China Merchants Port Holdings Company Limited (CMPort) has announced interim results for the period ended 30 June, posting a positive financial performance in spite of a throughput dip.
In the first half of 2022, CMPort handled a total container throughput of 66.28 million TEU, down by 0.3 per cent year-on-year.
The group’s ports in Mainland China, Hong Kong and Taiwan contributed to an aggregate container throughput of 49.39 million TEU, representing a decrease of 1.0 per cent year-on-year – mainly due to the impact of the COVID-19 pandemic according to its recent statement.
Overseas ports enjoyed a positive performance in H1 2022, totalling a total container throughput of 16.89 million TEU climbing 1.5 per cent year-on-year.
For the six months ended 30 June, CMPort recorded revenue of HK $6.5 billion ($828 million), up 14.9 per cent year-on-year – mainly due to the increase in both the business volume and tariff of ports operation according to the company.
“Along with the normalisation of the pandemic, the negative impact on the port and shipping industry will be further moderated,” said Deng Renjie, Chairman of the Board at CMPort.
“The group will continue to strengthen the epidemic prevention and control as well as risk prevention of its terminals and strive for progress while maintaining stability. It is expected that the business of the Company will maintain steady for the full year.”
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“Overall speaking, shipping freight rate and port throughput do not show a strong positive correlation, but the fluctuations in freight rates reflect the reconstruction of the global economic and trade environment,” added Xu Song, Chief Financial Officer at CMPort.
“Port serves both internal and external economic cycles and will play an important role as a linkage to promote economic globalisation. At the same time, the supply chain is also adapting to the epidemic and changes under the international condition.
“Since CMPort has strengthened its own internal control and the integration of the ecosystem, the company’s business volume has achieved good growth from June to July.”
Despite uncertainties in global economy and trade remain, the group said global economy and trade is expected to recover in the second half of 2022, presenting opportunities for the growth of its port operations.
In an earlier announcement in July, CMPort remained optimistic in its container outlook for the second half of the year in spite of regional COVID-19 lockdowns threatening disruption across the nation.