Hutchison’s port earnings up 12%

Hutchison’s port earnings up 12%    The port arm of Hong Kong’s Hutchison Whampoa group reported another set of strong results for the first six months of the year, as earnings before interest and tax rose 12 percent to HK$3.9 billion ($504 million) from HK$3.5 billion in the first half of 2003.
   Hutchison Port Holdings, the world’s largest container port operator, also saw its worldwide revenue from ports and related services rise 15 percent to HK$ 12.6 billion ($2 billion) in the first half of this year, from HK$10.9 billion in the same period of 2003.
   The worldwide container throughput handled by Hutchison in 2003 totaled 22.6 million TEUs up 16 percent on the previous year.
   “This division continues to provide a steady income to the group, contributing 16 percent and 14 percent respectively of the group’s turnover and earnings before interest and tax,” Hutchison Whampoa said. The other main activities of the Hutchison Whampoa conglomerate are retail, manufacturing, telecommunications, property and hotels.
   In Hong Kong, Hutchison’s Hongkong International Terminals reported a 12 percent increase in throughput and 5 percent rise in earnings before interest and tax.
   The operator’s business in Yantian, mainland China, reported throughput growth of 20 percent and earnings before interest and tax growth of 22 percent. The group said this reflected new capacity from two new berths at the Chinese port that started operations at the end of 2003.
   Hutchison’s port operations in Shanghai, Waigaoqiao, Ningbo, Xiamen and other mainland ports reported a combined growth of 23 percent in throughput and a 35-percent increase in earnings before interest and tax.
   In Europe, the combined throughput of Europe Container Terminals in Rotterdam and the British ports owned by Hutchison — including Felixstowe and Thamesport — grew 21 percent. “Combined earnings before interest and tax increased 67 percent, mainly due to higher throughput and the effect of the strengthening British pound and the euro against the Hong Kong dollar,” the group said.
   Operations in other Asian countries, the Middle East and Africa reported combined throughput 13 percent higher than last year and a 22-percent increase in earnings before interest and tax.
   Operations in the Americas and the Caribbean, where Hutchison runs container terminals in Panama and in the Bahamas, reported combined throughput 8 percent ahead of last year and earnings before interest and tax up 1 percent year-on-year.
   Although Hutchison Port Holdings has not been involved in taking over terminal operators in the past year, Hutchison Whampoa said its port division “continues to pursue selective acquisition opportunities around the world.” In the first half of this year, Hutchison increased its stake in Korea International Terminals from 80 to 88 percent.