INTERNATIONAL Container Terminal Services, Inc. (ICTSI) reported its attributable net income increased by 3% to $53.597 million in the second quarter, on all-time high revenues and volumes.
In a statement, ICTSI said its attributable net income dropped 6% to $97.66 million in the first six months of 2018 from $103.6 million a year ago, “due primarily to the start-up costs of the new terminals in Papua New Guinea and Australia.” Last year’s comparable figure had included a one-time gain of $7.5 million from the termination of its sub-concession agreement in Nigeria.
ICTSI cited several other factors that contributed to its financial performance: “a decrease in the company’s share in the net loss at Sociedad Puerto Industrial Aguadulce S.A., its joint venture container terminal project with PSA International Pte Ltd. in Buenaventura, Colombia; and a $2.8 million non-recurring gain from the pre-termination of interest rate swap related to the pre-payment of the project finance loan at its terminal operations in Manzanillo, Mexico in May 2018.”
Excluding the non-recurring gains, the port operator said consolidated net income attributable to equity holders would have gone up by 15% in the second quarter, but would have dipped by one percent in the first half.
Second quarter revenues jumped 10% to $336.4 million, bringing the six-month tally 10% higher to $661.8 million.
“The increase in revenues was mainly due to volume growth; new contracts with shipping lines and services; increase in revenues from non-containerized cargoes, storage and ancillary services; and the contribution from the Company’s new terminals in Lae and Motukea in Papua New Guinea, and Melbourne, Australia,” ICTSI said.
Excluding the new terminals, consolidated gross revenues increased by 7% in the April to June period, and 6% in the first half.
For the quarter ended June 30, ICTSI said total consolidated throughput rose 5% to 2,388,715 twenty-foot equivalent units (TEUs). ICTSI handled consolidated volume of 4,714,255 TEUs in the first six months of 2018, up 4% year-on-year. — D.A.Valdez