DP World has announced an increase in profits of 18.1% compared to the same period in 2017, but warned that a tariff war means the near-term outlook is uncertain.
The Dubai-based terminal operator saw its first half 2018 gross TEU throughput increase by 4.8% and its earnings before interest, tax depreciation and amortization (EBITDA) rise by 7.9% compared with 2017.
That means its profit, after separately disclosed items, jumped from $543 million between January and July 2017 to $642 million in 2018, despite its earnings per share dropping by 2.1% year-on-year.
The results come after DP World’s volume across its global terminals for the first half of 2018 grew by 6%. It also had its credit rating increased from Baa2 to Baa1 by Moody’s after the London Court of International Arbitration (LCIA) ruled in its favour over the Doraleh Container Terminal (DCT).
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Speaking about the results, DP World Group Chairman and CEO Sultan Ahmed Bin Sulayem commented: “We have made good progress in delivering our strategy of strengthening our portfolio of complementary and port related business with approximately $1,400 million 8 worth of acquisitions announced recently.
“These acquisitions offer strong growth opportunities and enhance DP World’s presence in the global supply chain as we continue to diversify our revenue base and look at opportunities to connect directly with the owners of cargo and aggregators of demand.
“The near-term trade outlook remains uncertain with recent changes in trade policies and geopolitical headwinds in some regions continuing to pose uncertainty to the container market.”