CentrePort has backed up a strong growth result in 2009/2010 with another year of growth.
CentrePort Chief Executive Blair O’Keeffe announced today that in the year to June 2011 the company had delivered a 19% gain in earnings before interest and tax (EBIT) of $26.4 million. Underlying profit before tax and fair value adjustments was $14.7 million.
Mr O’Keeffe said the diversity of CentrePort’s portfolio was a key contributor to the result, with revenue and volume growth occurring across most sectors. “Despite a sluggish economy, container volumes were a record, topping 100 000 TEU per annum for the first time. Log volumes grew by 25% to 563 000 m3 and have trebled over the last three years,” Mr O’Keeffe said.
CentrePort’s cruise trade was up 40%, with 60 calls bringing 130 000 visitors to the region – a 400% increase over the past five years. Vehicles handled were up 14% and bulk fuel imports through the port grew 2%.
Total cargo over CentrePort’s wharves exceeded 11 million tonnes, maintaining the company’s position as one the country’s largest ports. The company’s commercial property portfolio further expanded, with the addition of new 5 star green rated Customhouse building.
Mr O’Keeffe said it was a pleasing result in a difficult economic environment. He noted a recent BERL study suggested CentrePort contributes nearly $2 b to the region’s GDP. “CentrePort is a key growth engine for the Greater Wellington region; as we grow, so does the local economy. It follows that this is a good result for the region as well as the company,” He said that the result reflected CentrePort’s productivity performance, noting a recent Ministry of Transport commissioned study which revealed CentrePort was achieving one of the highest container crane productivity results in Australasia.
During the year CentrePort recapitalised through the sell down of a partial interest in its Harbour Quays commercial property sector. Mr O’Keeffe said the company was now better positioned to pursue its growth strategy, with post balance date gearing now sitting at around 38%.
In the year under review, CentrePort reduced its carbon footprint by 13%, in pursuit of its carbon neutrality goal and joined the Department of Labour’s Zero Harm programme in support of its constant improvement programme around workplace safety.
Mr O’Keeffe said the coming year would be challenging. “We have been subjected to very large increases in the cost of insurance after recent local and international events and global economic uncertainty remains a real concern.”
Contact:
Blair O’Keeffe - 495 3800