Michael Maura, Arawak Port Development Company’s (APD) chief executive, told Tribune Business that the increase in container throughput volume had driven increases in all its major revenue lines.
The BISX-listed Nassau Container Port operator was also boosted by the recovery of $1.5 million in Baha Mar-related rents and storage income, and a 10 per cent increase in vehicle imports for the six months to end-December 2016.
Mr Maura added that tonnage shipped through APD’s break bulk terminal had also more than doubled year-over-year, as Bahamas residents headed to Florida to purchase their storm relief supplies.
“Our container volumes are 3,124 over last year for the same period, and 2,829 over budget,” he told Tribune Business, identifying the main factor driving APD’s substantial bottom line improvement.
Mr Maura said the comparisons against budget were especially impressive because APD had budgeted for a flat 2017 when it came to container volumes, due to uncertainty over when Baha Mar construction would resume.
The APD chief executive added that the company’s budgeting and financial planning had also not taken into account Hurricane Matthew, and the import increase sparked by the reconstruction and repair efforts.
“The increase in container volumes was attributable to Hurricane Matthew rebuilding efforts, and to a lesser extent Baha Mar and some Hurricane Joaquin-related imports,” Mr Maura told Tribune Business.
“The increase in volumes had a substantial impact on operating income. We were also fortunate to collect approximately $1.5 million in Baha Mar-related outstanding rents and port storage income.
“We also implemented a tariff increase on August 1, 2016, amounting to $12 per TEU, which would have added to both the revenue and income increase. We have also seen an increase in vehicle imports. December 2015 year-to-date saw 6,580 vehicle imports versus December 2016 year-to-date of 7,334 vehicles, or a 10 per cent increase.”