Stagecoach secures decade of positive financial results

News stories are free to read. Click here for full access to all the features, articles and archive from only £2.99.
Griffiths said the group is focused on attaining profitable growth from inter-city megabus.com business in North America
Griffiths said the group is focused on attaining profitable growth from inter-city megabus.com business in North America

Martin Griffiths says people, technology and customer service are the key in his first financial statement as CEO

Stagecoach has released its preliminary results for the year ended April 30, 2013.

Earnings per share were up 18.9% to 30.2p, with dividend up 10.3% to 8.6p. Revenue increased to £2,804.8m (£2,590.7m in 2012) and total operating profit, excluding intangible asset expenses and exceptional items, increased to £256.3m (£237.2m in 2012)

Stagecoach CEO Martin Griffiths said: “This is another strong set of results, which are ahead of market expectations. We have achieved 10 years of sustainable growth, reflecting our strategy of targeting organic growth in our bus networks, rail franchise opportunities and acquisitions.

“Stagecoach has secured a leading position in a range of growing markets in the UK and North America. Our innovation can deliver further growth in the commercial, deregulated bus market. We are helping the UK Government to deliver a new, improved rail franchise model and are shortlisted for two rail franchises. Our ground-breaking alliance at South West Trains with Network Rail is producing a more efficient, joined up railway at one of Europe’s premier commuter rail networks. In North America, we are focused on converting the transformation our megabus.com business has made in the inter-city bus market into profitable growth.

“People, technology and customer service are key to the future. We have strong management teams across our business, which understand their customers. Our investment in new technology also means that we are in a good position to capitalise on the commercial opportunities in the age of the smartphone.

“It is no coincidence that we have simultaneously delivered good financial results, strong operational performance, significant investment, value-for-money travel and high customer satisfaction. We are pleased to have played a leading role within the industry, developing strong relationships with government and transport authorities. We have reduced costs for taxpayers and made a positive contribution to our economy, our communities and our environment.

“The public transport market has long-term fundamental strengths and a positive outlook. I am confident we can make bus and rail the travel modes of choice for increasing numbers of people in the UK and in North America.”