Latest news with #ComfortDelGro
Yahoo
4 days ago
- Business
- Yahoo
The five-year decline in earnings for ComfortDelGro SGX:C52) isn't encouraging, but shareholders are still up 7.9% over that period
For many, the main point of investing is to generate higher returns than the overall market. But even the best stock picker will only win with some selections. At this point some shareholders may be questioning their investment in ComfortDelGro Corporation Limited (SGX:C52), since the last five years saw the share price fall 12%. After losing 4.1% this past week, it's worth investigating the company's fundamentals to see what we can infer from past performance. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. During the five years over which the share price declined, ComfortDelGro's earnings per share (EPS) dropped by 4.5% each year. The share price decline of 2% per year isn't as bad as the EPS decline. The relatively muted share price reaction might be because the market expects the business to turn around. You can see how EPS has changed over time in the image below (click on the chart to see the exact values). We know that ComfortDelGro has improved its bottom line lately, but is it going to grow revenue? You could check out this free report showing analyst revenue forecasts. When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. Whereas the share price return only reflects the change in the share price, the TSR includes the value of dividends (assuming they were reinvested) and the benefit of any discounted capital raising or spin-off. It's fair to say that the TSR gives a more complete picture for stocks that pay a dividend. In the case of ComfortDelGro, it has a TSR of 7.9% for the last 5 years. That exceeds its share price return that we previously mentioned. The dividends paid by the company have thusly boosted the total shareholder return. ComfortDelGro shareholders gained a total return of 7.0% during the year. Unfortunately this falls short of the market return. On the bright side, that's still a gain, and it's actually better than the average return of 1.5% over half a decade This suggests the company might be improving over time. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. Even so, be aware that ComfortDelGro is showing 1 warning sign in our investment analysis , you should know about... If you are like me, then you will not want to miss this free list of undervalued small caps that insiders are buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Singaporean exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Straits Times
5 days ago
- Business
- Straits Times
ComfortDelGro will bid to run Melbourne trains from 2027 as part of consortium
ComfortDelGro currently manages more than 360 buses that serve Melbourne's metropolitan routes and operates Australia's largest taxi network with a fleet of over 8,300 vehicles. PHOTO: COMFORTDELGRO ComfortDelGro will bid to run Melbourne trains from 2027 as part of consortium SINGAPORE – Home-grown transport operator ComfortDelGro will be bidding to operate and maintain the metro lines in Melbourne, Australia, from 2027 , when the contract of current operator Metro Trains Melbourne (MTM) expires. Announcing this on LinkedIn on May 26 , ComfortDelGro said it will be part of a consortium that includes Australian rail manufacturer UGL, Japan's East Japan Railway and Japanese investment conglomerate Marubeni Corp. While the tender for the operation and maintenance of the Melbourne metro system has not been called, this consortium was formed ahead of time to prepare for the bidding. Melbourne's metro network spans 405km and comprises 17 train lines and 222 stations , making it Australia's largest suburban rail system, ComfortDelGro noted. The company said on LinkedIn that it would bring global expertise, innovation, exceptional service and operational excellence through this partnership. Citing its decades of experience in managing metro systems in Singapore and serving the communities in Australia, ComfortDelGro said it is looking forward to proposing innovative and sustainable transport solutions to elevate the rail experience for passengers in Melbourne. At present, Melbourne's metro network is being operated by MTM, a joint venture between Hong Kong's Mass Transit Railway, Australian transport company John Holland Group and UGL. MTM has been operating Melbourne's metro system for close to 16 years to date, from November 2009, but the contract will expire in 2027. It started running the city's rail network under an eight -year concession contract, which was later extended for seven more years in September 2017 and then subsequently extended for 18 more months till 2027. ComfortDelGro's plan to bid to operate the rail network in Melbourne comes on the back of the company successfully clinching an 11-year contract to run and maintain Stockholm Metro's three existing lines – awarded in January 2024 – as well as a six-year contract to operate the south sector of Paris' Line 15, which was awarded in July 2023. The company's first foray overseas as a rail operator was in August 2021, when it bagged a $1.13 billion deal to operate rail services in Auckland, New Zealand. Earlier in January, ComfortDelGro similarly expressed interest in bidding for an operation and maintenance contract for the Copenhagen metro system in Denmark. In Melbourne, the company currently manages more than 360 buses that serve the city's metropolitan routes and operates Australia's largest taxi network with a fleet of over 8,300 vehicles. Join ST's WhatsApp Channel and get the latest news and must-reads.
Yahoo
6 days ago
- Business
- Yahoo
Singapore's ComfortDelGro will bid for Melbourne's rail line as it takes its public transport model global
ComfortDelGro, which operates Singapore's Northeast and Downtown lines, is partnering with East Japan Railway Company (JR East) and UGL to form the Melbourne One Rail Consortium to bid for the Melbourne Metropolitan train network sometime next year, when regulators open the tender. 'The bidding team marries world-class Japanese and Singaporean customer service and efficiencies with UGL's local asset management and operational expertise,' the consortium said in a statement. The group is backed by the Japanese general trading and investment conglomerate, Marubeni Corporation. The line's current operator is Hong Kong's MTR, working with John Holland Group and UGL, in a contract that expires in 2027. Melbourne's metropolitan network has 17 lines covering 402 kilometers and 222 stations and is Australia's largest suburban rail network. It generates about 2 billion Singapore dollars ($1.54 billion) in annual revenue, ComfortDelGro CEO Cheng Siak Kian estimated in an interview with Fortune. ComfortDelGro's share of that revenue will depend on the joint venture contract, but it would still be a significant boost to the company's finances. The company reported revenue of 1.17 billion Singapore dollars ($903 million) for the quarter ending March, with 52.6% of that revenue coming from outside of Singapore. Australia revenue reached 203 million Singapore dollars ($156 million). If ComfortDelGro's bid is successful, it'd be the second rail network taken from its Hong Kong competitor. Last year, ComfortDelGro won the bid to operate Stockholm's metro from MTR, which had run the Swedish city's trains since 2009. (MTR also recently lost a contract to operate London's Elizabeth Line to Tokyo Metro). Cheng chalked up the company's wins against MTR to fortunate timing. Rail contracts normally span at least seven years, and Cheng said ComfortDelGro now has enough rail experience to make big global bids right as contracts are starting to expire. MTR has operated Melbourne's line for over 10 years, and Stockholm's for over 14 years by the time ComfortDelGro takes over at the end of the year. 'Ten to 14 years ago we were not even in the position to bid for this contract,' Cheng said. 'It's just an evolution of time where you gain expertise, and then you work with the right partners to be able to challenge for those contracts.' ComfortDelGro's expertise is in reliably operating driverless metro trains. The company's two lines, the Northeast line and the Downtown line are the city's most reliable, with the highest Mean Kilometers Between Failure (MBKF) among the five lines where data exists. (Singapore's most recent line, the Thomson-East Coast line operated by SMRT, is still too new to have reliability data) Cheng credited high expectations by Singapore's consumers for forcing the company to constantly improve its reliability. ComfortDelGro does not own the real estate in or around its stations, a significant source of revenue for other rail operators like MTR or JR East. Instead, ComfortDelGro generates revenue from a fixed fee regulators pay it to operate the rail network that is tied closely to rail reliability and customer satisfaction, meaning the company must ensure breakdowns are rare to preserve its thin margins. 'We are very focused on operating the system well, and that's where it gives us the advantage,' Cheng said. The Melbourne bid is part of ComfortDelGro's strategy to leverage its experience in three different kinds of transport. In addition to its Australian operations, ComfortDelGro also operates bus and taxi services in the UK, as well as taxis and private-hire cars in mainland China. It will also operate rail services in Paris later this year. Cheng hoped ComfortDelGro's broad experience will help the company keep bidding to expand its presence in its existing markets. 'The advantage of growing in that manner is a lot of familiarity, both with regulators and the brand name, so that's what we will try to do,' he said. If ComfortDelGro's Melbourne bid is successful, the company will finally operate rail, bus, and taxi services in Australia, allowing it to replicate the multi-modal model it has in Singapore. Cheng wants to recreate this model beyond Singapore and Australia. 'Where it's suitable, where it's viable, we will do so,' he said. ComfortDelGro will likely look to expand its presence in existing markets first, or in adjacent markets. 'We are quite deliberate about where we are expanding to. We need to understand the revenue model, the regulatory environment, and what is the rule of law,' Cheng said. But that won't stop the company from 'going to cities where we don't have a presence yet,' he adds. This story was originally featured on
Independent Singapore
15-05-2025
- Business
- Independent Singapore
ComfortDelGro's Q1 2025 operating profit jumps 45.5% YoY to $81.5M
Photo: Comfort DelGro SINGAPORE: ComfortDelGro has recorded its eighth consecutive quarter of improved financial results, thanks largely to stronger earnings from its international operations and tighter cost management in Singapore. For the first quarter of 2025, the public transport operator posted an operating profit of S$81.5 million — a 45.5 per cent jump compared to the same period last year. The company's revenue has also risen by 16.4 per cent year-on-year to nearly S$1.17 billion. The company pointed to the renewal of its London bus contract as a key factor behind the strong showing. It reported that new contract terms have led to better profit margins, contributing significantly to overall performance. Back home, ComfortDelGro said efforts to streamline operations and control costs have started to bear fruit, allowing it to maintain profitability despite a more competitive local transport market. Notably, overseas operations now account for more than half of the group's total revenue — a first in the company's history — underlining the growing importance of its international business in cities such as London, Sydney, and Beijing.
Business Times
15-05-2025
- Business
- Business Times
Stocks to watch: Genting Singapore, ComfortDelGro, Venture, Golden Agri, SingPost, Centurion, Sasseur Reit
[SINGAPORE] The following companies saw new developments that may affect trading of their securities on Thursday (May 15). Genting Singapore: The company said its chief executive officer Tan Hee Teck will step down. He will also retire from his position as Resorts World Sentosa chairman and CEO on May 31. Tan was appointed CEO of Genting in May 2022. He first joined the Genting Group in 1982 and held several senior positions across various geographical regions. The counter closed 0.7 per cent or S$0.005 lower at S$0.735 on Wednesday. ComfortDelGro : The transport behemoth posted a 19 per cent rise in its net profit to S$48.3 million for the first quarter ended March on contributions from last year's acquisitions and improved margins. It said in an update on Wednesday that revenue rose 16.4 per cent year on year to S$1.2 billion, whereas operating costs climbed at a slower pace of 15 per cent. The mainboard-listed company was confident that its cabbies would not jump ship to Grab. At the Apr 22 annual general meeting, the transport operator's group chief executive Cheng Siak Kian sought to assure shareholders about the loyalty of its own taxi drivers. ComfortDelGro shares were 0.7 per cent or S$0.01 lower at S$1.52, before this business update was released. Venture Corp : The technology solutions provider reported a 7 per cent decline in net profit to S$55.9 million for the first quarter of 2025, from S$60.1 million in the year-ago period. Revenue fell 7.5 per cent to S$616.6 million, from S$666.7 million. Group revenue declined largely due to lower demand in the company's lifestyle consumer technology domain, where it improved the reliability and longevity for a customer's key products through research and design innovation, which led to lower product replacement, the group said in a bourse filing on Wednesday. Shares of Venture closed 0.5 per cent or S$0.06 higher at S$11.27, before the announcement. Golden Agri-Resources : The palm oil company reported on Thursday a net profit of US$55 million for the first quarter ended Mar 31, 2025, up 47 per cent from US$37 million in the previous corresponding period. This was driven by stronger plantation output and an appreciation in the price of crude palm oil. Revenue rose 19 per cent to US$3 billion, from US$2.6 billion in the year-ago period. Shares of Golden Agri-Resources closed flat at S$0.245 on Wednesday. Singapore Post (SingPost): The company's net profit for the second half ended Mar 31 surged 232.7 per cent to S$222.5 million, from S$66.9 million in the corresponding year-ago period. This was largely due to an exceptional gain from the disposal of its Australia business. Following this sale, the group proposed a special dividend of S$0.09 per share. Excluding the net exceptional gain, SingPost's underlying net loss for H2 stood at S$461,000, versus a net profit of S$28.1 million in the year-ago period. Revenue was down 12.1 per cent at S$387.5 million from S$440.6 million previously, the group said on Thursday. SingPost shares closed 1.6 per cent or S$0.01 higher at S$0.635 on Wednesday. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Centurion : The dormitory and student accommodation operator's revenue rose 13 per cent to S$69 million for the first quarter ended Mar 31, from S$61.1 million in the year-ago period. This was driven by positive rental revisions across markets and strong financial occupancies in both Singapore and the United Kingdom. Revenue from the purpose-built worker accommodation segment grew 15 per cent to S$53.4 million from S$46.2 million. Meanwhile, revenue from its purpose-built student accommodation segment rose 2 per cent to S$15 million from S$14.7 million. Shares of Centurion closed S$0.01 or 0.8 per cent down at S$1.25 on Wednesday. Sasseur Real Estate Investment Trust (Sasseur Reit): The manager of the Reit posted that rental income for the first quarter ended March rose 1.6 per cent year on year to 175.4 million yuan (S$32.5 million), from 172.6 million yuan in the previous corresponding period. However, the rental income was 0.2 per cent lower in Singapore dollar, mainly due to the depreciation of yuan against the Singapore dollar, the manager said on Thursday. Units of Sasseur reit closed 1.6 per cent or S$0.01 higher at S$0.64 on Wednesday. Oiltek: The vegetable and edible oil processing company's Q1 net profit rose 22.1 per cent to RM5.4 million (S$1.6 million), from RM4.4 million a year ago. Revenue fell 5.1 per cent to RM46.7 million due to weaker numbers from the edible and non-edible oil refinery, and the product sales and trading segment. This was partially offset by an increase in revenue for the renewable energy segment. Shares of Oiltek closed 3.5 per cent or S$0.02 higher at S$0.59 on Wednesday. Manulife US Real Estate Investment Trust (Manulife US Reit): It posted a portfolio occupancy of 69.9 per cent for its first quarter ended March, down from 73.9 per cent in the previous quarter. The manager of the pure-play US office Reit said that this was largely due to the expiry of leases at its Diablo property in the submarket of Tempe, Arizona. Notable leases executed over the quarter included the Phipps' and Centerpointe's new leases of 27,000 square feet (sq ft) and 29,000 sq ft, respectively. Units of the Manulife US Reit closed 1.6 per cent or US$0.001 lower at US$0.063 on Wednesday.
