Limo looks like Lime

Having decided to explain the business for once, Kermode found a lot to say about the Cabcharge business in the June 2007 profit review. Here are a few highlights:

"I believe one of our most strategic moves this past year has been the purchase of the business of Europa Australia from Ingenico (France) for $5.3 million. We acquired the business and some highly qualified technical staff who under the old arrangement, maintained our Eftpos equipment under contract for approximately $750,000 per year.

"The system had a lot of inefficiencies associated with it and we now control our own maintenance and more importantly, own outright both the software and hardware design  of the Europa Taxi Meter which is becoming increasingly popular amongst operators across Australia. We are not advertising the meter as other manufacturers tend to do, but rather rely on the increasing demand for meters which provide services that operators desire.
 
"Cabcharge will launch its 13 Limo (135466) brand in Sydney on 1 October 2007. We are going to deliver a high quality service to our client base and will do our best to help others restore the quality and service aspects to the hire car industry, which was lost when the Government deregulated that Industry some 4 to 5 years ago."

Cabcharge is now a portfolio investor in transport infrastructure - and it is one way to put the profits of a monopoly to use. Who else, after all, was willing to put capital into buses and tollroads and taxis in Sydney, especially the city's west.

Kermode has found an eager partner in Comfort Del Gro from Singapore. Chip Beng Yeoh has taken over as chief financial officer from Barukh who perceived CDG as limiting his forward prospects at Cabcharge.