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Hong Kong rail operator MTR Corporation posts record loss of HK$4.8 billion as Covid-19 pandemic, troubled mega project take toll
- The MTR Corp’s losses stand in stark contrast to HK$11.9 billion net profit it recorded in 2019 – also a rough year for the company
- Recurrent business suffered HK$1.1 billion in losses in 2020, compared with HK$5 billion in profits the year before
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Hong Kong’s MTR Corporation lost money last year for the first time since its listing two decades ago, posting a record deficit totalling HK$4.8 billion, and warned drastic fare rebates were unlikely to continue.
The MTR Corp’s losses stood in stark contrast to the HK$11.9 billion net profit it recorded in 2019 – also a rough year for the operator, which had come under fire amid the sweeping social unrest that roiled the city for months over the now-withdrawn extradition bill.
But on Thursday, the rail giant’s CEO Jacob Kam Chak-pui said while it had been hit hard by the coronavirus pandemic last year, and faced unprecedented challenges, the operator’s “businesses remain stable”.
“2020 has been the most challenging year in our 40-year history. The Covid-19 pandemic impacted our businesses both inside and outside Hong Kong,” he said. “Despite the challenges, our businesses remain stable.”
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Meet the voice you hear every day as you ride Hong Kong's MTR
Meet the voice you hear every day as you ride Hong Kong's MTR
Recurrent business suffered HK$1.1 billion in losses in 2020, compared with HK$5 billion in profits the year before, reflecting the impact of the pandemic and the city’s ensuing recession.
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