Total revenue for the company’s port operations increased 6% to HK$17bn.
This, Hutchison Whampoa said, reflected higher average revenue per teu and throughput growth in most operations apart from HPH Trust’s operations in Hong Kong, where volumes fell, due to industrial action in Hong Kong that began on March 28.
The strike caused a 20% drop in throughput at HPH Trust’s Hong Kong operations in the second quarter. The industrial action involved 450 port workers, including crane operators and stevedores, and lasted for 40 days.
Total first-half throughput for Hutchison Whampoa’s port operations grew 2% to 37.9m teu year on year.
Depreciation charges of HK$181m, mostly relating to a new berth and expanded facilities in five container terminals in Europe, Asia, Australia, lowered the pre-tax earnings result.
The company also said start-up expenses at expanded and new port facilities and higher energy costs detracted from the bottom line, despite the rise in revenues.
New and expanded bases include an additional berth each at Westports Malaysia and Lazaro Cardenas in Mexico in the first half of the year.
Two new berths in Sydney, Australia, are expected to come into operation later this year.
“The division is expected to maintain a steady performance for the remainder of the year and to resume growth in subsequent years as the new berths and ports reach fully operational status, which is typically around two to three years from launch of commercial operation,” Hutchison Whampoa said.
By the end of year, Hutchison Whampoa’s operating berths will increase to 279 from 276 by adding the Sydney berths and additional capacity in Huizhou , China.
Hutchison Whampoa has interests in 52 ports globally. About 29% of its annual throughput comes from HPH Trust facilities.
HPH really should realise that it is the people on the quay face that make them a lot of profit !!!!! if you start to take money out of their pockets they will eventually rebel against the company.
Comments
Post a Comment