HPH Trust – Lim & Tan

• Hutchison Port Holdings Trust’s 1Q ’13 normalized net income (exclusive of performance fee and acquisition related costs) came in at HK$697.7 million, up 2% y-o-y, whist normalized net profit after tax (NPAT) attributable to unitholders of HPH Trust was HK$436 million, down 3% y-o-y in the same period.
  
• The 2% uplift in normalized net income was mainly attributable to higher profit from Yantian International Container Terminals (YICT) but partially offset by lower contributions in Hongkong International Terminals (HIT). On the other hand, the normalized NPAT attributable to unitholders of HPH Trust was 3% lower than the same period last year, as the Trust has 100% in HIT but only has slightly more than 50% interest in YICT.
  
• 1Q ’13 throughput of HPH Trust was also in line with last year, despite slowing trans-shipment growth in Hong Kong and continued weakness in the EU.
  
• Likewise, capex for 1Q ’13 came in at HK$244 million up 8% y-o-y compared to the same period last year.
  
• Management highlighted that the recent disruptions to HIT’s terminal operations due to the port workers strike, is unlikely to have a material adverse impact on the performance of HPH Trust.