International Container Terminal Services, Inc. (ICTSI) has reported strong financial results for the year to September 2021 with net profit reaching $316.4 million, up 73% compared to the same period in 2020.
The company has reported that gross revenues from port operations have reached $1.365 billion, increasing 24% from $1.104 billion reported for the nine months of 2020. This was due to higher volumes, a favourable container mix, traffic adjustments at certain terminals and new contracts with shipping lines and services.
EBITDA reached $829.4 million, up 29% when compared to the $643.2 million from January to September 2020. This was mainly due to higher revenues, partially tapered by the increase in cash operating expenses.
In the first nine months of 2021, ICTSI handed a consolidated volume of 8,266,621 TEU, 11% more than the 7,426,307 TEU handled in the first nine months of 2020. This was due to volume growth and improvement in trade activities as economies begin to recover from the effects of the pandemic.
For the quarter which ended 30 September 2021, the total consolidated throughput was also 7% higher at 2,807,098 TEU compared to the 2,626,542 TEU in 2020.
“We have seen a considerable improvement in trade activities and outperformance in Asia, the Americas and EMEA as economies continue to recover from the impact of the COVID-19 pandemic and lockdown restrictions ease,” said Enrique K. Razon, Jr, ICTSI Chairman and President.
“This has led to a strong performance this quarter for ICTSI. Net income has grown 73%, driven by growth in revenue and increased volume from port operations across all three regions. Revenue, volumes, and EBITDA are up 24%, 11% and 29% respectively.
“This is extremely encouraging, and the company’s robust financial position provides a foundation to fund capital expenditures entirely through our strong cash flows and continue to grow ICTSI sustainably for the long-term benefit of all our stakeholders.
“We remain mindful that the pandemic continues to create challenges throughout our industry. We have good momentum to deliver further disciplined growth and we look to the future with confidence.”
This comes after the news that Pakistan International Container Terminal (PICT), a subsidiary of ICTSI reached a milestone with the handling of its 10-millionth TEU.
Announced in September 2021, a ceremony to celebrate the achievement was held with ICTSI Regional Head, Hans Ole Madsen (Europe, Middle East and Africa), PICT’s Independent Director, Rune Rasmussen and the PICT senior management team all in attendance.