Wikipedia

ComfortDelGro

ComfortDelGro Corporation Limited,commonly known asComfortDelGro,is amulti-nationaltransportgroup based inSingapore.It is listed on theSingapore Exchangeand operates more than 40,000 vehicles across 13 countries.[1]It was formed on 29 March 2003 through a merger of Singaporean land transport companies Comfort Group and DelGro Corporation.[2]

ComfortDelGro Corporation Limited
Company typePublic company
SGX:C52
IndustryLand transport
Automotive engineering
Vehicle inspection
Outdoor advertising
Insurance brokerage
Founded29 March 2003;21 years ago(2003-03-29)
Headquarters205 Braddell Road, Singapore 579701
Area served
Singapore, Worldwide
Key people
Mark Christopher Greaves (Chairman)
Cheng Siak Kian (MD/Group CEO)
ProductsTransport, advertising
RevenueIncreaseS$3.88 billionSGD(December 2023)
IncreaseS$180.5 million SGD (December 2023)
Number of employees
22,600 (2023)
SubsidiariesComfortDelGro Australia
CityFleet Networks
Irish Citylink
Metroline
Adventure Travel
SBS Transit
Scottish Citylink
Moove Media
A2B Australia
Auckland One Rail
Websitecomfortdelgro

On 17 September 2019, theDow Jones Sustainability Asia Pacific Indexlisted ComfortDelGro on its index in recognition of its sustainability efforts, thus becoming the first transport company in Singapore as well as in Asia to do so.[3]

History

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Comfort Group Limited

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See also:Taxis of Singapore

In May 1970, theNational Trades Union Congress(NTUC) announced plans to provide a cooperative taxi and minibus service.[4]The cooperative was aimed to target the problem of pirate or "ali baba" taxis which were rampant in Singapore at that time,[5]and NTUC planned to get former pirate taxi drivers to drive the minibuses as part of the cooperative.[6]The NTUC Co-operative Commonwealth for Transport Limited ( "COMFORT" or "NTUC Comfort" ) was hence formed by the NTUC as a social enterprise together with the affiliatedNTUC IncomeandNTUC Welcome.[5]Comfort started operations in 1971 started with a fleet of 1,000 taxis, with the first taxis entering service at the end of January that year.[7][8]

In June 1993, NTUC Comfort was corporatised and renamed Comfort Transportation Pte Ltd.[9]Comfort was subsequently listed on 6 June 1994 and became the Comfort Group Limited.[10]The listed company was owned bySingapore Labour Foundation(41.7%), its owner-drivers as a single block (approximately 20%) and the public (35%).[11]

At the time of the merger announcement in 2002, Comfort's taxi business operated under the brand names of Comfort and Yellow Top with a combined fleet of approximately 11,340 taxis. It was Singapore's largest private bus operator then with 401 buses on unscheduled routes.[12]It also had a fleet of 730 taxis inChinathrough joint ventures.

DelGro Corporation Limited

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Main article:SBS Transit

Singapore Bus Services Limited was established on 1 July 1973 to unify bus services in Singapore.[13][14]The company was replaced by Singapore Bus Service (1978) Limited on 17 February 1978, which was then listed on theStock Exchange of Singapore(SES) on 26 June the same year.[15][16][12]

By the 1990s, the company has diversified to other land transport businesses such as taxis, as well as property and engineering businesses. In 1992, the bus operations were reorganised under a new subsidiary SBS Bus Services Pte Ltd.[12]The original parent company Singapore Bus Service (1978) Limited was renamed DelGro Corporation Limited on 12 November 1997, from the words "Delta" and "Growth".[17]On 10 December the same year, the bus subsidiary SBS Bus Services Pte Ltd was listed and renamed Singapore Bus Services Limited, before renaming again toSBS Transitin 2001.[12]

Until 1995, SBS/DelGro's taxi operations arm was Singapore Bus Service Taxi Pte Ltd (SBS Taxi Pte Ltd). CityCab was formed in 1995 with the merger of three companies – Singapore Airport Bus Service Ltd (SABS), SBS Taxi and Singapore Commuter Pte Ltd (a subsidiary ofST Automotive).[18][19][9][8]CityCab then became DelGro's new taxi operations arm and was jointly owned by DelGro and ST Automotive (later ST Kinetics).[20]

At the time of the merger announcement in 2002, DelGro operated public bus services, taxis and car rental in Singapore, Malaysia, United Kingdom and the People's Republic of China. The Citycab operation ran 5,116 taxis, while SBS Transit was the largest scheduled bus operator in Singapore with 2,872 buses. DelGro had also just been awarded the operation of theNorth East MRT lineand theSengkangandPunggollight rail systems.[12]

Merger

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Comfort and DelGro's merger was first proposed on 21 November 2002.[12]In its joint announcement, the merger aimed to "consolidate the transportation businesses of the Companies in order to enhance profitability and shareholder value".[12]The merger was finalised on 29 March 2003.

The merger had a market capitalisation of over $1 billion, combined sales of $1.56 billion, and pre-tax earnings of $196 million. It set to provide a spectrum of transport services ranging from bus and taxi services to leasing and vehicle maintenance and inspections.[21]

The new company's only rival then wasSMRT Corporation,which had a market capitalisation of around $930 million, sales of $500 million and pre-tax profits of $88.5 million then. The latter's fleet of some 600 buses and 2,000 taxis was smaller, but it was operating Singapore's rail network entirely.[21]

Singapore operations

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SBS Transitthree-door MAN A95
Interior of aC751Ctrain on the North East Line
AC810Atrain on the Sengkang LRT Line
CitycabHyundai IoniqHybrid taxicab

Bus and Rail

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ComfortDelGro owns 75% ofSBS Transit,which is listed separately on theSingapore Exchange.SBS Transit is a leading bus and rail operator in Singapore. Every day, it carries more than three million passengers on its extensive bus and rail network.[22]

SBS Transit operates about 250 bus services with a fleet of more than 3,200 buses. The buses serve 17 interchanges and more than 3,500 bus stops island-wide. Additionally, SBS Transit operates theNorth East Line,which is Singapore's first fully automated, underground heavy rail system that connects Punggol to HarbourFront, as well as theSengkangandPunggol LRT Lines.

SBS Transit also operates theDowntown line.It is 42 km long with 34 stations, making it the longest underground line in Singapore. The first stage of the Downtown line commenced passenger service on 22 December 2013. The second and third stages were ready for passenger service on 27 December 2015 and 21 October 2017 respectively.

ComfortDelGro Bus, as a private-bus charter subsidiary, is the largest private land-transport company in Singapore, which offers a wide range of bus charter services, including employee and school bus services. It also offers overland bus services to West Malaysia, and operates premium bus services, complementing those offered by SBS Transit.[23][24]

Taxi

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Comfort and CityCab, both taxi companies belonging to ComfortDelGro Corporation, are the largest players in Singapore's taxi industry with a combined fleet of 8,800 taxis.[22]The ComfortDelGro taxi booking system wirelessly connects the taxis using the General Packet Radio Service (GPRS) technology via the in-vehicle Mobile Data Terminals (MDTs). Today, its Customer Contact Centre caters to over 32 million taxi bookings annually.[25]Comfort and CityCab also operate ComfortDelGro LimoCabs and MaxiCabs in its fleet.[26]

On 20 April 2022, ComfortDelGro launched its mobile application under a fresh name to offer services through one platform. The app, now known as CDG Zig, integrates ComfortDelGro's taxi booking tool with its now-decommissioned lifestyle tool Zig.[27]

Automotive Engineering

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Besides servicing private cars through its SPARK Car Care business, ComfortDelGro Engineering provides accident repair for most of ComfortDelGro's taxi fleet, as well as vehicle fleets for ComfortDelGro Bus and ComfortDelGro Rent-A-Car. Its diesel sale department's 17 diesel kiosks provide diesel at subsidised rate to ComfortDelGro's 16,600-strong taxi fleet islandwide.

Its vehicle construction unit custom-builds vehicles for passenger transportation as well as for special function for both local and regional customers. It also provides modifications, retrofitting and refurbishment to existing vehicles. ComfortDelGro Engineering is also the authorised distributor for Volvo Buses in Singapore.[28]

Inspection and Testing Services

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VICOM is offering testing and inspection services to a wide spectrum of industries such as automotive, petrochemical, aerospace, manufacturing, building, construction, marine and gas.[29]

Driving Centre

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ComfortDelGro Driving Centre is a partnership with Chofu Driving School of Japan. The Centre provides driving instruction for motorcars, motorcycles, bus and taxi vocational licences as well as corporate training.[22][30]

Car Rental

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ComfortDelGro Rent-A-Car operates as a car-rental and leasing-service provider in Singapore with a fleet of more than 1,100 vehicles.[22][31]

Insurance Broking Service

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ComfortDelGro Insurance Brokers is an associate company of the Group, and its principal activities relate to risk protection and transfer solutions through the disciplines of insurance broking, employee benefits consulting, risk management operations, claims and loss management and customised solutions. It proposes and implements solutions involving a blend of traditional insurance products, alternative risk financing instruments and methods to help the Group mitigate any risks faced in an increasingly complex environment.[32]

Outdoor Advertising

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Moove Media advertisement wrap on a ComfortDelGroHyundai i40taxicab

Moove Media is the advertising arm of ComfortDelGro and has been in operations since 8 April 2005 through the merger of Comfort Ads and SBS Transit Advertising. It marked its launch with several large cows dotted across the island.[33]

As of 2020, Moove Media offers an integrated outdoor advertisement platforms, reaching commuters islandwide, through:

Buses

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Rail

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MRT & LRT lines operated by SBS Transit (with their respective stations inclusive):

Since 2011, Moove Media offers similar outdoor advertising services in Sydney and Melbourne, Australia.[34]

Overseas operations

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Australia

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Main article:ComfortDelGro Australia
HillsbusBustechCDi in Sydney in July 2013

ComfortDelGro Australiais ComfortDelGro's Australian subsidiary, and operates buses inNew South Wales,Victoria,Queensland,Australian Capital TerritoryandNorthern Territory.The subsidiary started out in 2005 as a joint venture between ComfortDelGro (51%) and Australian taxi companyCabcharge(49%) known as ComfortDelGro Cabcharge (CDC), to purchaseWestbusandHillsbusin Sydney andHunter Valley BusesfromNational Express.[35]

In August 2006, ComfortDelGro Cabcharge expanded purchasing theWestern Sydneyservices ofBaxter's Bus Linesfollowed in August 2007 byMorisettBus Service, Sugar Valley Coachlines andTorontoBus Service.[36][37]

In November 2008,Kefford Corporationin Victoria was purchased[38]followed in September 2012 byQueanbeyan-basedDeane's BuslinesandTransborder Express,[39][40]theMelbournebus services ofDriver Groupin July 2013[41]and theBlue MountainsBus Company in August 2014.[42]In February 2017, ComfortDelGro purchased Cabcharge's shares in the business with it rebrandedComfortDelGro Australia.[43][44]

In 2018, ComfortDelGro acquiredTullamarine Bus Lines,[45][46]National Patient Transport,[47]Coastal Liner,Forest Coach Lines[48][49][50]andBuslink.[51]In May 2019 ComfortDelGro acquired Blanch's Bus Company and Brunswick Valley Coaches in theNorthern Riversregion.[52][53]

Swan Taxis

Additionally, Swan Taxis based inPerthbecame wholly owned by ComfortDelGro in 2010.[54][55]Swan Taxis later acquired Metro WA Taxi in October 2017.[56]Being wholly owned by ComfortDelGro since acquisition, Swan Taxis was never part of CDC.[56]

China

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In China, the Group operates and manages an inter-city bus station, Tianhe Coach Terminal,in Guangzhou. Hengyang's CityCab Bus Services, in which the Group owns a 25% stake, operates 88 buses.

ComfortDelGro also operates taxi services in nine cities – Beijing, Shanghai,Shenyang,Chengdu,Hengyang,Suzhou,Nanning,NanjingandJilin Citywith a total fleet of about 10,650 vehicles.[22][57]

Car Rental and Leasing

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ComfortDelGro launched a motor vehicle rental and leasing business through a joint venture company, ComfortDelGro Rent-A-Car (Chengdu), in Chengdu, the gateway to the fast developing Western region of China. The Group established Nanning ComfortDelGro Rent-A-Car to operate car rental and leasing services in the city on 1 January 2008 with an initial fleet size of 13 cars, and this number has now doubled.

Driving Centre

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ComfortDelGro has a joint venture company – Chengdu ComfortDelGro Qing Yang Driving School in Chengdu. The centre offers driving training, professional driver training and driver testing services to the Chinese.

In October 2006, the Group expanded its presence in China with its first move intoChongqingthrough a 90% stake in new joint venture driving school, Chongqing ComfortDelGro Driver Training Co., Ltd. It expanded its footprint with the acquisition of a site in Liang gian g for its Chongqing Liang gian g ComfortDelGro Driving Training driving school in April 2011, which is expected to be ready by the end of the year.

In September 2013, the Group further expanded its operations in Jilin City when its subsidiary, Jilin ComfortDelGro Taxi incorporated Jilin ComfortDelGro Driver Training Co., Ltd, a wholly owned driving school.[58]

Vehicle Inspection Services

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In 2004, ComfortDelGro acquired Chengdu Jitong Integrated Vehicle Inspection. Besides being a vehicle inspection centre, it also operates the sales of automotive parts and components in Chengdu. In the same year, it acquired Beijing Tian Long Da Tian Vehicle Inspection, which offers vehicle safety inspection and emission test services in Beijing.[59]

France

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In June 2020, ComfortDelGro entered into a collaboration agreement withRATP DevandAlstomto jointly bid for contracts alongLines 16and17of theGrand Paris ExpressinParis.[60]

In July 2023, the RATP Dev, Alstom and ComfortDelGro consortium obtained the contract to operate theParis Métro Line 15of theGrand Paris Express.[61]

Ireland

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In Ireland, ComfortDelGro operates theIrish Citylink ComfortDelGro,an inter-city coach services with over 20 coaches inDublin,Galway,ClifdenandCork.[22][62]

Malaysia

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In Malaysia, ComfortDelGro offers car-leasing and rental services through CityLimo Leasing (M) Sdn Bhd. The Group currently operates about 230 vehicles in the Capital.[63]In addition to leasing, the company also provides a round-the-clock mobile back-up service that offers assistance to customers in the event of an emergency.

New Zealand

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In August 2021,Auckland One Rail,in which ComfortDelGro has a 50% shareholding, was awarded a contract byAuckland Transportto operate train services inAucklandstarting from January 2022, lasting eight years initially with room for further extensions. This is the first overseas rail contract attained by ComfortDelGro and first by a Singapore company.[64][65][66]

Sweden

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In January 2024, aGo-Ahead Groupand ComfortDelGro joint venture, in which ComfortDelGro has a 45% stake, obtained the contract for the operation and maintenance of theStockholm Metrostarting from May 2025, replacing the previous operator,MTR.[67]

United Kingdom

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MetrolineNew RoutemasteronLondon Buses route 9
NAT GroupOptare MetroCityseen on one of the group's flagship routes, the X8 inCardiff

In March 2000, DelGro Corporation purchased theMetrolinebus company in London.[68]As of December 2012 it operated 1,200 buses.[22]In June 2013, a further 494 buses were added to Metroline with the purchase of five depots located in North and West London fromFirst London.[69]

UnderTransport for London(TfL)'s gross-cost model, operators like Metroline tender for routes and operate them as contractors. The Mayor of London decides on the level of fares as well as the concessions for certain passengers. All fare revenue goes to TfL. Fare revenue is then proportionately allocated to operators on a mileage basis and meeting the performance targets set in the contract.

ComfortDelGro also owns theScottish Citylinkexpress coach business inScotland.In September 2005 ComfortDelGro entered into a joint venture withStagecoachthat combined Scottish Citylink with Stagecoach'sMegabusoperation in Scotland.[70]

In May 2006, the Group acquired Onward Travel, a private car-hire business in Edinburgh, Scotland. It operates an exclusive airport taxi rank concession fromEdinburgh Airport.In March 2007, the Group acquired another licensed-taxi and private-hire company inBirmingham.The company has since been renamed Computer Cab (Birmingham) Ltd.[71]

In June 2015, ComfortDelGro was shortlisted to bid for theLondon Overgroundrailway concession but lost out toArriva Rail London.[72][73]

In February 2018, theNAT GroupinSouth Waleswas purchased with 100+ buses for £13.4 million.[74][75][76]ComfortDelGro has since improved the business by appointing a new Managing Director, Adam Keen ofDamory Coaches,replacing the Managing Director that came with the business.[77]Under ComfortDelGro, NAT Group has seen substantial expansion with a new rebrand and the termination of all overseas coach work due to theCOVID-19 pandemic.

In December 2021, ComfortDelGro purchasedMegabusand the remaining 35% of Scottish Citylink from Stagecoach.[78][79]

CityFleet Networks

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Main article:CityFleet Networks

ComfortDelGro also ownsCityFleet Networks,which operates Westbus UK, as well as taxi services in a number of UK cities, including ComCab and Comfort Executive.[80] [81]Comcab, also known as Computer Cab, operates taxis in London, Edinburgh,AberdeenandLiverpool,and operates a fleet of 6,300 radio taxis and private hire vehicles providing a service to local business and private customers.[22]

CityFleets Network was previously a joint venture between ComfortDelGro (51%) and Australia-basedCabcharge Australia(49%) until June 2016, when ComfortDelGro purchased the 49% stake from Cabcharge.[82][83]

Vietnam

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InHo Chi Minh City,ComfortDelGro owns 70% of Vietnam Taxi Company (Vinataxi), a joint venture with Vietnamese company Tracodi.[84][85]It is currently the third largest market share in the taxi sector in the city, and operates a fleet of over 380 taxis. Vinataxi was set up in 1992 as a joint venture between Tracodi and Hong Kong company Tecobest Investment, until Tecobest sold its share of Vinataxi to ComfortDelGro in 2003.

Prior to March 2018, ComfortDelGro also had another joint venture with former state-owned enterprise Saigon General Service Corporation (Savico), known as ComfortDelGro Savico Taxi. It was established in 2005 and operated over 220 taxis, a call centre, as well as a workshop which repaired and maintained the taxi fleet.[86]Competition with Uber and Grab, along with spending with the aim of increasing service quality and maintaining the taxi fleet, led to a decrease in profit to only VNĐ235 million (US$10,300) in 2017. Subsequently, ComfortDelGro Savico shut down in March 2018 and merged into Vinataxi later that year.[84][85]

See also

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References

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  1. ^"ABOUT US - ComfortDelGro".comfortdelgro.Retrieved3 April2020.
  2. ^"ABOUT US - ComfortDelGro".comfortdelgro.Retrieved2 April2020.
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