PPA to remit record-high P5.2 billion dividends

MANILA, Philippines — The Philippine Ports Authority (PPA) is handing over P5.2 billion in dividends to the Bureau of the Treasury for 2024, maintaining its position as one of the highest-contributing state-run firms.

PPA yesterday said it is increasing its dividends to the Treasury by three percent to P5.2 billion in 2024, from P5.06 billion in 2023, to mark another record-high for the agency.

Given this, PPA expects to retain its place in the league of government-owned and controlled corporations (GOCCs) with the highest dividends, together with the Bangko Sentral ng Pilipinas, Philippine Deposit Insurance Corp. and the Philippine Amusement and Gaming Corp.

Under Republic Act 7656 or the Dividends Law, GOCCs have to contribute at least half of their profit to the government. Dividends are listed as non-tax revenues, partly funding state programs on infrastructure and livelihood.

PPA grew its profit by 26 percent to P7.41 billion in 2024, from P5.88 billion in 2023. The regulator of domestic ports increased revenue by nine percent to P27.64 billion due to the surge in trade volume and privatization of more assets.

The PPA saw wharfage dues go up by 17 percent last year on the growth of trade activities, and it also awarded the P10.53-billion deal to operate and maintain the Iloilo Commercial Port Complex to the International Container Terminal Services Inc.

PPA general manager Jay Santiago said the agency would keep on raising its dividends, as it finds more opportunities in the cargo and passenger segments.

Likewise, PPA is set to complete new ports across the archipelago that are meant to stimulate cross-border trade and support inter-island connectivity.

For 2025, the PPA expects to deliver port projects in multiple areas, including Cabugao, Ilocos Sur; Cagayan de Oro; Catanduanes; and Negros Occidental. The agency also sees progress in its push to build cruise terminals in tourist hotbeds Aklan, Camiguin and Palawan.

PPA’s cargo throughput spiked by six percent to 289.52 million metric tons in 2024, from 272.46 MMT in 2023. Container traffic in ports also rose by four percent to 7.83 million TEU on the consistency of import demand.

Further, passenger volume in ports went up by seven percent to 78.74 million, as the PPA reaped the fruits of its investments in new terminals to handle more ships and travelers.

Ports also welcomed 134,742 passengers from cruise ships, signaling that the high-end industry is picking up steam.