SBS Transit reports 3Q21 profit after tax fell 28 percent as operating costs rose

ComfortDelGro taxi in SingaporeComfortDelGro taxi in Singapore

SBS Transit reported Thursday its third quarter profit after tax fell 28.4 percent on-year to S$13.86 million on higher operating costs.

Revenue for the July-to-September period grew 10.9 percent on-year to S$334.85 million, the public-transportation operator said in a filing to SGX.

Public transportation services revenue grew, mainly on higher service fee and fare revenue, mainly from higher ridership, the company said.

Other commercial services revenue increased, mainly on higher advertising revenue with more campaigns rolled out as the economy gradually recovered, SBS Transit said.

Operating costs rose 13.6 percent on-year to S$320.75 million, mainly on higher fuel and electricity costs as the average diesel price and electricity tariff rose, and as staff costs increased on lower wage subsidy from Singapore’s Jobs Support Scheme, the filing said.

SBS Transit issued a cautious outlook.

“With the current Covid-19 restrictions being extended to 21 November 2021 and working from home remaining as the default mode, rail ridership recovery is expected to be slow,” the company said.

“We will also focus on our digitalisation transformation journey and drive our sustainability efforts to improve customers experience and cost competitiveness,” SBS Transit said.

Read SBS Transit’s filing to SGX.