With a fleet of over 40,000 vehicles, a rail network spanning 317 km in operation and in the pipeline and operations in 13 countries, homegrown ComfortDelGro C52 has become one of the largest land transport companies in the world. Leveraging its history, global expertise and industry insight, the group is looking to design and innovate effective, safe and reliable transport systems for millions of passengers around the world.
“We remain driven by our passion to deliver great journeys for all our customers,” says ComfortDelGro’s Managing Director and Group CEO Cheng Siak Kian (SK). “We are also invested in driving long-term sustainable value creation for our shareholders, customers, partners, and the communities that we serve. This means not just creating great journeys today but remaining committed to the same vision in the future.”
The future of transport
ComfortDelGro’s vision, “mobility for a better future”, goes beyond transporting passengers. It seeks to create sustainable, long-term value for its stakeholders. This vision ensures that the company remains dedicated to adopting and advancing technologies that drive sustainable, inclusive and innovative mobility solutions in Singapore and international markets.
The acquisition of A2B Australia in early 2024 saw ComfortDelGro Corporation Australia (CDC Australia) form the largest combined network of taxis in Australia with around 9,000 vehicles. CDC Australia also operates buses and patient transport vehicles nationwide. Photo: ComfortDelGro
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“We are deeply rooted in our heritage and experience as a multimodal transport operator in Singapore, and we have been using our experience and expertise to participate in global tenders,” says SK.
ComfortDelGro’s expertise in rail operations is gaining increasing international recognition. The North East Line, managed by its subsidiary, SBS Transit, was the world’s first fully automated heavy-rail metro system when it opened in 2003. SBS Transit’s Downtown Line is considered one of the world’s most reliable metro lines with an 8.149 million mean kilometre before failure (MKBF) in 2024 compared to the global benchmark of 1 million MKBF.
“We recognise that the global transportation ecosystem is undergoing a transformation driven by industry megatrends: climate change, technological advancements and urbanisation,” says SK. “Our vision reflects our global expansion and desire to be a leader in providing safer, more efficient and more sustainable transportation systems that drive positive social, economic and environmental impact.”
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A key aspect of its vision is ComfortDelGro’s commitment to cleaner-energy vehicles. As of 1Q2024, more than 50% of ComfortDelGro’s global fleet is powered by cleaner energy. The group aims to convert 90% of its cars and 50% of its buses to cleaner-energy vehicles by 2030, with a goal to transition to a fully green fleet by 2040.
Beyond this, ComfortDelGro is also building infrastructure to support this cleaner-energy future. In Singapore, ComfortDelGro Engie, a group comprising ComfortDelGro’s wholly owned subsidiary, ComfortDelGro Engineering and European-listed Engie, operates over 1,000 electric vehicle charging points across 290 locations, helping to lay the foundation for the electrification of transport.
In its 1HFY2024 ended June 30 results, ComfortDelGro reported a patmi of $95.3 million, 21.4% higher y-o-y. The results mark the fifth straight quarter in which the group saw an increase in earnings. This came as it sought to continue strengthening its core business and pursue profitable growth overseas.
Staying ahead of trends
The group’s efforts to do so are evident in its businesses, which now encompass bus, taxi and rail operations around the globe. More recently, the group has expanded into the premium private hire segment with the acquisition of Addison Lee, London’s iconic black taxi provider for GBP269.1 million ($461.8 million). The group had also successfully acquired Australia’s largest taxi fleet operator, A2B, and UK-based ground transport management and accommodation network specialist, CMAC Group. The acquisition of CMAC represents ComfortDelGro’s move into adjacent businesses, reinforcing its strategy of broadening its service offerings.
In addition to technical expertise, ComfortDelGro collaborates closely with its global network of partners through integrated joint ventures, drawing on their extensive local knowledge. For instance, the group partnered with Go-Ahead Group in 2024 to operate the Stockholm Metro. The project, which covers 100 stations and 107 km of rail track, marks a major milestone in ComfortDelGro’s rail operations in Europe. Similarly, ComfortDelGro, in collaboration with RATP Dev and Alstom, secured a contract to operate Paris Metro’s Line 15, further cementing its position as a key player in the global rail industry.
As the transport industry evolves, it continues to face numerous challenges in line with megatrends, such as rapid urbanisation and ageing populations. One of the most pressing issues to emerge has been the global driver shortage.
ComfortDelGro’s wholly owned subsidiary, Metroline, operates 100 routes across London, Manchester and Hertfordshire, carrying more than 1 million passengers in London each day. Photo: ComfortDelGro
During the group’s 1HFY2024 results briefing on Aug 14, the group said that the shortage is not unique to it and that it is keeping a close watch on the situation. At the time, group deputy CFO Chris White acknowledged that drivers, the backbone of the group’s operations, are crucial to ComfortDelGro’s business.
While the group is actively managing its recruitment strategy and looking at incentives and welfare to attract more drivers, it is also investing in technologies like smart infrastructure, autonomous vehicles (AV) and artificial intelligence (AI) to future-proof its business and support the optimisation of transportation flow in urban environments.
In August, ComfortDelGro announced that it signed a memorandum of understanding (MOU) with AV technology group Pony.ai to carry out large-scale commercial robotaxi operations in China and potentially around the world. “While the technology is still in its early days, it is a capability that we want to build up for our point-to-point business in the long term,” says SK. ComfortDelGro is using AI for predictive analytics to enhance operational efficiencies and improve the customer experience.
Nonetheless, it recognises that taxis still play an important role in the industry and remains focused on ensuring the welfare of its cabbies and private-hire vehicle (PHV) drivers so that they can secure sustainable and consistent earnings for their services.
“We are proud of the longstanding partnership that we have with our cabbies and commitment to our customers by providing a reliable supply of drivers to underserved areas and off-peak hours,” says SK. “While we’re monitoring competition closely, our top priority is to grow our businesses, including our PHV business profitably.”
SBS Transit operates the Downtown Line and North East Line, the former is regarded as one of the world’s most reliable metros. Globally, ComfortDelGro has a fleet of over 40,000 vehicles, 317 km of total rail network (in operation and in the pipeline) and operations in 13 countries. Photo: ComfortDelGro
Sustainable and equitable mobility
The group’s focus on equity ensures that its services across all modes of transport cater to the needs of everyone, from people with disabilities to elderly passengers. For example, CDC Australia, Metroline UK and SBS Transit, the group’s subsidiaries, all have inclusivity initiatives to enhance access for users of different abilities and needs.
The group’s efforts have not gone unnoticed. ComfortDelGro has been included in the Dow Jones Sustainability Indices Asia Pacific since 2019, making it the only Singaporean transport group to achieve this recognition. This inclusion highlights ComfortDelGro’s dedication to sustainability, from fleet management to infrastructure investments.
“As a global operator, we play an important role in steering the transition towards a low-carbon economy,” says SK. “However, we recognise that we have a long way to go to achieve a sustainable and equitable transportation ecosystem and achieving these goals is not something we — or any single organisation — can accomplish alone. Building a future-ready transport ecosystem will require collaboration across the entire industry.”
