407 ETR Posts Strong Third Quarter Results, Revenue Surges 16%
TORONTO, Oct. 24, 2024 /CNW/ – 407 International Inc. (the Company), the operator of the renowned Highway 407 ETR, today unveiled its impressive financial performance for the third quarter of 2024. The company reported a remarkable 16% increase in both revenue and net income compared to the same period in 2023. This robust growth underscores the continued popularity and efficiency of the all-electronic toll highway.
During the third quarter, 407 ETR generated $487.1 million in revenue, a significant jump from $419.4 million in the same period last year. The company’s net income also soared to $212.3 million, up 16% from $182.5 million in the third quarter of 2023. This strong financial performance reflects the ongoing demand for the 407 ETR as a reliable and convenient transportation option in the Greater Toronto Area.
The company’s earnings before interest and other expenses, taxes, depreciation and amortization (EBITDA) also demonstrated impressive growth, reaching $431.0 million in the third quarter of 2024, a 16% increase from the same period in 2023. This significant growth in EBITDA is a testament to the company’s efficient operations and its ability to generate strong profits.
Traffic Growth Drives Positive Results
The third quarter saw a 2% increase in total trips compared to the same period last year, with an average of 387,432 workday trips. Vehicle kilometers travelled also increased by 3%, indicating a steady growth in traffic volume on the highway. These figures demonstrate the continued attractiveness of 407 ETR for commuters and travelers alike.
Celebrating 25 Years of Enhanced Driving Experience
The third quarter also marked the 25th anniversary of 407 ETR. To commemorate this milestone, the company launched a customer contest, ‘Celebrate 25! Upgrade your Drive’, which garnered over 225,000 entries. Through this initiative, participants contributed over $40,000 to United Way, reflecting the company’s commitment to community involvement.
Javier Tamargo, President & CEO of 407 ETR, expressed pride in the company’s 25-year journey, stating, “We’re proud to be celebrating 25 years of giving drivers more time for the things that matter most.” He further acknowledged the contributions of customers and stakeholders, thanking them for being part of the company’s success story.
Investing in Communities and Youth Sports
407 ETR consistently demonstrates its dedication to local communities and youth sports through its ‘Keep Moving TM’ program. The company hosted the 407 ETR Keep Moving Clinic at the National Bank Open in August, partnering with Tennis Canada to provide opportunities for athletes with visual impairments from Change Through Sport. This commitment to inclusivity underscores the company’s broader social responsibility.
Recognizing Diversity, Equity, and Inclusion
407 ETR’s dedication to diversity, equity, and inclusion (DEI) was recognized with the 2024 DEI Award presented by the International Bridge, Tunnel and Turnpike Association (IBTTA). This prestigious award acknowledges the company’s efforts to foster a culture of inclusivity both within its operations and in its interactions with the public.
Looking Ahead: A Promising Future
With its strong financial performance, commitment to community engagement, and focus on diversity and inclusion, 407 ETR appears well-positioned for continued growth and success in the future. The company’s dedication to providing a reliable and efficient transportation experience, coupled with its unwavering social responsibility, ensures its continued relevance and prominence in the Canadian transportation sector.