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Turnover of Poti Seaport Owner Company Shrinks 11 Times

Danish conglomerate A.P. Moeller-Maersk A/S has announced about contraction in net profits in the second quarter of 2016, as compared to the same period of 2015.

The company explained the mentioned slowdown by reduction in oil prices and transportation tariffs. The company revenues have declined in all business divisions. “Net profits of Maersk fell to 101 million USD from 1.07 billion ISD.

The turnover shrank by 16% to 8.86 billion USD. Net profits of Maersk was expected to be 188 million USD in the second quarter and the turnover was expected to be 9.07 billion USD. Maersk Line, a member of the conglomerate, which is the major operator of container terminals in the world, recorded 139 million USD losses, while in the last year the profits marked 499 million USD.

The oil division of Maersk Oil recorded 130 million USD profits, while the 2015 profits made up 217 million USD. On average, transportation tariffs have decreased by 24% compared to the same period of 2015 and oil prices have also declined by 26%. APM Terminals, a subsidiary of Maersk company, owns Poti Seaport in Georgia.

The Commersant has inquired the Poti Seaport financial indicators amid profits contraction in Maersk company. APM Terminal Poti director general Klaus Hall Lawrence noted in the letter sent us that in January-July 2017 the terminal’s turnover declined by 24.56% – in 2015 the terminal handled 202 309 TEU containers and 152 616 TEU containers in 2016.

The turnover of dry and liquid cargo volumes have declined in the same percent because of unfavorable conditions on the markets of Armenia and Azerbaijan. These countries have recorded negative economic growth because of various factors, including contraction in oil prices.

If this tendency is maintained up to the end of 2016, the 2016 turnover at Poti Seaport will equal to the 2012 turnover, Lawrence noted. APM Terminals bought off Poti Seaport shares from Arab Rakia in 2011.