No, they cannot make a profit now. The council tax would be horrendous to cover it.
The tram has overtaken buses as the second choice form of transport by most. If they cant use their car people will use the Met.
It sounds great what Burnham has done but sadly it is just more political talk. He is going to bring the London model in. That only works because a very out dated overcrowded Tube is the only other option as driving is out of the question.
I was half way through a long post to
@bluethrunthru which may explain it better but one thing I will put in here....
In 2007 the Labour Government brought in 'free' bus travel. Local authorities paid the fares claimed by the bus companies and got it back of central government. It was a gold mine. Every time a pensioner got on the bus they simply recorded a journey and claimed the highest possible ticket. The fact that the pensioner would likely be making a return journey meant 2 top price tickets were claimed. As a result here was an explosion in small bus companies all looking to cash in on this gold mine. Can you imagine how much the government were forking out if he/she took 4 journeys.
When the Conservatives came to power in their own right they simply said to the bus companies, we will pay the cost of a day rider/saver for that pensioner. That was simple economics but all the small companies went under as they were not sustainable.
I make that point because unless you are going to throw many millions at the problem free travel will not work.