PPA profit hits P10.6 billion in 9 months

MANILA, Philippines — The Philippine Ports Authority (PPA) booked a profit of close to P11 billion as of September, putting it on track to remit another record dividend to the government to boost public funds.

Based on its financial report, the PPA grew its profit by 15 percent to P10.59 billion in the nine months to September from a year-ago level of P9.19 billion.

At this rate, the PPA is poised to hit a new financial milestone at a time when the logistics industry is slumped with challenges.

Supply chains worldwide have faced disruptions like never before, as the geopolitical conflict in the Middle East places pressure on petroleum prices.

This is driving shippers to raise transport costs, triggering higher retail prices down the line.

The PPA is managing industry challenges by improving revenue collection and keeping spending in control.

Revenues increased by 11 percent to P24.79 billion, edging out the eight-percent rise in expenses to P12.08 billion.

Service and business income powered revenues with P24.78 billion, as the PPA earned more from higher fees and tighter collection across its jurisdiction.

As for expenditures, the PPA attributed the bulk of its spending to non-cash costs (P6.9 billion); maintenance and other operating expenses (P3.27 billion) and personnel services (P1.89 billion).

Despite the challenges, cargo throughput in the Philippines inched up by three percent to 239.91 million metric tons (MT) during the nine-month period.

Importers are adjusting their delivery schedules to maximize trips, as costs spike.

During the period, domestic cargo slipped by two percent to 84.18 million MT, while foreign traffic went up by six percent to 155.73 million MT.

The PPA, as required under Republic Act 7656, or the Dividends Law, turns over at least half of its profit to the government as dividends to support public spending.

For 2025, the PPA remitted its highest dividends ever of P5.33 billion, covering about 52 percent of its earnings.