Westports records 55.8% rise in 2Q26 profit

PETALING JAYA: Westports Holdings Bhd has maintained the company’s outlook for container throughput to broadly match last year’s record level despite ongoing geopolitical uncertainties, while reporting a 55.8% jump in the second quarter ended June 30, 2026 (2Q26) net profit, driven by higher port tariffs.

In a filing with Bursa Malaysia, the port operator said regional transshipment volumes will depend on how shipping lines navigate the evolving geopolitical landscape, as well as regional supply chain and economic requirements.

“The company currently expects overall container throughput to be roughly the same as the previous year and will provide updated guidance, should these fast evolving conditions materially affect volume outlook,” it said.

Westports handled a record 11.3 million twenty-foot equivalent units of container throughput and 12.8 million tonnes of conventional cargo in 2025.

For 2Q26, Westports’ revenue rose 25.5% to RM866.89mil from RM691.06mil in the previous corresponding quarter, while net profit increased to RM360.9mil from RM231.63mil.

It said operational revenue, which excludes construction revenue recognised under concession accounting, climbed 33% to RM808.21mil from RM607.29mil, mainly due to the tariff hikes.

The tariff increases approved by the Transport Ministry are being implemented in three phases.

This will comprise a 15% increase from July 15, 2025, a further 10% increase from Jan 1, 2026, and a final 5% increase scheduled for Jan 1, 2027.

For the six months ended June 30, 2026 (1H26), Westports’ net profit rose 51.4% to RM687.4mil from RM454.09mil, while revenue increased 34.4% to RM1.76bil from RM1.31bil.

It attributed the stronger 1H26 performance to the implementation of the tariff hikes and higher value-added services (VAS) revenue.

Compared with the preceding quarter, Westports said operational revenue increased 7%, supported by higher container throughput and stronger VAS revenue.

The firm declared an interim dividend of 14.98 sen per share.