ICTSI profits tumble despite higher revenues, volumes in Q3 2017

Global port terminal operator International Container Terminal Services’ (ICTSI) net income totaled $45.7 million for the quarter, a 16 percent drop from the third quarter of 2016, according to the company’s most recent financial statements.    International Container Terminal Services, Inc. (ICTSI) recorded a net income attributable to equity holders of $45.7 million for the third quarter of 2017, sinking 16 percent from the third quarter of 2016, the company revealed Wednesday.
   The Manila, Philippines-based global terminal operator attributed the significant drop in earnings to higher interest and financing charges, higher depreciation and amortization, an increase in its share in the net loss at its joint venture container terminal project in Buenaventura, Colombia, and startup costs at its terminal in Melbourne, Australia, which commenced commercial operations in the second quarter of 2017.
   On a brighter note, ICTSI drove up revenues from port operations 11 percent year-over-year during the quarter, fueled by volumes growth and tariff rate adjustments at certain terminals, new contracts with shipping lines and services, and contribution from new terminals.
   Consolidated volumes during the quarter shot up 6 percent from last year’s third quarter to 2.29 million TEUs.
   For the first nine months of 2017, ICTSI’s net income attributable to equity holders totaled $149.3 million, while gross revenues from port operations stood at $918.3 million, rising 5 percent and 10 percent year-over-year, respectively. Consolidated volumes, which totaled 6.84 million TEUs for the first nine months of the year, were 6 percent higher than the corresponding 2016 period.