International Container Terminal Services, Inc. (ICTSI) has published unaudited consolidated financial results for the first half of 2024.
The company reported revenue from port operations to be $1.32 billion, up 13 per cent from the $1.16 billion recorded in the first six months of 2023.
Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBITDA) of $864.99 million, 19 per cent higher than the $728.88 million generated in the same period last year.
Net income attributable to equity holders of $420.55 million, 34 per cent higher than the $313.80 million earned in the first half of 2023, primarily due to higher operating income, partially offset by increases in interest on loans and lease liabilities related to concession renewal.
In the first half of 2024, net income attributable to equity holders included nonrecurring income from the settlement of legal claims at ICTSI Oregon as well as the impact of the deconsolidation of PT PBM Olah Jasa Andal (OJA) in Jakarta, Indonesia, whereas the first half of 2023 included the impairment of goodwill attributed to Pakistan International Container Terminal.
READ: ICTSI revenue jumps to $2.4 billion in 2023
Excluding nonrecurring income and expenses, net income attributable to equity investors would have increased by 24 per cent to $401.69 million.
ICTSI handled a consolidated volume of 6.31 million TEU in the six months ending 30 June 2024, which was slightly higher than the 6.27 million TEU handled at the same time in 2023.
The 1 per cent consolidated volume growth was primarily due to the impact of new services and improvements in trade activities at specific terminals, which were offset by a decrease in volume at Contecon Guayaquil S.A. (CGSA) in Guayaquil, Ecuador, the expiration of the concession contract at PICT in Karachi, Pakistan, and the deconsolidation of OJA in Jakarta, Indonesia.
Excluding the impact of new operations in the Philippines and terminated operations in Pakistan and Indonesia, the group’s consolidated volume would have climbed by 6 per cent.
Total consolidated throughput increased by 2 per cent in the quarter ending 30 June 2024, to 3.22 million TEU from 3.17 million TEU in 2023.
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Enrique K. Razon Jr., ICTSI Chairman and President, said: “Our revenue increased by 13 per cent to $1.32 billion and EBITDA and net income rose to record highs of $864.99 million and $420.55 million, respectively. We have a robust balance sheet and cash generation is strong with free cash flow up 24 per cent to $602 million which means we have significant headroom to invest for future growth.
“While we remain vigilant of continuing economic and geopolitical uncertainty, we have a proven and sustainable growth strategy which gives us confidence in our outlook and continued ability to generate value for all our stakeholders.”
