Port of Virginia Reports $4.76 Million Profit in 2016
The Port of Virginia reported $4.76 million in profits for fiscal year 2016, which ran from July 1 to June 30.
Net earnings were down 65% from $13.6 million last fiscal year, but port officials said they are pleased that it posted a second straight year of profits.
The numbers released Sept. 8 are preliminary and unaudited. Final results will likely be released in the next two months.
“We knew going into the new fiscal year that we were not going to exceed last fiscal year’s result, and we budgeted accordingly,” Virginia Transportation Secretary Aubrey Layne said. “This year, we had an aggressive plan for reinvestment, we solidified our volumes, we showed growth in a challenging market, and we have a solid financial result to show for the effort.”
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Total traffic through the Port of Virginia was up compared to fiscal year 2015. The number of industry-standard 20-foot equivalent containers, or TEUs, increased 2.5% to 2.57 million from 2.54 million.
Rail containers were up 9.7% year-over-year to 511,096 and volume to the two inland ports in Northern Virginia and Richmond were up by double-digits.
“The Port of Virginia’s performance is meeting and exceeding the expectations of my administration,” Gov. Terry McAuliffe said. “This financial turnaround is proof that the port’s wise investments in capital projects and people, which are being made in support of a plan for sustainable growth, are yielding very positive results.”
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The port is in the middle of a multiphase plan to double the capacity at the Virginia International Gateway and renovate and expand the Norfolk International Terminals.
Port officials say the goal is for the two terminals to handle 2.5 million container units, up from 1.5 million over the next 10 years.
The port will also add more automated stacking cranes, which could increase throughput and cut turn times for truckers.
“We still have our challenges to address, but we have a plan and the right team in place to execute. It’s up to us to continue to work together with our partners, our customers and our colleagues to ensure the vision becomes a reality,” Virginia Port Authority CEO John Reinhart said.
