ICTSI recurring profit rises 29% to USD 308.27M

International Container Terminal Services Inc. said its recurring net income attributable to equity holders rose 29 percent to USD 308.27 million in the first quarter of 2026, driven by higher operating income, new terminal contributions, and stronger port revenues.

The global port operator reported unaudited consolidated revenue from port operations of USD 961.11 million for the quarter ended March 31, 2026, up 29 percent from USD 745.42 million in the same period in 2025.

Net income attributable to equity holders reached USD 293.57 million, 23 percent higher than USD 239.54 million a year earlier.

ICTSI said recurring net income excluded a nonrecurring charge from the sale of Yantai International Container Terminal in Shandong Province, China.

Diluted earnings per share rose 23 percent to USD 0.143 from USD 0.116 in the first quarter of 2025.

Enrique K. Razon Jr., ICTSI chairman and president, said: “ICTSI delivered a robust start to 2026, with double digit growth in revenues, EBITDA and net income reflecting the strength of our diversified global portfolio and disciplined execution across our operations. The contribution from newly added terminals, alongside stable demand at our existing facilities, supported volume and earnings growth for the quarter.

“Our focus on operational efficiency, prudent cost management and careful capital allocation continues to underpin the resilience of our business. As we progress with strategic expansions across our network, we remain committed to maintaining financial discipline and executing our long term strategy to deliver sustainable value for our shareholders. I would like to thank our employees across our global operations for their continued dedication.”

ICTSI handled consolidated volume of 4,084,901 twenty-foot equivalent units in the first quarter, 18 percent higher than the 3,471,913 TEUs handled in the same period last year.

The company attributed the volume growth mainly to two new terminals: Durban Gateway Terminal, which took over port operations of DCT Pier 2 at the Port of Durban in South Africa in January 2026, and Batu Ampar Container Terminal, which took over port operations in Batam, Indonesia, in September 2025.

Excluding DGT and BACT, consolidated volume would have increased by 1 percent.

ICTSI said volumes were also supported by improved trade activity in Asia and the Americas, partly offset by a volume decline in Europe, the Middle East, and Africa.

Gross revenues from port operations climbed 29 percent to USD 961.11 million from USD 745.42 million, mainly due to volume growth with favorable container mix, tariff adjustments, higher revenues from ancillary services at certain terminals, contributions from DGT and BACT, and favorable foreign exchange translation.

The company said the foreign exchange gains came mainly from the appreciation of Mexican peso-, Australian dollar-, and Brazilian real-based revenues.

Excluding revenue contributions from new operations, consolidated revenue would have increased by 19 percent.

Consolidated cash operating expenses rose 40 percent to USD 261.81 million from USD 187.66 million.

ICTSI said the increase was mainly due to cost contributions from DGT and BACT, volume- and revenue-driven operating expenses, higher costs tied to revenue-generating ancillary services, government-mandated and contracted salary rate adjustments, and unfavorable foreign exchange effects mainly from Mexican peso-, Australian dollar-, and Brazilian real-based expenses.

The company said continuous cost optimization measures partly tempered the rise in expenses.

Excluding new operations, consolidated cash operating expenses would have increased by 16 percent.

Earnings before interest, taxes, depreciation, and amortization grew 26 percent to USD 617.87 million from USD 489.59 million.

EBITDA margin eased to 64 percent from 66 percent, mainly due to the impact of new operations.

Capital expenditures, excluding capitalized borrowing costs, amounted to USD 117.94 million in the first quarter.

ICTSI set estimated 2026 capital expenditures at USD 740 million.

The company said the amount will fund the completion of the phase 3B expansion at Contecon Manzanillo S.A. in Mexico; ongoing expansions at Manila International Container Terminal, Manila North Harbour Port Inc., Mindanao Container Terminal, and South Luzon Container Terminal in the Philippines; ICTSI Rio in Brazil; and Matadi Gateway Terminal in the Democratic Republic of Congo.

The spending plan will also cover equipment acquisitions and upgrades, maintenance capital expenditures, and four new expansion projects at Operadora Portuaria Centroamericana S.A. de C.V. in Honduras, Victoria International Container Terminal Ltd. in Australia, Contecon Guayaquil S.A. in Ecuador, and phase 4 at CMSA in Mexico.

ICTSI is a Manila-based developer, manager, and operator of common-user origin and destination container terminals serving the global container shipping industry.

The company describes itself as one of the world’s largest independent terminal operators, with operations across six continents and a business that began in 1987 with its flagship Manila International Container Terminal.

The Durban deal adds strategic weight to ICTSI’s African portfolio, as DCT Pier 2 handles more than 40 percent of South Africa’s container volumes under a 25-year concession agreement with Transnet, Reuters reported in December 2025.