SBS Transit reports slight improvement in profit after tax to $15.8 mil in 1QFY2023

Profit after tax was up by 1.9% y-o-y, compared to $15.5 million in 1QFY2022.

SBS Transit S61 has reported revenue of $367.93 million for the 1QFY2023 ended March 31, a 6.9% improvement from the revenue of $344.07 million reported in the same period last year.

Of this improvement, $21.0 million came from higher fare revenue from the transport operator’s public transport services.

This was mainly a result of higher rail ridership and partially offset by the lower service fee rate for five extended negotiated bus contracts, as well as lower fuel indexation.

SBS’s other commercial services contributed the remaining $2.9 million in improvement, mainly from an increase in advertising campaigns due to improved economic conditions.

All remaining Covid-19 restrictions were lifted on Feb 13, during SBS’s 1QFY2023 period.

Operating costs during the quarter increased by 8.3% y-o-y to $351.58 million due to higher fuel and electricity costs as a result of higher average electricity prices and higher overtime costs.

As a result, operating profit fell 15.6% y-o-y to $16.35 million.

However, profit after tax (PAT) remained relatively stable, improving 1.9% y-o-y to $15.81 million.

Ebitda fell 6.4% y-o-y to $40.18 million.

During the quarter, ridership for the North-East Line (NEL) and the Downtown Line (DTL) stood at a respective 89% and 88% of its pre-Covid-19 levels respectively, up four percentage points and seven percentage points q-o-q.

In its business update, SBS says that while it expects rail ridership and other commercial services revenue to continue to improve, the company is cautious that a full recovery to pre-pandemic levels may still take time.

In addition, the transport operator notes that bus revenue will reflect the full-year impact of the lower service fees for the five extended negotiated bus packages contracts which came into effect from September 2022

Shares in SBS closed 1 cent or 0.38% down at $2.64 on May 12.

See Also:

• Click here to stay updated with the Latest Business & Investment News in Singapore

• APAC Realty reports 1QFY2023 earnings of $3.0 mil, 67% lower y-o-y

• Genting Singapore triples earnings to $129.2 mil for 1QFY2023

• Bumitama Agri’s 1QFY2023 earnings down by 51% to $38.7 mil from lower ASPs

• Read more stories about where the money flows, and analysis of the biggest market stories from Singapore and around the World

• Get in-depth insights from our expert contributors, and dive into financial and economic trends

• Follow the market issue situation with our daily updates

• Or want more Lifestyle and Passion stories? Click here