Port operator COSCO Pacific (1199) yesterday said first-half earnings grew 8.9 percent from a year earlier, as the company's container terminals kept pace with the mainland's roaring foreign trade.
Net profit rose to US$148.5 million (HK$1.15 billion) or US 6.64 cents a share from US$136.4 million or US 6.1 cents a share a year ago.
Revenue fell by 12.9 percent to US$147.33 million due to a reduction in container leasing income which slipped to US$81.60 million from last year's US$ 138.47. Container leasing income shrank as a result of a disposal of 600,082 standard 20-foot containers in June last year.
Net profit from container leasing and container management slumped 26.7 percent to US$50.23 million from US$68.51 million.
But net profit from port operations surged 38.1 percent to US$62 million from last year's US$ 44.9 million.
The terminal operator derives most of its net income from profit in port investments that are under 50 percent- owned, and so their revenues are not included in the earnings statement, but their profit contributions are.
COSCO Pacific has stakes in container terminals in the mainland, Hong Kong, Singapore and Belgium. In the mainland, it has investment in terminals in 12 ports including Qingdao, Dalian and Yantian.
Xu Minjie, vice chairman and managing director, said they will invest more in terminals with controlling rights to improve second half profit. Total container terminal throughput in the first half increased 23 percent to 18.4 million standard 20 foot equivalent units, driven by strong foreign trade and the global shipping market. Berths worldwide increased to 119 at the end of June from 104 a year earlier.
COSCO Pacific declared an interim dividend of 24 HK cents, down from 27.4 HK cents a year earlier. The company's stock rose 0.7 percent yesterday to close at HK$19.22 per share.
Net profit rose to US$148.5 million (HK$1.15 billion) or US 6.64 cents a share from US$136.4 million or US 6.1 cents a share a year ago.
Revenue fell by 12.9 percent to US$147.33 million due to a reduction in container leasing income which slipped to US$81.60 million from last year's US$ 138.47. Container leasing income shrank as a result of a disposal of 600,082 standard 20-foot containers in June last year.
Net profit from container leasing and container management slumped 26.7 percent to US$50.23 million from US$68.51 million.
But net profit from port operations surged 38.1 percent to US$62 million from last year's US$ 44.9 million.
The terminal operator derives most of its net income from profit in port investments that are under 50 percent- owned, and so their revenues are not included in the earnings statement, but their profit contributions are.
COSCO Pacific has stakes in container terminals in the mainland, Hong Kong, Singapore and Belgium. In the mainland, it has investment in terminals in 12 ports including Qingdao, Dalian and Yantian.
Xu Minjie, vice chairman and managing director, said they will invest more in terminals with controlling rights to improve second half profit. Total container terminal throughput in the first half increased 23 percent to 18.4 million standard 20 foot equivalent units, driven by strong foreign trade and the global shipping market. Berths worldwide increased to 119 at the end of June from 104 a year earlier.
COSCO Pacific declared an interim dividend of 24 HK cents, down from 27.4 HK cents a year earlier. The company's stock rose 0.7 percent yesterday to close at HK$19.22 per share.