Global economic downturn affects Phnom Penh port business

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[INNEWS Comprehensive Report] Recently, the Phnom Penh Autonomous Port (PPAP) released a report showing a decline in business revenue.

Regional and global economic conditions were unfavorable during the first nine months of the year as global demand was affected by the prolonged war between Russia and Ukraine.

The Phnom Penh Autonomous Port reported that revenue in the first nine months of this year fell 7% to US$264.4 million, down from US$28.457 million in the same period in 2022. In terms of total revenue, port operating revenue exceeded US$22.4 million, a decrease of 11%; the port authority’s revenue exceeded US$3.481 billion, an increase of 9%; other service revenue reached 55,166, an increase of 160%. ​

Kim Sophanita, director of the Cambodia Stock Exchange, said the slow increase in port operations is only temporary and will not have an adverse impact on the overall operations of the port. “I think this is a temporary earnings decline, so investors should pay attention to the overall performance of the company and get a clear understanding when no problems are found. In addition, the company should also present its plans and expectations for the next quarter or this year, and we will See better operations,” she said.

The report also pointed out that although the port’s oil and gas throughput increased by 2.75% year-on-year last year, passenger ships increased by 2.037% year-on-year, cargo ships increased by 19.50% year-on-year, and passenger capacity increased by 1.545% year-on-year, the proportion of some container ships has decreased. Specifically, the proportion of some container ships decreased from 329,043 TEUs to 305,039 TEUs, a decrease of 3%.

It is understood that in the first 11 months of 2022, the company reported revenue from business activities of more than US$37 million, an increase of 22% over the same period last year.