Westports 1Q16 earnings up 42 per cent to RM171 million

KUCHING: Westports Holdings Bhd (Westports) earnings for the first quarter of 2016 (1Q16) rose 42 per cent year-on-year (y-o-y) to RM171.08 million from RM120.18 million recorded in 1Q15.

The company in its accounts notes explained that the higher profit before tax recorded for 1Q16 was attributed to revision in container tariff and lower fuel cost as well as an one-off gain on disposal of investment in securities.

Besides, Westports told Bursa Malaysia yesterday that 1Q16 revenue increased by 16.6 per cent y-o-y to RM464.71 million from RM398.72 million generated in 1Q15.

Meanwhile, Westports in a statement said its container operations achieved another milestone by handling 2.4 million twenty-foot equivalent units (TEUs) in 1Q16.

The port operator added transhipment containers increased to 1.8 million TEUs while the group handled 0.6 million TEUs of gateway containers.

It observed that conventional throughput in 1Q16 was 2.6 million tonnes as Westports handled items such as wheat, soy, sugar, steel billets and project cargoes for domestic consumption and economic activities.

Westports noted cement volume handling increased by 15 per cent with the ongoing infrastructure and property related projects especially in the Klang Valley.

Westports’ chief executive officer (CEO) Ruben Emir Gnanalingam shared, “2016 has started on a positive note as Westports achieved another milestone by handling higher quarterly container volume of 2.4 million TEUs in the midst of challenging economic outlook and modest regional economic growth.

“There is also a possibility of some realignment in the container shipping industry next year.

As a terminal operator, Westports’ state-of-the art facilities currently accommodate the largest 19,000 TEUs container vessels.

“And to support shipping clients’ requirements further, we have embarked on the Container Terminal 8 (CT8) expansion which would cost a total of RM1.1 billion.

“Phase 1 of CT8 with 300-metre of wharf will commence operations by the middle of this year.

“Combined with the additional two units of new state-of-the-art 52-metre high ship-to-shore cranes and three units of energy-efficient Rubber Tyred Gantry cranes to our fleet of terminal operating equipment, Westports will continue to be a pre-eminent regional transhipment hub while accommodating Malaysia’s growing economic, import and export trading requirements,” he believed.

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