Bookmark & Share
HIGHER non-fare operating income, government Budget measures and lower energy costs boosted SMRT Corp's profits for the first quarter.
The transport operator chalked up a net profit of $48.2 million, a 19.6 per cent increase over the same quarter last year.
Revenues were flat at $215.8 million.
A sharp 133.6 per cent jump in other operating income was due to a major train maintenance project. SMRT's chief financial officer Lim Cheng Cheng noted that this was a one-off receipt.
Budget measures included the Jobs Credit amount of $4.4 million which helped to offset higher staff headcount mainly for the Circle Line.
Train operations continued to stay strong with operating profit increasing by 8 per cent to $36.7 million, but was partially offset by higher repairs and maintenance and electricity costs.
Daily MRT ridership increased to 1.43 million this quarter, a 4.8 per cent increase over last year's 1.37 million.
Ridership on the Circle Line stations however remained below expectations at around 30,000, but Ms Lim said it would not 'have a material impact on the group'.
Its LRT operations turned in a profit of $41,000 due to lower staff and related costs, but was partially offset by lower revenue.
Lower diesel costs for buses and a smaller holding fleet for taxis helped to push profits to $1.2 million and $1.1 million respectively.
Rental profits were up by 12.9 per cent to close at $12.5 million following the redevelopment of commercial spaces at various MRT stations.
'Tenants recognise that with our resilient ridership, there are more customers at the shops,' said Ms Lim.
She added that there were plans to upgrade at least five more stations.
Ms Lim said that over the next year, the profitability of the group would be impacted by the continuing volatility of diesel prices, the fare reduction package and ramp-up costs for the progressive opening of the new Circle Line stations.
Earnings per share were 3.2 cents, up from 2.7 cents, while net tangible asset value per share was 48 cents as of June 30, up from 44.9 cents as of March 31 this year.
SMRT shares closed one cent higher at $1.70.
Search Property News
