MANILA, Philippines - International Container Terminal Services Inc. posted a net income of $182 million in 2014, a 6 percent increase from the previous year.
The ports operator, owned by the Philippines' third richest man Enrique Razon, said its revenues surged 24 percent to $1.1 billion in 2014.
ICTSI attributed the increase in profit to "strong consolidated revenue and EBITDA growth driven by increased contributions from newer operations in Manzanillo, Mexico and Puerto Cortes, Honduras, the consolidation of terminal operations in Yantai, China, and improved performance at Subic Bay, Philippines."
However, the profit growth was affected by the start-up costs and higher operating expenses in its operations in Mexico, Honduras and China, as well as increased depreciation expenses and interest expenses.
Excluding non-recurring items, ICTSI said its net income would have been flat at $172.6 million.
ICTSI handled consolidated volume of 7,438,635 twenty-foot equivalent units (TEUs) in 2014, an 18 percent increase from the previous year.
For 2015, ICTSI is allocating $530 million in capital expenditures. The funds will mainly go to the completion of new container terminals in Mexico and Democratic Republic of Congo, capacity expansion in its terminal operation in Manila, as well as start the development of new terminals in Iraq and Australia.
Last year, ICTSI spent $279 million out of its $310 million capex budget.