DP World braces for tough second quarter results after strong start in H1 of 2018
A total of 35.6 million TEU (twenty-foot equivalent units) were handed by DP World Limited in the first half of the year, with gross container volumes up 4.8 percent year-on-year and 6 percent on a like-for-like basis, the company announced on Tuesday.
In a statement, DP World noticed that all three DP World regions saw growth over H1, particularly its terminals in Europe and Australia. In the UAE, the company handed 7.7 million TEU over the same time period, roughly the same as the same time period the previous year.
At a consolidated level, DP World’s terminals handled 18.6 million TEU in H1, a 4 percent increase on a reported basis and a 4.5 percent year-on-year increase on a like-for-like basis.
“Our portfolio has delivered an encouraging performance in the first half of 2018 with all regions continuing to deliver growth,” said DP World group chairman and CEO Sultan Ahmed bin Sulayem.
“However, as expected there has been a deceleration in the growth rate in 2Q 2018 due to the tougher year-on-year comparable, where 2Q 2017 grew 10.7 percent year-on-year driven by market share gains from the new shipping alliances.”
Sulayam added that while geopolitical issues and changes in trade policies continue to pose uncertainty to the container market, “first half volume performance demonstrates that our portfolio is well positioned to deliver growth.”
“We continue to focus on delivering operational excellence and disciplined investment to remain the port operator of choice as well as strengthening our product offering to play a wider role in the global supply chain as a trade enabler,” he added.