Terminal developer and operator International Container Terminal Services Inc. (ICTSI) said capital expenditures for this year is likely to hit $580 million, higher by 12.15 percent from 2024’s the actual spending of $517.14 million.
The company, in a statement, said this year’s capital spending will be used for the continued development of the Luzon International Container Terminal (LICT) in Batangas; phase 3B expansion of Contecon Manzanillo S.A. in Manzanillo, Mexico; expansion of the Manila International Container Terminal (MICT); and, the ICTSI DR Congo S.A. (IDRC) in Matadi, Democratic Republic of Congo (DRC).
It will also be used to fund the new expansion projects at ICTSI Rio in Brazil and Mindanao Container Terminal in Cagayan de Oro.
This follows after the company reported that profit attributed to equity holders grew 66 percent to $849.80 million in 2024 from $511.53 million the prior year.
Revenue hit $2.74 billion in 2024, up 15 percent from $2.39 billion in 2023.
“The group has delivered another set of excellent results, another year of record EBITDA at $1.78 billion and our highest net income in history of $849.8 million,” said Enrique Razon Jr., ICTSI chairman, who in a statement noted that the company also closed the year with a free cash flow of $1.08 billion, up 12 percent.
This gives ICTSI the financial strength and flexibility to pursue new opportunities and invest in existing projects, according to Razon
“While we continue to be mindful of the complex geopolitical backdrop, these results demonstrate the strength and resilience of our globally diversified origin and destination portfolio. I would like to thank our ICTSI colleagues all over the world for their unwavering focus, hard work and dedication in delivering another outstanding year,” he said.
ICTSI said the profit for last year included nonrecurring income from settlement of legal claims at ICTSI Oregon, reached in the first quarter of last year, and the impact of the deconsolidation of PT PBM Olah Jasa Andal (OJA) in Jakarta, Indonesia.
ICTSI handled 13.07 million twenty-foot equivalent units (TEUs) of containers last year, two percent higher than the 12.75 million TEUs handled in 2023.
“The growth was mainly due to the impact of new services and improvement in trade activities at certain terminals, and the contribution of Visayas Container Terminal (VCT), the new terminal in Iloilo, Philippines; partially offset by the decrease in volume at Contecon Guayaquil S.A. (CGSA), Guayaquil, Ecuador, the impact of expiration of the concession contract at PICT, Karachi, Pakistan, and the deconsolidation of OJA, Jakarta, Indonesia,” ICTSI said.
“Excluding the impact of new operations in the Philippines and discontinued operations in Pakistan and Indonesia, the group’s consolidated volume would have increased by five percent,” it added.
EBITDA for 2024 was at $1.78 billion, up 18 percent from $1.51 billion in 2023, with EBITDA margin at 65 percent, up two percentage points from 63 percent the prior year.
