SBS Transit 1H2026 revenue at S$785.6 million, profit at S$29.4 million on higher energy and staff costs

SGX Filings
Aug 13

SINGAPORE – SBS Transit Ltd reported a net profit attributable to shareholders of S$29.4 million for the six months ended Jun 30, 2026, down 5.6 per cent year-on-year, as rising fuel, electricity and manpower expenses offset stronger takings from bus and rail services.

Group revenue grew 5.3 per cent YoY to S$785.6 million, while earnings per share slipped to 9.40 Singapore cents from 9.95 cents a year earlier. The board declared a tax-exempt one-tier interim dividend of 8.45 cents per share and a special dividend of 15.97 cents, lifting the total payout to 24.42 cents for the half-year.

Public Transport Services, which account for the bulk of turnover, generated S$757.2 million in revenue, up 5.8 per cent YoY, supported by higher service fees, fare increases and ridership gains on the North East and Downtown MRT lines. Segment operating profit, however, fell 3.8 per cent to S$23.3 million after factoring in cost inflation.

Other Commercial Services revenue declined 6.2 per cent YoY to S$28.4 million due to weaker advertising sales, yet operating profit rose 8.1 per cent to S$10.7 million on lower depreciation, staff costs and advertising expenses.

The group noted that margins were pressured by elevated electricity tariffs and diesel prices as well as a tight labour market, resulting in a 0.3 per cent dip in overall operating profit to S$34.0 million despite higher turnover.

Looking ahead, management expects bus revenue to decline when the Tampines Bus Package expires in July 2026, followed by the Serangoon-Eunos package in June 2027. This is projected to be partly offset by continued growth in rail revenue, underpinned by steady ridership and the fare adjustment implemented in December 2025. Commercial revenue is also set to taper with the expiry of the bus contracts.

Group chief executive Jeffrey Sim said the company was “disappointed” at losing the Serangoon-Eunos package in the recent tender but stressed that SBS Transit would maintain high safety and reliability standards across its network. He added that the rail division “remains the most reliable in Singapore”, and the group will focus on sustaining operational readiness while navigating energy-cost pressures and inflation.

SBS Transit maintained a cautious outlook for the remainder of the financial year, citing persistent labour tightness, elevated energy prices and broader inflationary trends.

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