SINGAPORE (Nov 11): Transport group ComfortDelgro posted $87.3 million in earnings for 3Q16, 2.5% higher from $85.2 million in the same quarter a year ago on the back of lower expenditure, bringing earnings per share (EPS) in 3Q to 4.05 cents compared to 3.97 cents in 3Q15.

Group operating costs fell 3.3% to $888.2 million, as an increase of $12.4 million in actual operating costs was offset by a positive foreign currency translation effect of $43.0 million.

Revenue declined 3.1% to $1.015 billion from $1.047 billion in the previous year, due to an unfavourable foreign currency translation totalling to $47.9 million across the group’s bus and taxi segments, due to the weaker Sterling and Yuan.

If not for the translation loss – which caused revenue from the group’s bus and taxi businesses to fall by $39.8 million and grow marginally by $0.7 million (compared to an actual increase in revenue of $9 million) respectively – group revenue would have increased by $15.5 million instead.

Revenue from the rail business was 26.3% higher at $69.1 million due to the increase in average daily ridership.

Revenue from the inspection and testing services rose 1.9% to $26.9 million for the quarter due to higher business volumes, while the driving centre business recorded a 1% growth to $9.9 million.

On the other hand, automotive engineering services business fell 9.9% to $82.8 million, mainly attributable to lower prices of diesel sold to taxi drivers, while the group’s car and rental and leasing business contracted 6.1% to $9.3 million from the previous year.

Looking ahead, the group says it will continue to manage its costs prudently due to the challenging operating environment.

Shares of ComfortDelgro closed flat at $2.46 on Friday.