SINGAPORE (Feb 5): Hutchison Port Holdings Trust (HPHT) announced 4Q17 DPU fell 33.1% to 11.1 HK cents (1.87 cents) compared to 16.6 cents in 4Q16.
This brings FY17 DPU to 20.6 HK cents, 32.7% lower than 30.6 cents recorded in FY16.
Revenue and other income for the quarter came in at HK$2.86 billion, 3.4% lower than HK$2.96 billion a year ago.
Combined container throughput of HIT, COSCO-HIT and ACT (collectively HPHT Kwai Tsing) increased by 0.9% as compared to the same quarter in 2016, primarily due to higher transshipment cargoes but offset by weaker intra-Asia cargoes.
The container throughput of Yantian International Container Terminals (YICT) increased by 10.6% as compared to the pervious year, primarily driven by growth in the US and transshipment cargoes.
Average revenue per twenty-foot equivalent unit (TEU) for Hong Kong and China were lower compared to a year ago mainly due to greater volume of concessions offered to certain liners as well as certain revisions on tariffs following the mergers and acquisitions of some liners.
In addition, China’s average revenue per TEU was also adversely impacted by higher transshipment mix, but partially offset by RMB appreciation.
Total operating expenses declined by 4.5% to HK$1.98 billion from HK$2.07 billion last year.
Hence, operating profit for 4Q17 was 19.6% lower at HK$783.1 million compared to HK$973.8 million a year ago.
Other operating income was HK$14.9 million, 81.6% below HK$ 81.0 million last year, mainly due to the deferral of 2017 dividends from River Ports Economic Benefits to 2018 and the aggregated effect of the receipt of an award, a subsidy for railway business development from the Shenzhen government and gain on disposals of tyres by YICT in 2016.
The trust recorded a loss from share of profits less losses after tax of associated companies of HK$38 million during this period, compared to a gain of HK$2.4 million in the previous year, mainly reflecting the share of Huizhou International Container Terminals Limited (HICT) after it was acquired at the end of 2016.
Share of profits less losses after tax of joint ventures was HK$19.3 million, twice as much as HK$9.2 million recorded a year ago, mainly due to better combined results of COSCO-HIT and ACT following the co-management arrangement.
The trust’s earning for 4Q17 was 38.2% lower at HK$237.8 million, compared to HK$385.8 million last year.
Looking forward, the trust says that it will continue to build on its strengths whilst adhering to strict financial discipline, and with its modern facilities and efficient mega-vessel handling capabilities, the Trustee-Manager is also confident that it is well-equipped to respond to external developments and challenges.
Units in HPHT closed at 38 US cents on Monday.
