WIPT Delivers Refined Q2 Earnings

• West Indies Petroleum Terminal (WIPT) reported another strong quarter, with net profit after tax increasing 36.0% year over year to US$0.93Mn for the three months ended June 2026. The improved performance was underpinned by higher storage and throughput activity, coupled with disciplined cost management.
• WIPT's pipeline continued to flow in the second quarter, as revenues increased 18.6% year over year to US$2.50Mn. Stronger third-party storage and throughput volumes and higher rates on related-party business drove the uplift. Third-party storage generated 43% of revenues, while third-party throughput gained significant traction, lifting its contribution to 19% of revenue from 6% in the prior-year quarter.
• WIPT's cost engine remained well-oiled, with operating expenses increasing by a modest 2.1% to US$2.51Mn year over year. The uptick was largely attributable to a 5.4% increase in other operating and administrative expenses, as the company maintained disciplined control over its expenses. Higher throughput volumes also supported improved operating efficiency, with quarterly throughput rising to 0.64 million barrels, compared with 0.46 million barrels a year earlier.
• The strong quarterly performance was mirrored in the six-month results. For the first half of 2026, revenue increased 21.0% to US$5.00Mn and operating profit climbed 41.0% to US$2.60Mn. Net profit after tax advanced 51.0% to US$1.90Mn, supported by continued growth in third-party storage and throughput volumes.
• Looking ahead, WIPT remains focused on fuelling growth through two key avenues: increasing volumes at its existing terminal and pursuing strategic acquisitions across the Caribbean region. The company plans to deepen supplier and customer relationships, expand its product offering, and leverage its competitive logistics position to capture further bunker throughput opportunities. Additionally, WIPT plans to pursue the development of terminal assets across the Caribbean basin as suitable opportunities emerge.
• However, the outlook is not without risks, as further escalation of geopolitical tensions, including the US-Iran conflict, could drive oil prices higher and weigh on local demand. This could also lead to reduced third-party demand for storage and throughput services, potentially impacting revenue growth and earnings
• WIPT’s stock price has increased by 584% since the start of the year to close at $8.94 on August 3, 2026. At this price, the stock is trading at a price-to-book (P/E) ratio of 255.8x, which far exceeds than the Main Market Energy, Industrial and Materials (EIM) Sector’s average of 18.3x. Despite WIPT’s strong share price appreciation, the stock continues to trade with limited liquidity, as reflected by an average daily traded volume of just 57.8K shares relative to its 11.18Bn shares outstanding

(Sources: JSE & NCBCM Research)