DP World's Volume Shrinks 10 Per Cent

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

29 May 2009

DP World, the world’s fourth-largest container port operator, handled 10 per cent less cargo during the first four months of this year than it did in the same period a year ago, due to a contraction in maritime trade amid the global recession, the company said on Thursday. The port operator posted a record net profit of $572.3 million last year, but company officials had said previously that the economic slump forced the company to review its expansion plans.
“The unpredictable trends in global trade have continued in 2009, resulting in a volume decline across our business of 10 per cent fort the first four months of the year,” Mohammed Sharaf, DP World’s chief executive officer, said in a statement.
While the company’s operations in the UAE are less affected than those in other regions, Sharaf said that it is still too early to comment with “any certainty on the volumes and earnings outcomes for 2009.”
DP World offered no update on talks that its parent company, Dubai World, has had with a regional private equity firm that is eyeing a minority stake in the port operator.
DP World said on May 11 that it had been informed by its parent that the talks might or might not result in a transaction.
The port operator’s shares, which are listed at Nasdaq Dubai, rose by 5.6 per cent  to close at 38 cents.

Source: Khaleej Times