Cadeler A/S 2025 Annual Report (Form 20-F) Summary
Business Context and Reporting Period
Company: Cadeler A/S (Cadeler Group)
Reporting Period: Fiscal year ended December 31, 2025
Business Overview: Cadeler is a leading global provider of offshore wind installation, transportation, and operations & maintenance (O&M) services. The company operates the world's largest fleet of purpose-built wind turbine installation vessels (WTIVs).
Fleet Status: As of December 31, 2025, the fleet comprised 10 operating vessels (including the newly delivered Wind Maker, Wind Pace, Wind Keeper, Wind Ally, and Wind Mover). Two additional A-Class newbuilds (Wind Ace and Wind Apex) are under construction with expected deliveries in 2026 and 2027.
Key Financial Metrics (Year Ended Dec 31, 2025)
| Metric (EUR million) | 2025 | 2024 | Change |
|---|---|---|---|
| Revenue | 620.4 | 248.7 | +149% |
| Operating Profit | 317.7 | 69.4 | +358% |
| Net Profit | 280.2 | 65.1 | +330% |
| Adjusted EBITDA | 425.4 | 126.0 | +238% |
| Gross Margin | 62% | 50% | +12 pp |
| Contract Backlog (incl. options) | 2,765 | 2,336 | +18% |
| Net Debt | (1,459.0) | (519.8) | Increased leverage |
| Cash & Equivalents | 151.7 | 51.3 | +196% |
| Equity Ratio | 44.0% | 63.7% | -19.7 pp |
Note: Net Debt is calculated as Total Financial Indebtedness less Cash and Cash Equivalents. The increase in debt is primarily due to financing new vessel deliveries.
Material Changes vs. Prior Period
- Fleet Expansion: The operating fleet doubled from 5 to 10 vessels in 2025, driving a 149% revenue increase. Five new vessels were delivered: Wind Maker, Wind Pace, Wind Keeper, Wind Ally, and Wind Mover.
- Profitability Surge: Net profit increased to EUR 280.2 million from EUR 65.1 million. This was driven by higher gross margins (62% vs 50%) due to increased vessel utilization and the receipt of termination fees from a Long-Term Agreement (LTA) with Ørsted regarding the Hornsea 4 project.
- Capital Expenditure: Capital expenditures rose significantly to EUR 1,235.7 million (from EUR 615.5 million in 2024) to fund final installments for newbuild vessels and upgrades.
- Debt Profile: Total debt to credit institutions increased to EUR 1,610.8 million to finance the expanded fleet. The company maintains a 100% floating interest rate exposure on its debt, partially hedged.
- Backlog Growth: Contract backlog increased to EUR 2.765 billion, providing strong revenue visibility into 2026 and beyond.
Guidance, Outlook, and Risks
2026 Guidance:
- Revenue: EUR 854 million to EUR 944 million.
- EBITDA: EUR 420 million to EUR 510 million.
Management Commentary: Management expects strong demand for installation services due to an undersupply of capable vessels. The company is well-positioned with a modern fleet and a record backlog. The O&M segment is growing, supported by the launch of the "Nexra" service platform and the acquisition of Wind Keeper.
Key Risks & Contingencies:
- Operational Hazards: Offshore operations face risks of accidents, breakdowns, and weather delays. In June 2025, the vessel Wind Scylla suffered minor damage to a jack-up leg, requiring one month of repairs.
- Newbuild Delivery Risks: Two A-Class vessels are under construction with COSCO in China. Delays could result in liquidated damages and revenue loss. Geopolitical tensions and US sanctions on Chinese shipyards pose a risk to delivery timelines.
- Contract Cancellations: Revenue is dependent on long-term contracts which may be cancelled or postponed (e.g., the Ørsted Hornsea 4 termination). While compensation was received in this instance, future cancellations could impact earnings.
- Debt Covenants: The company has significant indebtedness with restrictive covenants regarding liquidity, equity ratio, and working capital. Management believes it has sufficient headroom to comply for at least 12 months.
- Internal Controls: Material weaknesses identified in 2023 regarding internal controls over financial reporting were remediated by December 31, 2024, and no material weaknesses were identified in the 2025 audit.
Investor Verification Checklist
- Backlog Realization: Verify the percentage of the EUR 2.765 billion backlog that is "firm" versus "option" days, as options are at the customer's discretion.
- Newbuild Delivery Schedule: Monitor the delivery timeline for the two remaining A-Class newbuilds (Wind Ace and Wind Apex) and any potential delays from the COSCO shipyard.
- Debt Servicing Capacity: Assess the impact of rising interest rates on the company's 100% floating-rate debt and its ability to meet covenants given the high leverage.
- Utilization Rates: Track vessel utilization rates in 2026 to ensure the expanded fleet can be fully employed to justify the increased fixed costs.
- Termination Fee Recurrence: Determine the extent to which the 2025 profit surge was driven by one-off termination fees versus recurring operational performance.