SDK FREJA more than doubles earnings in landmark year

jun 17, 2021

SDK FREJA A/S, owned by the USTC Group, presents its annual result which showcases the position as a new strong player within the shipping, transport, and logistics industry.

          • Earnings (EBIT) have increased from DKK 37.7 million to DKK 97.2 million
          • Revenue increased 90 percent to DKK 2.6 billion
          • Strong organic growth and optimisation of existing activities

The 2020/21 financial year was a landmark year for SDK FREJA
With the best-ever performance. Compared to last year, the operating profit (EBIT) before special items
has increased from DKK 37.7m to 97.2m, corresponding to a 158 percent increase
The impressive results partly build on the great performance of the existing activities prior to the major
acquisition that took place in December 2020. But obviously the actual acquisition, when SDK A/S
bought74.7percent of FREJA Transport & Logistics Holding A/S to consolidate the two large family-
owned companies is a key factor. As a natural consequence of the acquisition the company name was
changed to SDK FREJA which today has approx. 1250 employees
“With the acquisition, we wanted to create a new strong player in the shipping, transport and logistics
industry and strengthen the overall market position, as well as pave the way for future development and
growth. Our results are a testament as to how far we have already come with all three goals", says CEO
Søren Gran Hansen, SDK FREJA A/S.

Strong results within both logistics and shipping
Strong organic growth and optimisation related to both the shipping activities as well as the logistics
activities in the individual countries play a significant role. Particularly Denmark, Finland, Norway,
Sweden, and the Netherlands have made good progress and can report strong earnings. Poland
continues to improve its revenue as brand awareness rises in the Polish market, and China performed
according to budget with positive earnings, despite a weak project market.

“The integration of SDK’s existing logistics activities with FREJA is going according to the plan. With the
strengthened market position, and stronger organisation which has delivered an extraordinary effort
during the pandemic, we expect to be able to utilise the opportunities within the new FREJA to
the maximum. No doubt we stand far better equipped now with new and improved customer solutions”,
says Ulrik Rasmussen, Group CEO of FREJA Transport & Logistics Holding A/S
Also the performance within shipping demonstrates earnings growth: “Despite challenges relating to the
impact from the global Covid-19 pandemic on our Cruise agency business, working from home,
staggered working hours and Teams meetings, our strong organization has managed to maintain high
service levels and achieve satisfactory financial performance in almost all of our core areas: Stevedoring,
Agency and Chartering” says Lars Jespersen CEO of SDK Shipping.

Expectations for the year ahead
Despite the disruption caused by the Covid-19 pandemic which led to an extended period of
unpredictability, the company has stayed on its course and earnings have been very satisfying. A
comprehensive strategy process that involved a number of key employees was launched this year. The
process crystallised into an ambitious strategy plan for developing the company through geographic
expansion, organic growth and further acquisitions. Equipped with this strategy and backed by the
financially strong and committed ownership, SDK FREJA looks very much forward to exploring and
delivering new and better customer solutions in the year to come. The expectations for the period
2021/22 are to benefit from a stronger set-up - and the acquisitions do not stop with FREJA
“We will not just compete on price but will increasingly maximise the opportunities that come from
being a company with a wide range of products and services. Acquisitions are an essential part of our
ambitious strategy plan. We have identified a number of specific acquisition opportunities to further
strengthen SDK FREJA’s strategic market position”, says Søren Gran Hansen.

       • Operates in 8 countries
       • Number of offices: + 50
       • The financial impact from the acquisition of FREJA on the Group for 2020/21 only cover a 4-
         month period. Thus, expectations for 2021/22 are significantly higher earnings (EBIT) than for

Three-year financials overview:
SDK FREJA A/S Consolidated financials
DKKm                                                2020/21                    2019/20                     2018/19*
Revenue                                               2,633                       1,380                         1,470
Gross profit                                             630                          367                            330
Operating profit (EBITDA)**                    223                           98                              58
Operating profit (EBIT)**                          97                            38                              32
Profit before tax (EBT)**                          83                             32                              25
Total equity                                             542                          133                             113
Number of full-time employees             1,247                         400                            390
*) IFRS was implemented on 1 May 2020. The comparative figures for 2018/19, are presented in accordance with the Danish
Financial Statement Act **) Before special items.

The SDK FREJA Group is a full-service logistics and shipping company. The main activities of SDK FREJA
include freight forwarding within Road, Air & Sea, Project, Logistics, as well as Stevedoring, Agency,
Customs Clearing, Commercial Chartering, Liner and Cruise services.
The company offers specialist logistics solutions within Healthcare, Warehousing and Refrigeration and is
locally based in Northern Europe including strategic positions in China and Spain. SDK FREJA is one of the
few independent and privately owned local mid-sized logistics and shipping companies.

United Shipping & Trading Company (USTC) is present in more than 30 countries through its worldwide portfolio
of activities that include oil & energy, shipping & logistics, ship owning, risk management, and IT.
USTC was founded in Fredericia, Denmark, in 1876. Today, the family-owned group consists of well-known
companies like Bunker Holding, SDK FREJA, Uni-Tankers, Selected Car Group and Unit IT covering approximately
130 offices and occupying around 3,500 employees combined worldwide. USTC has been headquartered in Middelfart
since 1981.

For additional information, please contact Head of Communications at USTC, Jonas Søndergård, at +45 52 15 99 11.