RAZON-LED International Container Terminal Services, Inc. (ICTSI) saw its second-quarter (Q2) attributable net income rise by 15.97% to $244.31 million, driven by sustained earnings across all its port operations.
“We have seen significant growth both operationally, an 11% increase in consolidated volume, and in the value we create for our shareholders, with a 17% increase in diluted earnings per share, demonstrating the resilience of our business and success of our growth strategy,” ICTSI Chairman and President Enrique K. Razon, Jr. said in a statement on Tuesday.
For the three months ending June, the port operator’s gross revenue rose by 11.8% to $764.63 million from $684.03 million in the same period a year ago.
The company’s combined expenses for the second quarter rose to $344.68 million, higher by 12.4% from $306.66 million previously.
The listed global operator recorded an attributable net income of $483.84 million for the January-to-June period, marking an increase of 15.05% from $420.55 million in the same period last year.
For the first semester, ICTSI saw its gross revenues climb by 14.39% to $1.51 billion from $1.32 billion in the same period last year.
Its combined revenue for the period was mainly driven by earnings from its port operations, particularly in Asia, which logged a total revenue of $651.88 million, up by 21.42% from $536.88 million.
Revenues from port operations in the Americas totaled $572.8 million, marking an increase of 6.19% from $539.41 million, while operations from its ports in Europe, the Middle East, and Africa (EMEA) reached $142.02 million, up by 9.78% from $129.37 million in the same period last year.
ICTSI handled a total of 6.99 million twenty-foot equivalent units (TEUs) for the January-to-June period, marking an increase of 10.78% from 6.31 million TEUs in the same period a year ago.
The listed port operator attributed the increase in volume to improved trade activities across all regions, excluding the impact of its Visayas Container Terminal (VCT) and the discontinued Olah Jasa Andal (OJA) operations.
The company said its ports in Asia accounted for the majority of the volume during the period, handling a total of 3.67 million TEUs, followed by the Americas at 1.96 million TEUs, and EMEA at 1.36 million TEUs.
The company’s capital expenditures (capex), which exclude borrowing costs, amounted to $231.98 million for the first half of the year. These were mainly allocated for the expansion of Contecon Manzanillo S.A. (CMSA) in Mexico; the expansion of terminals in the Philippines and ICTSI DR Congo S.A. (IDRC) in the Democratic Republic of Congo; as well as the acquisition of equipment for its terminal upgrades.
ICTSI has set aside a $580-million capex budget for this year, primarily to fund the new project in Batangas, as well as the third-phase expansions of its terminals in Mexico and Manila.
At the stock exchange on Tuesday, shares in the company closed P5, or 1.1% higher, to end at P460 apiece. — Ashley Erika O. Jose
