DOF Group (DOFG) Q4 2024 earnings summary

Executive summary

• Closed acquisition of DOF Denmark on November 1, 2024, adding 22 vessels and expanding the fleet to 77, with 65 owned, 4 chartered, and 8 managed, and increasing workforce to over 5,400.

• Achieved strong operational and financial performance in 2024, with revenue of USD 1,513 million and EBITDA of USD 529 million, excluding DOF Denmark, and subsea earnings rising from USD 88 million to USD 134 million.

• Firm backlog at year-end reached USD 3.25 billion, including USD 730 million from DOF Denmark, providing strong earnings visibility for the next 24 months.

• Announced first dividend payment of USD 0.3 per share in Q2 2025, with refinancing on track and a share buyback program to be proposed at the AGM.

• No major incidents reported during the year, though ongoing reviews of harassment cases and increased incident rates were noted.

Financial highlights

• Revenue increased to USD 1,513 million in 2024 from USD 1,265 million in 2023; Q4 revenue (excluding DOF Denmark and asset sales) reached USD 519 million, at the upper end of guidance.

• EBITDA (excluding gains/losses and DOF Denmark) reached USD 519 million in 2024; total EBITDA including DOF Denmark was USD 529 million.

• Net profit for 2024 was USD 250 million, up from USD 178 million in 2023.

• Strong cash flow in Q4, with net cash flow from operations at USD 176 million, exceeding EBITDA.

• Equity ratio improved to 43% at year-end 2024, up from 39% at the end of 2023.

Outlook and guidance

• 2025 revenue guidance: USD 1.8–1.9 billion; EBITDA: USD 720–800 million.

• 74% of 2025 revenue already secured via backlog, with high order intake expected in the next 3–6 months.

• Stronger second half expected as DOF Denmark fleet is integrated and long-term contracts commence.

• Maintenance CapEx for 2025: USD 130–140 million; growth CapEx (mainly ROVs): USD 270–290 million, with most growth CapEx financed.

• Fleet optimization and potential vessel sales likely in 2025.