Global port operator International Container Terminal Services Inc. yesterday declared a 35 percent profit growth in the third quarter, on the back of a 39 percent increase in revenues during the period.
The company, in an unaudited financial report submitted to the Philippine Stock Exchange, said it booked a net income of P627 million in the third quarter, up from P464 million a year ago, as revenues from port operations rose to P4.21 billion from P3.02 billion.
This pushed the Manila-based firm’s nine-month net income to a record P1.672 billion, up 27 percent from P1.315 billion during the same period in 2006.
“ICTSI has delivered another strong quarter of solid performance. Our four main terminals in Manila, Poland, Brazil and Madagascar all generated outstanding results, which were somewhat masked by one-time start-up and transition costs at our new terminal in Guayaquil, Ecuador and losses at our terminal in Yantai, China as we continue to transition that terminal from domestic to international cargo,” said company president and Enrique Razon Jr.
Razon said the company was focused on bringing its expanding stable of newer terminals up to the same levels of profitability as its more mature operations.
The company said its international operations contributed to the boost in quarterly earnings, accounting for 63 percent of third quarter’s consolidated net income, compared with 59 percent in the third quarter of 2006 and 60 percent for the full of 2006.
It said this would have been higher if not for the stronger peso this year, noting that the 10 percent year-on-year appreciation of the Philippine peso against the US dollar significantly dampened the impact of the international operations’ contribution to consolidated earnings in peso terms.
The company said it earned 74 percent of its gross revenues in currencies other than the Philippine peso during the third quarter.
ICTSI invested P9 billion in the first nine months of 2007 to fund capacity expansion in Manila, Brazil and Madagascar, and start-up costs in China, Syria, Ecuador, Colombia and Georgia.
ICTSI handled consolidated volume of 811,049 twenty foot equivalent units during the third quarter, 53 percent higher than 530,301 TEUs handled in the third quarter of 2006.
The combined TEU volumes from the company’s existing port operations grew 20 percent over the third quarter last year, accounting for 37 percent of incremental TEU volume for the period.
It said the addition of new port operations in Ecuador, China and Davao accounted for 63 percent of the incremental TEU volume for the period.
For the January-September period, total TEUs handled reached 2,095,798, up by 45 percent from 1,448,074 TEUs in a year earlier.
Domestic operations accounted for 412,945 TEUs handled, or 51 percent of consolidated volumes, for third quarter, representing a a 32 percent increase over the volumes handled a year ago, mainly on the back of a 17 percent growth in volume handled at the Manila International Container Terminal and new volume reported by Davao Integrated Port and Stevedoring Services Corp., the company’s recently acquired operations in Davao.
The company, in an unaudited financial report submitted to the Philippine Stock Exchange, said it booked a net income of P627 million in the third quarter, up from P464 million a year ago, as revenues from port operations rose to P4.21 billion from P3.02 billion.
This pushed the Manila-based firm’s nine-month net income to a record P1.672 billion, up 27 percent from P1.315 billion during the same period in 2006.
“ICTSI has delivered another strong quarter of solid performance. Our four main terminals in Manila, Poland, Brazil and Madagascar all generated outstanding results, which were somewhat masked by one-time start-up and transition costs at our new terminal in Guayaquil, Ecuador and losses at our terminal in Yantai, China as we continue to transition that terminal from domestic to international cargo,” said company president and Enrique Razon Jr.
Razon said the company was focused on bringing its expanding stable of newer terminals up to the same levels of profitability as its more mature operations.
The company said its international operations contributed to the boost in quarterly earnings, accounting for 63 percent of third quarter’s consolidated net income, compared with 59 percent in the third quarter of 2006 and 60 percent for the full of 2006.
It said this would have been higher if not for the stronger peso this year, noting that the 10 percent year-on-year appreciation of the Philippine peso against the US dollar significantly dampened the impact of the international operations’ contribution to consolidated earnings in peso terms.
The company said it earned 74 percent of its gross revenues in currencies other than the Philippine peso during the third quarter.
ICTSI invested P9 billion in the first nine months of 2007 to fund capacity expansion in Manila, Brazil and Madagascar, and start-up costs in China, Syria, Ecuador, Colombia and Georgia.
ICTSI handled consolidated volume of 811,049 twenty foot equivalent units during the third quarter, 53 percent higher than 530,301 TEUs handled in the third quarter of 2006.
The combined TEU volumes from the company’s existing port operations grew 20 percent over the third quarter last year, accounting for 37 percent of incremental TEU volume for the period.
It said the addition of new port operations in Ecuador, China and Davao accounted for 63 percent of the incremental TEU volume for the period.
For the January-September period, total TEUs handled reached 2,095,798, up by 45 percent from 1,448,074 TEUs in a year earlier.
Domestic operations accounted for 412,945 TEUs handled, or 51 percent of consolidated volumes, for third quarter, representing a a 32 percent increase over the volumes handled a year ago, mainly on the back of a 17 percent growth in volume handled at the Manila International Container Terminal and new volume reported by Davao Integrated Port and Stevedoring Services Corp., the company’s recently acquired operations in Davao.