International Container Terminal Services Inc. said Thursday net income jumped 57 percent in 2021 from a year ago, on higher volume growth and improved trade activities.
The port operator said net income amounted to $442.83 million last year, up from $282.07 million in 2020 as revenue from port operations went up by 24 percent to $1.87 billion from $1.51 billion.
“I’m pleased to report a strong set of results for 2021. Higher volume growth and improvement in trade activities as economies have started to recover have enabled throughput to increase by 10 percent, with EBITDA [earnings before interest, taxes, depreciation and amortization] pushed higher from new terminal contributions,” said ICTSI chairman and president Enrique Razon Jr.
“Whilst we are hopeful heading into 2022 that the worst of the COVID-19 crisis is behind us, we are mindful that these results were achieved during a global pandemic which countries are recovering at different rates from. However, we are aware of the potential social, political and economic impact arising as a result of the disconcerting events unfolding in Ukraine and as such are monitoring the situation closely,” Razon said.
ICTSI handled consolidated volume of 11,163,473 twenty-foot equivalent units in 2021, higher by 10 percent than the 10,193,384 TEUs handled in 2020 primarily due to volume growth and improvement in trade activities as economies recover from the impact of the COVID-19 pandemic and lockdown restrictions; and new contracts with shipping lines and services at certain terminals.
The group’s capital expenditure budget for 2022 is about $330 million, up from $165 million in 2021. This will be used mainly for the payment of the concession extension upfront fees at Madagascar International Container Terminal Services Ltd. in Madagascar; ongoing expansion at IDRC in Matadi, Democratic Republic of Congo; expansion projects at VICT in Melbourne, Australia and Contecon Manzanillo S.A. de C.V. in Manzanillo, Mexico which are both operating at very high utilization levels; Berth 8 expansion project at MICT in Manila; equipment acquisitions and upgrades; and for various maintenance requirements.
ICTSI is a leading global developer, manager and operator of container terminals in the 50,000 to 3.5 million TEU/year range. ICTSI operates in six continents and continues to pursue container terminal opportunities around the world.