Napier Port Q3 revenue up 13pc, on track for earnings guidance

Napier Port says it expects to meet its earnings guidance after a strong third quarter. Photo / File

Napier Port said its revenue for the third quarter rose 13.2 per cent to $34.4 million, driven mostly by its container business, and that it was on track to achieve its earnings guidance for the full year.

Bulk cargo revenue increased $0.8m, or 7.5 per cent for the quarter to $11.4m, while bulk volumes fell 2 per cent.

Container services revenue rose 16.6 per cent to $22.3m, as container volumes increased 1.5 per cent to 82,000 TEU (20-foot equivalents).

Underlying net profit after tax for the quarter increased 5.1 per cent to $7m.

For the nine months to June 30, revenue rose 2.6 per cent to $85.1m.

Bulk cargo revenue decreased $0.2m, or 0.7 per cent, to $30.6m, driven by a 6.9 per cent decrease in log exports to 2.1m tonnes.

Container services revenue rose 4.5 per cent to $52.5m, despite container volumes decreasing 9.8 per cent to 194,000 TEU.

Underlying net profit after tax for the nine months fell 17.7 per cent to $14.2m.

However, Napier Port said there had been no change in its earnings guidance and outlook, which is for underlying earnings from operating activities for the year to September of between $38m and $42m.

Separately, Napier Port said it was looking at raising up to $75m from a bond offer.

The offer - with the ability to accept oversubscriptions of up to an additional $25m of fixed rate bonds - is to New Zealand investors and Australian institutional investors.

This is no public pool.

Further details regarding the offer will be released next week.

As previously announced, Alasdair MacLeod will step down as chair of Napier Port following the annual meeting in December 2022.

He will be succeeded by Blair O'Keeffe, a serving independent director of Napier Port.