Shanghai port got more profit
Shanghai International Port (Group) Co, who operates the world’s second-busiest container harbor, said profit rose 23 percent last year as China’s trade growth boosted demand for sea transportation.
Net income rises to 3.64 billion yuan, or 0.17 yuan a share, from 2.97 billion yuan, or 0.14 yuan, a year earlier, announced by the company in a Shanghai Stock Exchange statement yesterday. Sales climbed to 16.3 billion yuan, up 27 percent.
Shanghai aims at replacing Singapore as the world’s busiest container port this year and boosted traffic 20 percent in 2007. The growths tend in cargo volumes and profit at Chinese harbors may stop this year as demand weakens in the US and China intends to cool its economy.
“It will be a difficult year for port operators,” Ji Min, an analyst at China Merchants Securities Co in Shenzhen, said before the earnings release. ”The weakened export demand will be a hedge for the port operators, especially the container handlers, greatly.”
Shanghai shifted 26.2 million twenty foot-equivalent containers last year. Its cargo volume climbed 4.2 percent to 560 million tons, which is almost half of Shanghai Port’s sales last year, said in the statement.
Singapore’s sale volume was 27.9 million boxes last year, a gain of 13 percent. PSA International Pte, the largest operator at the city-state’s port, and the world’s second biggest container terminal company, saw an enhanced profit of 59 percent on rising global trade and the sale of units.
Hutchison Port Holdings Ltd, the biggest container terminal operator, promoted earnings 13 percent before interest and taxes, released by parent Hutchison Whampoa Ltd on March 27.
Shanghai, which surpassed Hong Kong last year as the world’s second largest container port, may increase its traffic to more than 30 million cargo boxes this year, Shanghai Port President Chen Xuyuan said earlier.
China’s ports may face smaller profit growth this year owing to weaken demand for goods made in China, damped by slowed US consumer spending, according to the National Development and Reform Commission.
There may be a “turning point” this year for the country’s ports and slowed investment and profit waiting ahead, Wang Ming, a deputy director of transport at China’s top planting agency, said.
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