DP World Profit, Margins Soar
Dubai's DP World, one of the world's largest port operators, posted an 11.8 percent rise in 2014 net profit as profit margins grew in all its regions, the company said on Thursday.
The firm made a profit attributable to shareholders of $675 million compared with $604 million in the prior year, it said in a statement to the NASDAQ Dubai bourse.
Revenue in the 12 months was $3.41 billion, up 11 percent from 2013.
DP World invested $807 million across its portfolio during the year, adding 2 million twenty-foot equivalent units (TEU).
"By the end of 2015 we expect to have approximately 85 million TEU of gross global capacity, an increase of approximately 15 million TEU since 2012, and over 100 million TEU of gross capacity by 2020, subject to market demand."
Mohammed Sharaf, group chief executive, said 2015 was expected to see the addition of about 8 million TEU. This would include new facilities in Turkey, India and the Netherlands, and added capacity at Dubai's Jebel Ali Terminal 3.
"Whilst macroeconomic conditions and geopolitical issues across some locations remain uncertain, we believe our portfolio is well positioned to deliver volume growth in line or slightly ahead of the market this year," he said in the statement.
In 2014, DP World acquired Economic Zones World, which includes a logistics park, for $2.6 billion. The deal closed on March 17; it was expected to add 15 percent to earnings per share in the first full year.
The company set its 2014 ordinary dividend at 23.5 cents per share, almost the same as the 23 cents dividend for 2013.
By Nadia Saleem