DP World profit rises 35pc to US$450 million in 2010

DP WORLD, the fourth largest international terminal operator, has announced its financial results for 2010, seeing a 35 per cent year on year increase to US$450 million from $333 million the previous year.


Likewise, its revenue rose nine per cent in 2010 to $3.19 billion compared to $2.82 billion in 2009.


"Our 2010 results, with profit before tax in excess of $500 million, reflect a return of container volume growth and greater revenue generation, together with the benefits derived from our cost cutting measures and improved terminal efficiencies implemented since the downturn," said Dubai-based DP World CEO Mohammed Sharaf.


DP World's container volume at its 28 terminals rose nine per cent to 27.8 million TEU, exceeding the record 27.7 million TEU made in 2008.


Together with the other 22 terminals run by DP World globally, its total volume increased 14 per cent last year to 49.6 million TEU.


Said DP World chairman Sultan Ahmed Bin Sulayem: "2010 saw a return to volume growth across almost all our terminals, albeit with different growth rates across regions. We saw both rapid recovery in global trade in those markets most affected by the decline in container volumes in 2009, and a return to more modest growth in those markets, which showed resilience during 2009. Almost all of our container terminals around the world are back at or ahead of volumes last seen in 2008, which was a peak year for the global container terminal industry."


Looking ahead, Mr Sharaf said DP World expects to have 12 per cent volume growth with further margin enhancement in 2011 though "continuing economic fragility and political turbulence in some parts of the world.


"It is particularly pleasing to see the UAE region continuing the strong performance seen at the end of 2010 with volume and revenue growth in the first two months of 2011 well ahead of last year," he said.


Although the company runs terminals in some North African and Middle East countries that have experienced political unrest, including Egypt and Yemen, Mr Sharaf said the company's business has not been affected so far.
(Source:http://www.schednet.com)