(The Center Square) – Increased expenses overtook strong revenues, and the North Carolina State Ports Authority’s operating loss rose 43.2% for the year ending June 30, the state auditor says.
The annual review released this week said the agency had $6.3 million in operating loss for 2024-25, up from $4.4 million a year earlier. The financial statements were fair and no weaknesses in internal controls or lack of compliance was found by the office of first-term Republican Auditor Dave Boliek.
The State Ports Authority is owner and operator of deep-water ports in Wilmington and Morehead City, and intermodal terminals in Charlotte and Greensboro. More than 4 million tons of general cargo move annually; roughly 1,000 ship calls happen each year; and access is provided to rail networks of CSX and Norfolk Southern and interstates 40, 95, 85, 77 and 74, and U.S. 17 and U.S. 70.
Funding is a combination of port authority generated revenue, appropriation from the Legislature, and grants. Fees, rentals and charges for port services generate more revenue.
General cargo and a shift to higher-margin commodities helped revenue in 2024-25. Depreciation and amortization from capital projects increased $2.5 million. Infrastructure investments are ongoing, including a reconstruction of Berth 4 and 5 in Morehead City.
Rail volume was record-setting.
Tariffs, a pivotal topic from the Beltway and second-term Republican President Donald Trump, can directly impact the State Ports Authority through international volume of cargo. Market uncertainties also are at play.
For example, in August, the leadership of the authority led by Executive Director Brian Clark told the 11-member Board of Directors containership performance was 36% less than budgeted in July.
That’s the same month American trade deals were reached with the European Union, Philippines, Japan and Indonesia. Also, on July 7 an executive order from Trump kept a universal 10% tariff in place and paused country-specific reciprocal tariffs until Aug. 1.
