Cost savings accrued from terminal alliance in Hong Kong boost HPH Trust’s results

Despite a challenging year where average revenue per teu fell at Hutchison Port Holdings Trust’s (HPH Trust) container terminals, cost control helped the operator deliver a 2% rise in operating profit.

The cost of services rendered dropped by 8% to HK$3.6bn (US$460m), owing to savings arising from terminal alliance arrangement in Hong Kong, cost control initiatives, lower fuel price and a reduction in operating costs due to the Chinese government’s support measures to COVID-19.

It was hoped that the Hong Kong Seaport Alliance (HKSPA), which jointly operates and manages 23 berths across eight terminals at Kwai Tsing port in Hong Kong, would help to deliver synergies and increase the port’s competitiveness.