ICTSI cautiously optimistic for 2021

MANILA, Philippines — International Container Terminal Services Inc. (ICTSI) of tycoon Enrique Razon is cautiously optimistic this year, with the commencement of global vaccination efforts  seen to improve trade activities worldwide.

Global trade activity experienced a significant decline last year due to the COVID-19 pandemic, affecting the business and operations of the global port management company headquartered in Manila.

ICTSI senior vice president and chief financial officer Rafael Consing told The STAR that the company’s capital expenditures for this year, which he declined to disclose, would reflect the group’s cautious optimism.

ICTSI last year slashed its capital expenditure plan to approximately $160 million from $270 million.

“Once announced, you will see that ICTSI’s capital expenditure program this year reflects cautious optimism and the long term view that as nations embark upon mass vaccination campaigns, the worst could be behind us,” Consing said.

ICTSI recorded a one percent decline in its net income in the nine months ending September last year to $184.9 million as revenue from port operations finished 0.3 percent lower to $1.10 billion.

Consing earlier said the company expects to end 2020 with “improved EBITDA margins across the portfolio from cost savings and efficiency, which will result in consolidated earnings closely matching our 2019 operating earnings.”

ICTSI last month completed a berth expansion program at its flagship Manila International Container Terminal (MICT), which raised the terminal’s annual capacity to over 3.3 million TEUs.

It said more improvements are underway in MICT in preparation for the next 25 years of operation.

ICTSI is in the business of port development, management, and operations. It operates terminals in 19 countries globally.