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FINANCIAL ITEMS
 12 Months Ended
Dec. 31, 2025
Analysis of income and expense [abstract]  
Financial items NOTE 7 – FINANCIAL ITEMS
USDm
  
  
2025
  
  
2024
  
  
2023
Financial income
  
  
  
Interest income from cash and cash equivalents, including restricted cash ¹⁾
11.1
24.5
14.2
Exchange rate adjustments, including gain from forward exchange rate
contracts
0.3
—
—
Other financial income
1.9
0.3
0.1
Total
13.3
24.8
14.3
  
Financial expenses
Interest expenses on borrowings ¹⁾
68.3
69.7
55.6
Financial expenses arising from lease liabilities regarding right-of-use assets
0.8
0.6
0.5
Exchange rate adjustments, including loss from forward exchange rate
contracts
—
0.7
0.4
Commitment fee
3.3
1.9
1.3
Amortization of interest rate swaps
1.3
1.7
2.2
Ineffectiveness on interest rate swaps
(0.8)
(1.5)
(2.4)
Other financial expenses
1.5
1.0
3.3
Total
74.4
74.1
60.9
Total financial items
(61.1)
(49.3)
(46.6)
1) Interest for financial assets and liabilities not at fair value through profit and loss.
Accounting Policies
Financial income
Financial income comprises interest income, realized and unrealized exchange rate gains relating to transactions in currencies other than
the functional currency, realized gains from other equity investments and securities, unrealized gains from securities, dividends
received, and other financial income. Interest is recognized in accordance with the accrual basis of accounting considering the effective
interest rate. Dividends from other investments are recognized when the right to receive payment has been decided, which is typically
when the dividend has been declared and can be received without conditions.
Financial expenses
Financial expenses comprise interest expenses, financing costs of leases liabilities, realized and unrealized exchange rate losses relating
to transactions in currencies other than the functional currency, realized losses from other equity investments and securities, unrealized
losses from securities, and other financial expenses including payments under interest rate hedge instruments. Interest is recognized in
accordance with the accrual basis of accounting considering the effective interest rate.