APM Terminals Records Profit Bump
APM Terminals delivered an increased profit of USD 223m (USD 179m 2Q 2013) and a return on invested capital of 14.2% (12.8%) in the first six months of 2014. Terminals becoming fully operational, as well as new terminals added to the portfolio supported the 8% growth in volume.
More than 80% of EBITDA was generated in growth markets, 41 out of 66 container terminals are located and operated in these markets.
Revenue increased 6%, representing the growth in volume and tariff increases in port activities, partly offset by a decrease in inland services due to divestment of activities in North America and Asia. The EBITDA margin improved to 23.0% (20.4%) supported to a large extent by the increase in volume and increased tariffs.
The invested capital increased to USD 6.4bn (USD 5.6bn) reflecting the continued high investment level in APM Terminals, developing 7 terminals and expansions in 16 terminals.
Operational cash flow was negatively impacted by VAT receivables accumulating in connection with construction activities, primarily in Latin America.