Bangkok Expressway and Metro Public Company Limited (SET: BEM) reported a relatively stable financial performance for the second quarter of 2025, with net profit attributable to equity holders remaining broadly in line with the previous year at Baht 993 million, reflecting a slight 1% decrease compared to 2Q24. This stability comes as the company navigates a challenging economic landscape marked by reduced international tourism, particularly from China, which impacted overall traffic and ridership volume.
Total service revenue for the quarter stood at Baht 3,997 million, a marginal 1% decrease from Baht 4,023 million in the same period last year. The Expressway Business saw revenue decline by 1% to Baht 2,084 million, primarily due to a decrease in average traffic volume (1.08 million trips per day compared to 1.10 million in 2Q24), influenced by the slowdown in the tourism sector, the overall economy, and the lingering impact of an earthquake that led to temporary toll plaza closures. Conversely, the Rail Business experienced a 1% increase in revenue to Baht 1,623 million, largely driven by a 7% rise in MRT Blue Line farebox revenue following a fare rate adjustment effective July 2024. However, revenue from commercial development declined by 5% to Baht 290 million, mainly due to reduced income from telecommunication network services at MRT stations.
On the expenditure front, BEM’s finance cost decreased by 5% to Baht 561 million, attributed to the company’s effective financial cost management. While the overall cost of services remained similar, expressway business costs increased by 5% to Baht 748 million due to higher expenses charged by contractors and additional investments for structural safety enhancements. Rail business costs saw a 2% decrease, mainly from reduced annual maintenance costs, though this was offset by increases in amortisation and compensation to MRTA. Selling and administrative expenses rose by 4% to Baht 328 million, driven primarily by public relations activities.
Despite the slight quarterly revenue dip, net profit for the six-month period of 2025 increased by 1% to Baht 1,864 million, primarily due to effective cost management in both cost of services and finance cost. The period also saw significant capital activity related to the MRT Orange Line project, which began in the third quarter of 2024. This included Baht 3,190 million allocated to M&E works for the project, and a substantial Baht 14,655 million in net loans obtained from financial institutions. These investments, along with civil works costs recorded as receivables, led to net cash used in operating activities amounting to Baht 3,378 million for the six-month period.
