Toll road operator Transurban Group (ASX:TCL) has doubled its annual net profit to $485 million, driven by an increase in toll prices and higher vehicle numbers.
An increase in average daily traffic of 2.2 per cent helped lift the company’s revenue by 20.7 per cent, to $3.298 billion.
But an above-average 8.7 per cent increase in toll revenue was the main boost to toll revenue, Transurban chief executive Scott Charlton said.
This was led by the widening of the Citylink Tulla freeway, the connector between Melbourne and its airport in Tullamarine, which increased heavy freight vehicle traffic by almost nine per cent.
“The escalation would be somewhere near three per cent, but because we’ve opened up some big enhancements on Citylink and also in relation to the M7 truck multiplier, there has been an increase,” Mr Charlton told reporters, referring to the higher toll ratio used for trucks on Sydney’s M7 motorway.
Transurban doubled its assets in North America this year when it bought a 7.2km toll road and bridge north of Montreal, Canada, for $861 million.
Transurban declared a total final distribution and dividend of 28 cents.
Transurban shares were relatively flat, up just 2.5 cents, or 0.2 per cent, to $11.925 at 1256 AEST.
TRANSURBAN FY PROFIT DOUBLES
* Net profit attributable to security holders up 102.5pct to $485 million
* Revenue from ordinary activities increased 20.7 per cent to $3,298 million
* Toll revenue increased 8.7 per cent to $2,340 million
* Final dividend 2.5 cents and final distribution 25.5 cents