Kowloon Motor Bus Holdings (KMB) last year posted a 6.3 per cent growth in profit to $585.45 million, due to an improved performance of its franchised bus services.
The group, which also has non-franchised bus service and transport operations on the mainland, said turnover rose 13.3 per cent to $5.51 billion against $4.86 billion in 1997.
Earnings per share was $1.45 each, up from $1.36 in 1997. Directors declared a final dividend of 88 cents each, bringing a full-year dividend to 115 cents, up from 108 cents in 1997.
Its Kowloon Motor Bus franchise - the group's major profit engine - reported a profit of $598.4 million, up from $556 million. Revenue rose 10.6 per cent due to a fare increase, but operating costs also soared 11.2 per cent.
The company said the increase in operating costs was due mainly to a rise in payroll costs, increase in interest expenses and costs incurred improving service quality.
During the period, 1.03 billion passenger runs were made on KMB buses, slightly down from 1.05 billion in 1997.
