Link: https://links.sgx.com/1.0.0/corporate-announcements/OTMJ210VCOQ3EGLC/68a79506d7918269c89b410dfa44d5371edeb4c848e9a1018541e87ab3121f5c

Summary:

• Revenue: Down 4.5% to $745.9m, mainly because SBS Transit lost the Jurong West bus package in Aug 2024; partially offset by higher average rail fares.

• Operating results: Operating profit dipped 1.7% to $34.1m as lower revenue was mostly balanced by cost savings; EBITDA slipped 2.7% to $75.8m.

• Net profit/loss: Net profit attributable to shareholders fell 7.7% to $31.1m; diluted EPS down to 9.94 cents from 10.79 cents.

• Expenses: Group operating costs decreased 4.7% to $711.8m due to lower electricity and diesel prices and reduced repairs and maintenance.

• Public Transport Services: Segment revenue declined 5.1% to $715.6m; operating profit down 10.3% to $24.2m on lower revenue plus higher staff and other costs.

• Rail ridership: Continued growth—NEL +2.4% to 593,000 trips/day; DTL +1.0% to 463,000; Sengkang–Punggol LRT at 157,000.

• Other Commercial Services: Revenue rose 11.9% to $30.3m; operating profit up 28.3% to $9.9m, supported by stronger digital ads and the SG60 bus campaign despite higher concession fees.

• Dividend: Interim dividend declared at 8.95 cents per share; payout ratio 90%, consistent with policy of at least 50%.

• Cash generation (implied): Margin pressure evident with EBITDA down 2.7%, reflecting revenue decline partly offset by cost savings.

• Outlook—rail: Revenue expected to rise with steady ridership growth and fare adjustments effective 28 Dec 2024.

• Outlook—bus: Revenue expected to decline due to the full-year impact of losing Jurong West; Tampines bus package expires July 2026, bid submitted and awaiting results.

• Cost outlook: Manpower costs likely to increase amid a tight labor market; fuel and energy costs expected to ease barring unforeseen events.