DP WORLD has announced its financial results for the first half of the 2024 calendar year, with the terminal operator describing the results as “resilient”.
The results for the first half of 2024 saw DP World’s revenue grow by 3.3% to US$9.3 billion, with adjusted EBITDA decreasing by 4.3% to US$2.4 billion.
The world’s fifth largest terminal operator said its revenue growth was driven by ports and terminals, with a like-for-like gross container volumes growth of 6.1% driven by strong growth in Americas, Europe, Asia Pacific, and Jebel Ali.
The decrease of adjusted EBITDA by 4.3% was due to Red Sea disruption and organic investment in Logistics platform expansion, according to DP World.
Capital expenditure of US$994 million was invested across the existing portfolio, with capital expenditure guidance for 2024 at approximately US$2.0 billion.
DP World group chairman and CEO, Sultan Ahmed Bin Sulayem, said the company was pleased to report the results, which saw a revenue increase, despite challenging macroeconomic conditions.
“The year 2024 has been marked by a deteriorating geopolitical environment and disruptions to global supply chains due to the Red Sea crisis” Mr Sulayem said.
“Nevertheless, our strategic emphasis on high-margin cargo, comprehensive end-to-end supply chain solutions, and stringent cost management have been crucial in achieving this financial performance.
“In summary, our balance sheet remains strong, and our operations continue to produce substantial cash flow. We remain optimistic about the medium to long-term prospects of the industry and DP World’s ability to deliver sustainable returns consistently.”
The results report affirmed that DP World is focused on revenue synergies and building long-term relationships with cargo owners.
The terminal operator says it is confident it will deliver an improved second half adjusted EBITDA performance in 2024, and remains positive on the medium to long-term outlook for global trade. DP World also mentioned it was committed to transition to net-zero in line with the United Arab Emirates’ 2050 Initiative.
