Latest update as of 19/05/2017 @$2.42:
- The major implications that investors should take note of is in ComfortDelGro’s 2017 first quarter results, its taxi segment recorded a near-6% year-on-year decline in revenue.
- Earlier this year, a Straits Times article shared that the number of private-hire cars – owned by ride-hailing services such as Uber and Grab – had exceeded the number of taxis on the road in 2016.
- From the ComfortDelGro earnings presentation source of 2017, the Taxi Business are presented as below:
- Lower rental income in Singapore from a lower operating fleet, introduction of flexi rental schemes and the passing on of LTA's diesel tax rebate to drivers in the form of taxi rental discounts.
- Decrease in revenue in the UK due to unfavourable currency translation from the weaker Euro.
- Decrease in revenue in China from a smaller fleet, government mandated reduction in taxi rental rates and unfavourable currency translation from the weaker RMB.
- Decrease in revenue in Australia from lower rank fees.
- Decrease in revenue in Vietnam from a smaller fleet.
- Overall, we know that operating environment across all sectors have a tough outlook, and this includes the taxi, inspection, automotive engineering service that they operate. Operating profits as a result are down at about 9% yoy.
- ComfortDelgro's concentration of revenue are bigger in UK than in Australia, hence the exchange rate movement of weaker pounds impact them unfavorably.
- From a cashflow point of view, Comfort is actually doing better than what it was a year ago, not taking into account the changes in working capital.
- For more details information, please refer to sources from:
- fool.sg > 1 Uncomfortable Trend in ComfortDelGro Corporation Ltd’s Latest Quarter.
- foreverfinancialfreedom.blogspot.sg > Recent Action - Comfortdelgro.
Latest update as of 28/04/2017 @$2.74:
- ComfortDelgro has officially announced by referring to its announcement dated 10th February 2017, on the stepping down of Mr. Kua Hong Pak as its Managing Director / Group Chief Executive Officer on 30th April 2017.
- Mr. Kua will assume the new position of Senior Advisor to counsel and mentor the newly appointed MD/ GCEO and help in some of the overseas operations during the transition period.
- Mr. Yang Ban Seng, who has been leading the group's taxi business since 2003, will be appointed as Group Chief Executive Officer to take over Mr. Kua's role.
- For more details information, please refer to sources from:
- comfortdelgro.com.sg > Announcement > Stepping Down of Managing Director / Group Chief Executive Officer.
Latest update as of 21/04/2017 @$2.69:
- Just with the recent announcement from ComfortDelgro with the launching of its new apps feature of flat fare booking rate, it has been showing a very positive results.
- The new flat fare bookings feature had helped ComfortDelgro reached the milestones of 100,000 bookings in just 10 days time. This means it produces an average bookings of 10,000 ride per day.
- I personally thinks that it do helps to close the big gaps of competition among the famous apps like GrabCar and Uber. ComfortDelgro has been doing a great job in its market competition.
- For more details information, please refer to sources from:
- dailysingapore.com > ComfortDelgro Taxi Clocks Over 100,000 Flat Fare Booking Jobs In 10 Days.
Latest update as of 04/04/2017 @$2.62:
- ComfortDelGro (C52) announced that its taxi business will be introducing a new flat fare option on 10 Apr for taxi bookings made through its app, alongside metered fare option.
- This brings a great competitive advantage to ComfortDelGro and will close the gaps of the flat fare charged implement by GrabCar and Uber in the market.
- With this new rules implementation, it gives more options to the customers of ComfortDelGro to continue using the service.
- For more details information, please refer to sources from:
- sgx.i3investor.com > ComfortDelGro: New flat fare option from 10 April onwards.
Latest update as of 27/03/2017 @$2.49:
- ComfortDelGro: Adapting to changing environment.
- ComfortDelGro submitted plans to the Public Transport Council as they seek to introduce dynamic pricing of taxi fares, such as flat fee structure with no surcharges that is similar to the private hire cars’ fare structure.
- This means that after taxi companies implement the new pricing structure, commuters when booking a taxi through a mobile app will have an additional option to choose either taxi fares based on dynamic pricing (i.e. fixed fares determined by demand at time of booking) or the current metered fares.
- Five other taxi companies in Singapore operating more than 10,600 taxis in total have partnered with Grab to offer the dynamic pricing fare option through the new JustGrab function in the Grab mobile app.
- For more details information, please refer to sources from:
- sgx.i3investor.com > ComfortDelGro: Adapting to changing environment.
Latest update as of 21/02/2017 @$2.42:
- Budget 2017 had certain measures announced to address environmental concerns over vehicular emissions.
- With the restructuring, the Government will introduce a volume-based duty at S$0.10 per litre on automotive diesel, industry diesel and diesel components in biodiesel.
- There will also be permanent reduction of the annual special tax on diesel cars and taxis by S$100 and S$850 respectively. This would help to pass on some of the savings back to the taxi drivers to help the drivers partially or fully offset the increase in the diesel costs.
- With such restructuring and tax reduction, it don't seems to be having any huge impact on the cost outcome.
- For more details information, please refer to sources from:
- sgx.i3investor.com > ComfortDelGro: Diesel tax to become usage-based instead of lump-sum tax.
- channelnewsasia.com > Budget 2017: Taxes on diesel vehicles restructured based on usage.
Latest update as of 13/02/2017 @$2.50:
- ComfortDelGro is showing a positive results with a higher dividend payout for FY16.
- ComfortDelGro also trying to focus on retaining its existing taxi hirers.
- As a quick background, ComfortDelGro is the majority owner of vehicle and non-vehicle testing and inspection outfit Vicom Limited (SGX:V01), and bus and rail services provider SBS Transit Ltd (SGX:S61).
- ComfortDelGro revenue for 2016 fell by 1.3% to $4.06 billion. However, on the flipside, the land transport firm reported better free cash flow and ended the year with a stronger balance sheet.
- ComfortDelGro also proposed a final dividend of 6.05 cents per share. Together with the interim dividend of 4.25 cents per share, the total dividend for 2016 is 10.3 cents per share. This a 14% improvement from the dividend of 9.0 cents per share paid out in 2015.
- Public Transport Services revenue was $2.307 billion in 2016, down 1.1% from 2015 due to currency exchange headwinds. In 2016, the Taxi business grew revenue by 1.1% to $1.34 billion.
For more details information, please refer to sgx.i3investor.com > ComfortDelGro: Higher dividend payout for FY16.
Latest update as of 10/02/2017 @$2.51:
- As part of its leadership succession plan, ComfortDelGro Corporation Limited today announced that its Managing Director/Group Chief Executive Officer, Mr Kua Hong Pak, is stepping down on 30 April 2017 after 14 years at the helm. He will be succeeded by Mr Yang Ban Seng, who is currently CEO of ComfortDelGro Taxis, on 1 May 2017.
- Mr Yang Ban Seng, 60 years old, is not new to the Group. He started out with Comfort Group in March 1989 and has been the CEO of the Taxi Business in Singapore since 2003.
For more details information, please refer to comfortdelgro.com.sg > Media Release.
For details information, please refer to tnp.sg > ComfortDelGro to have change in leadership.
