APM Terminals boosted third quarter profit to $203 million, from $156 million a year earlier, driven by sharply higher earnings at associated companies and joint ventures.
The port operating arm of Denmark's A.P. Moller-Maersk increased traffic by 4 percent, in line with global market growth, to 9.3 million 20-foot-equivalent units, from 9.0 million TEUs in the same period in 2012. Revenue rose 7 percent to $1.12 billion from $1.05 billion, and the annualized return on capital invested edged up to 14.2 percent from 14.0 percent a year earlier.
APM Terminals is "well on the way" to achieving its targeted $1 billion annual post-tax profit by 2015, said Nils Andersen, CEO of A.P. Moller-Maersk.
The profit from joint ventures and associated companies, mainly located in high growth markets, increased by 45 percent from last year. The group's invested capital rose to $5.8 billion from $4.5 billion, reflecting high spending on new facilities and the acquisition of a 37.5 percent co-controlling stake in Russia's Global Ports. Third-party traffic, excluding sister companies led by Maersk Line, grew 6 percent in the quarter, to account for 50 percent of total volume, up from 48 percent a year earlier.
The jointly owned Santos terminal in Brazil began operations during the quarter, but activity is limited while port authorities complete dredging work.