MANILA's International Container Terminal Services Inc (ICTSI) posted a six per cent year-on-year increase in net profit to US$182 million in 2014, drawn on revenues of $1.1 billion, up 24 per cent.
But given a number of non-recurring items, net profit would have been flat at US$172.6 million had these one-offs been excluded, said a company statement.
At the same time, earnings before interest, taxes, depreciation and amortisation (EBITDA) were up 17 per cent year on year to $443 million.
Net profit increases were mainly due to strong consolidated revenue and EBITDA growth driven by increased contributions from newer operations in Manzanillo, Mexico and Puerto Cortes, Honduras.
The consolidation of terminal operations in Yantai and improved performance at Subic Bay.
But profits were hit by start-up costs in Mexico, Honduras and China, higher levels of depreciation and increased interest expenses driven by lower levels of capitalised interest during construction.
Profits were also affected by one-off gains on the sale of non-operating subsidiary in the Philippines for $13.2 million, the termination of a management contract in Kattupalli, India ($1.9 million), settlement of insurance claims at Guayaquil, Ecuador ($1.5 million) and a gain on the restructuring of investment in Yantai of $31.8 million.
These items were offset by an impairment charge of $38.1 million relating to the goodwill component of a subsidiary in Argentina (TECPLATA) and a $900,000 settlement of an insurance claim in Gdynia, Poland.
ICTSI lifted 7,438,635 TEU in 2014, a gain of 18 per cent. The increase in volume was mainly due to the volume generated by Contecon Manzanillo (CMSA), Operadora Portuaria Centroamericana, de CV (OPC) and ICTSI Iraq, the company's new terminals in Manzanillo, Mexico, Puerto Cortes, Honduras, and Umm Qasr, Iraq.
Also contributing was the positive impact of the consolidation of terminal operations at the Port of Yantai, China from July 2014 and the 20 per cent volume growth in Baltic Container Terminal (BCT) in Gdynia.
Excluding the volume from the three new terminals, organic volume would have increased by slightly more than two per cent. The company's seven key terminal operations in Manila, Brazil, Poland, Madagascar, China, Ecuador and Pakistan, which grew five per cent, accounted for 70 per cent of the group's consolidated volume in 2014.
PORTS
08 March 2015 - 22:01
Manila's ICTSI profit up 6pc to US$182 million as revenue soars 24pc
MANILA's International Container Terminal Services Inc (ICTSI) posted a six per cent year-on-year increase in net profit to US$182 million in 2014, drawn on revenues of $1.1 billion, up 24 per cent.
PORTS
08 March 2015 - 22:01
Manila's ICTSI profit up 6pc to US$182 million as revenue soars 24pc
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