possible takeover/merger maybe?

Read second last paragraph

Cabcharge flags higher revenue in 05/06
Email Print Normal font Large font November 23, 2005 - 2:39PM


Sydney-based Cabcharge Australia says it is confident of improving its revenue in 2005/06, underpinned by increases in fare revenue.

Its recent acquisition of Westbus will also exceed original earnings before interest, taxes, depreciation, and amortisation (EBITDA) forecasts, Cabcharge said.

Cabcharge's main taxi business and other subsidiaries are already exceeding budget expectations in the current financial year.

Last financial year the company posted a net profit of $27.23 million and revenue of $780 million.

"We are confident of improving yet again these figures," executive chairman Reg Kermode said at the company's annual general meeting.

"Some of this will reflect our fortress position in the Australian marketplace, including the revenue increase we expect to reap from fare increases nationally.

"We have every reason to believe that 2006 will be the first of many more years of growth in revenue, cost control and resultant increase in EPS (earnings per share)."

The company is working to restructure and extend its relationship with ComfortDelGro, which underpins its UK taxi businesses, to make a significant contribution to its 2005/06 revenue.

Cabcharge is now looking at a range of acquisitions in transport, payments systems and new technologies with announcements flagged in the coming months.

Shares in Cabcharge were five cents higher at $6.28 at 1422 AEDT on Wednesday.