JAKARTA: Express Transindo Utama, Indonesia’s largest listed taxi operator, posted a 30 per cent increase in profit in the first six months of the year on the back of an expanded fleet.
Express reaped 78.9 billion rupiah (RM21.59 million) in net income in the January-June period, up from 60.5 billion rupiah in the same period a year ago, according to a financial statement published in the Investor Daily on Friday.
The company’s revenue rose 23 per cent to 408.9 billion rupiah from 331.4 billion rupiah, with taxi receipts accounting for 85 per cent of the revenue. Other source of income came from spare parts sale and car rents.
Meanwhile, its cost rose to 272 billion rupiah, which is 22 per cent higher than last year’s 224.3 billion rupiah.
Express added 2,000 taxis to its fleet last year, which totalled 10,000 units as of December last year, as it spent its initial public offering money from a year ago.
The company is now sitting on one trillion rupiah of cash from bonds issuance in June to fund another stage of expansion
The company said early this year it would buy 2,000 new cars this year to strengthen its fleet as its aims to provide comfortable public transport and persuade city dwellers to leave their cars at home.
The company is also planning to add 150 coach-buses and 300 luxury taxis.
Express is competing with Blue Bird Group, the country largest taxi operator, and Cipaganti Citra Graha, another listed transportation firm that operates taxi and inter-city shuttle bus services.
But the taxi operators are also facing competition from private car sharing, which has gained traction with the rise of social media and smartphone use in Indonesia.
Uber, a San Fransisco-based transportation network company, plans to start operation here as soon as this year, offering its luxury chauffeur service, Uber Black.
Express is controlled by tycoon Peter Sondakh’s conglomerate Rajawali Corpora.
Peter is ranked ninth on Globe Asia’s Indonesian rich list, with assets worth US$2.5 billion (RM7.94 billion).
Express is listed on the Indonesia Stock Exchange. It made its trading debut in October 2012.