ComfortDelGro - RHB Invest 2024-05-15: Seasonally Weak 1Q24; Better 2H24 Expected; BUY

• We expect ComfortDelGro’s many units to continue seeing y-o-y improvements ahead on higher local rail revenue, continued improvements in UK public transport revenue, better taxi earnings here, improvement in its China taxi wing, and contributions from newly announced acquisitions.

Seasonally weak 1Q24 results.

• - Read this at SGinvestors.io -
• ComfortDelGro maintains (and we believe) that the business will continue to improve in the coming quarters, as 1Q24 historically tends to be a seasonally weak quarter.

Despite a seasonally soft 1Q24, PATMI rose 24% y-o-y.

• - Read this at SGinvestors.io -
• 1Q24 taxi & private hire (TPH) EBIT margin came in a bit below our expectations, as an increase in competition from TADA, a ride-hailing player, led to a y-o-y decline in bookings.

Better 2H expectations.

• Read more at SGinvestors.io.

Shekhar Jaiswal RHB Securities Research | https://www.rhbgroup.com/ 2024-05-15 SGinvestors.io

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