SINGAPORE (Feb 12): SBS Transit announced that its FY17 earnings increased by 50.3% to $47.1 million compared to $31.4 million in FY16.
Revenue for the full year ended Dec came in at $1.19 billion, 8.5% higher than $1.10 billion recorded in FY16.
Revenue from the group’s public transport services was 9.8% higher at $1.13 billion for FY17 compared to $1.03 billion in the previous year, mainly due to a full year contribution of revenue under the Bus Contracting Model (BCM) and higher ridership from rail services with the commencement of Downtown Line 3 (DTL3) in Oct 2017.
This was partially offset by lower average rail fare from the fare reduction effective Dec 30 2016 and lower other operating income.
Revenue from other commercial services of $56.0 million for FY17 was lower by 12.4% compared to $64.0 million last year, due mainly to lower advertising and rental revenue from the loss of Bulim and Loyang Bus Packages.
The group’s total costs and expenses were $1.13 billion, 7.1% higher than $1.06 billion last year.
Hence, operating profit was $59.3 million, 42.1% higher than $41.8 million a year ago.
The group has declared a final cash dividend of 3.95 cents, which might be payable on May 11, subject to approval by shareholders at the group’s general meeting.
On the outlook, the group expects revenue from its public transport services to be higher, while revenue from other commercial services is expected to be maintained.
Shares in SBS Transit closed 5 cents higher at $2.58 on Monday.
