DP World Limited has announced exceptionally strong financial results for the six months to June 30, 2022 with total revenue growing 60.4% year-on-year (equivalent to 20.1% on a like-for-like basis).
Revenues reached $7.932 billion, with key highlights including –
- Container revenue per TEU increasing by 9.2%, driven by higher demand for storage
- Adjusted EBITDA of $2.441 billion and adjusted EBITDA margin of 30.8%
- Adjusted EBITDA increased by $628 million, and EBITDA margin for the half-year standing at 30.8%. Like-for-like adjusted EBITDA margin was 38.2%
- Cash from operating activities increased by 29.6% to $1,931 million in H1, 2022 compared to $1,490 million in H1, 2021
- DP World credit rating improves to BBB- with Positive Outlook by Fitch; and remains at Baa3 with Stable Outlook by Moody’s
The company’s capital expenditure of $741 million ($687 million in 2021) was invested across the existing portfolio during the first half of the year, with capital expenditure guidance for 2022 up to $1.4 billion. Investments are planned into the UAE, Jeddah (Saudi Arabia), London Gateway (UK), Sokhna (Egypt), Senegal and Callao (Peru).
DP World Group Chairman and CEO, Sultan Ahmed Bin Sulayem, commented: “We are delighted to report a record set of first half results with adjusted EBITDA growing 34.6% and attributable earnings rising 51.8%. This significant growth demonstrates that our strategy to focus on high margin cargo and to offer customised supply chain solutions will provide sustainable returns in the long term.
“Encouragingly, cargo owners continue to respond positively to our end-to-end product offering and we are focused on integrating our recent logistics acquisitions to further drive revenue synergies. We continue to invest in high growth verticals and markets to offer compelling supply chain solutions, and by leveraging our best-in-class infrastructure across logistics, ports & terminals, economic zones, digital and marine services, DP World aims to lower inefficiencies and improve connectivity in key trade lanes.”
Earlier this week, Ross Thompson, group chief strategy and growth officer at fellow UAE logistics outfit AD Ports Group, said that disruption in the post Covid-19 market has been off-set by pent-up demand helping the company experience record growth in the first half of 2022.
