The Public Transport Council (PTC) has announced a 5% increase in public transport fares, effective from 27 December 2025. This decision follows the council’s annual fare review exercise and is slightly lower than the initially expected 6% hike for the financial year 2026. The increase is also below the maximum allowable rise of 14.4% for 2026, with 9.4% of the hike deferred to future years.
ComfortDelGro Corporation Ltd, through its 74% subsidiary SBS Transit, is set to benefit significantly from this fare adjustment according to DBS Report. The company is projected to see an annual revenue increase of $128m (S$176m), with 20% of this amount allocated to the Public Transport Fund. This fund aims to support lower-income commuters by offsetting the impact of fare increases.
The fare hike is expected to result in an estimated incremental net profit increase of $85m (S$117m) for SBS Transit in the financial year 2026 compared to 2025. This translates to a $63m (S$87m) increase at the ComfortDelGro level, assuming all other factors remain constant.
