Stena (S) Q3 2024 earnings summary

Executive summary

• Revenue for the nine months ended September 30, 2024, increased to SEK 41.4 billion, up SEK 593 million year-over-year, with EBITDA at SEK 11.8 billion and a net gain on asset sales of SEK 1.4 billion.

• Income from operations reached SEK 5.9 billion, up SEK 982 million year-over-year, and earnings before tax rose to SEK 3.6 billion, an increase of SEK 1.1 billion.

• Liquidity remains strong, with SEK 18.3 billion available as of September 30, 2024.

Financial highlights

• Total revenues for the period were SEK 42.9 billion, up SEK 2.1 billion year-over-year.

• EBITDA from operations (excluding asset sales) was SEK 14.0 billion for the last twelve months.

• Net income for the period was SEK 2,487 million, up from SEK 1,386 million year-over-year.

• Direct operating expenses increased to SEK 26,238 million, up SEK 804 million year-over-year.

• Depreciation and amortisation totaled SEK 6,061 million, slightly higher than last year.

Outlook and guidance

• No tangible signs of volume recovery in ferry operations; expectations hinge on potential interest rate decreases.

• Medium-term outlook for offshore drilling remains strong despite some expected idle periods in 2025.

• Committed capex for newbuildings totals SEK 7.1 billion, with major deliveries scheduled through 2027, primarily in RoPax and RoRo segments.

• Management expects cash flow from operations and available funding to be sufficient for debt service, capex, and working capital needs.