FINANCIAL RESULTS ANNOUNCEMENT – WESTPORTS HANDLED CONTAINER VOLUME OF 7.9 MILLION TWENTY-FOOT EQUIVALENT UNITS (“TEUS”) IN THE 9-MONTH OF 2021
Kuala Lumpur, 29 October 2021
Westports Holdings Berhad (“Westports” or the “Company”) has announced its financial results for the 3rd Quarter of 2021, and the 9-month ended on 30 September 2021. At the top-line, the Company reported total revenue of RM1.52 billion. The container segment contributed most to the revenue as throughput volume increased by 3% to 7.9 million TEUs. Westports’ 9-month results also included insurance recoveries and the absence of a general provision in the period under review – these one-off items amounted to RM52.3 million. At the bottom line, after making a tax provision of RM189.0 million or an effective tax rate of 24.4%, the Company reported a Profit After Tax of RM585.3 million.
Datuk Ruben Emir Gnanalingam bin Abdullah (“Datuk Ruben”), the Group Managing Director of Westports, shared that “The Company’s Sustainability Report 2020 has won The Hallbars Awards 2021 in the Best in the World, Ports Category. Based in Sweden, the Hallbars Sustainability Research Institute has published its findings after selecting the winning reports from the entire world in any language. We are also honoured that Westports Holdings Berhad’s Sustainability Report 2020 is the only selected report representing Malaysia among the other winning publications from 51 countries. The Hallbars Sustainability Report Awards 2021 also highlighted a quote from Tan Sri Datuk G. Gnanalingam, Executive Chairman, as his prescient words highlighted that “investors realised that Sustainability and ESG issues are some of the most critical parameters in investments and business decisions in the new-normal world.”
On corporate developments, Datuk Ruben indicated that “The logistics unit of China’s biggest container shipping company will build a new 330,000 square feet warehouse within the premises of the Company. The strategically located new warehouse would enhance the liner’s service offerings and capacity in Malaysia with a greater suite of logistics solutions. The new facility will also create employment opportunities for local staff. For Westports, the warehouse is synergistic to the terminal as the said container shipping company is one of our top clients and a member of the Ocean Alliance.”
Westports handled a higher container throughput of 7.9 million TEUs during the first 9- month of 2021 despite current and previous corresponding periods having movement restrictions domestically and in some regional countries. When lockdown eases, economic activities rebounded.
The terminal handled transhipment and gateway container throughput of about 5.1 million and 2.8 million, respectively. Westports experienced active container yard utilisation as the global supply chain remained stretched with occasional port congestions at various terminals across the globe.
Westports continued to enhance its container and conventional operational capabilities. The Company invested RM248.0 million in the first 9-month of 2021. Westports purchased additional terminal operating equipment and progressed towards completing the new jetty for the Liquid Bulk Terminal and a new 19-acre container yard to support higher container yard space requirements.
The Company made a tax provision of RM189.0 million for the 9-month of 2021, which worked out to be an effective tax rate of 24.4%. At the bottom line, Westports reported a Profit After Tax of RM585.3 million.
The terminal accommodated the world’s largest roll-on/roll-off (“RORO”) vessel during the recent quarter. The 265-meter length overall (LOA) vessel with six fixed heavy decks and three hoistable decks have a total deck area of 50,335 square metres. Moored at Westports’ berth 05, 126 packages of tower cranes placed on roll trailers (MAFI), passenger vehicles, dump trucks, and excavators were loaded onto the vessel.