ComfortDelGro posts 33% rise in third-quarter earnings

SINGAPORE - Singapore-listed transport multinational ComfortDelGro posted a 33 per cent rise in third-quarter net earnings for the period that ended on Sept 30, as economic activity continued to return to pre-pandemic levels.

In a statement to the Singapore Exchange on Monday, ComfortDelGro said the impact of higher energy and fuel prices had been neutral on a group basis.

But it noted that the supply of drivers and other inflationary pressures remained a challenge to its public transport business.

Geographically, Singapore posted the biggest growth in operating profit, which more than doubled to $46.4 million for the quarter.

The group said it received $5.4 million in Covid-19 relief from the Government, down from $19.8 million in the same quarter in 2021.

Going by business segment, taxi was the top performer, with an operating profit of $16 million, versus a loss of $5.9 million in the same period in 2021.

The company’s public transport division, by far its largest income generator, posted a 15.9 per cent dip in operating profit to $26.9 million – largely on the back of lower government relief.

Its vehicle inspection and driving centre divisions posted better profits. Others such as engineering services and vehicle rental were flat.

Group depreciation and amortisation dipped by 7.6 per cent to $94.7 million because of “tightly controlled capital expenditure during the pandemic”.

For the first nine months, ComfortDelGro’s net earnings rose by 31 per cent to $153 million, as its revenue grew 7.9 per cent to $2,829.4 million.

Its cash and equivalents grew by 6.5 per cent from the end of 2021 to $978.9 million on Sept 30, 2022. Its net asset value per share stood at 119.6 cents, from 124.9 cents at the end of 2021.