KUALA LUMPUR (May 5): Westports Holdings Bhd's net profit for the first quarter ended March 31, 2023 (1QFY2023) rose 21% to RM183.58 million, versus RM151.85 million a year earlier, due to the corporate tax rate reverting to 24% after the one-off prosperity tax in FY2022.
In a bourse filing on Friday (May 5), Westports said revenue for the quarter dipped 3% to RM512.92 million, from RM516.36 million a year earlier, primarily due to lower value-added services, in particular storage revenue.
Earnings per share rose to 5.38 sen, from 4.45 sen previously.
Westports did not declare any dividend for the quarter.
In a separate statement, group managing director Datuk Ruben Emir Gnanalingam Abdullah said that despite inflationary pressures and slowing economic momentum in many economies, Westports handled more transhipment, and gateway containers which amounted to 1.03 million twenty-foot equivalent units (TEUs) — the second highest ever for the group on a quarterly basis.
“The domestic economy exhibited resilience, as export-oriented sectors benefited from increased competitiveness, while certain segments benefited from regionalisation and foreign direct investments,” he said.
Ruben said that moving forward, the port operator expects an overall uptrend in decarbonisation cost, as Westports implements more initiatives to achieve its commitment to net-zero carbon emissions by 2050.
He said Westports took delivery of the country’s first Kalmar Eco Reachstacker last year, and commissioned six new electric-powered Super Post-Panamax Quay Cranes into service in the last few months — replaced ageing and less efficient units.
“Westports is also evaluating the operational suitability and commercial feasibility of using electric terminal operating equipment at the port.
“The proposed Westports container terminal expansion from CT10 to CT17 is being designed to incorporate the imperative of supporting the company’s net-zero carbon emissions aspirations by 2050, and also fulfilling the potential climate change adaptation requirements.
“The proposed new terminals reflect Westports’ financial and strategic commitment towards maintaining Port Klang's overall competitiveness in Southeast Asia as a transhipment hub,” he said.