AMS Public Transport Holdings Limited (AMS) reported a strong rebound for the year ended 31 March 2026, driven by fare increases, higher passenger volumes and lower finance costs.
Financial Highlights • Revenue rose 5.1% year on year to HK$436.14 million, reflecting a 3.2% increase in franchised public light bus (PLB) patronage and the full-year effect of fare hikes implemented in FY25. • Statutory profit more than doubled to HK$17.97 million (+114.0%). • Excluding non-cash valuation charges—HK$16.91 million PLB licence revaluation deficit and HK$0.06 million bus-licence impairment—underlying profit advanced 40.4% to HK$34.93 million. • Gross profit improved 6.5% to HK$81.40 million; gross margin strengthened 20 basis points to 18.7%. • Finance costs fell 42.2% to HK$5.64 million as bank borrowings declined 21.3% to HK$81.65 million and lease liabilities trended lower. • Operating cash flow grew 27.5% to HK$131.29 million, lifting cash and bank balances to HK$92.58 million (+38.4%) and shifting the group to a net cash position from 100.4% net gearing a year earlier. • Net current assets turned positive at HK$8.35 million versus net current liabilities of HK$43.23 million in FY25.
Cost and Operations • Direct costs increased 4.8% to HK$354.73 million; labour expenses were up 7.1% to HK$173.39 million, while fuel costs held steady at HK$66.28 million as lower unit fuel prices offset higher mileage. • Total mileage grew 6.3% to 37.0 million kilometres; the fleet expanded marginally to 356 PLBs and eight residents’ buses. • Average fleet age edged up to 8.9 years (FY25: 8.3 years). • Administrative expenses contracted 7.5% to HK$41.58 million following the absence of prior-year one-off costs. • Capital expenditure totalled HK$4.88 million, primarily for vehicle replacement, equipment upgrades and two additional PLB licences.
Balance Sheet and Liquidity • Total assets stood at HK$224.17 million, with shareholders’ equity at HK$43.83 million. • Current ratio improved to 1.09x (FY25: 0.64x) after a 22.5% reduction in current liabilities, mainly lease run-offs. • AMS maintained HK$148.95 million of banking facilities, of which HK$81.65 million were drawn.
Dividend The Board recommends a final dividend of HK6.0 cents per share, doubling FY25’s HK3.0 cents and representing a cash distribution of HK$16.32 million, payable on 18 September 2026, subject to shareholder approval at the 27 August 2026 AGM.
Outlook Management flagged rising international fuel prices—up about 19% in April–May 2026—as a near-term headwind, partly mitigated by a government fuel-subsidy and tunnel-toll relief totalling roughly HK$2.40 million over two months. Fare-adjustment applications have been filed for affected routes. AMS is also preparing pilot runs of range-extended electric minibuses to address long-term fuel costs and environmental objectives, while advocating continued labour-import schemes to ease structural driver shortages.
Comments