New capacity additions boost DP World’s profit

Port operator DP World has recorded a 43% increase in its profit before tax despite container throughput in the UAE region falling by 6% in the second half of 2016.

The rise in pre-tax profit to US$703m was boosted by a 9% rise in the company’s revenue to US$2.1bn, supported by the acquisitions of the Free Zone at its flagship port of Jebel Ali and Canada’s Prince Rupert Terminal.

Despite the strong results, a statement by the operator noted that it delayed the 1.5m teu capacity expansion of Jebel Ali’s Terminal 3 into 2017 and slowed its expansion of Terminal 4 “due to the softer market conditions”.