DP World reports volume growth in Q3 2019
DP World has handled 17.7 million TEU (twenty-foot equivalent units) across its global portfolio of container terminals during Q3 2019, with gross container volumes growing by 1.1 per cent year-on-year on a like-for-like basis.
On a nine-month basis, like-for-like gross container volumes grew by 0.7 per cent year-on-a year to 53.5 million TEU, said a press release issued by DP World on Tuesday.
Jebel Ali (UAE) handled 3.6 million TEU in Q3 019, down 1.0 per cent year-on-year, as volumes stabilised following a shift of low-margin cargo. Growth in Asia and India remains robust with strong growth in ATI (Philippines), Qingdao (China). Growth in India has been driven by Cochin, Mundra and NSIGT (Mumbai). Decline in reported volumes in Asia Pacific & Indian Subcontinent is due to discontinued operations in Surabaya (Indonesia) and Tianjin (China).
Sultan Ahmed bin Sulayem, group chairman and CEO, said: "At a consolidated level, our terminals handled 10.3 million TEU during 3Q 2019, a 0.8 per cent improvement year-on-year on a like-for-like basis. The strong reported growth of 93.7 per cent in the Americas and Australia region is due to the consolidation of Australia and the acquisition of the two terminals in Chile. Our portfolio continues to deliver a steady volume performance which is encouraging given the challenging macro backdrop caused by the global trade dispute. However, despite this uncertainty, it is encouraging to see robust growth in key markets such as Asia Pacific and Indian Subcontinent, while growth on the west coast of the Americas remains solid. In Europe, London Gateway continues to deliver strong growth due to market share gains. While we have seen volumes stabilising in Jebel Ali (UAE), the outlook remains uncertain given the regional geopolitics and we remain focused on profitable origin & destination cargo."
He noted that DP World's broader portfolio aims to make progress in strengthening its product offering, allowing it to connect directly with end customers to deliver a range of unique logistic solutions. "We are seeing positive signs of progress in our new businesses that give us encouragement for the future. The near-term focus is on integrating our recent acquisitions, managing costs and disciplined investment to cement DP World's position as the logistics partner of choice. Overall, we remain well placed to deliver full-year market expectations."