ICTSI Q1 income up 24% to $35.4mln
International Container Terminal Services, Inc (ICTSI) of the Philippines has reported firat quarter net income attributable to equity holders of $35.4 million, up 24 percent over the $28.5 million earned last year.
The terminal operator posted revenue of $173.8 million, an increase of 12 percent over the $154.9 million reported last year.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) was $76.7 million, eight percent higher than the $71.2 million generated in 2011.
The higher net income attributable to equity holders was mainly due to the growth in volume and revenues, and lower financing charges, ICTSI stated.
ICTSI handled consolidated volume of 1,338,316 TEUs in the first quarter of 2012, 14 percent higher compared to the 1,171,969 TEUs handled in the same period in 2011. The increase in volume was mainly due to the sustained growth in countries where ICTSI’s terminals are located, new shipping lines and routes and the inclusion of the TEU volume generated by the company’s new terminals in Portland, Oregon, USA and Rijeka, Croatia.
Excluding the volume from the two latest port acquisitions, organic volume growth was nine percent.
Volume from the group’s six key terminal operations in Manila, Brazil, Poland, Ecuador, Madagascar and China, which accounted for 74 percent of the group’s consolidated volume in the first quarter of 2012, increased 11 percent, from 896,419 TEUs to 992,865 TEUs.
First quarter 2012 gross revenue from port operations increased 12 percent to $173.8 million, from the $154.9 million reported in 2011.
The increase in revenues for 2012 was mainly due to the tariff increases in certain terminals, higher storage revenues and ancillary services, favourable volume mix, and the inclusion of the new terminals in Portland, Oregon, USA and Rijeka, Croatia. Excluding the revenues from the newly acquired terminals, organic revenue would have grown seven percent.
Revenue contribution from the group’s six key terminals in Manila, Brazil, Poland, Ecuador, Madagascar and China, which accounted for 84 percent of the group’s consolidated revenues in the first quarter of 2012, increased seven percent from $137.2 million to $146.1 million.
Total consolidated cash operating expenses for the first quarter of 2012 grew 16 percent to $73.8 million from $63.5 million in the same period in 2011. The increase was mainly driven by higher manpower cost and facilities-related expenses relating to the new terminal operations in Portland, Oregon, USA and Rijeka, Croatia, higher contracted services, overtime, power, fuel, and repairs and maintenance expenses from existing operations, and higher concession fees in TSSA. Excluding the new terminals, total cash operating expenses would have increased by only six percent.
Consolidated EBITDA for the first quarter of 2012 increased eight percent to $76.7 million, from $71.2 million in 2011 mainly due to the volume growth across all geographic segments of the group, favourable volume mix, tariff rate increases and stronger revenues from storage and ancillary services.
Consolidated EBITDA margin, however, declined in the first three months of 2012 by two percentage points to 44 percent from 46 percent in 2011 due to higher fixed and variable concession fees in Brazil, and the addition of the ports in Oregon, USA and Rijeka, Croatia. Excluding the new terminals, EBITDA margin would have only been higher by two percentage points at 48 percent.