DP World profits fall
DP World yesterday reported a 10.55 per cent drop in net profits for 2006 to $216.91 million compared with $242.5 million in 2005 due to costs related to P&O's acquisition.
Total revenues of Dubai Ports Authority (DPA) and its subsidiaries were $3.48 billion for 2006 compared with $674.9 million during the previous year, according to a statement posted on the Dubai International Financial Exchange (DIFX), where the PCFC's $3.5-billion sukuk is listed.
DPA is the legal entity for DP World whose parent company is Ports, Customs and Free Zone Corporation of (PCFC) of Dubai.
"The increase was primarily due to the inclusion of the P&O businesses, excluding P&O North America and P&O Estates," it said.
This is the second consecutive net profit decline for DP World, which last year posted about five per cent profit fall, attributed to costs related with the acquisition of CXS World Terminals and increased operating costs.
The 2006 results included nine-month performance of P&O group, which was acquired by DP World for $6.8 billion in March last year.
The published results are only for operations in which DPA and subsidiaries are majority stakeholders.
Costs associated with the transaction and integration of P&O weighed on the group's financial performance. Financial costs rose to $341 million last year compared with $58.39 million in 2005.
Revenue from the UAE, Middle East and South and East Africa was $692.5 million compared with $548 million for 2005.
The company's revenue from Europe and North and West Africa was $1.81 billion and included $1.43 billion from P&O's ferries business.
It the Asia-Pacific and South Asian region, it achieved revenues of $333.3 million in 2006 compared with $30.1 million the year before. The region accounts for a number of P&O assets and a potential high growth area for DP World.
The value of assets rose to $18.24 billion compared with $3.6 billion in 2005.
In a separate statement on the DIFX, Jebel Ali Free Zone Authority and its subsidiaries, part of the PCFC group, said their profit for 2006 was Dh587 million compared to Dh376 million in 2005.
Total revenues of Dubai Ports Authority (DPA) and its subsidiaries were $3.48 billion for 2006 compared with $674.9 million during the previous year, according to a statement posted on the Dubai International Financial Exchange (DIFX), where the PCFC's $3.5-billion sukuk is listed.
DPA is the legal entity for DP World whose parent company is Ports, Customs and Free Zone Corporation of (PCFC) of Dubai.
"The increase was primarily due to the inclusion of the P&O businesses, excluding P&O North America and P&O Estates," it said.
This is the second consecutive net profit decline for DP World, which last year posted about five per cent profit fall, attributed to costs related with the acquisition of CXS World Terminals and increased operating costs.
The 2006 results included nine-month performance of P&O group, which was acquired by DP World for $6.8 billion in March last year.
The published results are only for operations in which DPA and subsidiaries are majority stakeholders.
Costs associated with the transaction and integration of P&O weighed on the group's financial performance. Financial costs rose to $341 million last year compared with $58.39 million in 2005.
Revenue from the UAE, Middle East and South and East Africa was $692.5 million compared with $548 million for 2005.
The company's revenue from Europe and North and West Africa was $1.81 billion and included $1.43 billion from P&O's ferries business.
It the Asia-Pacific and South Asian region, it achieved revenues of $333.3 million in 2006 compared with $30.1 million the year before. The region accounts for a number of P&O assets and a potential high growth area for DP World.
The value of assets rose to $18.24 billion compared with $3.6 billion in 2005.
In a separate statement on the DIFX, Jebel Ali Free Zone Authority and its subsidiaries, part of the PCFC group, said their profit for 2006 was Dh587 million compared to Dh376 million in 2005.