ATI posts strong Q1 growth

MANILA, Philippines — Asian Terminals Inc. (ATI) sustained its upward momentum in the first quarter following strong financial results and record cargo volumes in 2018.

The strong influx of international containerized cargoes handled by Manila South Harbor and the newly expanded Batangas Container Terminal from January to March, alongside port efficiency measures implemented with industry stakeholders, led to robust first quarter results for the company, ATI said.

ATI said Manila South Harbor and Batangas Container Terminal handled a consolidated international container volume of over 390,000 20-foot equivalent units (TEUs) during the first quarter, a 25 percent increase compared to the same period last year.

ATI attributed the higher volumes handled to port efficiency measures it implemented in partnership with stakeholders, the aggressive expansion of Batangas Port, and the opening of more container storage spaces within and outside the port zones.

ATI also saw its net income soar to P1.1 billion in the first quarter, nearly double the P581.9 million it recorded in the same period last year, on the back of higher revenues and improved margins from its ports business, as well as favorable forex rate and higher interest income.

Revenues of the company rose by 37 percent to P3.6 billion from P2.6 billion last year.

In February, ATI and major international shipping lines agreed to share vessels and optimize terminal resources to immediately evacuate empty containers from Manila and surrounding areas through Manila South Harbor.

The move has since fast-tracked the recirculation of over 10,000 TEUs of empty containers to other Asian destinations on a weekly basis.

The role of ATI’s Sta. Mesa container yard has also been expanded to store Customs-cleared overstaying laden boxes, following directives from the Philippine Ports Authority, which has contributed to achieving greater operational efficiency at Manila South Harbor.

ATI’s new five-hectare empty container depot in Laguna likewise started operations recently.

Meanwhile, Batangas Container Terminal has levelled up its role as Southern Luzon’s trade facilitator following the recent expansion of its berth and yard facilities.

Batangas Container Terminal can now handle over 500,000 TEUs annually from an initial handling capacity of over 350,000 TEUs.

The robust growth of Batangas Port, which handled nearly 250,000 TEUs last year, has continuously helped reduce road traffic in Metro Manila, in line with government policies.

ATI’s strong first quarter output followed its solid operational and financial results in 2018, where full year revenues went up year-on-year by 15.8 percent to P12.3 billion, and net income reached grew 15.8 percent to P2.9 billion.

Manila South Harbor and Batangas Container Terminal handled a combined container throughput of over 1.4 million TEUs last year, the highest in the history of the listed port operator.