• Home
  • News
  • ICTSI nine-month net income up 47% to $465.1M
  • 2022 November 12 11:13

    ICTSI nine-month net income up 47% to $465.1M

    Throughput grew 7% to 8.9 million TEUs

    Enrique K. Razon, Jr., ICTSI Chairman and President said:  “I am pleased to announce further significant progress across the Group delivering strong growth in revenues of 20 percent to US$1.64 billion and EBITDA of US$1.04 billion, 25 percent higher than the previous year.  We have delivered seven consecutive quarters of double-digit consolidated revenue growth which has helped offset inflationary pressure with our excellent performance being driven by volume growth, cost control and operating discipline.

    “We remain mindful of the macro-economic environment and the potential impact this may have on our business but remain confident that we are well-positioned to navigate these headwinds through our agility, diversified portfolio and strong balance sheet.  Our highly disciplined and talented team continues to work resolutely for the benefit of our stakeholders – all the time guided by our purpose, to make ports around the world a driver for positive and sustainable growth.”

    International Container Terminal Services, Inc. (ICTSI) today reported unaudited consolidated financial results for the nine months of 2022 posting revenue from port operations of US$1.64 billion, an increase of 20 percent from the US$1.37 billion reported for the same period in 2021; Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) of US$1.04 billion, 25 percent higher than the US$829.4 million generated the first three quarters last year; and net income attributable to equity holders of US$465.1 million, 47 percent more than the US$316.4 million earned in the first nine months of 2021 primarily due to higher operating income, net foreign exchange gain, equity share in net profit of joint ventures, and interest income; partially tapered by increase in interest on loans, lease liabilities and concession rights payable, and depreciation and amortization charges.  Diluted earnings per share for the first nine months of 2022 was 63 percent higher at US$0.215 compared to US$0.132 in the same period in 2021.

    For the quarter ended September 30, 2022, revenue from port operations increased 20 percent from US$482.4 million to US$576.7 million; EBITDA was 23 percent higher at US$365.9 million from US$296.9 million; and net income attributable to equity holders was at US$170.7 million, 43 percent more than the US$119.7 million in the same period in 2021.  Diluted earnings per share for the third quarter of 2022 was 55 percent higher at US$0.080 compared to US$0.052 the same period in 2021.

    ICTSI handled consolidated volume of 8,856,303 twenty-foot equivalent units (TEUs) in the first nine months of 2022, seven percent more than the 8,266,621 TEUs handled in the same period in 2021.  The increase in volume was primarily due to volume growth and improvement in trade activities as economies continue to recover from the impact of the COVID-19 pandemic and lockdown restrictions; new shipping lines and services at certain terminals; the contribution of Manila North Harbour Port, Inc. (MNHPI) in Manila, Philippines and International Container Terminal Services Nigeria Ltd. (ICTSNL), the company’s new terminal in Port of Onne, Nigeria.  Excluding the consolidation of MNHPI, ICTSNL, and Davao Integrated Port and Stevedoring Services Corporation (DIPSSCOR) in Davao, Philippines, which was terminated last June 30, 2022, consolidated volume would have increased by six percent.  For the quarter ended September 30, 2022, total consolidated throughput was 11 percent higher at 3,103,721 TEUs compared to 2,807,098 TEUs in 2021.

    Gross revenues from port operations for the first nine months of 2022 was 20 percent higher at US$1.64 billion compared to the US$1.37 billion reported in the same period in 2021 mainly due to volume growth and market recovery from the impact of the pandemic; favorable container mix; tariff adjustments at certain terminals; new contracts with shipping lines and services; higher revenues from ancillary services; contribution of MNHPI and the new terminals Manila Harbor Center Port Services, Inc. (MHCPSI) in the Philippines, ICTSNL in Nigeria and IRB Logistica in Brazil; partially tapered by decline in trade activities at certain terminals; and unfavorable translation impact mainly due to the depreciation of Philippine Peso (PHP)- and Australian Dollars (AUD)- based revenues at Philippine terminals and Victoria International Container Terminal (VICT) in Melbourne, Australia, respectively; and Euro (EUR)-based revenues at Madagascar International Container Terminal Services Ltd. (MICTSL) and Adriatic Gate Container Terminal (AGCT), in Madagascar and Croatia respectively.  For the third quarter of 2022, gross revenues increased 20 percent from US$482.4 million to US$576.7 million.

    Consolidated cash operating expenses in the first nine months of 2022 was 14 percent higher at US$438.1 million compared to US$383.2 million in the same period in 2021. The increase in cash operating expenses was mainly due to the cost contribution of MNHPI, the new businesses, mainly MHCPSI, ICTSNL and IRB Logistica; the increase in equipment and facilities-related expenses, mainly fuel; government-mandated and contracted salary rate adjustments, including benefits; contracted services in relation to volume; and the unfavorable foreign exchange impact of the Brazilian Reais (BRL)-based expenses at ICTSI Rio and Tecon Suape S.A. (TSSA) in Brazil; partially tapered by continuous cost optimization measures implemented; and the favorable foreign exchange effect mainly of Philippine Peso (PHP)-, Pakistani Rupee (PKR)-, Australian Dollar (AUD)-, Polish Zloty (PLN)- and Argentine Peso (ARS)-based expenses at Philippine, Pakistan, Australia, Poland and Argentina terminals, respectively.

    Consolidated EBITDA increased 25 percent to US$1,038.0 million for the first nine months of 2022 from US$829.4 million in the same period in 2021 mainly due to higher revenues, partially tapered by the increase in cash operating expenses.  Consequently, EBITDA margin increased to 63 percent in the first nine months of 2022 from 61 percent the previous year.

    Consolidated financing charges and other expenses for the first nine months of 2022 increased by 24% to US$130.8 million from US$105.5 million in 2021 mainly due to higher interest and financing charges on borrowings primarily due to the issuance of US$300 million senior notes in November 2021 which funded the redemption of US$183.8 million worth of 5.875 percent and US$85.2 million of 4.875 percent senior guaranteed perpetual capital securities with call dates in 2022 and 2024, respectively; availment of short-term loans; the consolidation of the outstanding loan of the Company’s new terminal in the Philippines; and higher COVID-19 related expenses.

    Capital expenditures, excluding capitalized borrowing costs, for the nine months ended September 30, 2022 amounted to US$281.3 million.  These were mainly for ongoing expansion projects at Manila International Container Terminal (MICT) in the Philippines, VICT in Melbourne, Australia, ICTSI DR Congo S.A. (IDRC) in Matadi, Democratic Republic of Congo, Contecon Manzanillo S.A. de C.V. (CMSA) in Manzanillo, Mexico, and the acquisition of land in the Philippines and in Brazil for new projects.  The Group’s capital expenditure budget for 2022 is approximately US$330.0 million. This will be utilized mainly for the payment of the concession extension upfront fees at Madagascar International Container Terminal Services Ltd. (MICTSL); ongoing expansion at the Company’s terminals in Democratic Republic of Congo, Australia, Mexico and Philippines; equipment acquisitions and upgrades; and for various maintenance requirements.

    ICTSI is a leading global developer, manager and operator of container terminals in the 50,000 to 3.5 million TEU/year range.  ICTSI operates in six continents and continues to pursue container terminal opportunities around the world.

2023 February 7

18:37 Gothenburg Port Authority CEO Elvir Dzanic to resign in August
18:07 TotalEnergies obtains two CO2 storage licenses in the Danish North Sea
18:01 Oil price cap does not apply to Russian petroleum product processed by being blended in a third country
17:43 ST Engineering acquires new site in Singapore for its commercial ship repair business
17:40 First section of Houston Ship Channel expansion complete
17:33 DNV to assess the viability of blending hydrogen into South Korea's gas transmission network
17:15 COSCO Shipping Heavy Industry (Guangdong) yard to retrofit the main engines aboard two LPG carriers from the fleet of Tianjin Southwest Maritime
16:47 Kalmar’s eco-efficient hybrid straddle carriers to enhance fleet productivity at DP World Antwerp Gateway
16:21 Emergency Arbitration claims initiated by Euronav fully dismissed
16:02 Onboard hydrogen fuel cell project wins EUR 15 mln funding
15:44 New Balearia innovative fast ferry will feature Wartsila propulsion solutions
15:14 Uniper and Greenko sign exclusivity for Green Ammonia offtake to EU from India’s first Green Ammonia Project in Kakinada
14:48 Italy’s Campostano Anchor updates its fleet with an eco-efficient Konecranes Gottwald Generation 6 Mobile Harbor Crane
14:24 Vopak and Port of Antwerp-Bruges to redevelop former Gunvor site
14:02 Jumbo Offshore completes the transportation and wet storage of a riser caisson for Technip FMC
13:42 Wilhelmsen Ship Management and Affinity Shipping team up to launch full EU emissions reporting and trading services
13:39 Monjasa and HOST PtX Esbjerg sign an agreement on logistics services and offtake of green ammonia for the maritime sector
13:12 Saudi yard IMI inks agreements worth $350m to enhance operations
12:31 Port Authority of Singapore receives award for engineering innovations for Tuas Port Phase 1 Reclamation Project
12:00 UK government invests £77 million in clean maritime technology
11:30 Hudong-Zhonghua secured 37 large size LNG carrier orders in 2022
11:04 World’s largest containership squeezes through Suez Canal
10:41 Cargotec names Casimir Lindholm as new President and CEO
10:39 Suez Canal Authority denies the published information on the contracting of a company to provide its services
10:24 Russian Railways’ freight volumes to the East exceeded those to the West for the first time
10:13 Over 2,000 foreign workers to be added to Korean shipyards this month - Pulse
09:59 NOVATEK and Deepak Fertilisers sign MoU on LNG and low-carbon ammonia
09:28 MRTS supports the 6th Hydraulic Engineering and Dredging Congress as its Sponsor

2023 February 6

20:51 Russian Railways CEO confirms plans on launching new traffic to Lavna port in December 2023
18:30 Portsmouth International Port to accept an offer from Scottish and Southern Energy Network to secure extra power supply
18:03 Freeport of Ventspils Ro-Ro cargo volumes up 4% to 2.35 million tonnes in 2022
17:28 The National Fund of Greece confirms eight investment schemes in the tender for the development of Volos Port
16:47 K Shipbuilding receives $175m order from Al Seer Marine for the construction of four tankers
16:24 Fuel oil shipments from Russia to India totalled at least 0.5 million tonnes in January 2023 - Reuters
16:14 RF Government expands programme to compensate expenses for transportation of goods to North-West ports
15:45 Earthquake damages Turkiye's energy infrastructure, major port
15:23 Astrakhan shipyard of USC to commence building dry bulk / container carriers of Project 00108 for North-South corridor in 2023
15:19 BSM managed Service Operation Vessel “Windea Leibniz” finished an extensive upgrade at Ulstein Shipyard in Norway
14:55 DP World container volumes up 1.4% to 79.0 million TEUs in 2022
14:35 IHC Dredging delivers Beagle 4 to Gebr. van der Lee
13:51 Rosmorport announces tender for dredging on Volga-Caspian Shipping Canal
12:49 INPEX Corporation completes ammonia bunker barge study - Ship & Bunker
12:37 Ba Ria-Vung Tau province ready to support foreign car carrier on fire
11:42 Equinor and SSE Renewables carry out early scoping work on potential 4th phase of Dogger Bank Wind Farm
11:39 OceanPal Inc. announces appointment of Robert Perri as CEO
11:24 Accelleron signs Turbo MarineCare agreement with Associated Maritime Company (Hong Kong)
11:23 Turkish shipyard to build two ferries for CMAL
10:08 NYK Line posts 9M and 2023 FY results
09:55 First serial production of hydrofoils to be established in Moscow Region
09:29 EU and G7 adopted further price caps for seaborne Russian petroleum products

2023 February 5

15:41 Stena Drilling sign a new contract with UK's Ithaca Energy for Stena Spey
13:19 New partnership aims to take Norwegian offshore wind to the next level
11:07 Hundreds evacuated after fire ignites on cruise ship in Sydney, Australia
09:38 Shell LNG bunker barge launched in Spain

2023 February 4

15:21 Milaha and Hareket sign a strategic alliance to provide integrated heavy lift and oversized transportation services
14:29 DOF awarded EPRD contract by Equinor
13:14 The Port of Sagunto doubles its natural gas traffic by 2022
11:03 GTT obtains funding from Bpifrance for the MerVent 2025 project, winner of the "Corimer 2022" call for expression of interest

2023 February 3

18:22 IAA PortNews’ summary of past week news
18:07 Port of Tallinn and Utilitas Wind to cooperate on the development of offshore wind farms