PSA's 2006 profit soars 14pc as offshore volumes surpass Singapore's
Singapore's global container port operator, PSA International, reported a net profit of S$1.21 billion (US$790.65 million) in 2006, an increase of 14 per cent year on year with its overseas container throughput exceeding the Lion City's volume for the first time.
PSA Group ended 2006 handling a record volume of 51.29 million TEU, up 18.6 per cent from a year earlier. The company attributed the volume surge to new port acquisitions and organic growth at existing terminals.
PSA's terminals in Singapore handled 23.98 million TEU, 7.6 per cent higher than that in 2005, while its overseas terminals in Europe, China and other parts of Asia moved 27.31 million TEU in 2006, a 30.2 per cent year-on-year increase.
Revenue in 2006 grew 1.6 per cent to S$3.74 billion compared to S$3.68 billion in 2005, while operating expenses during the year dropped marginally by 0.77 per cent from S$2.45 billion to S$2.43 billion.
PSA said global trade grew strongly but at a slower rate in 2006 compared to 2005. Global port operators remained highly competitive as ships grew to unprecedented sizes resulting in shipping lines wanting bigger and improved infrastructure, and shippers demanding higher quality at competitive prices.
The company also reported that it made significant capital investments to construct new berths at Pasir Panjang Terminal in Singapore and at Antwerp's Deurganck Terminal. New berths were also built and equipment installed at the Incheon and Tianjin facilities.
In April 2006, the group made its single largest overseas investment with the purchase of a 20 per cent stake in Hutchison Whampoa's global portfolio of ports. The transaction was funded by debt and increased the group's asset base to S$17 billion.
PSA Group ended 2006 handling a record volume of 51.29 million TEU, up 18.6 per cent from a year earlier. The company attributed the volume surge to new port acquisitions and organic growth at existing terminals.
PSA's terminals in Singapore handled 23.98 million TEU, 7.6 per cent higher than that in 2005, while its overseas terminals in Europe, China and other parts of Asia moved 27.31 million TEU in 2006, a 30.2 per cent year-on-year increase.
Revenue in 2006 grew 1.6 per cent to S$3.74 billion compared to S$3.68 billion in 2005, while operating expenses during the year dropped marginally by 0.77 per cent from S$2.45 billion to S$2.43 billion.
PSA said global trade grew strongly but at a slower rate in 2006 compared to 2005. Global port operators remained highly competitive as ships grew to unprecedented sizes resulting in shipping lines wanting bigger and improved infrastructure, and shippers demanding higher quality at competitive prices.
The company also reported that it made significant capital investments to construct new berths at Pasir Panjang Terminal in Singapore and at Antwerp's Deurganck Terminal. New berths were also built and equipment installed at the Incheon and Tianjin facilities.
In April 2006, the group made its single largest overseas investment with the purchase of a 20 per cent stake in Hutchison Whampoa's global portfolio of ports. The transaction was funded by debt and increased the group's asset base to S$17 billion.
