COSCO SHIPPING Ports (1199) H2 2024 earnings summary

Executive summary

• Achieved steady growth in 2024 despite global uncertainties, with total throughput up 6.1% year-on-year to 144 million TEU and revenue up 3.3% to $1.503 billion.

• EBITDA increased 2.3% year-on-year to $843 million, while finance costs decreased by 13.8%.

• Profit attributable to equity holders declined by 4.8% year-on-year to $308.8 million, but profit from JVs and associates rose 7.5%.

• Dividend payout ratio maintained at 40%, with a dividend of $0.034 per share.

Financial highlights

• Gross profit margin decreased by 1.2% year-on-year, mainly due to the Red Sea incident.

• Full-year terminal profit was $424 million, down 1.7% year-on-year, but Q4 terminal profit showed significant improvement.

• Net debt to equity ratio was 29.6%, remaining stable at a low level.

• Average bank borrowing costs dropped to 5.21%.

• Basic earnings per share fell 8.9% to US8.50 cents.

Outlook and guidance

• Global container throughput growth in 2025 is forecast at 2.2%, with China ports expected to grow 4% and overseas routes around 3%.

• Domestic demand will be the main growth driver, with continued focus on emerging markets, digitalization, and green initiatives.

• Estimated 2025 CapEx is $967 million, with $654 million for fixed assets and $313 million for equity investments.

• Committed to achieving carbon neutrality by 2050, 10 years ahead of schedule, and further reducing carbon and energy intensity by 2035.