SINGAPORE (July 24): Hutchison Port Holdings Trust (HPHT) has announced an interim distribution per unit of 6.00 HK cents, down nearly 30% from 8.52 HK cents a year ago.
This comes as distributions to unitholders fell to HK$738.7 million from HK$966.9 million.
However, net cash from operating activities rose 42.1% to HK$2.6 billion in 1H19 from HK$1.8 billion in 1H18.
In addition, net cash used in investing activities fell 23% to HK$161.8 million from HK$210.5 million.
New borrowings fell 70% to HK$1.17 billion while repayment of borrowings fell 56% to HK$2.08 billion.
In 1H19, earnings to HK$233.4 million ($40.8 million) -- or 2.68 HK cents per unit -- from HK$315.4 million in 1H18
Combined container throughput of HPHT Kwai Tsing fell 7% from a year ago, primary due to the decrease in intra-Asia and transshipment cargoes.
The container throughput of Yantian International Container Terminals (YICT) rose 4.8%, driven by growth in empty and transshipment cargoes, but partially offset by a drop in US cargoes.
Meanwhile, average revenue per TEU for Hong Kong was comparable to last year, mainly due to the writeback of agency fee provision following the finalisation of tariff negotiations.
Average revenue per TEU for China came in below last year's largely due to RMB depreciation.
Cost of services rendered was HK$1.9 billion, 4.9% lower than last year's due to lower throughput, lower repair and maintenance, RMB depreciation and savings arising from SPA arrangement and cost control initiatives.
With total operating expenses decreasing 1.1% to HK$3.8 billion, operating profit remained flat compared to HK$1.6 billion.
Interest and other finance costs increased 13.4% to HK$545.5 million due to higher interest rates of bank loans.
As at end June, HPHT’s cash and cash equivalents stood at HK$7.2 billion.
In its outlook statement, with the global external environment expected to remain challenging amid ongoing US-China trade tensions, the trustee-manager says it will continue to adhere to cost discipline and efficiency improvements to ride out the volatility.
Units in HPHT closed at 22 US cents on Wednesday.
