The Go-Ahead Group plc has announced its trading update for the period from July 2, 2017 to October 28, 2017, which has shown little movement in revenue, though there has been a decline in patronage.
Underlying growth rates, which excluded the impact of a programme of route restructuring which principally reflects reductions to the route network in East Anglia, saw revenue unchanged and passenger journeys down 1% in regional bus operations. Revenue was also static in London, though mileage was down 1.5% and Peak Vehicle Requirement (PVR) down 0.5%. Rail passenger revenue increased by 2.5%, though passenger journeys were down 1%.
Go-Ahead’s Chief Executive, David Brown, said: “Overall trading for the first four months of the year has been in line with our expectations.
“In Bus, regional revenue and passenger trends are in line with expectations and London revenue, mileage and peak vehicle requirements are as anticipated, reflecting small net contract losses. We continue to engage with Transport for London around key issues for the capital, such as congestion and air quality. Both in and outside of London, we believe buses are the solution to these problems in our towns and cities.
“In rail, trading has been satisfactory in the period. Following the end of ASLEF’s longstanding dispute with Southern, we are wholly focused on further improving the service for passengers and supporting the completion of the Thameslink programme.
“We welcome the strategic vision for the railways announced by the Secretary of State for Transport. We are pleased to see proposals to strengthen the partnership between the public and private sector, aimed at further improving services for customers. We look forward to working with the Government to understand the strategy in more detail.
“Our international strategy is focused on delivering long-term value for shareholders by building a portfolio of low-risk businesses with limited capital requirements in stable and attractive markets. There are additionally good long-term pipelines of work in all of our target markets.
“The board remains confident that the group will deliver full year results in line with its expectations.”
