Annual Report 2019

080 Transport International Holdings Limited 2019 Annual Report Financial Review The Group Summary of Financial Performance 2019 2018 Favourable/(Unfavourable) Change HK$ million HK$ million HK$ million % Revenue 8,112.2 8,009.3 102.9 1.3 Other income 411.1 217.6 193.5 88.9 Operating expenses (7,813.3) (7,389.7) (423.6) (5.7) Finance costs (32.2) (23.7) (8.5) (35.9) Share of profits of associates 21.5 23.8 (2.3) (9.7) Profit before taxation 699.3 837.3 (138.0) (16.5) Income tax (94.0) (117.2) 23.2 19.8 Profit for the year 605.3 720.1 (114.8) (15.9) Earnings per share (HK$) 1.38 1.68 (0.3) (17.9) Review of 2019 Financial Performance The Group’s Results for the Year The Group’s profit attributable to equity shareholders for the year ended 31 December 2019 was HK$605.3 million, a decrease of HK$114.8 million or 15.9% compared to HK$720.1 million for 2018. Earnings per share decreased correspondingly from HK$1.68 for 2018 to HK$1.38 for 2019. The decrease in profit was mainly attributable to the increase in staff costs as a result of the continuous improvement in staff remuneration and benefits as well as the prolonged social unrest throughout the second half of 2019 causing disruptions to public transport operations. Moreover, there was a one-off write-back of provision for third party liabilities in 2018. However, these negative factors were partly compensated by government subsidies. Dividends per Share 2015 1.6 1.2 0.8 0.4 0 2016 2017 2018 2019 HK$ Return on Average Net Fixed Asset Employed (exclude property development) Average net fixed asset Return on average net fixed asset 2015 8,000 6,000 4,000 2,000 0 20 15 10 5 0 2016 2017 2018 2019 Percent % HK$ Million