Jens Bjørn Andersen, CEO:
A strong commercial and operational performance in Q3 has driven earnings growth of more than 30% and a volume performance in line with or above the market. We are pleased to see our business continuously improving, and based on this, we upgrade our expectations for 2017 and launch a five-month share buyback programme of DKK 1,250 million
Selected finanical and operating data for Q3 2017:
Net revenue 18,735
Gross profit 4,114
Operating profit before special items 1,313
Operating margin 7.0%
Conversion ratio 31.9%
Special items, costs 123
Profit before tax 1,041
Adjusted earnings for the period 941
Adjusted free cash flow -
Diluted adjusted earnings per share of DKK 1 for the period 4.96
The consolidated full-year outlook for 2917 previously announced is adjusted as follows:
- Operating profit before special items is expected to be in the range of DKK 4,700-4,900 million (previously DKK 4,500-4,700 million).
- Net financial expenses, excluding foreign exchange adjustments, are expected to approximate DKK 300 million (unchanged).
- Adjusted free cash flow is expected to approximate DKK 4,400 million (previously DKK 4,250 million).
- The effective tax rate is expected to be 23% (unchanged).
The revised expectations are partly driven by higher than expected activity levels, mainly in the Air & Sea division. At the same time, the cost synergies from the UTi integration have been achieved faster than expected in 2017. As a consequence, the remaining full-year impact from cost synergies is now expected to be DKK 200 million in 2018 (previously DKK 300 million).
A separate company announcement about the launch of a five-month share buyback programme of DKK 1,250 million will be issued today.
Full report available here