The latest win will see CDG increasing its market share in the state by 30%; CDG will serve 20% of Melbourne’s metropolitan network upon the start of the contract.
“We are delighted to have been awarded the three franchises in Victoria. This significant expansion will add resilience to our portfolio and solidify the group's position as a leading bus and multi-modal transport provider in Australia. We look forward to continuing to serve the local community by providing safe and reliable services,” says CDG’s managing director and CEO Cheng Siak Kian.
“The award of these zero-emission bus tenders in Melbourne underscores our commitment to electrifying our fleet and reducing our environmental footprint. We are proud to support governments in building safe, reliable, and sustainable transportation systems for the communities they serve,” adds CDG’s chairman Mark Greaves.
On a pro forma basis, had the contracts been awarded on Dec 31, 2023, CDG’s net asset value (NAV) per share would have been slightly higher at $1.21 for FY2023 ended Dec 31, 2023, from $1.20.
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Had the contracts been awarded on Jan 1, 2023, CDG’s earnings per share (EPS) for FY2023 would have been at 8.99 cents from 8.33 cents originally.
Shares in CDG closed at $1.41 on Sept 3.
