By Priam F. Nepomuceno
MANILA, March 22 (PNA) — Despite congestion woes affecting its Manila facilities, the Philippine Ports Authority (PPA) recorded a net income of PhP 4.26 billion for 2014, or 14 percent higher than the PhP 3.70 billion reported in 2013.
This was also higher by about 16 percent compared to the target net income of PhP 3.67 billion or a difference of about PhP 582 million, PPA General Manager Juan C. Sta. Ana said.
Gross revenues, on the other hand, posted an increase of 13.5 percent to PhP 12.57 billion for the period in review as against 2013’s PhP 11.07 billion, or a difference of about PhP 1.50 billion.
Port revenues accounted for the biggest increase in 2014 after posting about 25 percent hike from PhP 9.99 billion in 2013 to PhP 12.46 billion last year. It was also 20 percent higher compared to the target port revenues of PhP 10.41 billion.
However, the fund management income (FMI), which is the other half that comprises the gross revenues along with the port revenues, declined significantly to PhP 103.21 million or about 16 percent below the 2013 level of PhP 122.50 million.
“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.
“The decrease in FMI, on the other hand, 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 explained.
Total expenses, meanwhile, also posted a considerable hike of 9.68 percent to PhP 6.47 billion from only PhP 5.89 billion spent for the entire 2013 period.
Operating expenditures grew by PhP 557 million or 8.88 percent to PhP 6.83 billion from year-ago level of PhP 6.27 billion as a result of the incurrence of accountable forms expense and amortization of intangible assets.
Non-operating expenses of the PPA during the year was recorded at a negative PhP 361.94 million, which was already a slight increase by PhP 13.85 million or 2.68 percent over the figure posted in 2013 primarily due to fluctuations in foreign exchange rates. (PNA)