Tallink Group reported a difficult year, with a 20 million euro decline in consolidated revenue and a significant drop in profit due to challenging economic conditions in the Baltic region.
Tallink Group faced a challenging year as indicated by CEO Paavo Nõgene, with consolidated revenue falling by 20 million euros to 756 million euros, alongside a 20% decrease in cargo volume. The drop in performance is attributed to the tough economic climate currently affecting Estonia, Finland, and Sweden. Meanwhile, Viking Line managed to slightly increase its sales revenue and net profit, contrasting with Tallink's downturn.
For the previous year, Tallink Group's unaudited consolidated revenue stood at 765.3 million euros, down from 785.8 million euros the year before, indicating a substantial decline. The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) also saw a significant decrease, dropping to 130.1 million euros from 175.2 million euros in 2024, reflecting the ongoing difficulties the company is encountering. Furthermore, their net profit dwindled from 40.3 million euros the previous year to just 17.3 million euros last year.
In light of these results, CEO Paavo Nõgene expressed the need for resilience amid the challenging economic landscape, acknowledging that the poor performance is reflective of wider issues within the regional markets. This scenario prompts questions regarding the future strategies Tallink might implement to adapt to the shifting market conditions and revive its financial health in the coming years.
