Euromoney poll picks ICTSI as Asia's best

By VG Cabuag
Reporter

LOCAL port giant International Container Terminal Services, Inc. (ICTSI) was adjudged the top transport and shipping company for Asia, according to the latest survey of the London-based magazine Euromoney.
           
The magazine’s best Asian companies poll 2006 said the Razon-led ICTSI was the top pick of Asia’s leading market analysts in the transport and shipping industry category as “having the most convincing and coherent strategy.”
           
It said ICTSI garnered 22.86 percent of the total survey points, slightly higher than China Ocean Shipping Company’s (COSCO) 20 percent, and China Merchant Holdings’ 11.43 percent.
           
For the study, Euromoney asked market analysts at leading banks and research institutes in Asia to nominate the top three companies in each of the countries or sectors they covered.
           
The results are presented as a percentage of total points received in each category together with the number of companies that received points in each group.
           
Euromoney noted that the companies topping the 2006 Asia’s best- managed firms are no exception to companies that have faced significant business challenges in order to prosper across the business cycle and consistently produce solid returns. It adds that the same companies are “those that win out in the end and are the most likely to produce consistent long-term return for shareholders.”
           
In 2005 Asiamoney also listed ICTSI as the best among Philippine companies for operational efficiency, most improved financial management and most improved web site. It was also cited by Deutsche Bank as the “best valued port operator in Asia.”
           
ICTSI manages 10 smaller container terminals in seven countries, including in Poland, Indonesia, Madagascar, and Brazil.
           
Its flagship operations, however, remained in the Philippines--the Manila International Container Terminal, which dominates the cargo handling market in the country’s shipping hub.
           
ICTSI posted P464 million in net income for the third quarter of the year as a result of the strong performance of its increasing international portfolio, but its domestic operations remained dismal.
           
For the nine month period, its net income already increased by 26 percent to P1.32 billion from P1.05 billion in 2005.
           
“The growth was attributed to strong volumes at the company’s cargo handling operations in Poland and Brazil and new volumes from Madagascar and Indonesia,” the company said.
           
The company’s foreign operations now account for 59 percent of the quarter’s consolidated net income, compared with 38 percent in the third quarter of 2005, and 36 percent for the full-year 2005. During the second quarter, the share of its foreign portfolio to its net income was only at 39 percent while revenues from its local operations continued its constant decline as a result of negative performance of the MICT.

Business Mirror

November 15, 2006