Professional Documents
Culture Documents
Company
Presentation
1st Quarter 2016
Presentation overview
• Company introduction
• Global maritime trade summary
• Trends in port and trade development
• Examples of operational advantage following
APM Terminals’ involvement
Tangier, Morocco
APM Terminals by the Numbers
• Countries: 60
• Employees: 20,600
• Operating Port and
Terminal Interests: 73
• New port projects in
development: 8
• Inland Services operations: 143
• Revenue in 2014: $4.45 billion
• Containers handled in 2014:
38.3 million (weighted by
equity share)
• Size of global container market
in 2014: 679 million TEUs*
3
Company overview
4
APM Terminals is one of five primary business units
of the Maersk Group
Maersk Group The Hague, Netherlands
Copenhagen, Denmark
5
APM Terminals Global Terminal Network Update:
APM Terminals and Grup TCB announce APM Terminals’
acquisition of Grup TCB’s port terminal and Spanish rail
portfolio, including 11 terminal facilities in:
Spain
Turkey
Mexico
Colombia
Guatemala
Brazil
6
In 2014 Barcelona-based Grup TCB ranked 23rd globally in
terminal container throughput (weighted by equity share) with
2.5 million TEUs handled, and an overall capacity of 6.3 million
TEUs.
Muelle Sur
Terminal in
Barcelona has an
annual throughput
capacity of 1.4
million TEUs, in
Spain’s 3rd-largest
container port.
7
Spanish terminal operations added to the APM Terminals Global
Terminal Network include:
8
Two facilities are located in the Canary Islands;
TCE EGE Konteyner Terminal Istletmeleri is located in Turkey’s
Izmir Port complex, where APM Terminals will also be operating
the new container terminal at Petkim Port.
9
Joining APM Terminals’ Latin American operations are facilities in
Yucatan, the second facility in Mexico, and a new terminal nearing
completion in Quetzal, Guatemala. A terminal in Buenaventura
will become APM Terminals’ second port location in Colombia.
10
Terminal de Contêineres de Paranaguá is APM Terminals’
fourth terminal in Brazil, adding annual throughput capacity of
800,000 TEUs at Brazil’s 3rd-largest container port.
11
APM Terminals Inland Services will add three intermodal rail
operations in Spain.
12
APM Terminals: The world’s only geographically balanced
Global Terminal Network
Port and container terminal development, management and
operation, and associated inland services capabilities.
12 25% 71%
of employees find APM
Number of APM Terminals Terminals’ leadership to
Global Terminal Network reduction from base be genuinely committed
facilities named global year 2010 is the goal to attracting, training
productivity leaders. by 2020. and retaining a diverse
workforce.
14
APM Terminals’ leadership team
15
History: 57 years of progress, innovation and growth
1958 The first dedicated A.P. Moller port facility is a general cargo terminal in Brooklyn, NY.
1975 Maersk Line opens its first dedicated container terminal, at Port Newark, New Jersey.
1988 Maersk Line opens its first Far Eastern terminal at the Port of Kobe, Rokko Island, Japan
1999 Maersk Line acquires US-based Sea-Land Services expanding terminal operations globally.
2001 APM Terminals is established as a separate terminal operating unit within Maersk Line.
2004 APM Terminals becomes an independent corporate entity, with HQ in The Hague, Netherlands.
2007 APM Terminals reports results separately, with revenue of $2.5 billion; $111 million profit.
2008 Container volume (by equity share) of 34 million TEUs; 26 new terminal or expansion projects.
2009 Named Lloyd's List Global Awards’ "Port Operator of the Year"; Revenue of $3 billion.
Named “International Terminal Operator of the Year” at the Containerisation
2010 APM Terminals assumes Inland Services businesses; combined revenue of $4.2 billion
International 2012 Awards
2011 APM Terminals named winner of Lloyd’s List Global Safety Award; Revenue of $4.6 billion.
Named Containerisation International 2012 “International Terminal Operator of the Year”
2012 and Lloyd's List Global Awards’ "Port Operator of the Year“; Revenue of $4.8 billion.
2013 Named Containerisation International 2013 “International Terminal Operator of the Year”, and
Winner of the Lloyd’s List Asia 2013 “Port Operator Award”.
2014 APM Terminals Yokohama once again named world’s most productive container terminal;
Lloyd’s List North American Port Operator of the Year; revenue of $4.45 billion.
APM Terminals’ container throughput: 2004-2014
38.3
36.3
35.4
34 33.5
31.4 30.9 31.5
(Equity Share Weighted)
28.4
TEUs (Millions)
24.1
20.6
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
17
Global terminal operator comparison:
APM Terminals ranks 3rd globally in container throughput by
equity-weighted market share:
18
Our port facilities: A balanced global network
serving all major markets
Port facilities: North America
20
Port facilities: Latin America
21
Port facilities: Europe
22
Port facilities: Russia-Baltics
23
Port facilities: Africa-Middle East
24
Port facilities: Asia-Pacific
25
Current Projects
New Terminal Development: (8)
• Abidjan, Ivory Coast
• Izmir, Turkey
• Lázaro Cárdenas, Mexico
• Moin, Costa Rica
• Ningbo, China
• Savona-Vado, Italy
• Tema, Ghana
• Quetzal, Guatemala
Terminal Expansions/Upgrades: (15)
• Algeciras, Spain • Pecém, Brazil
• Apapa, Nigeria • Pipavav, India
• Buenos Aires, Argentina • Pointe-Noire, Republic of the Congo
• Callao, Peru • Poti, Georgia
• Gothenburg, Sweden • Qingdao, China
• Itajaí, Brazil • Salalah, Oman
• Monrovia, Liberia • Tema, Ghana
• Onne, Nigeria
26
Our inland services
• 143 local operations in 39 countries
• Four main businesses areas: Cargo support, inland
transportation/depots, equipment maintenance & repair, and
container lifecycle management
• Achieve synergies with a broader scope of products and services:
- Greater value proposition to our customers
- Increased efficiencies
- Lower transportation costs
- More access to all global markets
- Seamless container handling to final destination
- More opportunity for growth
27
Our inland services
Trucking Shunts Store Intermodal Rail Repairs Reefer care Modifications Container Sales
door engineering inspections
28
Inland Services Network
29
Inland Services: Latin America
30
Inland Services: Europe
31
Inland Services: Russia-Baltics
32
Inland services: Africa-Middle East
33
Inland Services: Asia-Pacific
34
Inland Services: South Asia
35
Inland services: China
36
Inland services: Well-known transportation names
around the world ...
37
Drivers of Global Trade:
Economic Development and Population Growth
Economically emerging areas of the world, particularly Africa,
will also lead in population growth over the next decades.
38
Global merchandise import growth 1970-2013
Billion USD
(Current Value)
$20,000
$18,000
$16,000
$14,000
$12,000
$10,000
$8,000
$6,000
$4,000
$2,000
$0
1970 1980 1990 2000 2010
(Source: World Trade Organization Data 2015)
39
Global container throughput growth 1979-2014
Million TEUs
700
600
500
400
300
200
100
0
1980 1990 2000 2010
(Source: Drewry Shipping Consultants December 2014)
40
Key Container Shipping Industry Concerns of 2016:
Global container fleet overcapacity
• Fleet capacity net increase of 8.8%;
• Projected demand increase of 6:5 to 7%.
Shipping line consolidation
• Response to overcapacity and fuel costs;
• Example: Hapag-Lloyd and CSAV merger announcement.
Port congestion
• Increasingly significant problem in 2015;
• Introduction of larger vessels adding to terminal demands.
Freight rate instability
• Downward rate pressure from need to fill larger vessels;
• Congestion and other surcharges increase costs.
Vessel size trend
• New standard is MSC Oscar at 19,224 TEUs;
• Theoretical limit as high as 24,000 TEUs.
Liner service ships’ speed
• Higher fuel prices helped cause slowdown to 22 knots;
• Current lower oil prices may see return to express services.
41
World Trade projected growth rates 2015-2017
5%
4%
3%
2%
1%
0%
2012 2013 2014e 2015f 2016f 2017f
(Source: World Bank Global Economic Prospects 2015, June 2015)
42
Seaborne trade is growing faster than Global GDP
Indices for world GDP, the OECD Industrial Production Index, world merchandise
trade and world seaborne trade 1975-2014 (1990=100)
43
The global economy relies upon the global
shipping fleet for growth…
9.8
Billion tons
$19 89,464
Trillion USD
60%
in containers:
52%
of all goods loaded
(Sources: World Shipping Council 2015; UNCTAD Review of Maritime Transport 2015; World Trade Organization 2014)
44
Global shipping requires a global port network
45
Shipping Alliances’ Industry Impact
“Bigger consortia and alliances among container carriers will allow
carriers to use assets more efficiently”
In 2014, industry analysts Drewry Maritime Research projected
that the four major shipping alliances combined control 98.5% of
the container volume on the Far East/Europe trade lane; the
world’s busiest;
2M: 35.4%
CKYHE: 25%
Ocean Three: 19.7%
G6: 18.4%
(Source: Drewry, July 2014)
46
Shipping Alliances’ Industry Impact
The two largest shipping company alliances carry more than half of
the Europe/Fear East containerized cargo:
2M:
Maersk Line and
Mediterranean Shipping
Ocean Three:
CMA-CGM, China Shipping
and United Arab Shipping
47
Shipping Alliances’ Industry Impact
Two other major alliances represent the combined shipping assets
of 11 global shipping lines:
G6:
APL, Hapag-Lloyd, Hyundai, Mitsui-OSK, NYK and OOCL
CKYHE:
COSCO, K-Line, Yang Ming, Hanjin and Evergreen
48
Top 20 Container Lines Ranked by Fleet Capacity
Fleet Capacity in TEUS
3,000,000
2,500,000
2,000,000
1,500,000
1,000,000
500,000
49
Top 15 Container Lines Ranked by Number of Ships
Global Containership Fleet Size: October 2015
36
54
603 505 31
Number of Vessels
474
31
201 21 5
165 8 7
176 7 10 8 7 4
137 132 111 106 103 102 101 11
89 56
50
2014 Rankings: The World’s Top Container Ports
Rank Port Tangier, Morocco
TEUs (Millions) Rank Port TEUs (Millions)
51
2014 Productivity Rankings: The World’s Top Terminals
VESSEL PRODUCTIVITY: TOP TERMINALS WORLDWIDE
2014
Berth
Terminal Name Port Name Country
Productivity
Panama Ports Company (PPC) Balboa Balboa Panama 99
APM Terminals Los Angeles Los Angeles United States of America 92
West Basin Container Terminal Los Angeles United States of America 88
Seagirt Marine Terminal Baltimore United States of America 84
Evergreen Container Terminal-Los Angeles Los Angeles United States of America 82
Lázaro Cárdenas Terminal Portuaria de Contenedores (LCTPC) Lázaro Cárdenas Mexico 82
Le terminal de Jarry Pointe-à-Pitre Guadeloupe 80
Pierce County Terminal Tacoma United States of America 77
North Charleston Terminal (NCT) Charleston United States of America 76
Prince Rupert Fairview Container Terminal Prince Rupert Canada 74
Source: JOC Group Inc. Port Productivity Data
53
2014 Productivity Rankings: Europe, Middle East, Africa
Khorfakkan Container Terminal (KCT) Khor al Fakkan United Arab Emirates 100
Khalifa Port Container Terminal Mina Khalifa/Abu Dhabi United Arab Emirates 97
54
Trends in port and trade development
Vessel and port size respond to economic and population growth
55
Long-term attractiveness of the port industry is driven by
ongoing globalization, containerization and privatization
World container port handling demand
(TEU million)
• 10% CAGR from 1990 - 2008
Fundamental drivers
• (9.1% ) global volume loss for 2009 of port demand
• Recovery in 2010 with 14.8% growth
• Global economic growth.
• 40% projected rise 2013-2020
• Increased regional trade
1400 (e.g. Intra-Asia).
• Increased containerization
1200 of commodities (e.g. grain,
reefer).
• Necessity to upgrade existing
1000
capacity (e.g. larger vessels,
deep draft and larger crane
800 requirements).
• Privatization opportunities.
600 • Growing consumer demand in
developing countries.
400
200
18
16
14
12
10
0
1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016
(Source: Alphaliner: October 2015)
57
Panama Canal Locks Widened for 2016
58
Suez Canal Expansion Completed
1,200
1,000
800
600
400
200
1,600
1,400
1,200
1,000
800
600
400
200
20
18
16
14
12
10
2012 2016
Itajai, Brazil
Rotterdam, Netherlands
63
The latest ULCS capacity record: 19,224 TEUs
64
Current Operating ULCS Comparisons:
Vessel Class Length (m) Width (m) Draft (m) Capacity (TEUs)
65
Evolution of Port design
66
The evolution of crane sizes...
...and the evolution of crane concepts
69
Investment in underserved markets
70
Africa: A huge emerging market in need of
infrastructure investment and global logistics access
71
Central America: Moin, Costa Rica
73
South American West Coast: Callao, Peru
74
South American East Coast: Santos, Brazil
75
Middle East: Port Said East, Egypt
76
Middle East: Salalah, Oman
77
India: Pipavav, Gujarat
78
Southeast Asia: Tanjung Pelepas, Malaysia
Project: Port of Tanjung Pelepas Expansion
• $470 million USD investment
• 2 New Container Berths; 8 Super-Post Panamax Cranes; 32 E-RTGs
• Annual container capacity: 8.4 million TEUs
• APM Terminals’
ownership: 30%
79
Southeast Asia: Cai Mep, Vietnam
80
Turkey: Izmir
82
Demonstrated performance and progress
Port productivity & infrastructure investment
83
Apapa, Nigeria: Productivity Improvement
Since assuming operational
control of Apapa Container
Terminal in 2006:
• Container volume has grown from
200,000 TEUs to 700,000 TEUs;
84
Aqaba, Jordan: An Economic Development Engine
Since assuming operational
control of Aqaba Container
Terminal in 2006:
• 704 predominantly (99%) local staff
hired, with 33,820 indirect jobs
supported;
85
Luanda, Angola: Inland Logistics Park and
Improved Operations
• 2007: Sogester assumes
responsibility for operations of
Luanda Container Terminal;
expansion and refurbishment begin;
86
Pipavav, India: Financial Performance and
Profitablity
• 2005: APM Terminals assumed a
majority shareholding in full-service
Pipavav Port and began to invest in
equipment and infrastructure;
87
Industry-recognized excellence
2015 Awards:
• Lloyd’s List Global Awards “Port Operator of the Year”
• Lloyd’s List North American Maritime Awards “Port Operator of the Year”
• Containerisation International “Innovation of the Year” (APM Terminals Rotterdam Maasvlakte II)
• Lloyds List Middle East and Indian Subcontinent Awards “Logistics Award” (APM Terminals Inland Services South Asia)
• NAVIS “Customer Impact Award of Excellence/Hub Partnership”
(APM Terminals Algeciras and APM Terminals Tangier)
• Pacific Maritime Association “Coast Accident Prevention Award” (APM Terminals Pier 400 Los Angeles)
• Pacific Maritime Association “Southern California Container Terminal Safety Award (APM Terminals Pier 400 Los Angeles)
• Nigerian Port Authority “Most Environmentally Conscious Port Operator” (APM Terminals Apapa)
• All India Maritime & Logistics Awards “Container Terminal of the Year” (APM Terminals Mumbai)
2014 Awards:
• New York Shipper’s Association “Greatest Reduction in Lost-Time Accident Frequency Award”
• Green Economy Forum “Global Green Award”
2013 Awards:
• Lloyd’s List Asia Awards “Port Operator Award”
• Containerisation International “International Terminal
Operator of the Year”
• Express, Logistics & Supply Chain Leadership Awards “Best Inland Services Provider”
• (APM Terminals India)
• MALA “Container Terminal Operator of the Year” (APM Terminals Mumbai)
• MALA “Health, Safety and Quality Award” (APM Terminals Pipavav)
• Exim India “Container Freight Station of the Year-Private” (Chennai CFS)
• Volkswagen India “Supplier Appreciation Award” (APM Terminals Mumbai CFS)
• “National Quality Award” [Morocco] (APM Terminals Tangier)
• “Best Employer” Award” [Morocco] (APM Terminals Tangier)
Industry-recognized excellence
2012 Awards:
• Lloyd’s List Global Awards “Port Operator of the Year”
• Containerisation International “International Terminal Operator of the Year”
• Containerisation International “Corporate Social Responsibility” Award (Salalah)
• Nigeria Maritime Excellence Awards “Best Terminal Operator of the Year” (Apapa)
• All-India Maritime and Logistics Awards “Container Terminal of the Year” (APM Terminals Mumbai)
• 2011 Social Security Excellence Award for Occupational
Health and Safety (Aqaba)
• Pacific Maritime Association Safety Awards (Pier 400; Tacoma)
• The Signal Mutual Gerald H. Halpin Safety Excellence Award
• The Signal Mutual Industry Leader Safety Award
• Gateway Award of Excellence (APM Terminals Chennai CFS)
2011 Awards:
• Lloyd’s List Middle East and Indian Subcontinent
Safety Award (Port of Salalah, Oman)
• Lloyd’s List 2011 Global Safety Award
• Best Port Operator in Africa, Transport Africa Awards 2011
• Seatrade 2011 Innovation in Ship Operations Award
• Pacific Maritime Association Safety Awards
• Ecoval Trophy
2010 Awards:
• Special Jury Award, Oman Green Awards
• Safety at Sea International Award
• Rotterdam Port Community Award
• Pacific Maritime Association Safety Awards
• New York Shipping Association Safety Award
• Moroccan National “Safety at Work Award”
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