Dubai-based port operator, DP World, has seen its earnings grow in the first half of 2017, reflecting ongoing improvements in the global trading environment. Revenue was up by 9.6% compared to the equivalent period in 2016, to US$2.29 billion, supported by strong volume growth across all regions. Furthermore, profitability on an EBITDA basis was up by 4.2%, to $1.23 billion, while the adjusted EBITDA margin was a healthy 53.4%.
Capital expenditure of US$ 595 million was invested by DP World across its portfolio in the first half of the year, with ongoing projects in the UAE, UK, Canada and Somaliland leading the way.
During this period, DP World’s global container throughput levels rose by 7.7%, to 34 million teu. The company says it expects the second half of 2017 will see these higher throughput levels being maintained, and it is confident that it will meet full year financial targets.
This July, DP World added 1.5 million teu of capacity at Terminal 3 in Jebel Ali, and its flagship port continues to operate at high levels of utilisation. The outlook for its UAE business remains highly positive, DP World suggests, particularly with the lead up to Expo 2020. Volumes in the UAE up to the end of June were 4.3% higher than in the first half of 2016. Reported revenue in the region grew by 3.5% to US$ 1.6 billion, helped by a 6% increase in non-containerised revenues.