WELLINGTON: Napier Port’s annual operating result for the year ending September 30 released today shows revenue up 7.6 percent to $72.1 million and container volumes up a record 16.5 percent, while staff numbers increased by 33 full-time equivalent positions during the year.
In “positioning for its future”, the Port revealed it had made $34million worth of “significant investments” to build terminal capacity and improve productivity.
The port said investments included the purchase and delivery of two Terex mobile harbour cranes; the commissioning of an off-port empty container depot; introducing a vehicle booking system; maintenance and capital dredging; building the Port’s new main office; purchasing New Zealand’s first mobile harbour crane simulator; establishing a new inland port freight hub in Palmerston North; and paving the main log yard (6.5 hectares). Napier Port chairman Alasdair MacLeod said the annual result was pleasing. “With a spend of $34 million required to help build terminal capacity, we expected some impact on the bottom line.
“The investments made throughout the year have resulted in increased productivity. Trucks are being processed faster and more containers loaded per hour during the peak export season – from summer through autumn when pipfruit is exported and when demand for space is at a premium,” he says.
Reported net profit after tax for the 12 months declined marginally to $12.9 million, down from the previous year’s record result of $13.4 million. The result reflects the significant investments throughout the year and the extra people employed.
During the year, the Port handled 256,438 TEUs (twenty-foot equivalent units) – a record 16.5 percent increase in container volumes – cementing its position as the largest port in central New Zealand and the fourth largest container terminal in New Zealand.
Revenue during the year increased by 7.6 percent to $72.1 million off the back of strong container growth. Overall cargo volumes were flat at 4.1 million tonnes with non-containerised volume falling due to tougher market conditions in China for logs, timber and pulp exports, and increased containerisation of pulp. Napier Port Chief Executive Garth Cowie said for the first time ever, the port processed more than a quarter of a million TEUs.
“This was achieved despite the significant loss of dairy volume due to the rearrangement of the supply chain by Fonterra. “Against this environment of investment and growth, we also improved our health and safety performance with no lost-time injuries. This is a huge credit to all our staff.
“Looking ahead to the next financial year we expect to see an increase in apple volumes and water exports, which should help offset the further loss we expect from the dairy sector,” Mr Cowie said.
“We will be targeting higher crane rates and vessel rates to deliver the service outcomes our customers need and maintain our relevance.”
