SBS Transit has reported lower FY2025 revenue and lower earnings of $61.2 million, down 13% y-o-y. However, it plans to pay a special dividend of 31.99 cents on top of a final dividend of 8.66 cents.
The FY2025 total payout, including an interim dividend of 8.95 cents already paid, will be equivalent to a payout ratio of 253%.
In contrast, the company paid a total dividend of 23.1 cents for FY2024, on earnings of $70.3 million.
Due to the loss of the Jurong West bus package, the company's revenue for the full year was down 2.7% to $1.52 billion and operating costs down by a similar magnitude.
SBS Transit warns that bus revenue will drop further with the loss of the Tampines Bus Package this July.
On the other hand, rail operations revenue is expected to grow due to fare adjustment effective from last December and more passengers.
See also: OUE slightly trims net loss to $279.1 mil; maintains final dividend at 1 cent per share
SBS Transit shares closed at $3.44, up 1.47%, while its parent company ComfortDelGro was down 0.65% to $1.53.
