ComfortDelgro – 2Q/1H 2017 Financial Results Analysis

With the recent release of ComfortDelgro 2nd Quarter financial results for 2017 on 11th August 2017, I saw a lot of brackets. Brackets, as you know, represents a decline in financial status as compared to the previous year’s results, and can have a negative or positive effect.

I would not say that this is their best performing quarter. In fact, many of their business segments have reported a decline in revenue except for their Public Transport and Driving Centre Services. EPS has decreased 6.85% from 3.94 cents to 3.67 cents QoQ but increased 2% from 7.34 cents to 7.49 cents YoY due to a stronger 1Q. Shareholders will be receiving an interim dividend payout of 4.35 cents as compared to 4.25 cents in 2016. At my entry price, this amounts to about a 1.86% yield.

Nevertheless, I stand strong on my view about ComfortDelgro’s financial position. Net cash position is still healthy currently at $229.5m with a gross gearing ratio of 12.5%. Despite challenging outlooks as mentioned in their financial report, I will continue to be a shareholder and await their full 2017 financial results. Should the share price tumble down further to a suitable entry price, I will be glad to increase my holdings with them.

Access their financial statement here and presentation here.

Thanks for reading!

Miss Niao xoxo

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Author: missniao

Hello! I blog about financial matters and things that average people can do to have a better retirement. I want to inspire people to take control of their money and have a better understanding about it. If you are interested to know more, follow me @ missniao.wordpress.com! :)

3 thoughts on “ComfortDelgro – 2Q/1H 2017 Financial Results Analysis”

  1. Hi Miss Niao
    Didn’t know you are vested in CDG as well.
    Hoopefully, we’ll see something better soon but unlikely given how management are shaping up the next 12 months outlook.

    Like

    1. Hey Brian!
      I think things are pretty okay at the moment. Although their revenues for the taxi business segment have been compromised by the new private drivers model, I agree with your post that we should sit by and see how it goes.
      The drop in share price is something I have taken advantage of. I hope that it would be rewarding in years to come.

      Like

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