LONDON (ShareCast) - (Sharecast News) - Global Ports Holding has suspended its 2019 dividend, blaming uncertainty about the prospects for global trade caused by the coronavirus outbreak.
The company said the coronavirus had not had a big impact on its business so far despite cancellations in the cruise industry. Commercial port operations have not suffered a significant impact from the virus and volumes at the company's Port Akdeniz in Turkey are up strongly, it said.

Global Ports said reservations had risen at its Mediterranean ports as some cruise ships had moved from Asia for the summer 2020 season. But this benefit is likely to be largely offset by lower cruise occupancy rates and potential cancellations because of travel restrictions.

"The board and management team remain alert to the fact that the situation is still evolving, and the company continues to monitor the situation closely," the company said. "In light of this unprecedented level of disruption to global trade and the cruise industry and the associated short term uncertainty, the board of GPH has decided that it is prudent and in the best interests of all stakeholders to temporarily suspend the dividend for full year 2019, until the situation becomes clearer."

The company said trading in the fourth quarter of 2019 was in line with management expectations and for the year ending 31 December it expects revenue of $117.9m; adjusted earnings before interest, tax depreciation and amortisation of $77m; cash and cash equivalents of $63.8m; net debt of $389.1m; and net debt excluding the impact of IFRS 16 of $324.3m.

Global Ports will report results for the year to the end of December on 26 March. The company said it would update the market if there was a meaningful change to the situation.

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