International Container Terminal Services Inc. (ICTSI) said profit in the first quarter of the year grew 36 percent to $209.88 million compared to last year’s $154.61 million.
Revenues went up 11 percent to $637.65 million from $572.25 million.
Earnings before interest, taxes, depreciation and amortization (EBITDA) grew 17 percent to $413.76 million from $354.20 million.
ICTSI handled consolidated 3.09 million twenty-foot equivalent units (TEUs) of container for the period, marginally down from 3.1 million TEUs last year.
“Volume growth mainly from new services and improvement in trade activities at certain terminals was offset by the impact of expiration of the concession contract at Pakistan International Container Terminal (PICT) in Karachi, Pakistan, de-consolidation of OJA in Jakarta, Indonesia, termination of cargo handling operations at PT Makassar Terminal Services (PT MTS) in Makassar, Indonesia, and decrease in volume in Contecon Guayaquil S.A. (CGSA) in Guayaquil, Ecuador,” the port container terminal operator said.
“Excluding the impact of discontinued operations in Pakistan and Indonesia, the group’s consolidated volume would have increased by five percent,” it said.
Our international portfolio performed exceptionally well, and the Group continues to benefit from geographic diversification spanning 19 countries which has enabled us to deliver growth, despite regional economic headwinds,” said Enrique Razon, ICTSI chairman.
“Our balance sheet is robust and cash generation has been very strong, with free cash flow up 46 percent during the quarter further reinforcing our ability to invest and capitalize on growth opportunities,” he added.
“We look to the future with confidence, and with our highly disciplined business model we remain strongly positioned to continue to deliver financially and operationally for all our stakeholders,” Razon also said.
ICTSI spent $67.94 million of its capital expenditures for the year in the first quarter.
“These were mainly for the ongoing expansions at CMSA in Mexico, ICTSI Rio in Brazil, certain Philippine terminals, ICTSI DR Congo S.A. (IDRC) in Democratic Republic of Congo, and East Java Multipurpose Terminal (EJMT) in Indonesia,” it said.
ICTSI is looking to spend $450 million this year, which includes $60 million of capex carried forward from 2023.
The estimated capital expenditure will be utilized mainly to complete the expansion in Brazil and the development of EJMT in Indonesia; continue the ongoing expansion in Mexico, Philippines and Democratic Republic of Congo; pay the last tranche of concession extension related expenditures in Madagascar; develop the recently acquired terminal in Iloilo in the Philippines; equipment acquisitions and upgrades; and for capital maintenance requirements.
