Piraeus Port in Greece, which is majority-owned by China Cosco Shipping, has reported a strong increase in profit and revenues.
The turnover in 2018 for the Piraeus Port Authority (PPA) amounted to 132.9 million euros (US$149 million), up from 111.5 million euros in 2017, representing an increase of 19.2%, the company has announced.
Profit before tax doubled from 21.2 million euros to 42.3 million euros. According to the company statement, the company will pay 4.8 million euros in concession fees to the Greek state for the year 2018, compared to 4.1 million euros for the previous year.
China Cosco Shipping acquired a majority stake in PPA in 2016, after an international bidding process. The concession agreement expires in 2052. Cosco subsidiary PCT had already managed the container terminal since 2009.
The annual briefing to the Hellenic Fund and Asset Management Association for the results took place on April 4 at PPA headquarters, in the presence of CEO Captain Fu Chengqiu, deputy CEO Angelos Karakostas, and member of the board of directors and management consultant, Athanasios Liagkos.
“2018 was the most successful year in terms of profitability,” said Captain Fu. “The successful financial management also brings additional revenue to the Greek state due to increased concession fees, dividends and insurance contributions. The additional investments that we propose in the master plan will further boost the employment as well the local and national economy.”
Fu noted that during the first three months of 2019, the under-concession Piers II and III, which are the most important source of revenue of the PPA, achieved a new record throughput of 1.25 million TEU, bringing Piraeus Port close to the top of the Mediterranean maritime port league table.
Other company activities have also seen an upward trend, especially the cruise sector, which showed an increase of 20% in ship calls for 2019, and the ship repair segment, where the docks’ operation has increased by 53%.