Aboitiz Transport System Corp. (ATS) registered total consolidated revenues of P6 billion for the six-month period ending June this year a nine-percent increase from P5.5 billion generated in 2007.
Freight revenues, which constitute the bulk of revenues, increased 12 percent to reach P3.7 billion in 2008.
To remain competitive in the freight business, ATS continued to modernize its container tonnage. It terminated the charter of its freighter vessel 2GO1 and replaced the lost capacity with additional tonnage from MCC Transport Philippines‘ second container vessel. MCC Transport is a joint venture between ATS and the AP Roller Maersk group.
Passenger revenues totaled P1.4 billion, five percent lower than the P1.5 billion in 2007. The decline, officials said, was largely due to the overall reduction in passenger ferry capacity brought about by vessel sales and the conversion of excess passage capacity to freight.
Two vessels, they explained, also underwent repair during the second quarter of the year.
Moreover, they noted that the industry continues to face fierce competition from the airline sector. The improvement in load factors, however has cushioned the drop in revenues. For the January-June 2008 period, passenger load factors on its roll-on roll-off (ro-ro) passenger vessels reached a high of 80 percent compared to only 71 percent during the same period last year.
Meanwhile, the company reported that its supply chain management solutions business led to the 35-percent growth in service fees, from P506.3 million in 2007 to P682.4 million in 2008. ATS said it continues to expand its value-added business with the purchase of Scanasia Overseas Inc. in June this year. Scanasia is a company engaged in the business of sales, marketing, warehousing, and transportation of temperature-controlled and ambient food products to its customers in the Philippines. — Mary Ann Reyes