EL7.AI
StocksMedium•11 November 2026•
4 min read

DFDS raises 2026 revenue growth and free cash flow outlook, leaves EBIT unchanged

Key Facts

1Third-quarter revenue rose 6% to DKK 8.8 billion, and EBIT was about DKK 685 million.
2Adjusted free cash flow was DKK 205 million, and leverage improved to 3.3 times.
3In the second quarter, revenue was DKK 8.6 billion, EBIT about DKK 454 million, and adjusted free cash flow DKK 728 million.
4DFDS raised its 2026 revenue growth outlook to 3–5% in its second-quarter update, from close to zero previously.
5DFDS will publish its November ferry volumes update on 12 November 2026.

DFDS said third-quarter 2026 revenue rose 6% year on year to DKK 8.8 billion, while EBIT increased 28% to DKK 685 million, with improvement in both divisions. Alongside the results, the company raised its full-year 2026 outlook for revenue growth and adjusted free cash flow, while leaving its EBIT guidance range unchanged. The revision reflects improved expectations for revenue and liquidity, but does not include an increase in the operating profit outlook. DFDS said overall earnings remain unsatisfactory, indicating that growth in quarterly measures has not eased management’s concerns about group profitability. It also warned that its two units operating from Turkey face market challenges affecting the group’s result.

Adjusted free cash flow was DKK 205 million in the third quarter, and leverage, measured as net debt to EBITDA, improved to 3.3 times. The company said its higher full-year cash flow outlook is based on strong third-quarter cash flow and working capital initiatives, as well as lower expected capital expenditure on ferries in the fourth quarter. The revenue growth outlook was raised because of higher levels of fuel surcharges. These factors show the different sources behind the revisions: fuel surcharges supported the revenue outlook, while quarterly liquidity, working capital measures and expected cash spending supported the free cash flow outlook. The company did not raise its EBIT guidance, leaving its estimate of annual operating profitability within its previous range despite the higher revenue outlook.

The third quarter marks another step in the improvement in financial performance described by the company, as DFDS compared the period’s results with a second quarter that recorded stronger year-on-year revenue growth. In the second quarter of 2026, revenue rose 10% to DKK 8.6 billion, EBIT was about DKK 454 million, and adjusted free cash flow reached DKK 728 million. In its update accompanying the second-quarter results, the company raised its 2026 revenue growth outlook to 3–5% from close to zero. It also raised the bottom end of its EBIT guidance range to DKK 1.2 billion from DKK 1 billion, while leaving the top end at DKK 1.4 billion. At the time, it increased its adjusted free cash flow outlook to about DKK 500 million, compared with a previous forecast of more than DKK 250 million.

On operating performance, DFDS said its Logistics division delivered strong improvement in the third quarter, while the increase in EBIT reflected improvement in both divisions. Management balanced these developments by stressing that overall earnings remain below what it considers satisfactory and noting the continued impact on the group’s result of market challenges facing its two Turkey units. The company did not provide a separate figure for each unit’s contribution to the quarter’s result in the reported information, so management’s explanation remains limited to saying that improvement covered both divisions and that challenges in Turkey continued to have an impact. Chief Executive Michael Hansen said the company is carrying out a multi-year transformation that requires “execution discipline and a strong focus on financial results.” This places the quarterly results within a broader performance effort, rather than treating them alone as an indicator that the transformation is complete.

Next steps include a strategy review that the company said will set its future priorities and capital allocation. DFDS described the review in its second-quarter report as intended to clarify its long-term vision, positioning and priorities. This means the capital allocation decision will form part of broader strategic work, as the company combines efforts to improve liquidity with addressing challenges it has identified in some of its units. The company also appointed a transformation executive and linked the improvement in Logistics to the Boost Project. DFDS is scheduled to publish its November ferry volumes update on 12 November 2026, according to its financial calendar.