ANNOUNCEMENT NO. 109 – 3 May 2023  
INTERIM REPORT  
FIRST QUARTER 2023  
DAMPSKIBSSELSKABET NORDEN A/S
52, STRANDVEJEN, DK-2900 HELLERUP, DENMARK  
CVR NUMBER 67758919  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
2
HIGHLIGHTS - FIRST QUARTER 2023  
RESULTS  
BUSINESS HIGHLIGHTS  
GUIDANCE  
•
•
USD 150 million in profit for the first quarter of 2023  
•
•
Freight Services & Trading generated a margin of USD 1,672 per  
vessel day, driven by strong tanker earnings and a short position,  
meaning more cargo than tonnage, in a weak dry cargo market.  
•
•
NORDEN expects profit for the year in the range of USD 330-430  
million, in line with announced guidance in February.  
Earnings per share of DKK 31.  
·
The Board has decided to pay out an interim dividend of DKK 15  
per share to be distributed to shareholders on 9 May. The interim  
dividend will count as part of the dividend policy of paying out  
minimum 50% of the full-year profit.  
Profit for the quarter split across:  
Net asset value (NAV) of Assets & Logistics decreased by DKK 41  
per share to DKK 381, following pay-out of year-end dividend of  
DKK 30 per share and slightly lower tanker values.  
Freight Services & Trading: USD 67 million.  
Assets & Logistics: USD 83 million.  
·
·
•
Return on equity (annualised):  
•
•
Sales gains of USD 42 million through asset trading in both  
market segments, selling 4 dry cargo and 2 tanker vessels.  
40% for the first quarter of 2023.  
·
Increasing dry cargo exposure by building long position in Freight  
Services & Trading and by adding capacity in Assets & Logistics,  
most notably with the purchase of four Capesize vessels in line  
with strategy to enter this segment.  
“NORDEN generated USD 150 million in profit for Q1 and a return on equity of 40%. Our asset-light freight service and high contract cover adds  
stability in earnings in volatile spot markets. During the quarter, we also captured significant profits from vessel sales, while widening our portfolio to  
cover all dry cargo segments with the purchase of Capesize vessels. Following a strong start to the year, NORDEN will pay an interim dividend of  
DKK 15 per share as we continue to focus on delivering value to our shareholders.”  
CEO Jan Rindbo  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
3
KEY FIGURES AND RATIOS FOR NORDEN  
Amounts in USD million  
Q1 2023  
Q1 2022  
FY 2022  
Q1 2023  
Q1 2022  
FY 2022  
Income statement  
Share-related key figures and financial ratios  
No. of shares of DKK 1 each (including treasury shares)  
No. of shares of DKK 1 each (excluding treasury shares)  
Number of treasury shares  
Revenue  
999.2  
244.4  
208.2  
41.7  
1,087.9  
247.7  
211.2  
28.4  
5,312.4  
1,365.9  
1,159.1  
79.4  
37,000,000 39,200,000 37,000,000  
32,865,817 35,861,431 33,751,988  
Contribution margin  
EBITDA  
4,134,183 3,338,569  
3,248,012  
150  
Profit/loss from sale of vessels etc.  
Depreciation, amortisation and impairment losses  
EBIT  
Earnings per share (EPS), DKK 4)  
31  
31  
21  
21  
-93.8  
155.8  
-3.1  
-107.8  
131.5  
-12.6  
-449.7  
791.6  
-39.7  
Diluted earnings per share (diluted EPS), DKK 4)  
Book value per share (excluding treasury shares) (DKK) 4)  
Share price at end of period, DKK  
149  
258  
189  
275  
Financial items, net  
461.2  
236.4  
418.3  
Profit for the period  
150.2  
117.1  
743.5  
Other key figures and financial ratios 5)  
EBITDA ratio  
ROIC 6)  
Statement of financial position  
Total assets  
20.8%  
49.3%  
39.8%  
48.0%  
41,924  
684.9  
693.7  
19.4%  
31.3%  
39.7%  
39.3%  
41,964  
670.02  
663.50  
21.8%  
54.0%  
64.0%  
48.3%  
171,932  
697.22  
708.30  
2,576.5  
1,237.0  
1,339.5  
1,224.6  
12.4  
2,577.5  
1,014.2  
1,563.3  
1,725.1  
-710.9  
2,755.4  
1,330.7  
1,424.7  
1,303.2  
27.5  
Equity  
ROE 6)  
Liabilities  
Equity ratio  
Invested capital  
Net interest-bearing debt  
Cash and securities  
Total no. of vessel days for the Group  
USD/DKK rate at end of the period  
Average USD/DKK rate  
772.0  
364.8  
842.3  
For full definitions, please refer to the ”Definitions of key figures and financial ratios” and ”ESG accounting policies” sections within the 2022  
Annual Report.  
Statement of cash flows  
1)  
The Energy Efficiency Operational Indicator (EEOI) is a measurement of energy efficiency and is defined as the amount of CO2 emitted per  
tonne of cargo transported 1 nautical mile.  
Cash flow from operating activities  
Cash flow from investing activities  
- hereof investments in property, plant and equipment  
Cash flow from financing activities  
146.3  
112.9  
-64.4  
-287.2  
152.1  
83.2  
1,342.9  
57.9  
2)  
Lost-Time Incident Rate (LTIR) is calculated based on the number of work-related accidents which causes a seafarer to be unable to work for more  
than 24 hours per 1 million working hours due to work-related injury.  
-60.8  
-269.4  
-205.5  
-1,151.7  
3)  
Fatalities incl. subcontractors include the number of fatalities reported on owned vessels by NORDEN’s vessel technical manager. Aligned to the  
SASB Marine Transportation standard (TR-MT-540a.1.).  
4)  
Converted at the USD/DKK rate at end of period.  
Environmental and social figures  
EEOI (gCO2/tonnes-mile) 1)  
LTIR (days per million working hours) 2)  
Fatalities incl. subcontractors 3)  
5)  
The ratios were computed in accordance with ”Recommendations and Financial Ratios” issued by the Danish Association of Financial Analysts.  
However, ”Profit and loss from the sale of vessels, etc.” is not included in EBITDA. The figures are adjusted for the Company´s holding of  
treasury shares.  
9.5  
0.0  
0
9.3  
0.8  
0
9.9  
0.8  
2
6)  
Figures are annualised.  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
4
COMMENTS ON THE DEVELOPMENT OF THE FIRST QUARTER 2023  
Results  
During the first quarter of 2023, cash and cash equivalents was  
reduced by USD 70 million from USD 842 million to USD 772  
million. This was due to distribution to shareholders in the form  
of dividends and share buy-backs totalling USD 170 million  
net of withholding tax, and partly offset by positive cash flow  
generation from operating activities and vessel sales. As of 31  
March 2023, NORDEN had undrawn committed credit facilities  
of USD 200 million of which USD 143 million were directly  
accessible.  
invested capital resulted in an annualised return on invested  
capital of 49% (31%). The annualised return on equity for the first  
quarter of 2023 remained high at 40% (40%).  
The profit for the first quarter of 2023 amounted to USD 150  
million (USD 117 million) of which profit from vessel sales  
amounted to USD 42 million (USD 28 million).  
The Board of Directors has decided to pay out an interim  
dividend of DKK 15 per share. The interim dividend will  
expectedly be paid on 9 May 2023, and will count as part of  
the dividend policy of paying out minimum 50% of the full-year  
profit. The ex-dividend date for the interim dividend will be 4  
May 2023.  
The improved result is driven by a strong tanker market, higher  
profits in Assets & Logistics including net profit from vessel sales,  
and lower net financial expenses due to the positive net interest-  
bearing cash/debt position.  
Cash flows & liquidity  
Equity and capital allocation  
Cash flow from operating activities during the first quarter of  
2023 was USD 146 million, and was at level with the first quarter  
of 2022 (USD 152 million).  
Despite dividend payments and share buy-backs, the equity  
ratio remained unchanged from 2022 at 48%, supported by a  
reduction in invested capital. The strong earnings and lower  
Profit for the period  
Return on equity  
Available liquidity  
Cash flow from operations  
USD million  
%
USD million  
USD million  
250  
200  
150  
100  
50  
75  
1,250  
1,000  
750  
500  
250  
0
500  
400  
300  
200  
100  
0
60  
45  
30  
15  
0
0
Q1  
2022  
Q2  
2022  
Q3  
2022  
Q4  
2022  
Q1  
2023  
Q1  
2022  
Q2  
2022  
Q3  
2022  
Q4  
2022  
Q1  
2023  
Q1  
2022  
Q2  
2022  
Q3  
2022  
Q4  
2022  
Q1  
2023  
Q1  
2022  
Q2  
2022  
Q3  
2022  
Q4  
2022  
Q1  
2023  
Note: Quarterly figures are annualised  
Cash and securities  
Undrawn credit facilities  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
5
MARKET DEVELOPMENTS  
Spot rates  
DRY CARGO MARKET  
PRODUCT TANKER MARKET  
USD million  
75  
•
Market development and spot rates  
•
Market development and spot rates  
The dry cargo spot market was weak during the quarter in line with normal  
seasonal patterns. Average Supramax spot rates declined by 32% from  
USD 14,800 to USD 10,100 per day. However, towards the end of the  
quarter, spot rates started to improve driven by strong Chinese imports of  
especially coal and iron ore, which more than offset weakness in rest-of-  
world volumes.  
Average MR spot rates in Q1 decreased by 29% compared to Q4, mainly  
as a result of weakness in January. Overall, the market remains very  
strong and extremely volatile. Large rate differences across world regions  
provided ongoing opportunities for regional arbitrage. While the market  
scramble for diesel to Europe has subsided since 2022, sanctions against  
Russian oil continue to sustain elevated market rates. The volume of  
refined oil products on water has increased by 20%, as Russian exports are  
directed to unsanctioning regions combined with higher levels of floating  
storage and ship-to-ship transfers. This leads to longer distances and  
higher utilisation of the world fleet.  
50  
25  
0
Jan May Sep Dec  
21 21 21 21  
May Sep Dec Jan Mar  
22 22 22 23 23  
Jan  
22  
Supramax  
MR  
•
•
Period rates and asset prices  
Compared to the weakened spot market, dry cargo period rates and  
asset prices have maintained strength, with 1-year T/C rates for Supramax  
vessels increasing by 18% from USD 15,500 to USD 18,300 per day.  
Similarly, asset prices for 5-year old Supramax vessels improved by 8% to  
USD 29 million.  
Source: Baltic Exchange  
•
Period rates and asset prices  
Asset values  
5-year old vessels  
USD million  
45  
The 1-year T/C rate for MR Eco vessels remained stable around USD  
33,250 per day. Asset prices for 5-year MR vessels slightly decreased by  
4% to USD 42 million at the end of Q1.  
Market outlook  
Gradual market improvements are expected in the near term, supported  
by increased Chinese activity. However, in the second half of the year,  
weaker economic growth in the rest of the world is likely to limit the  
upside. Asset values are expected to be well supported by historically low  
orderbooks. Ongoing market volatility is expected to provide attractive  
trading opportunities in both asset and freight markets.  
•
Market outlook  
Product tanker market conditions are expected to remain strong,  
supported by the inefficiencies created by sanctions and changing trading  
patterns. However, risks to the strong base case remain high due to  
political uncertainty, and possible weakness in oil demand as a result of  
high prices and expected weaker economic growth.  
35  
25  
15  
Jan May Sep Dec  
21 21 21 21  
May Sep Dec Jan Mar  
22 22 22 23 23  
Jan  
22  
Supramax  
MR  
Source: VesselsValue  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
6
FREIGHT SERVICES & TRADING  
Freight Services & Trading key figures  
RESULTS  
BUSINESS HIGHLIGHTS  
Amount in  
Q1  
Q1  
Last 4  
USD million  
2023  
2022 Quarters  
•
•
Profit of USD 67 million for the quarter (USD 76 million).  
•
•
•
Strong tanker earnings, utilising high exposure to a volatile market.  
Trade flows increasingly shifted towards Far East region, in the absence  
of transporting oil products from Russia.  
Actively captured value amid large rate volatility across regions.  
Benefitted from long position (more tonnage than cargo), while  
gradually easing high tanker exposure going forward.  
Secured forward earnings into 2024 by reletting vessels on time-charter  
contracts to customers.  
Contribution margin  
O/A costs  
151.8  
-30.3  
67.1  
176.4 1,003.0  
·
Result per vessel day of USD 1,672, increasing average margin per vessel  
day since 2019 to USD 1,400.  
-32.3  
75.6  
-182.4  
541.9  
·
Profit/loss for period  
Vessel days  
•
Activity levels maintained, despite not transporting Russian products in  
line with current sanctions and war in Ukraine.  
·
40.123  
40,724 166,333  
Result per  
vessel day (USD/day)  
·
1,672  
1,856  
3,258  
Maintained dry cargo volumes despite weak market and exit from  
Russian activity.  
Historical performance  
Annual  
avg. since  
20192)  
Increasingly shifted trade flows towards China and India, where coal,  
grains and ore products were in high demand.  
Benefitted from short dry cargo position (more cargo than tonnage) in  
first half of quarter, as rates bottomed out.  
Added tonnage for second half of 2023 in line with market  
improvements, enabling a slightly long position.  
·
·
·
Result per vessel day (USD)  
Vessel days  
Activity growth1)  
1,400  
154,540  
2.8%  
1)  
Based on 12-month rolling average compared to same  
period 2 years prior.  
Continued focus on achieving operational cost efficiencies at scale across  
global freight services. Supporting operational earnings.  
2)  
Figures based on historical track record from former ope-  
rator business units, with comparative figures dating back  
to 2019.  
Result per vessel day  
Activity levels  
No. of vessel days  
USD / day  
4,000  
166,934  
164,189  
180,000  
150,000  
120,000  
90,000  
60,000  
30,000  
0
3,297  
2022  
Average no. of operated vessels  
3,000  
1,672  
2023  
2,000  
1,214  
1,000  
Dry cargo:  
Product tanker:  
40,123  
Q1  
Q1  
39,799  
Q1  
40,724  
0
2021  
2022  
2023  
2021  
315 130  
Result per vessel day  
Vessel days  
Note: 2023 figures based on year-to-date profit and number of vessel days  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
7
Assets & Logistics key figures  
Amount in  
USD million  
Last 4  
Q1 2023 Q1 2022 Quarters  
ASSETS & LOGISTICS  
Contribution margin  
O/A costs  
92.6  
-5.9  
71.3  
-4.2  
48.9  
361.1  
-22.7  
254.9  
RESULTS  
BUSINESS HIGHLIGHTS  
EBIT  
83.1  
Profit/Loss from  
sale of vessels  
•
•
Assets & Logistics generated a profit of USD 83 million for the quarter  
(USD 41 million) with sales gains of USD 42 million.  
•
Strong dry cargo earnings and increased exposure.  
41.7  
83.1  
28.4  
41.5  
92.8  
Sales gains from 4 vessels sold at peak asset prices in 2022. 2 of the  
sales were based on declaring purchase options on leased vessels.  
Profitable dry cargo cover earnings.  
Started to gradually add more owned and leased vessels in line with  
improved market conditions, after reducing portfolio at end of 2022  
Entered Capesize segment, enabling NORDEN to capitalise on  
·
Profit/loss for  
the period  
234.7  
Net asset value (NAV) of the business unit portfolio (including NORDEN’s  
net cash position) was USD 1,827 million or DKK 381 per share. While  
the market value of dry cargo vessels increased following the addition of  
vessels contracted for future delivery and improved market conditions, the  
combined effect of lower tanker values and a year-end dividend pay-out  
of DKK 30 per share lowered the total NAV.  
·
·
Assets & Logistics fleet overview  
Dry cargo Tankers  
Total  
·
attractive asset trading opportunities in a high exposure segment.  
Active fleet  
Owned vessels  
Leased vessels 4)  
Total active  
6
47  
53  
13  
23  
36  
19  
70  
89  
•
Cashing in on elevated tanker values and maintaining high exposure.  
•
Market value of both owned and leased vessels was USD 1,304 million at  
the end of Q1. The market value of owned vessels exceeded book values  
by USD 180 million.  
Realised nearby tanker values through 2 vessel sales and leasing out to  
third parties, while maintaining high exposure for years ahead.  
2023 cover at much higher rates, ensuring value for coming quarters.  
·
·
Contracted future changes  
Owned vessels  
(net entries & exits)  
Leased vessels 4)  
(entries only)  
•
•
Future vessel sales gains of approx. USD 28 million from sales of 3 dry  
cargo and 2 tanker vessels. 2 of the sales were based on declaring  
purchase options on leased vessels.  
3
8
-2  
1
6
4
14  
15  
Total future changes  
11  
64  
51  
Number of extension option days increased by over 4,200, based on  
added long-term lease capacity in both dry cargo and tankers.  
Total vessels  
40  
29  
104  
80  
Net asset value of Assets & Logistics1)  
Purchase options  
Amount in USD million  
Dry cargo  
Tankers  
Total  
860  
Extension option  
days  
40,959  
23,034  
63,993  
Market value of owned vessels2)  
Estimated market value of leased vessels & cover portfolio3)  
Total Assets & Logistics portfolio value  
Net cash position  
405  
198  
603  
455  
246  
701  
444  
1)  
Including NORDEN’s net cash position.  
Floating  
transfer  
station  
Tug-  
boats  
2)  
1,304  
591  
Including vessels contracted for future delivery. Vessels are included from  
the date of their purchase or newbuilding agreement until the delivery date  
according to the respective sales contract. The market value of each included  
vessel is based on either broker valuations or sales value, if such a value exists.  
Logistics assets  
Barges  
3
Instalments  
-177  
109  
Project-based assets  
(active)  
3)  
Including estimated market value of optionality.  
Minimum lease period in excess of 2 years  
1
6
Other net assets (book values)  
4)  
Contracted future  
changes (entries)  
Total business unit NAV  
1,827  
381  
Owned vessels in portfolio values and portfolio overview are excl. owned ves-  
sels from financial leasing transactions. NAV per share based on USD/DKK rate  
and share count as of balance sheet at end of quarter, excluding treasury shares  
held by NORDEN.  
1
2
-
-
Business unit NAV per share, DKK  
Market value of owned vessels vs. carrying amounts  
Total  
6
3
55  
125  
180  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
8
OUTLOOK FOR 2023  
Financial calendar 2023  
Guidance  
Seasonality and uncertainty  
NORDEN expects profit for the year in the range of USD 330-  
430 million. Driven primarily by attractive cover and vessel sales  
gains in Assets & Logistics, combined with expected strong  
tanker earnings in Freight Services & Trading.  
Given the war in Ukraine, full effect of sanctions on Russia and  
macroeconomic uncertainties in general, the freight market  
uncertainty and volatility is expected to remain high in 2023.  
With an agile business model and strong operating platform,  
NORDEN is well-equipped to manage this uncertainty and adjust  
exposure accordingly.  
10 August  
Interim report – second quarter and first half-year  
Interim report – third quarter  
2 November  
Further information  
Thomas France  
Investor Communications Partner  
+45 3315 0451  
Assets & Logistics  
Assets & Logistics expects slightly improved earnings compared  
to 2022, based on high coverage of the tanker fleet at  
considerably improved rates, and a fully covered dry cargo fleet  
at profitable rates. Furthermore, vessel sales gains are expected  
to contribute positively during the year.  
At the beginning of May, NORDEN had a total of 6,057 open  
tanker vessel days across both business units.  
Forward-looking statements  
Events after the reporting date  
This interim report contains certain forward-looking statements reflecting Man-  
agement’s present judgement of future events and financial results.Statements  
relating to 2023 and the years ahead are inherently subject to uncertainty, and  
NORDEN’s realised results may therefore differ from projections. Factors that  
may cause NORDEN’s realised results to differ from the projections in this report  
include, but are not limited to: Changes to macroeconomic and political condi-  
tions – particularly in the Group’s principal markets; changes to NORDEN’s rate  
assumptions and budgeted operating expenses; volatility in freight rates and  
tonnage prices; regulatory changes; counterparty risks; any disruptions to traffic  
and operations as a result of external events etc.  
The Company’s share capital has been reduced by nominally  
DKK 3,000,000 from DKK 37,000.000 to DKK 34,000.000 by  
cancellation of treasury shares. The capital reduction has been  
registered with the Danish Business Authority on 25 April 2023.  
Freight Services & Trading  
Coming from a very strong performance in 2022, Freight  
Services & Trading expects a result that is significantly lower. The  
expectation is based on a margin per vessel day lower than the  
four-year average margin per vessel day of USD 1,381 (FY 2019-  
2022), and activity levels in line with 2022. The business unit is  
well positioned to capture value in a highly volatile tanker market  
that is expected to stay at elevated levels, while still generating a  
positive contribution from dry cargo activities in a weaker market.  
“NORDEN expects profit  
for the year in the range of  
USD 330-430 million”  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
9
STATEMENT BY THE BOARD OF DIRECTORS
AND EXECUTIVE MANAGEMENT
The Board of Directors and the Executive Management have
today reviewed and approved the Interim Report for the period 1
January to 31 March 2023 of Dampskibsselskabet NORDEN A/S.
We consider the accounting policies applied to be appropriate
and the accounting estimates made to be adequate.
Furthermore, we find the overall presentation of the Interim
Report to present a true and fair view.
financial position at 31 March 2023 as well as the result of
Dampskibsselskabet NORDEN A/S’ consolidated activities and
cash flows for the period 1 January to 31 March.
The interim consolidated financial statements of
Furthermore, in our opinion the Management Review gives a fair
representation of the Group’s activities and financial position as
well as a description of the material risks and uncertainties which
the Group is facing, relative to the disclosures in the Annual
Report for 2022.
Dampskibsselskabet NORDEN A/S have been prepared in
accordance with IAS 34 Interim Financial Reporting as adopted
by the EU and additional Danish disclosure requirements for
interim financial reporting of listed companies.
Besides what has been disclosed in the Interim Report, no other
significant changes in the Group’s risks and uncertainties have
occurred relative to what was disclosed in the consolidated
annual report for 2022.
The interim consolidated financial statements have not been
subject to audit or review by the Independent Auditors of
Dampskibsselskabet NORDEN A/S.
In our opinion, the interim consolidated financial statements
give a true and fair view of Dampskibsselskabet NORDEN
A/S’ consolidated assets, equity and liabilities and the
Hellerup, 3 May 2023
Executive Management  
Jan Rindbo
Martin Badsted
Chief Executive Officer
Chief Financial Officer
Board of Directors  
Klaus Nyborg
Johanne Riegels Østergård
Karsten Knudsen
Robert Hvide Macleod
Ian Mcintosh
Chairman
Vice Chairman
Vibeke Bak Solok
William Boatwright
(employee-elected)
Christina Lerchedahl Christensen
(employee-elected)
Henrik Røjel
(employee-elected)
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
10  
CONSOLIDATED  
INCOME STATEMENT  
CONSOLIDATED STATEMENT OF  
COMPREHENSIVE INCOME  
Amounts in USD million  
Note  
Q1 2023  
Q1 2022  
FY 2022  
Amounts in USD million  
Note  
Q1 2023  
Q1 2022  
FY 2022  
Contribution margin  
USD million  
350  
Revenue  
2
3
3
999.2
1,087.9
5,312.4
Profit for the period  
150.2
117.1
743.5
Other operating income  
Vessel operation costs  
Contribution margin  
7.7
-762.5
244.4
8.8
-849.0
247.7
27.7
-3,974.2
1,365.9
Items which will be reclassified to the income state-  
ment:  
280  
210  
140  
70  
Fair value adjustment for the period, cash flow  
hedges  
7
-42.5
28.3
94.3
Other comprehensive income, total  
-42.5
28.3
94.3
Overhead and administration costs  
-36.2
-36.5
-206.8
Profit/loss before depreciation, amortisation and  
impairment losses, etc. (EBITDA)  
Total comprehensive income for the period, after tax  
107.7
107.7
145.4
145.4
837.8
837.8
208.2
211.2
1,159.1
0
Attributable to:  
Q1 Q2 Q3 Q4 Q1  
22 22 22 22 23  
Profit/loss from sale of vessels etc.  
41.7
28.4
79.4
Owners of Dampskibsselskabet NORDEN A/S  
Depreciation, amortisation and impairment losses,  
net  
Assets & Logistics  
Freight Services & Trading  
4
5
-93.8
-0.3
-107.8
-0.3
-449.7
2.8
Profit/loss from investments in joint ventures  
Profit from operations (EBIT)  
155.8
131.5
791.6
T/C equivalent revenue  
Financial income  
6
6
12.3
-15.4
0.3
-12.9
12.3
-52.0
751.9
USD million  
1,000  
Financial expenses  
Profit/loss before tax  
152.7
118.9
800  
600  
400  
200  
Tax  
-2.5
-1.8
-8.4
Profit/loss for the period  
150.2
117.1
743.5
Attributable to:  
Owners of Dampskibsselskabet NORDEN A/S  
150.2
117.1
743.5
0
Q1 Q2 Q3 Q4 Q1  
22 22 22 22 23  
Earnings per share (EPS)  
Earnings per share (USD)  
4.5
4.5
3.2
3.2
21.2
21.1
Assets & Logistics  
Freight Services & Trading  
Earnings per share, diluted (USD)  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
11  
CONSOLIDATED STATEMENT OF FINANCIAL POSITION  
Assets  
Equity and liabilities  
Equity  
31/3  
2023  
31/3  
2022  
31/12  
2022  
31/3  
2023  
31/3  
2022  
31/12  
2022  
USD million  
1,500  
Amounts in USD million  
Note  
Amounts in USD million  
Note  
Vessels  
8
9
521.0
412.1
762.2
618.5
49.8
525.6
454.0
50.4
Share capital  
5.9
20.6
6.2
-2.9
5.9
63.1
Right-of-use assets  
Reserve for hedges  
Retained earnings  
Total equity  
1,200  
900  
600  
300  
0
Property and equipment  
Prepayments on vessels and newbuildings  
Total tangible assets  
50.3
1,210.5
1,237.0
1,010.9
1,014.2
1,261.7
1,330.7
10  
24.3
28.5
32.1
1,007.7
1,459.0
1,062.1
Loans  
190.5
197.9
73.9
297.4
274.5
73.4
200.6
243.3
73.7
Investments in joint ventures  
Receivables from subleasing  
Total financial assets  
-
20.0
20.0
9.9
7.9
-
14.0
14.0
Lease liabilities  
Bonds  
9
9
17.8
Total non-current liabilities  
462.3
645.3
517.6
Q1 Q2 Q3 Q4 Q1  
22 22 22 22 23  
Total Non-current assets  
1,027.7
1,476.8
1,076.1
Loans  
21.5
275.8
273.0
-
40.3
390.1
284.9
0.1
21.0
276.2
279.5
-
Lease liabilities  
Trade payables  
Debt to joint ventures  
Tax payables  
Net interest-bearing debt  
Inventories  
123.2
68.5
177.0
19.5
134.2
77.9
USD million  
Receivables from subleasing  
Freight receivables  
100  
0
303.5
-
322.7
6.2
328.9
1.5
2.5
0.6
0.3
Receivables from joint ventures  
Other receivables  
Other payables  
Deferred income  
172.5
115.5
860.8  
16.4
92.7
107.3
916.0  
2.0
224.5
84.6
886.1  
21.0
907.1
-100  
-200  
-300  
-400  
-500  
-600  
-700  
53.7
31.1
45.5
Prepayments  
141.4
772.0
1,462.3  
86.5
159.1
364.8
1,080.4  
20.3
139.0
842.3
1,569.3  
110.0
1,679.3
Cash and cash equivalents  
Liabilities relating to vessels held for sale  
Total current liabilities  
877.2
918.0
Vessels held for sale  
Total current assets  
1,548.8
1,100.7
Total liabilities  
1,339.5
2,576.5
1,563.3
2,577.5
1,424.7
2,755.4
-800  
Q1 Q2 Q3 Q4 Q1  
22 22 22 22 23  
TOTAL ASSETS  
2,576.5
2,577.5
2,755.4
TOTAL EQUITY AND LIABILITIES  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
12  
CONSOLIDATED STATEMENT OF CASH FLOWS  
31/3  
2023  
31/3  
2022  
FY  
2022  
Amounts in USD million  
Note  
Q1 2023  
Q1 2022  
FY 2022  
Amounts in USD million  
Note  
Free cash flow  
USD million  
500  
Liquidity at beginning of the period  
Exchange rate adjustments  
Change in liquidity for the period  
Liquidity at end period  
638.3
-2.7
389.3
-0.4
389.3  
-0.1
Profit for the period  
150.2
48.5
-79.2
27.1
117.1
92.1
-65.0
9.1
743.5
371.1
183.5
52.9
Reversal of items from the income statement  
Change in working capital  
-28.0
607.6
-34.1
354.8
249.1
638.3
400  
300  
200  
100  
0
Instalments on sublease receivables  
Income tax, paid  
Money market investments with rate agreements  
of more than three months, etc.  
-0.3
-1.2
-8.1
164.4
10.0
204.0
Cash flows from operating activities  
146.3
152.1
1,342.9
Cash and cash equivalents at end period  
acc. to the statement of financial position  
772.0
364.8
842.3
Investments in vessels, vessels held for sale  
and other tangible assets  
8
-64.4
-29.1
0.3
-60.8
-205.5
-122.6
7.2
Which can be explained as follows  
Demand deposits and cash balance  
Money market investment  
Prepayments on newbuildings  
10  
-95.0
498.4
210.0
63.6
217.8
74.7
267.1
503.5
71.7
Q1 Q2 Q3 Q4 Q1  
Investment in joints ventures  
-
227.6
-
22 22 22 22 23  
Proceeds from sale of vessels and newbuildings  
Change in financial receivables  
163.8
2.7
574.0
-12.6
Other cash and cash equivalents  
72.3
772.0  
364.8  
842.3  
Cash flow from operations  
Change in money market investments with  
rate agreements of more than three months, etc.  
39.6
112.9
111.4
11.4
83.2
-182.6
57.9
USD million  
500  
Cash flows from investing activities  
Free cash flow  
108.9
1,078.8
400  
300  
200  
100  
Dividend paid to shareholders  
Acquisition of treasury shares  
Proceeds from share options  
Proceeds from loans  
-110.9
-58.7
-
-96.7
-30.2
2.1
-376.2
-129.8
4.2
0.3
23.5
60.6
Repayment of bonds  
-
-25.5
-27.6
-103.9
0.3
-25.5
Repayment of loans  
-9.7
-180.4
-466.4
12.3
0
Instalments on lease liabilities  
FInancial payments, received  
Financial payments, paid  
Cash flow from financing activities  
9
6
6
-104.6
10.2
-13.8
-287.2
Q1 Q2 Q3 Q4 Q1  
22 22 22 22 23  
-11.4
-269.4
-50.5
-1,151.7
Net cash flow  
-28.0
-34.1
249.1
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
13  
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY  
Shareholders of NORDEN  
Shareholders of NORDEN  
Reserve Retained  
Equity ratio  
Share  
Reserve Retained  
Total  
equity  
Share  
capital for hedges  
Total  
equity  
%
Amounts in USD million  
capital for hedges  
earnings  
Amounts in USD million  
earnings  
70  
60  
50  
40  
30  
20  
10  
0
Equity at 1 January 2023  
5.9
63.1
1,261.7
1,330.7
Equity at 1 January 2022  
6.2
-31.2
1,018.3
993.3
Total comprehensive income for the period  
Acquisition of treasury shares  
Exercise of share options  
Dividends paid  
-
-
-
-
-
-
-
-42.5
150.2
-58.7
-
107.7
-58.7
-
Total comprehensive income for the period  
Acquisition of treasury shares  
Exercise of share options  
Dividends paid  
-
-
-
-
-
-
-
28.3
117.1
-30.2
2.1
145.4
-30.2
2.1
-
-
-
-
-
-159.9
16.7
0.5
-159.9
16.7
0.5
-
-105.4
8.7
-105.4
8.7
Dividends related to treasury shares  
Share-based payment  
-
-
Dividends related to treasury shares  
Share-based payment  
-
-
0.3
0.3
Changes in equity  
-42.5
-51.2
-93.7
Changes in equity  
28.3
-7.4
20.9
Q1 Q2 Q3 Q4 Q1  
22 22 22 22 23  
Equity at 31 March 2023  
5.9
20.6
1,210.5
1,237.0
Equity at 31 March 2022  
6.2
-2.9
1,010.9
1,014.2
Return on equity  
%
70  
60  
50  
40  
30  
20  
10  
0
Q1 Q2 Q3 Q4 Q1  
22 22 22 22 23  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
14  
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS  
1. Basis of preparation and changes to NORDEN’s accounting policies  
1.1 Basis of preparation  
1.2 Changes in accounting policies and disclosures  
The interim consolidated financial statements for the 3 months ended 31 March  
2023 have been prepared in accordance with IAS 34 Interim financial reporting  
as adopted by the EU and additional Danish disclosure requirements for the  
interim financial reporting of listed companies.  
The Group has adopted standards and interpretations effective as of 1 January  
2023. The Group has not early adopted any other standard, interpretation or  
amendments that have been issued but are not yet effective.  
Adoption of new or amended IFRSs  
The interim consolidated financial statements do not include all the information  
and disclosures required in the annual financial statements and should be read  
in conjunction with the Group’s annual consolidated financial statements for the  
year ended 31 December 2022.  
NORDEN has implemented amendments and interpretations to existing  
standards effective as of 1 January 2023. None of these interpretations or  
amendments have had any significant effect on the accounting policies applied by  
NORDEN.  
The accounting policies, judgements and estimates are consistent with those ap-  
plied in the consolidated annual report for 2022, apart from changes described  
below.  
For a complete description of accounting policies, see the notes to the consol-  
idated financial statements for 2022, pages 85-88 in the consolidated annual  
report for 2022.  
Standards not yet in force  
The new and amended standards and interpretations that are issued, but not  
yet effective, up to the date of issuance of the Group’s consolidated financial  
statements. The Group intends to adopt these new and amended standards and  
interpretations, if applicable, when they become effective.  
New and amended financial reporting standards are either irrelevant or insignif-  
icant to NORDEN.  
Significant accounting estimates and judgements  
The accounting estimates and judgements, which Management deems to be sig-  
nificant to the preparation of the consolidated financial statements, are impair-  
ment test and non-lease component for leases under IFRS 16 Leases. Reference  
is made to note 1.4 “Significant accounting estimates and judgements” on page  
87 for a further description in the consolidated annual report for 2022.  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
15  
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS  
2. Segment information  
Q1 2023  
Freight  
Q1 2022  
Freight  
Assets &  
Logistics  
Services &  
Trading  
Assets &  
Logistics  
Services &  
Trading  
Amounts in USD million  
Eliminations  
Total  
Eliminations  
Total  
Revenue – services rendered, external  
Revenue – services rendered, internal  
Revenue – sublease financial income  
Voyage costs*  
63.2  
87.5  
0.8  
934.8  
-
-
998.0  
-
38.2  
91.7  
0.3  
1,049.3  
-
-
1,087.5  
-
-87.5  
-91.7  
0.4  
-
1.2  
0.1  
-
3.9  
-87.8  
-0.2  
88.0  
-
0.4  
-7.2  
-358.2  
577.0  
7.3  
1.0  
-364.4  
634.8  
7.7  
-7.0  
-350.5  
698.9  
9.0  
-353.6  
734.3  
8.8  
T/C equivalent revenue  
144.3  
0.4  
-86.5  
123.2  
-
Other operating income  
-
Charter hire and OPEX element*  
Operating costs*  
-39.4  
-12.7  
92.6  
-5.9  
-432.5  
-
86.5  
-385.4  
-12.7  
244.4  
-36.2  
-35.5  
-16.4  
71.3  
-4.2  
-531.5  
-
-479.0  
-16.4  
247.7  
-36.5  
-
-
-
Contribution margin  
151.8  
-30.3  
176.4  
-32.3  
-
Overhead and administration costs  
-
Profit before depreciation, amortisation and  
impairment losses, etc. (EBITDA)  
86.7  
41.7  
-45.0  
-0.3  
83.1  
9.3  
121.5  
-
-
-
-
-
-
-
-
-
-
-
208.2  
41.7  
67.1  
28.4  
-46.3  
-0.3  
48.9  
0.1  
144.1  
-
-
-
-
-
-
-
-
-
-
-
211.2  
28.4  
-107.8  
-0.3  
Profit/loss from sale of vessels, etc.  
Depreciation, amortisation and impairment losses  
Profit/loss from investments in joint ventures  
Profit from operations (EBIT)  
Financial income  
-48.8  
-
-93.8  
-0.3  
-61.5  
-
72.7  
3.0  
155.8  
12.3  
82.6  
0.2  
131.5  
0.3  
Financial expenses  
-9.1  
-6.3  
69.4  
-2.3  
67.1  
-15.4  
152.7  
-2.5  
-7.3  
-5.6  
77.2  
-1.6  
75.6  
-12.9  
118.9  
-1.8  
Profit/loss before tax  
83.3  
-0.2  
83.1  
41.7  
-0.2  
41.5  
Tax  
Profit/loss for the period  
150.2  
117.1  
* Included in the item “Vessel operating costs” in the income statement.  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
16  
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS  
3. Expenses by nature  
5. Share of profit/loss of joint ventures  
7. Fair value adjustment – hedging Instruments  
Amounts in USD million  
Q1 2023  
Q1 2022  
FY 2022  
Amounts in USD million  
Q1 2023  
Q1 2022  
FY 2022  
31/3  
2023  
31/3  
2022  
31/12  
2022  
Amounts in USD million  
Vessel operating costs  
Overhead and administration costs  
Total  
762.5  
36.2  
849.0  
36.5  
3,974.2  
206.8  
Profit/loss from shares in joint ventures  
Share of profit/loss from sale of vessels  
Share of impairment of tangible assets  
Total  
-0.3  
-0.3  
2.8  
Fair value of cash flow hedges  
-
-
-
-
-
-
Fair value adjustment at the  
beginning period  
798.7  
885.5  
4,181.0  
63.1  
-42.5  
20.6  
-31.2  
28.3  
-2.9  
-31.2  
94.3  
63.1  
-0.3  
-0.3  
2.8  
Fair value adjustment for the period, net  
These costs can be split by nature:  
Voyage costs excluding bunker oil  
Bunker oil  
End  
137.2  
227.2  
68.1  
169.9  
183.7  
66.2  
412.8  
16.4  
703.4  
1,046.1  
285.7  
1,866.0  
73.0  
6. Financial income and expenses  
The fair value of cash flow hedges for the  
period can be specified as follows:  
Service component of right-of-use assets  
Expenses related to short-term leases  
Operating costs owned vessels  
Other external costs  
Amounts in USD million  
Q1 2023  
Q1 2022  
FY 2022  
317.3  
12.8  
Bunker hedging  
FFA hedging  
-3.9  
24.5  
-
54.8  
-58.6  
0.9  
-10.8  
71.9  
2.0  
Interest income  
10.2  
2.1  
0.3  
-
12.3  
-
6.0  
5.3  
27.1  
Foreign currency risk hedging  
End  
Exchange rate adjustments  
Total financial income  
Staff costs and remuneration  
Total  
30.1  
31.2  
179.7  
20.6  
-2.9  
63.1  
12.3  
0.3  
12.3  
798.7  
885.5  
4,181.0  
The fair value measurement hierarchy of hedging is measured based upon sig-  
nificant observable inputs (level 2).  
Interest expenses  
5.5  
1.6  
-
3.5  
-
18.2  
0.3  
Fair value adjustment, derivatives  
Exchange rate adjustments  
Interest expense on lease liabilities  
Total financial expence  
4. Depreciation, amortisation and impairment losses, net  
1.5  
7.9  
12.9  
1.2  
8.3  
15.4  
32.3  
52.0  
Amounts in USD million  
Q1 2023  
Q1 2022  
FY 2022  
Vessels  
7.1  
86.4  
0.3  
10.4  
97.2  
28.7  
420.0  
1.0  
Right-of-use assets  
Property and equipment  
Total  
0.2  
93.8  
107.8  
449.7  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
17  
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS  
7. Fair value adjustment – hedging Instruments – continued  
8. Vessels  
9. Leases – lessee  
31/3  
2023  
31/3  
2022  
31/12  
2022  
31/3  
2023  
31/3  
2022  
31/12  
2022  
31/3  
2023  
31/3  
2022  
31/12  
2022  
Amounts in USD million  
Amounts in USD million  
Amounts in USD million  
As of 31 March 2023, outstanding  
hedging contains:  
Cost at 1 January  
Additions  
663.2  
951.3  
60.5  
-
951.3  
99.2  
-
Right-of-use assets  
Cost at 1 January  
Additions  
-
-
1,147.6  
33.0  
958.3  
133.2  
26.0  
958.3  
244.7  
78.1  
Disposals  
Bunker hedging  
Transferred from prepayments on  
vessels and newbuildings  
Remeasurements  
Disposals  
14.9  
Fair value at 1 January  
Fair value adjustments  
-10.8  
4.3  
7.4  
7.4  
36.9  
45.2  
56.8  
-94.8  
-25.4  
-133.5  
1,147.6  
44.0  
26.2  
Transferred to tangible assets held  
for sale  
Cost  
1,100.7  
1,092.1  
-47.6  
-83.6  
-444.1  
Realised contracts, transferred to  
revenue  
-0.2  
50.9  
54.7  
Cost  
652.5  
973.4  
663.2  
Depreciation at 1 January  
Depreciation  
-693.6  
-86.4  
-401.8  
-97.2  
-401.8  
-420.0  
128.2  
Realised contracts, transferred to  
operating costs  
2.8  
-47.5  
-99.1  
Depreciation and impairment losses  
at 1 January  
Disposals  
91.4  
25.4  
End  
-3.9  
54.8  
-10.8  
-137.6  
-248.3  
-248.3  
-37.2  
-17.4  
4.9  
Depreciation  
-688.6  
-473.6  
-693.6  
Depreciation  
-7.1  
-10.4  
FFA hedging  
Impairment loss from sale of vessels  
Reversal of impairment losses  
Disposals related to derecognised assets  
-
-
-
-15.8  
Carrying amount  
412.1  
618.5  
454.0  
Fair value at 1 January  
Fair value adjustments  
71.9  
-9.6  
-39.0  
-41.4  
-39.0  
101.7  
-
-
-
Lease Liabilities  
Realised contracts, transferred to  
revenue  
Transferred to tangible assets held  
for sale  
Lease liabilities at 1 January  
Additions  
519.5  
43.7  
607.7  
134.9  
25.9  
607.7  
300.4  
83.2  
-53.3  
47.5  
67.1  
13.2  
-131.5  
521.0  
63.3  
-211.2  
762.2  
160.4  
-137.6  
525.6  
Realised contracts, transferred to  
operating costs  
Depreciation and Impairment losses  
Carrying amount  
15.5  
-25.7  
-57.9  
Remeasurements  
Instalments made  
Disposals  
19.0  
End  
24.5  
-58.6  
71.9  
-104.6  
-3.9  
-103.9  
-
-466.4  
-5.4  
Foreign currency risk hedging  
Fair value at 1 January  
Fair value adjustments  
End  
Lease liabilities at end of period  
473.7  
664.6  
519.5  
2.0  
-2.0  
-
0.4  
0.5  
0.9  
0.4  
1.6  
2.0  
 
—
Interim Financial Report First Quarter 2023 — NORDEN  
18  
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS  
10. Prepayments on vessels and newbuildings  
13. Overview of deliveries of owned vessels and CAPEX  
31/3  
2023  
31/3  
2022  
31/12  
2022  
Deliveries of owned vessels  
Amounts in USD million  
Q2  
2023  
Q3  
2023  
Q4  
2023  
Q1  
2024  
Q2  
2024  
Q3  
2024  
Q4  
2024  
Number of vessels  
Total  
Cost at 1 January  
Additions  
32.1  
29.1  
11.3  
95.0  
11.3  
122.6  
-56.8  
MR  
-
1
1
3
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
1
1
4
1
Transferred to vessels  
-36.9  
-45.2  
Panamax  
Supramax  
Capesize  
Logistics assets  
Transferred to tangible assets held  
for sale  
-
-
-
-32.6  
-
-45.0  
-
1
1
Transferred to other items  
Cost  
24.3  
28.5  
32.1  
CAPEX  
Impairment  
-
-
-
Q2  
Q3  
Q4  
Q1  
Q2  
Q3  
Q4  
Amounts in USD million  
2023  
2023  
2023  
2024  
2024  
2024  
2024  
Total  
Carrying amount  
24.3  
28.5  
32.1  
Newbuilding payments  
and secondhand purchases  
121  
6
29  
-
-
-
-
-
-
-
-
-
150  
8
11. Related party disclosure  
Other CAPEX*  
1
1
No significant changes have occurred to related parties or types and scale of  
transactions with these parties other than what is disclosed in the consolidated  
annual report for 2022.  
Future payments to NORDEN from sold vessels: USD 145.8 million.  
* Capex includes ordinary dockings, acquisition and installation of scrubbers and  
ballast water treatment systems.  
12. Contingent assets and liabilities  
14. Events after the reporting date  
Since the end of 2022, no significant changes have occurred to contigent assets  
and liabilities other than those referred to in this interim report.  
See page 8 in the Management Review.