SINGAPORE – Transport giant ComfortDelGro Corp posted net earnings of $25.8 million for the third quarter ended Sept 30, up 19.4 per cent from the same time last year as economies continued to open up.
The better showing was on the back of a smaller government relief package of $19.8 million, versus grants of $44.2 million last year. It also took into account a minority interest adjustment of $5.5 million.
Revenue for the three months rose by 7.4 per cent to $880.3 million. Operating costs – including fuel – rose by 12.9 per cent to $737.5 million.
For the first nine months, earnings improved significantly from $15 million to $116.8 million.
ComfortDelGro said the impact of Covid-19 was still being felt in the quarter, with further outbreaks and tightening of measures in a number of markets it operates in.
Singapore moved to phase three (heightened alert) in July 2021, and there were full lockdowns in most states in Australia throughout the third quarter.
But further virus outbreaks in China were controlled relatively quickly, and the UK reopened fully from July.
It noted that Government reliefs have mostly tapered off, except for the UK.
The group’s cash and equivalents stood at $867.8 million as at September, up from $742.8 million at December 2020.
The taxi business continued to be in the red, even after government aid. This former top-performing division posted an operating loss of $5.9 million after government aid of $2.1 million.
Looking ahead, ComfortDelGro said infection spikes and mutations are worrying. “Recovery remains uncertain and uneven across geographies,” it noted.
It added that its balance sheet remained strong, with enough cashflow “for business continuity and growth”.