MF Giskøy and MF Suløy, in total 14 new
vessels scheduled for delivery in the second half of the year, including MF
Rovdehorn which was delivered on 9 July
•	The connections Hareid-Sulesund, Brekstad-Valset,
Arvågen-Mortavika-Daløy-Haldorsneset commenced 1 January 2019, while the routes
Halhjem-Sandvikvåg and Flakk-Rørvik were terminated
•	The company Vy Fjord1 Reiseliv AS was established, a joint venture between
Vygruppen AS and Fjord1 ASA

Outlook
•	Strong contract portfolio of NOK 24.5 billion total value through 2033, not
including options
•	Revenue expected to grow with new contracts gradually starting up from 1
January 2020
•	NIBD expected to increase in the second half of 2019
•	NIBD set for decline in 2020 due to improved operational cash flow, lower
investments and sale of infrastructure
 
Contacts 
Dagfinn Neteland, CEO, Fjord1 ASA 
dagfinn.neteland@fjord1.no 
+47 913 71 071 
 
Anne-Mari Sundal Bøe, CFO, Fjord1 ASA
anne.mari.sundal.boe@fjord1.no 
+47 902 78 906

About Fjord1 
Fjord1 aims to be the safest and most attractive provider of environmentally
friendly and reliable transport for customers, clients and partners. Fjord1 is a
leading player in the Norwegian ferry market with more than 70 ferries, with
operations also in passenger-boat services, catering and tourism. 
More information on www.fjord1.no