You are currently viewing our site as a guest, which gives you limited access to our site features. By signing up for a free membership, you will receive our Investment Opportunity newsletters and have access to additional features for finding and comparing managed funds and shares. Registration is fast and simple, so please:
Business Description: Cabcharge Australia Limited (CAB) is a diversified Australian technology, financial services, taxi payments and passenger land transport Company. It also develops and manufactures in-taxi equipment through its associate company; ComfortDelgro Cabcharge Pty Ltd. CAB also provides bus and coach services to customers predominantly in Australia.
Strategy Analysis: Cabcharge hopes to maintain a dominant position in the taxi industry through ownership of a state of the art, information and technology network. The network is used primarily for electronic settlements and as a comprehensive payment management tool. Maintenance of leading edge technology means helps CAB defend its position against new entrants to the taxi payments system. National growth initiatives include the planned growth in taxi plate licenses by state governments. This will have a direct impact on the potential number of Cabcharge transactions as the result of an increased number of taxis on the roads. Fares are increased periodically as the State Governments review fares to allow for movements in fuel and other costs. Merchant fees may possibly be negotiated and a general switch by consumers from cash to credit transactions works in favour of CAB operations. CAB is expanding its presence in the UK market through a joint venture arrangement. The UK expansion is still in its infancy and earnings performance has been poor given the weak economic environment. The CDC bus joint venture has seen increased patronage as economic stress pushes more passengers onto buses and services are expanded, particularly in high growth regions. There is the risk that CDC loses Region 4 through NSW government tender, but we think CDC is in a strong position to retain them, albeit at tighter margins.
Cabcharge Australia reported NPAT up 28.5% to $33.34m for the half-year ended 31 December 2012. Revenues from ordinary activities were $99.77m, up 1.2% from the same period last year. Basic and Diluted EPS was 27.7 cents compared to 21.5 cents last year. Net operating cash flow was $29.35m compared to $27.94m last year. The interim dividend declared was 18.0 cents compared with 17.0 cents last year.
The Age 9/12/2013 |
Commerce ministers have capped days of hard negotiations by approving a commercial deal that the World Trade Organisation hailed as a historic boost for the trade body and the world economy.
The Age 9/12/2013 |
The jobs picture in the United States brightened in November as hiring was stronger than expected and the unemployment rate fell to a five-year low, data that increases the likelihood of the Federal Reserve easing its stimulus efforts sooner rather than later.
IMPORTANT: This information has been prepared without taking into account your objectives, financial situation or needs and you should consider if the information is appropriate for you before making an investment decision. Neither InvestSMART Financial Services Pty Ltd nor any of its Related Companies make any recommendations as to the merits of any investment opportunity referred to in its emails or its related websites. Product disclosure statements for financial products offered through InvestSMART can be downloaded from this website or obtained by contacting 1300 880 160. You should consider the product disclosure statement before making a decision about the product. All indications of performance returns are historical and can not be relied upon as an indicator for future performance.