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Dubai, March 16 / DB World Limited (DP World) announced strong financial results for the year ending December 31, 2022, with total revenue growing by 58.9% on a reported basis, to reach AED 62.89 billion (17.127 million). American dollar).
Adjusted EBITDA increased by 31% to AED 18.41 billion (US$ 5,014 million), and the adjusted EBITDA margin reached 29.3%.
And “DB World”, in a statement to the Emirates News Agency, WAM, indicated that the most prominent results were an increase in revenues by about 23.31 billion dirhams (6.349 million dollars), to reach 62.89 billion dirhams (17.127 million dollars). (Revenue grew 58.9% on a reported basis) Revenue also grew by 58.9% supported by acquisitions. Like-for-like revenue growth was driven by strong performance from ports, container terminals and marine services.
Container-related revenue increased 12.1% driven by higher demand for container-support services. Non-container revenue increased on a like-for-like basis by 18.3% with Unifeeder’s strong performance due to improved average freight rates.
While adjusted EBITDA increased by 31% to reach AED 18.41 billion ($5,014 million), with strong revenue growth, the adjusted EBITDA margin reached 29.3% during the year, and the profit margin reached Adjusted before interest, tax, depreciation and amortization is 37.2% on a like-for-like basis.
The expansion of strategic partnerships has strengthened the company’s balance sheet and leads to long-term value creation, in addition to expanding the scope of partnerships and monetization to raise more than 29.38 billion dirhams ($ 8 billion) to significantly strengthen the company’s balance sheet and provide flexibility in the long term.
The two partnership deals with Case des Depo e Plassmann de Quebec (CDPQ) and Hassana Investment Company (Hassana) brought together an investment of 27.17 billion dirhams ($7.4 billion) to tap growth potential. In addition to expanding the scope of the partnership with the National Investment and Infrastructure Fund (NIIF) in India, and starting a new partnership with British International Investment (BII); The investment development arm of the British government, to raise around 2.20 billion dirhams ($600 million).
The company stated that one of its most prominent results is a strong cash generation performance and a stronger balance sheet for asset liquidation. AED ($3,692 million) in 2021.
The gearing ratio (the ratio of net debt to adjusted EBITDA on an annual basis), prior to the adoption of IFRS 16, fell to 2.7 times (Fiscal Year 2021: 3.7 times) as a result of improved profitability and a decrease in net debt. While the net debt ratio, after the adoption of International Financial Reporting Standard No. 16, reached 3.0 times, compared to 4.2 times in the fiscal year 2021.
The credit rating of the “DB World” group also improved at the investment category (Baa2) with a stable outlook, and Moody’s agency raised the credit rating of “DB World” at the investment category (Baa2), with a stable outlook regarding the improved financial performance and balance sheet. The company’s rating was raised by Fitch Ratings to the investment grade (BBB-) with a positive outlook, and DB World is committed to its strong investment grade rating over the medium term.
As for selective investment in key growth markets, the company has invested capital expenditures amounting to 6.29 billion dirhams ($1,715 million), compared to 5.11 billion dirhams ($1,393 million in 2021), across its current portfolio. The capital for the year 2023 is about 6.24 billion dirhams (1.7 billion dollars), and includes the implementation of the planned investments in the United Arab Emirates, Jeddah (Saudi Arabia), the “London Gateway” port (United Kingdom), the port of Dakar (Senegal), and the port of Banana (DRC), Callao Port (Peru) and DB World Logistics (South Africa).
DB World has boosted revenues by transforming the business and establishing long-term relationships with cargo owners. The enhanced logistics business portfolio offers value-added capabilities in fast-growing markets and sectors. The company aims to provide end-to-end supply chain solutions to cargo owners by leveraging Best-in-class infrastructure, including logistics, ports, terminals, marine services and digital solutions.
DB World announced its commitment to achieving net zero emissions in line with the strategic initiative for climate neutrality 2050 for the UAE, where the issue of decarbonization is a primary focus and the endeavor to move to net zero emissions by 2050, by committing to invest more than 1.83 billion dirhams ( $500 million), in order to reduce our CO2 emissions in our operations by approximately 700,000 tons over the next five years, and DB World was rated A- (Leadership) in the Climate Change category from the Carbon Disclosure Project, as a top performer , by the “Sistinalatix” company.
The company said: “A strong performance during 2022 and an encouraging start to 2023, and looking to the future, DB World is still optimistic about the performance of the company.”
