Annual Report 2025

20 Transport International Holdings Limited 2025 Annual Report MANAGING DIRECTOR’S MESSAGE We are engaging proactively with the Government to explore the establishment of a more effective system. This will be essential to maintaining industry stability, ensuring service quality, and meeting long-term societal needs, while enhancing overall returns for our shareholders. timely implementation of targeted improvements to enhance customer satisfaction. The effective deployment of AI not only ensures more efficient use of resources but also creates strategic capacity for the Group to explore and develop new opportunities. Building on the strong foundation of our franchised bus operations, we will continue to enhance customer experience and strengthen our competitive edge through more personalised and flexible service offerings. The Group remains agile in capturing emerging opportunities and actively expanding revenue streams to foster long-term sustainable development. Our key areas of expansion include: • Diversified service development: In response to evolving demands in tourism, pet transport, and elderly mobility, the Group has introduced themed tourism routes, pet-friendly arrangements, and accessible community shuttle solutions. • Strategic alignment with technology: In line with the Hong Kong SAR Government’s Transport Strategy Blueprint, which advocates demand-responsive services, the Group leverages data and technology to gain a comprehensive understanding of travel patterns and unlock the full potential of its franchised bus network. • Network and infrastructure opportunities: Actively captures growth opportunities arising from new development areas and the commissioning of road infrastructure and facilities Over the past few years, shifts in travel patterns and demographics, together with the continued expansion of the railway network, have posed challenges to the franchised bus business. Recent international volatility has driven up global oil prices, exerting direct pressure on operating costs. Given the high degree of uncertainty surrounding long-term fuel trends, the Group’s financial position continues to face sustained pressure. To address these challenges proactively, while remaining steadfast in commitment to service quality, it is essential to enhance operational efficiency through strategic innovation and the application of technology, alongside optimising organisational structure and resource allocation. As public transport remains the primary mode of travel, accounting for over 90% of journeys, the Group will leverage this advantage to further elevate service quality and efficiency, with a view to increasing patronage, consolidating market share, and driving steady business growth. The rapid advancement of artificial intelligence represents an irreversible global trend, and the Group has already integrated these technologies to enhance operational efficiency. In route planning, AI is deployed to analyse and forecast passenger demand with greater precision, enabling the optimisation of service frequency and scheduling. In maintenance, the adoption of AI on preventive maintenance accelerates fault diagnostics and repair processes, thus, reduces the chances of breakdown. On the customer service side, AI facilitates more precise analysis of passenger feedback, enabling the