DP World’s gross container volumes jumped 11.6 per cent in the first quarter, buoyed by rising international trade and traffic at Jebel Ali Port.
The world’s third largest ports operator handled 14.3 million standard container units during the quarter, compared with 12.8 million units in the first quarter last year.
The increase comes after a 1.9 per cent fall in gross container volumes last year, following the sale of a terminal in Hong Kong last March.
DP World’s four UAE ports – led by Jebel Ali – were responsible for more than a third of the first-quarter gains, with traffic rising by 17.5 per cent to 3.5 million units.
The increase is thanks in no small part to the 1 million-unit expansion of Jebel Ali’s Terminal 2, completed last June. Jebel Ali Terminal 3, which will add a further 4 million units of capacity, is forecast to begin operating later this year.
“We are very pleased by the portfolio’s first-quarter performance which shows we have the right capacity in the right locations,” said the DP World chairman, Sultan Ahmed bin Sulayem.
The opening of the UK’s London Gateway port in November was another significant marker, helping to increase gross volumes across Europe, the Middle East and Africa by 13.5 per cent to 5.8 million units for the quarter.
“Despite a solid start to the year, macroeconomic conditions across some locations remain uncertain. However, we believe we are well positioned to outperform the market, which is forecast to grow at approximately 5 per cent in 2014,” Mr bin Sulayem said.
The company is in negotiations with banks to reduce the interest rate on a five-year revolving debt facility by 33 per cent, and is also looking to increase the credit line to $3bn from $1bn, Bloomberg reported on Sunday.
DP World’s shares listed on Nasdaq Dubai yesterday closed down 0.2 per cent at Dh18.71.
jeverington@thenational.ae
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