PSA International 2018 net profit falls 2.3%

SINGAPORE'S port and terminal operator PSA International's net profit dipped 2.3 per cent to S$1.2 billion in 2018 from a year ago on the back of higher depreciation and finance costs.

PSA, one of the world's largest container operators, saw revenue for the year ended December 2018 jump 3 per cent to S$4.09 billion.

Despite slower global container trade growth amid looming trade wars and macro headwinds, PSA's container volumes clicked higher by 9.1 per cent for the year as it handled 81 million twenty-foot equivalent units (TEUs). Of that, the port operator's flagship terminals in Singapore contributed 36.31 million TEUs, up 8.9 per cent from 2017, while container volumes at its terminals outside Singapore rose 9.3 per cent.

PSA's balance sheet remains strong with a gross debt equity ratio of 0.48 times at the close of 2018.

"PSA concluded 2018 on a firm footing, notwithstanding slower global container trade growth," said PSA group chief executive Tan Chong Meng in the results statement.