Hong Kong – Kwoon Chung Bus (00306) reported a sharp earnings rebound for the financial year ended 31 March 2026, driven by solid growth in its core non-franchised bus operations and lower finance costs.

Revenue and Profitability • Revenue climbed 10.9 % year-on-year to HK$2.80 billion, outpacing the 6.3 % rise in cost of services. • Gross profit expanded 23.6 % to HK$818.17 million, lifting gross margin to 29.2 % from 26.2 %. • Profit attributable to shareholders surged 90.6 % to HK$242.25 million. Basic EPS rose to HK50.8 cents from HK26.7 cents. • Operating profit benefitted from a 21.0 % reduction in finance costs to HK$90.81 million and a HK$5.80 million swing in joint-venture and associate contributions.

Segment Performance • Non-franchised Bus: Revenue increased 13.8 % to HK$1.97 billion, with segment profit up 57.1 % to HK$350.93 million on robust cross-boundary demand within the Greater Bay Area. • Limousine: Revenue eased 5.7 % to HK$295.23 million, but profit improved 45.7 % to HK$55.18 million on tighter cost control. • Franchised Bus & PLB: Revenue grew 13.1 % to HK$262.80 million; the business swung to a HK$3.88 million profit from a prior-year loss following fare adjustments and patronage growth. • Chinese Mainland: Revenue advanced 9.3 % to HK$273.82 million, yet the segment recorded a HK$31.50 million loss, weighed by a HK$65.93 million fair-value loss on Chongqing Grand Hotel’s investment property revaluation. • Others: Revenue was immaterial at HK$0.10 million; segment loss widened to HK$5.73 million.

Cash Flow and Balance Sheet • Cash and cash equivalents rose to HK$696.80 million (FY25: HK$436.96 million). • Total interest-bearing borrowings fell 4.0 % to HK$1.52 billion, cutting the gearing ratio to 63.1 % from 73.6 %. • Net assets increased 11.9 % to HK$2.41 billion, reflecting stronger earnings and translation gains.

Dividends • Total dividends declared/payed during the year amounted to HK$66.75 million (interim HK4 cents; special HK6 cents). • The Board proposes a final dividend of HK10 cents per share, up from HK4 cents a year earlier. Shareholders on record as of 1 September 2026 will receive payment on or about 9 September 2026, subject to approval at the AGM on 21 August 2026.

Outlook Highlights (from company disclosure) Management will prioritise fuel- and labour-cost management, fleet renewal with greener buses, and the roll-out of smart mobility initiatives—particularly autonomous vehicle projects and low-altitude eVTOL trials—to support longer-term growth while leveraging Greater Bay Area travel demand.