International Container Terminal Services, Inc. (ICTSI) today reported financial results for the quarter ended March 31, 2020 with net income attributable to equity holders of US$59.6 million, 18 percent less than the US$72.4 million earned in the same period last year.
In a statement ICTS said that the decrease in net income reflects the impact of covid-19 on operating income and related expenses.The company handled consolidated volume of 2,508,986 twenty-foot equivalent units (TEUs) for the quarter ended March 31, 2020, one percent more than the 2,478,672 TEUs handled in the same period in 2019. The slight increase in volume was primarily due to the contribution of a new terminal in Rio de Janeiro in Brazil and new services at certain terminals; tapered by a decline in trade activities due to the impact of COVID-19 pandemic on global trade. Excluding the contribution of ICTSI Rio, consolidated organic volume would have decreased by one percent in the first quarter of 2020.
Enrique K. Razon Jr., chairman and president, ICTSI, commented: “During the first quarter, we took immediate action, and our response to COVID-19 focused on four key areas: protecting our people, continuing to provide excellent services to our customers, living by our deeply embedded values of caring for host communities and ensuring ICTSI continues to be financially strong.
“The effect of the virus was felt in the latter part of the first quarter, and our volumes compared to the previous year were largely flat. Regions are at different stages of the viral outbreak, which is reflected in our portfolio performance: Asia delivered lower volumes compared to the previous year while the EMEA and Americas segments both still registered positive volume growth for the quarter. However, the latter two regions showed signs of weakness in March.
“We have taken significant measures, which include reducing our cost base and capital expenditure while seeking ways to increase our market share in certain markets. We continue to monitor the situation carefully so we can adapt our responses. ICTSI is an agile business and able to act swiftly to ensure the business remains robust during these uncertain times.”