Oliver B. Bumble finds an egg that, it turns out, has a cute little dragon in it. However, this dragon grows huge each time it gets excited or upset. As this causes a lot of problems, Bumble has to face a difficult dilemma.

Young Barend is worried about the safety of the sailing vessel he is on. The owner is an unscrupulous and stingy man who skimps on repairs and Barend becomes aware of this. Inevitably there is drama and tragedy. The film is set in an early 20th century Dutch fishing village with local period costume and colour.