Transport group ComfortDelGro Corporation posted a net profit of $65 million for the second quarter ended June 30, up 8.5 per cent from the previous corresponding period's $59.9 million.
Group revenue rose 5 per cent - or $41.9 million - year on year to $884.9 million, thanks largely to its taxi business as well as its bus business.
While actual revenue increased by $44.7 million, negative foreign currency translation caused revenue to be $2.8 million lower.
Overseas contributions roughly made up 40 per cent of the group's top line. Earnings per share worked out to 3.11 cents in the second quarter, up from 2.87 cents in Q2 FY2011.
Second-quarter operating profit rose 3.1 per cent to $106.2 million despite total operating expenses coming in 5.2 per cent higher at $778.7 million.
For the six months, net profit came in 7.7 per cent higher at $118.5 million while revenue grew 5.7 per cent to $1.74 billion.
"We continued to grow our revenue and profit in the quarter despite the impact of cost pressures, particularly in the Singapore bus and rail businesses. We will continue to work hard at growing our top line while staying vigilant on costs," said managing director and group chief executive officer Kua Hong Pak.
The group, which operates in seven markets including China, the United Kingdom and Vietnam, has declared an interim dividend of 2.9 cents per share, payable on Aug 31.
During the second quarter, revenue from the group's bus business came in 1.8 per cent higher at $427.1 million, while operating profit for the bus segment was $1.9 million lower at $34.7 million due largely to a $3.1 million decrease in the Singapore bus business.
Its taxi business on the other hand saw revenue rise 9.4 per cent to $279.7 million and operating profit for the segment was $500,000 higher at $36.9 million.
As at June 30, the group had cash and short-term deposits of $579.7 million.
Commenting on its outlook, ComfortDelGro said it expects revenue from its bus business in Singapore to grow while the UK business will continue to be affected by the weaker pound. Its Australian bus business is expected to improve while revenue from the bus business in China is expected to come in lower.
Revenue from its rail business as well as its taxi business in Singapore is expected to grow while its UK taxi business will continue to feel the fallout from the weak economy.
Meanwhile, revenue from its Australia, China and Vietnam taxi businesses is expected to remain flat, as is its driving centre business in Singapore, though its driving centre business in China is expected to grow on the back of higher enrolment. The group also said it will continue to feel cost pressures.
Shares in the transport operator closed at $1.655 yesterday, up one cent.