Dubai-Mubasher: Global trade enabler DP World today reported "strong" financial results for the six months ended 30 June 2016, according to a press release.
Strong adjusted EBITDA growth resulted in a 50.2% growth in profit attributable to owners of $608 million in H1-16. Profits rose to $673 million in H1-16, compared to $455 million in H1-15.
Adjusted EBITDA rose by 27.2% to $1.176 billion, the statement said, adding that adjusted EBITDA margin reached a new high of 56.2% on the back of the Jebel Ali Free Zone acquisition and increased contribution from other higher margin locations.
Revenues grew 10.2% year-on-year to reach $2.094 billion in H1-16 from $1.90 billion in H1-15, backed by the acquisitions of Jebel Ali Free Zone in the UAE and Prince Rupert in Canada.
On a like-for-like basis, revenue grew 2.5% and adjusted EBITDA increased by 6.6%. In addition, attributable earnings were up 4.3%
Containerised revenue per TEU (twenty-foot equivalent unit) rose 5.4% on a like-for-like basis in H1-16, while non-container revenue fell by 0.9% on a like-for-like basis and increased by 17.9% on a reported basis.
DP World invested $586 million in capital expenditure across its portfolio in H1-16 and capex guidance for 2016 stabilised at between $1.2-1.4 billion with investments planned at Jebel Ali Port (terminal 4 construction), Jebel Ali Free Zone (UAE), London Gateway (UK), Prince Rupert (Canada), JNP Mumbai (India) and Yarimca (Turkey).
“Looking ahead to the second half of the year, we expect throughput performance to improve, and like-for-like financial performance, excluding one-off items and foreign exchange movements, to be similar to the first half,” according to DP World Group Chairman and CEO, Sultan Ahmed Bin Sulayem.
