PSA International net earnings edge up 3.4pc while revenues slip 0.2 pc in 2019
SINGAPORE's PSA International expanded its 2019 net profit by 3
SINGAPORE's PSA International expanded its 2019 net profit by 3.4 per cent on the back of strong growth at its overseas terminals despite the domestic market being slow.
Net profit for the year hit SGD1.25 billion (US$890 million) on 0.2 per cent lower revenue, partly due to the de-consolidation of a subsidiary. On a like-for-like basis, revenue would have risen by 3.5 per cent, reported Container Management, UK.
The group's overseas terminals were the main driver of container volume growth with its international portfolio handling 48.32 million TEU last year, up 8.1 per cent, with PSA Singapore contributing 36.89 million TEU, constituting a 1.6 per cent rise.
Overall, the company handled a total of 85.20 million TEU, representing an increase of 5.2 per cent from the previous year.
Chairman Peter Voser said 2019 had been a 'challenging year' due to trade protectionism and socio-political unrest affecting the global economy with relationships between major trading nations descending into tariff wars.
He said: 'The shipping industry also had to grapple with the high costs, strategic decisions and tactical manoeuvres necessary to comply with the International Maritime Organization 2020 global sulphur regulations.
'Even as we grapple together with the impact of COVID-19 going into 2020, we remain clear on our goals: PSA will continue to support our customers' businesses around the world with quality and excellence, by investing in the relevant assets, equipment and capabilities to improve our performance and productivity.'
PSA will look to take advantage of fresh digitalisation opportunities to grow global trade and create new value through multi-stakeholder collaborations and port-adjacent services, he added.