Dutch tank storage operator Vopak raised its 2026 targets for the second time this year on Wednesday, as robust demand for storage capacity and new projects boost its earnings.
The company now expects its proportional earnings before interest, taxes, depreciation and amortisation to land between €1.20 billion and €1.22 billion ($1.35 billion and $1.37 billion), lifting the bottom end of the previously guided range of €1.18 billion to €1.22 billion.
It also raised its full-year proportional operating free cash flow outlook by 2.4 per cent to €840 million.
Recently commissioned projects, including a fourth LNG storage tank at the Gate terminal in Rotterdam, and expansions in Canada and India drove earnings growth in the third quarter, Vopak said.
Volatile market conditions dampened activity at some terminals but drove stronger demand at others, it added.
Vopak's net profit grew 61 per cent to €141.7 million in the quarter, helped by a €30 million gain related to changes in ownership stakes in its Saudi terminal operators Chemtank and Sabtank.
The company operates three terminals across the Middle East, straddling two of the world's most critical oil shipping lanes.
Proportional EBITDA rose to €306.1 million from €286.5 million a year ago, while the proportional occupancy rate, a key indicator of terminal demand, was 91 per cent.
(Reporting by Hugo Lhomedet and Dimitri Rhodes in Gdansk, editing by Milla Nissi-Prussak)