ICG Hits Record Profit, Navigates Rising Debt and Port Headwinds

DUBLIN, IE – March 05, 2026 – Irish Continental Group (ICG) today announced a robust financial performance for 2025, posting a 10.4% increase in revenue to €666.7 million and a significant 23.9% jump in operating profit to €85.6 million. The maritime transport giant, which operates Irish Ferries, attributed the strong results to a stellar performance in both its freight and container divisions, even as it navigated what it termed “ongoing operational challenges” at Holyhead Port and a dramatically increased debt load.

The preliminary results for the year ended December 31, 2025, paint a picture of a company making bold strategic moves while managing significant external pressures. Earnings before interest, tax, depreciation, and amortisation (EBITDA) climbed 12.8% to €150.6 million, and basic earnings per share surged by an impressive 28.4% to 46.6 cents, signaling strong underlying profitability. The company also announced a 5% increase in its final dividend, reflecting confidence in its financial position.

“2025 was a strong year for the Group, driven by a solid operational performance across both Divisions and supported by continued strength in our core markets,” said Chairman John B. McGuckian in the statement. He acknowledged, however, that the external environment remains uncertain, citing macroeconomic conditions, geopolitical developments, and an evolving regulatory landscape as key factors to watch.

A Bold Strategy of Ownership and Expansion

A cornerstone of ICG’s 2025 activity was a decisive shift in its fleet strategy. The company spent €82.6 million on strategic capital expenditure, a figure dominated by the acquisition of the cruise ferry James Joyce. This move, coupled with a purchase obligation for the Oscar Wilde set to be finalized in May 2026, will complete ICG's transition to full ownership of its ferry fleet.

This transition is a significant strategic milestone. By owning its vessels outright rather than chartering them, ICG aims to enhance operational control, build resilience, and achieve greater long-term cost predictability. The company stated that full asset ownership “supports flexible deployment across routes as market conditions evolve.” This strategy stands in contrast to operators who prefer the capital-light model of chartering, but ICG is betting that control over its core assets will provide a crucial competitive edge in the long run.

Further cementing its position in key infrastructure, the group’s Container and Terminal Division secured a six-year extension for its concession to operate the Belfast Container Terminal (BCT) through to 2032. This extension, described as a testament to its operational excellence, provides long-term stability and reinforces ICG's standing as a leading container terminal operator on the island of Ireland.

The Rising Tide of Debt and Shareholder Payouts

While the strategic investments paint a picture of forward-thinking ambition, they have come at a considerable cost, reflected in a stark increase in the company's debt. Net debt surged by 57.9% in a single year, climbing to €256.1 million from €162.2 million at the end of 2024.

The increase was not solely due to vessel acquisitions. ICG also executed a substantial return of capital to its shareholders, spending €97.7 million on share buybacks during the year—a more than tenfold increase from the €9.0 million spent in 2024. This, combined with €25.5 million in dividend payments, meant a total of €123.2 million was returned to shareholders.

Despite the sharp rise in the headline debt figure, ICG’s management appears comfortable with its financial leverage. The company's key net debt to EBITDA ratio, as defined by its banking covenants, remains at a relatively low 1.0 times, up from 0.5 times in the prior year but well below typical alarm levels. The company noted that its cash generation from operations of €162.2 million was sufficient to fund its strategic spending and shareholder returns, supplemented by a net drawdown of borrowings. The group is also in negotiations to increase its available financing facilities, signaling preparations for future capital needs.

Navigating Headwinds at Sea and Shore

Beneath the strong financial results, ICG continues to grapple with significant operational hurdles. The company repeatedly highlighted “ongoing operational challenges at Holyhead,” which it said “continued to create uncertainty for customers” and remains a potential source of disruption heading into 2026. While the company’s diversified model has proven resilient, the persistent issues at the key Welsh port are a clear point of concern for its Irish Sea routes.

Interestingly, while freight volumes powered ahead, the passenger side of the business showed some softness. Irish Ferries’ car carryings decreased by 3.9% to 679,700, and total passenger numbers fell by 2.5% to just under 3 million. The company attributed this primarily to a reduction in sailings on the highly competitive Dover-Calais route, where it has a space-charter agreement with P&O, rather than a drop in underlying demand. Nonetheless, overall sea passenger market volumes on the routes ICG serves remain below pre-pandemic 2019 levels.

In stark contrast, the freight business boomed. RoRo (Roll-on, Roll-off) freight units increased by a healthy 6.5%, with ICG noting it had gained market share on the Dover-Calais route. This strength in freight was even more pronounced in the Container and Terminal Division.

The Green Gauntlet and Booming Container Trade

The division was a standout performer, with revenue climbing 15.3% and EBITDA soaring by 26.2%. This was driven by a remarkable 16.4% increase in container volumes shipped by its subsidiary Eucon, which reached 370,000 twenty-foot equivalent units (teu). This surge in trade between Ireland and the Continent demonstrates the division's critical role in modern supply chains.

This growth is occurring as the shipping industry faces its greatest regulatory challenge in a generation: decarbonisation. ICG, like all its competitors, is now subject to the EU’s Emissions Trading System (ETS) and the FuelEU Maritime initiative. These regulations impose new, direct costs on carbon emissions and mandate the use of greener, more expensive fuels over time.

ICG confirmed it is addressing these costs through “transparent surcharge mechanisms to recover the costs of these changes from our customers.” While passing on costs is standard industry practice, the long-term competitive landscape may be reshaped as companies with more modern, fuel-efficient fleets potentially gain an advantage. ICG noted it is focused on operational efficiencies and supports reinvesting carbon pricing revenues into developing scalable alternative fuels.

Looking ahead, trading in the first two months of 2026 shows continued strong growth in RoRo freight volumes, up 11.1% on a prior year period that was impacted by the Holyhead closure. However, container volumes are down slightly due to weather disruptions. With a modernised fleet, a strong balance sheet, and secured terminal operations, ICG appears well-positioned to manage the uncertainties of fuel costs and geopolitics while capitalizing on the robust demand for freight and container transport that underpins its business.