South Port New Zealand has announced a record-breaking net profit after tax (NPAT) of $13.3 million for the fiscal year ending June 30, 2025, marking a remarkable 81% surge from the previous year's $7.4 million. The port's robust performance was fueled by a historic boom in bulk cargo volumes, which successfully offset reduced activity at the Tiwai wharf and solidified the company's financial position for future growth. 

The company's total revenue climbed 13% to $63.3 million, up from $56.1 million in the prior corresponding period. This growth contributed to a 21% increase in Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) to $25.8 million, lifting the EBITDA margin to 41%. 

The standout performer for FY25 was the bulk cargo division, which saw volumes rise 12.5% to 3.0 million tonnes. This growth was driven by powerful demand in the agricultural sector, with stock food volumes surging 74% and fertiliser volumes increasing by 23%. Forestry exports also saw a strong rebound, growing 27% to 983,000 tonnes. According to the company, recent dredging projects have allowed for increased vessel drafts, improving supply chain economics.

Container volumes remained remarkably stable at 52,300 twenty-foot equivalent units (TEUs), demonstrating resilience amid disrupted global shipping schedules. While volume was steady, revenue per container jumped by 29%, lifted by higher handling activity and increased rates.

At the Tiwai Wharf, cargo volumes dropped by 20% to 811,000 tonnes, an impact of the demand response agreement between the NZAS smelter and Meridian Energy. Despite this volume decrease, revenue from the wharf remained consistent due to a fixed-fee structure in the port's contract. In a significant development for the region, NZAS has reaffirmed its 20-year electricity supply agreement, and operations began normalizing in June 2025 as hydro storage levels improved.

South Port's record profit and strong operational performance have significantly strengthened its balance sheet. Operating free cash flow nearly doubled to $16.9 million, and gross debt was reduced by $5 million, lowering the debt-to-EBITDA ratio from 1.6x to a healthy 1.0x. 

Following a period of heavy capital investment in dredging, a new tug, and other infrastructure upgrades, the company is now moderating its spending, allowing for increased financial flexibility. Reflecting this confidence, the Board declared a final dividend of 20.5 cents per share, bringing the full-year dividend to 28.0 cents per share, an increase from FY24.

Looking to fiscal year 2026, Chief Executive Nigel Gear expressed optimism. "South Port anticipates continued strength in bulk cargo due to a strong dairy outlook and ongoing recovery in the meat sector," he noted. Volumes at Tiwai are expected to recover to normal levels, and the port is actively planning for future growth opportunities tied to regional aquaculture and renewable energy projects.

"With short term infrastructure investment moderating and operating free cash flow increasing, South Port is well-positioned to support regional growth while continuing to deliver resilient financial returns," Gear concluded.