ICTSI earnings grow 5%

MANILA, Philippines — Earnings of International Container Terminal Services Inc. (ICTSI) rose five percent in the nine-month period ending September behind robust revenues and a one-time gain on the termination of a sub-concession agreement in Nigeria.

In a disclosure to the Philippine Stock Exchange yesterday, the Enrique Razon – led ICTSI said net income grew to $149.3 million from $141.9 million in the same period last year.

The port operator said the continuing ramp-up at the new terminal in Matadi, Democratic Republic of Congo, strong operating income contribution from the terminals in Iraq, Mexico, Honduras, Brazil and Madagascar, and the one-time gain on the termination of the subconcession agreement in Lagos, Nigeria contributed to profits.

The increase in net income, however, was tapered by higher interest and financing charges, higher depreciation and amortization, start-up costs at the company’s terminal in Melbourne, Australia, and increase in its share in the net loss at Sociedad Puerto Industrial Aguadulce S.A. joint venture container terminal project with PSA International Pte Ltd. in Colombia, ICTSI said.

“Excluding the one-time gain on the termination of the sub-concession agreement in Nigeria, consolidated net income attributable to equity holders would have been flat in the first nine months of 2017,” ICTSI said.

Revenues from the company’s port operations reached $918.3 million, up 10 percent from the $835 million reported in the same nine-month period last year.

Higher revenues was driven by volume growth, tariff rate adjustments at certain terminals, new contracts with shipping lines and services, and the contribution from the company’s new terminals in Matadi, Democratic Republic of Congo and Melbourne.