Revenues increase by £7m on previous year, though profits and profit margins decrease
An extra two million passengers travelled on Lothian Buses services in 2015, taking the total for the year to over 121 million. The increase follows a rise of three million the previous year.
In its annual report, the operator revealed that its revenue for 2015 stood at £142m (2014 – £135m), though net profit was down at £6.4m (2014 – £8.2m). Operating profit margin decreased to 6.8% (2015 – 7.1%) Interim dividend of £5.4m (2015 – £5.4m).
The company maintained its 100% MOT pass rate.
Over 2015, Lothian Buses invested £7.6m in 12 new Euro 6 Wrightbus Gemini 2-bodied Volvo B9TLs, for its Airlink Edinburgh Airport service, and 20 new Wrightbus Gemini 3-bodied Volvo B5LH hybrid buses, while providing a dividend to its public sector shareholders of £5.4m.
During 2016, Lothian Buses is planning to recruit over 55 new drivers and apprentice engineers to help provide extra services to meet increased customer demand.
Jim McFarlane, Chairman of Lothian Buses, said: “The accounts show that we continue to buck the national trend, once again increasing our passenger numbers and revenue on the strength of the safe, reliable, efficient and highly regarded service that we provide.
“Our strong performance and effective management of cost pressures also means that we can again return a £5.5m dividend to the shareholders while also investing more in the next generation of environmentally friendly buses as we aim to reduce our carbon footprint further and improve local air quality.
“I must commend the whole team, including our drivers, engineers and management, who continue to deliver one of the best bus services in the UK year after year.
Richard Hall, Managing Director of Lothian Buses, added: This is a business that has a long track record of delivering high quality services on a foundation of continuing investment and innovation.
“We need to go forward with this model to maintain our position as one of the country’s leading bus operators. This is important not only for the thousands of customers who use Lothian Buses network of services every day but also for the city as a whole.
“Our services are essential for the health of both Scotland and Edinburgh’s wider economy.”
