Port of Tauranga, New Zealand’s international hub port, today reported flat earnings in the first quarter of the financial year, as Covid-19 continues to have an impact on supply chain efficiency and the global economy.
From 1 July 2020 to 30 September 2020, Port of Tauranga handled nearly 6.4 million tonnes of cargo, a 5% decrease on the same period last year.
Containerised cargo decreased by 8% to 287,670 TEUs. Imports were the same as the first quarter last year, and exports were down 8%.
Log exports are performing in line with forecasts of 6.2 million tonnes for the full year, but remain vulnerable to variable international demand.
Dairy product exports decreased about 12% compared with the same period last year, which we believe is due to seasonal variations. Kiwifruit exports increased 9% for the quarter.
Port of Tauranga Chief Executive, Mark Cairns, told the Company’s Annual Meeting of Shareholders today that the unaudited Group Net Profit After Tax for the first quarter was $21.5 million, compared with $21.7 million in the previous corresponding period.
“Based on the first quarter’s performance, and notwithstanding any significant market changes, we expect full year earnings to be between $86 million and $93 million,” said Mr Cairns.
Mr Cairns said that Port of Tauranga was still planning for long-term cargo growth.
“Port of Tauranga is a long-run infrastructure company and we will continue to pursue capacity expansion and greater efficiencies, to avoid the bottlenecks and congestion currently being experienced in the Upper North Island supply chain,” he said.
“We have a demonstrable track record and a very strong A- credit rating renewed last month by Standard & Poors. We believe we are well placed to weather whatever the Covid-19 storm throws at us next.”
For more information, please contact:
Port of Tauranga Limited
Ph: 07 572 8829