SMRT issues profit warning: Q4 will be in the red
Listed transport operator SMRT Corp said Thursday that the company expects to post a net loss for the fourth quarter ending March 31, 2013.
"Increasing operating costs without corresponding fare adjustments have adversely affected the group's profitability," it said in a statement to the Singapore Exchange, adding that it is also registering a $17 million impairment of goodwill in Chinese associate Shenzhen Zona Transportation.
The group will, however, remain profitable for the full year ending March 2013, SMRT said. It posted a net profit of $95.2 million for the first nine months, down 10.1 per cent.
SMRT's net earnings for the previous fourth quarter (March 2012) stood at $13.9 million, a 59 per cent drop. Full-year earnings for 2012 came in at $119.9 million - 25.6 per cent lower.