7 May 2024
Management report
The challenges of Q4 2023 continued into the first
quarter of 2024 with macroeconomic headwinds in
Europe and challenging market conditions.
Gross profit decreased 2.9% to DKK 463 million in Q1
2024, compared to DKK 477 million in Q1 2023,
corresponding to a gross margin of 21.5% and 21.2%,
respectively.
to the merger of the three Danish road companies had a
temporary negative effect of DKK 80 million.
The market is characterised by some degree of
overcapacity and pressure on rates.
NTG Nordic Transport Group
Adj. EBIT decreased 24.0% to DKK 114 million in Q1
2024, compared to DKK 150 million in Q1 2023.
(DKKm)
Q1 2024
2,158
463
Q1 2023
2,254
477
Growth
-4.3%
The demanding market conditions have stressed the
importance of being agile and having a flexible cost
structure to adapt to the changing market dynamics.
The operating margin was 5.3% for Q1 2024, compared
to 6.7% in the same period last year. The deterioration
in margin was driven by increased salaries after 2023
inflation and lower gross profit (excl. M&A impact) in
both divisions.
Net revenue
Gross profit
Adj. EBIT
-2.9%
In the Road & Logistics division, volumes were under
pressure in Q1 2024, with a continuing weak spot
market. As a result, focus shifted increasingly from the
spot market towards contracted revenue.
114
150
-24.0%
Adj. EBIT in the Road & Logistics division decreased
12.0% to DKK 103 million in Q1 2024 compared to Q1
2023. The decline was mainly related to the timing of
Easter.
Road & Logistics
In the Air & Ocean division, the ocean freight rates, due
to the Red Sea crisis, commenced at a higher level than
in 2023, however has declined during Q1 2024.
(DKKm)
Q1 2024
1,604
347
Q1 2023
1,648
348
Growth
-2.7%
Net revenue
Gross profit
Adj. EBIT
Adj. EBIT in the Air & Ocean division decreased 62.5%
to DKK 12 million in Q1 2024 compared to Q1 2023.
Net revenue in Q1 2024 decreased 4.3%, compared to
Q1 2023, to DKK 2,158 million.
-0.3%
103
117
-12.0%
Special items totalled DKK -1 million in Q1 2024,
compared to DKK 0 million in Q1 2023.
Acquired growth totalled 1.3% in Q1 2024, driven by
the acquisition of RTC Transport A/S (RTC) completed
in February 2024.
Minorities’ share of adj. EBIT was 10.5% in Q1 2024
compared to 9.7% in Q1 2023.
Air & Ocean
Organic growth totalled negative 5.9% in Q1 2024,
compared to the same period last year, mainly due to
soft volumes coupled with lower freight rates in the Air
& Ocean division and Easter falling in March in 2024 as
opposed to April in 2023.
(DKKm)
Q1 2024
Q1 2023
Growth
Net working capital was negative DKK 18 million as of
31 March 2024, compared to negative DKK 140 million
as of 31 March 2023. The timing of Easter at the end of
March was the main driver for the increase in net
working capital, but also prepayment of hauliers related
Net revenue
Gross profit
Adj. EBIT
553
116
12
605
129
32
-8.6%
-10.1%
-62.5%
Currency translation effects had a positive impact on
growth of 0.1 percentage points in Q1 2024.
NTG Nordic Transport Group A/S
Hammerholmen 47
Page 3
DK-2650 Hvidovre
+45 7634 0900
www.ntg.com
CVR no. 12546106