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Cabcharge looks to buses, new technology

Reported by AAP
Thursday, February 23, 2012
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Cabcharge Australia
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Cabcharge Australia says its expanding bus business and the growing use of `touch and go' payment technology will drive growth in the future.

Executive chairman Reg Kermode said he was cautiously optimistic about future growth given tough economic conditions.

But increasing familiarity with contactless card payment systems, thanks to its rollout in major supermarkets, will benefit similar technology that Cabcharge offers, he said.

"Our contactless technology platform and product innovations ... strengthen our reputation not only in taxi payments but in the electronic payments market generally," Mr Kermode said in a statement.

Cabcharge's CDC business, the largest private bus operator in Australia, is also expected to grow, Mr Kermode said.

"Other sources of taxi related services revenue are expanding and CDC is growing with governments encouraging greater use of public transport," he said.

CDC, which includes Westbus and Hillsbus in NSW and Eastrans, Westrans and Davis and Benders in Victoria, contributed more than 26 per cent of Cabcharge's net profit in the six months to December 31.

The company's net profit for the period was $25.9 million, up 58 per cent from $16.4 million in the previous corresponding period.

The rise was partly due to the company's payment of a $15 million penalty for anti-competitive behaviour in the previous corresponding period.

Cabcharge shares were up 25 cents, or 4.9 per cent, at $5.38 at 1541 AEDT.

AAP dmc/gfr

22/12/2014 02:49Sydney, Australia. 22 December,2014
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