DP World Posts Profit Increase

Business & Finance

Dubai-based marine terminal operator DP World posted double-digit growth figures in both annual revenue and net profit in 2014.

Revenue grew 11%  to USD 3.41 billion and adjusted EBITDA increased 12.3% to USD 1.59bn, delivering profit attributable to owners of USD 675 million, up 11.7% year-on-year.

The increase in revenue was driven largely by a 10.5 bump in containerised cargo revenue. DP World handled 28.341 million TEUs in 2014, an 8.7% increase compared to 26.1 million TEUs the company handled in 2013.

”During 2014, we opened the first phase of our new semi-automated terminal at Jebel Ali, adding 2 million TEU of much needed new capacity in the UAE, which gives us the ability to handle more of the new generation of mega vessels,” Group Chief Executive Mohammed Sharaf said.

”2015 is expected to be a busy year for new projects as we add approximately 8 million TEU of capacity including new facilities at Yarimca (Turkey), Nhava Sheva (India) and Rotterdam (Netherlands), with further additions to capacity at Jebel Ali Terminal 3 (UAE).”

Earlier this week, DP World completed a USD 2.6 billion acquisition of Economic Zone World (EZW), the owner of Jebel Ali Free Zone.

Looking forward, DP World expects to have approximately 85 million TEUs of gross global capacity by the end of 2015, an increase of approximately 15 million TEUs since 2012, and over 100 million TEUs of gross capacity by 2020, subject to market demand.

”Our performance in 2014, whereby we outperformed the industry, illustrates that our strategy is bearing fruit as we benefitted from increased volumes across our global portfolio, including Embraport in Brazil and London Gateway in the UK which came on stream in 2013,” DP World Chairman Sultan Ahmed Bin Sulayem said.

“The acquisition of the Jebel Ali Freezone will allow us to further consolidate our position as the leading logistics hub in the fast growing Middle East region.”