MANILA, Philippines — International Container Terminal Services Inc. (ICTSI) saw earnings soar in the first semester as volume, revenues, and EBITDA across all three geographic segments exceeded 2019 pre-pandemic performance.
ICTSI reported a net income of $196.7 million, 73 percent more than the $113.4 million earned in the same period last year on the back of higher operating income and significant reduction in equity in net loss of joint ventures.
Revenue from port operations grew 22 percent to $882.6 million from $724.3 million.
ICTSI’s revenue increase was attributed to volume growth, favorable container mix, tariff adjustments at certain terminals, new contracts with shipping lines and services, higher revenues from ancillary services and the contribution of new terminals.
About 5.459 million 20-foot equivalent units were handled by the company, up 14 percent due to the improvement in trade activities as economies continue to recover from the impact of the COVID-19 pandemic and lockdown restrictions, as well as new shipping lines and services at certain terminals.
ICTSI‘s EBITDA or earnings before interest, taxes, depreciation and amortization was 28 percent higher year-on-year at $532.5 million.
“These results have surpassed 2019 pre-pandemic performance and were driven by favorable market conditions and the prudent actions we took at the onset of the pandemic. This is evidenced by the strong organic growth across our terminals underpinned by the strength and resilience of ICTSI and our differentiated strategy,” ICTSI chairman and president Enrique Razon said.
During the first half, ICTSI spent $74.4 million of its $250 million capital expenditure budget for 2021.
The amount was used mainly for the ongoing expansion at Manila International Container Terminal and ICTSI DR Congo in Democratic Republic of Congo, as well as the acquisition of port facilities and equipment at ICTSNL in Port of Onne in Nigeria.
“Overall, we are proud with how the business has performed this quarter and this can be wholly attributed to our employees. The business is in a robust position and ICTSI is full steam ahead,” Razon said.