Taiwan Taxi aiming for continual market growth

By Amy Su  /  Staff reporter

Thu, Apr 11, 2013 - Page 14

Taiwan Taxi Co (台灣大車隊), the nation’s largest cab service provider, aims to boost its sales at a steady pace by continually expanding its market share, a company official said yesterday.

The company also expects its number of members to grow by a net 1,000 cabs per year, which would mean Taiwan Taxi could have more than 14,000 cabs by the end of the year, from its current 13,000 cabs, he added.

“We expect to launch the development of another brand to increase market share,” Taiwan Taxi chairman Lin Tsun-tien (林村田) said at an investors’ conference.

Taiwan Taxi merged with Da-Ai Taxi Co (大愛婦協衛星車隊) — which operates about 600 cabs — via one of its subsidiaries last month.

The firm will focus on developing both brands this year, with the number of cabs under Da-Ai expected to reach 1,000, Lin said, adding that he hopes to maintain stable sales momentum.

In the longer term, Taiwan Taxi aims to boost its number of cabs to about 25,000, with the number of cabs under the Da-Ai brand also at the same level.

Lin was optimistic about revenue contributions from advertisements this year, as the company’s strategy to combine physical commercials with ads via mobile devices has been generating interest from customers.

Taiwanese smartphone firm HTC Corp (宏達電) and South Korea’s Samsung Electronics Co are both important advertising customers of Taiwan Taxi, Lin said.

Taiwan Taxi posted NT$143.47 million (US$4.78 million), or NT$4.23 per share, in net income last year — a record-high period of profitability in the company’s history — up from a net profit of NT$119.29 million, or NT$3.64 per share, recorded in 2011, company data showed.

The firm plans to pay a cash dividend of NT$3 and a stock dividend of NT$0.5 per share this year.