Thursday , June 24 2021

Westports announces higher net profit in Q3, as volume of container increased – Business News



KUALA LUMPUR: Westports Holdings Bhd in the third quarter, ended on 30 September 2018 (Q3 FY18), it achieved a higher net profit of 143.22 million RM compared to the previous quarter due to higher gross profit and lower financial costs.

On Friday, it was announced that the net profit on Friday, ended on 30 June 2018, increased by 17 percent, due to higher profits before tax, revenue and transhipment after five consecutive quarters of decline.

Westport's pre-tax profit increased by 13% to RM182.16m from RM161.60m mainly due to higher gross profit and lower financial cost to save commission for the liability as a failure of the revolving credit capacity of the Bank of China and income from investment funds for the third quarter of FY8 in compared to Q2 FY18, "he said.

Operating revenues increased by 6% in the third quarter of 2008 by $ 434.55 million, largely due to the growth in the total volume of containers by 9%.

"The total volume of containers increased significantly by 14% compared to the previous period. The gate volume shutdown has improved further since the previous quarter, increasing by 19%, and the transshipment has improved by 12%," he said.

Director of the Westports Group Datuk Ruben Emir Gnanalingam said: "In the past year, there was a negative volume of transhipment of the company, in particular by creating new global alliances and mergers and acquisitions between shipping lines of containers.

"In the third quarter of QY18, after five consecutive quarters of Westports falls, a successful and complete transition to a new starting point, as transhipment recorded an improvement of 12% over the same period."

"The capacity of the containers in the door remained strong, as the economic growth of domestic economic growth was still favorable, as it recorded a total nine-month growth of 20%. A sustained momentum of 12% was achieved in the segment within Asia, which increased the contribution of the trade route to the total volume of Westport to 61%.

"The favorable volume volume in QY18 QY18 has finally increased the volume of Westport containers, which reached 2% in comparison with the previous period, as the company made a total flow of 6.95 million TEUs. Its one-month growth rate is in line with with quantitative instructions offered by the company from the beginning of the year ".

Q3 FY18 vs Q3 FY17

Westport's net profit fell by 5.6% compared to the previous year, to 143.42 million. RM in the third quarter of 1818 before RM150.82mil. Before applying for a tax relief for investments (ITA) a year ago.

However, pre-tax profits rose 2% to RM182.16m from RM178mil a year ago due to higher gross profit.

Westport's revenue declined by 15.1% to RM417.55m from RM492.27mil mainly due to the adoption of Malaysian Financial Reporting Standards 15 (MFRS 15). The net earnings per share was 4.17 senas compared to 4.42 senos.

In the third quarter of 2018, the total volume of containers increased sharply by 14% compared to the previous period, as strong domestic economic activities increased the momentum of the switchover, increasing by 19%.

After the five successive quarters of the decline, the volume of transhipments also reached the first quarterly increase, as containers in this category increased by 12% to 1.58 million TEU.

9M FY18 vs 9M FY17

In the nine months ending on 30 September 2018, its net profit decreased by 12% over the previous corresponding period to 3838.93 million RM440.53 million, after setting a standard statutory tax rate, higher depreciation costs and the financial costs arising from the recently completed container terminal 8 (CT 8) and the CT9 container terminal in 2017 and higher labor costs due to the increased number of Westport employees.

Westport's pre-tax profits declined by 5% to 507.37 million RM531.45 million, mainly due to higher depreciation and financing costs. Its revenues decreased by 21% to RM1.19bn from RM1.51bil mainly due to the adoption of the MFRS 15 from 1 January 2018.

Westports said that CT 8 and CT 9, which were completed last year, are actively used, and the latest marinas regularly receive very large container ships that have nearly 21,000 TEUs calling Westports.

"Westports is planning a significant expansion in container terminals after last year's government approval of the government.

"The company has successfully offered and now pays meals for 154 hectares of land adjacent to the CT9," he said.


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