The Philippine Ports Authority (PPA) posted a 15 percent increase in net income last year despite the problems caused by congestion in Manila ports during most part of the year, a senior official said on Sunday.
PPA General Manager Juan Sta. Ana said the agency earned a net income of P4.26 billion, up from P3.70 billion in 2013 because of growing volume of traffic in Manila ports.
“The considerable increases in almost all aspects of the revenue generation process of the agency can be attributed primarily to the increase in traffic volume at the ports despite the congestion issue involving the Manila ports,” Sta. Ana said.
Gross revenues showed an increase of 13.5 percent to P12.57 billion from P11.07 billion in 2013, or a difference of about P1.50 billion.
Port revenues posted the biggest increase of about 25 percent from P9.99 billion in 2013 to P12.46 billion, which was 20 percent higher than the target of P10.41 billion, Sta. Ana said.
But the Fund Management Income (FMI), which comprised half of gross revenues, declined to P103.21 million from P122.50 million in 2013, Sta. Ana said.
“The decrease in FMI was due to the decline in interest rates on special and high-yield savings deposits, and the termination of Bond Sinking Fund held by the Bureau of Treasury from which interest income is also derived,” he said.
Total expenses rose 9.68 percent to P6.47 billion from P5.89 billion and operating expenditures grew to P6.83 billion from P6.27 billion in 2013 as a result of incurred accountable forms expense and amortization of intangible assets.