SBS surprises with 12% increase in Q1 profit despite higher
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SINGAPORE : SBS Transit has surprised with a 12 percent increase in first quarter profit to S$14.6 million.
This was achieved on the back of a 5 percent rise in revenue to S$152 million, due mainly to higher bus and rail fare revenue following a fare hike in July.
The improved bottomline comes despite a relentless surge in fuel prices, which has hit other transport companies like SIA.
Going forward, it hopes to expand its bus network to boost revenues.
Rail ridership revenue is also expected to grow as the Sengkang and Punggol New Towns get more populated.
SBS's parent, ComfortDelgro, has also reported higher earnings for the three months to March.
But the increase is more moderate - a marginal 1.3 percent to S$55 million.
Overseas earnings accounted for 40 percent of turnover.
A decision on another hike in Singapore fares will be made in August.
- CNA /ls -
Yet we see SMRT profit plunges by 18% for FY05/06
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Anyway, now it's SMRT that has the highest PE ratio in comparison with ComfortDelGro and SBST500