Port of Auckland has today released a stronger than expected annual financial result off the back of revenue growth and market share gains.
Port of Auckland has bucked industry trends with a robust financial performance, announcing a 22 percent increase in underlying net profit after tax (NPAT) to $55.2 million for the fiscal year ending June 2024.
This result comes on the back of significant revenue growth and market share gains, with the port also declaring a final dividend of $20 million to Auckland Council, bringing the total dividends for the year to $40 million.
The port’s revenue rose to $339 million, up from $320 million the previous year. Additionally, net debt decreased to $375.8 million from $407.5 million, and the return on equity improved to 5.6 percent from 4.6 percent.
Port of Auckland Chair Jan Dawson praised the port’s achievements amidst a challenging economic landscape. “Our results underscore the port’s resilience and improvement in container terminal operations, market share growth, and cost management,” she says. Dawson also highlighted the significant progress in safety, with a 56 percent reduction in time lost due to injury.
The board says that its decision to increase the dividend payout reflects their commitment to delivering value to Aucklanders. “We take our role as a council-owned entity seriously and are proud to contribute more to Auckland Council than initially committed,” Dawson adds.
“We were pleased to work collaboratively with the Mayor, Auckland Council and unions on Auckland Council’s Long-Term Plan, ensuring positive outcomes for Aucklanders whilst securing the port’s future, providing certainty to customers and employees.”
CEO Roger Gray reflected on the port’s strategic progress, noting the successful execution of their Regaining Our Mana strategy and setting the stage for the next phase, Strengthening Our Mana. Gray emphasised improvements in performance and sustainability, including reduced emissions, investment in solar energy, and electrification of the fleet.
“Two years ago we set out our three-year Regaining our Mana strategy. We have largely achieved this in two years and are now focussed on the next phase in our turnaround – Strengthening our Mana.
“We remain committed to safely lifting performance, delivering better returns to our owner Auckland Council, and improving how we support and engage with our customers – all whilst being a good neighbour to those who live and work close by.
“While we’ve seen softening in the bulk and breakbulk volumes, we have had a record cruise season with 133 ship calls, and the container terminal performance has improved with our volume in laden imports and exports lifting by 7 percent,” says Gray.
Roger Gary and Jan Dawson at the Deloitte Top 200 Awards.
The port also made strides in sustainability, investing in solar panels, ordering its first electric container handler, and advancing reforestation efforts with 50,000 native trees planted.
During the year, Maritime New Zealand (MNZ) assumed sole regulatory authority, and the port worked closely with MNZ on adopting a National Code of Practice for Stevedoring. This code aims to standardize practices across the industry and enhance safety.
Gray acknowledged the port’s leadership team and workforce for their dedication to safety and exceptional service. “Their hard work has not only delivered strong results but also ensured we remain a good neighbour to the community,” he says.
