Eimskipafélag Íslands hf. – Valuation as of 1 Jan 2026

Valuation Summary

• The value per share as of 1 January 2026 is estimated at ISK 339.7 (EUR 1 = ISK 147).
• The valuation is based on a ten-year forecast using the residual income method, with a 10% nominal required return on equity and a 4.5% terminal growth rate (1.5% real).
• The decrease in value from the prior valuation is explained by lower revenue growth and reduced EBITDA in the updated forecast.

Key assumptions

• Operating revenues decline in 2026 but grow on average by 4.7% per year over the forecast period (1.7% real growth).
• EBITDA averages 11.6% over the forecast period.
• Depreciation of operating assets, right-of-use assets, and intangible assets (excluding goodwill) amounts to 16% per year.
• The average cost of debt is 5.2%, with financing predominantly in euros (EUR).
• Associates deliver a 15% return on the book value of their equity stake and pay out about 40% of earnings as dividends.
• Corporate income tax is 20%, calculated on profit excluding income from associates.
• Capital employed (book value) in operating assets, right-of-use assets, and intangible assets broadly follows revenue growth. As a result, total investments—including additions to right-of-use assets—average 8.7% of operating revenues annually.
• Dividend payments amount to 132% of prior year total comprehensive income in 2026 and 70% for the remainder of the forecast period
• The equity ratio averages 47% over the forecast period.
• Other general assumptions are presented under “Valuation.”