THE Philippine Ports Authority (PPA) reported a P2.66-billion net income for the first 11 months of 2007, 10% less than the previous year’s P2.94 billion.
The income was generated on the back of an almost 5% rise in port revenues to P5.54 billion from the same period last year. The 2007 target for port revenues was P5.5 billion.
Higher traffic volume, the impact of the tariff adjustment, and the yearly increase in the fixed fee of International Container Terminal Services Inc., the country’s largest private port operator, all helped boost port revenues.
Operating expenses, however, ballooned to P2.87 billion from the previous year’s P2.46 billion, up 16%, because of accelerated expenses on repair and maintenance projects, and the high cost of utilities and services and other depreciation charges.
Non-operating expenses also grew P57.5 million to P156.08 million. Such expenses mainly consist of interest charges on foreign loans and extraordinary losses.
Fund management income dropped P116.5 million or 50% to P116.5 million from P212 million as a result of the decline in the interest income yield and lower investible fund during the period.
