ICTSI profit up 4%

International Container Terminal Services Inc., a global ports operator led by tycoon Enrique Razon Jr., said earnings rose in the first nine months of the year on better volume.

ICTSI said net income during the period hit $141.9 million, up 4 percent from year-ago level. It said revenue rose 5 percent to $835 million as throughput rose 12 percent to 6.4 million twenty-foot equivalent units, or TEUs.

ICTSI said earnings growth in the nine-month period was cut by higher depreciation and amortization expenses as well as lower capitalized borrowing costs related to Tecplata S.A., its new terminal in Buenos Aires, Argentina, and higher interest expense from higher average loan balance.

For the third quarter, revenue from port operations rose 18 percent to $284.2 million while Ebitda (earnings before interest, taxes, depreciation and amortization) was 30 percent higher at $132.9 million.

Net income attributable to equity holders was up 53 percent to $54.6 million in 2016.

ICTSI said operations across  Asia, Europe, Middle East, Africa and Americas continued to post positive volume growth for the third consecutive quarter.

“The increase in volume was mainly due to new shipping lines and services, improvement in trade activities in most of the terminals in the Asia region and the continuing ramp-up at ICTSI Iraq,” it said.

ICTSI said capital spending during the period hit $297.9 million. Excluding capitalized borrowing costs and expenses, capital expenditure reached $273 million, about  65 percent of the $420-million capital expenditure budget for 2016.

ICTSI also invested $50.1 million in the development of Sociedad Puerto Industrial Aguadulce S.A., its joint venture project with PSA International Pte Ltd., in Colombia.