DP World Grows Despite Turbulent Times
DP World Limited handled 53.6 million TEU across its global portfolio of container terminals in the first nine months of 2018, signalling continued growth despite a tough global market.
Gross container volumes growing by 2.6 % year-on-year on a reported basis and 3.7% on a like-for-like basis.
Gross like-for-like volumes declined by 0.5% in 3Q2018 due to the tougher year-on-year comparables (3Q2017 volumes grew 13.5% year-on-year), and softer volumes in the UAE.
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The UAE handled 11.3 million TEU in 9M2018, down -2.1% year-on-year, with 3Q2018 volumes down -6.7% year-on-year due to the challenging macro-environment and loss of lower-margin cargo.
Growth in Europe remained robust with strong growth in London Gateway (UK) and Rotterdam (Netherlands).
At a consolidated level, DP World terminals handled 27.7 million TEU during the first nine months of 2018, a 1.6% improvement in performance on a reported basis and up 2.2% year-on-year on a like-for-like3 basis.
DP World has also recently faced difficulties stemming from a terminal dispute in Djibouti, where the local government illegally seized the terminal.
After twice winning the case in the International Court of Arbitration, Djibouti has continued to stake a claim to the terminal, with DP World having full rights to operate the Doraleh Container Terminal.
However, in more recent developments, DP World has invested in nearby Somaliland.