03 September 2009
We are pleased to report a good set of results for the Group, slightly ahead of our expectations in June.
Highlights
- Retention of the Southern rail franchise from September 2009
- High speed preview service successfully introduced
- Record results for our bus division
- Robust results from our rail franchises
- Strong cash management
- Proposed full year dividend maintained at 81.0 pence per share
Financial highlights |
2009 £'m |
2008 £'m |
Increase/
(decrease) £'m |
Increase/
(decrease) % |
Revenue |
2,346.1 |
2,199.1 |
147.0 |
6.7% |
Operating profit* |
123.6 |
144.9 |
(21.3) |
(14.7)% |
Profit before tax* |
112.1 |
131.1 |
(19.0) |
(14.5)% |
Profit before tax |
42.0 |
103.1 |
(61.1) |
(59.3)% |
Cashflow generated from operations |
233.4 |
192.5 |
40.9 |
21.2% |
Basic earnings per share (p) |
14.7 |
128.8 |
(114.1) |
(88.6)% |
Adjusted earnings per share (p)* |
152.3 |
174.8 |
(22.5) |
(12.9)% |
Dividend paid and proposed (p)# |
81.0 |
81.0 |
Nil |
Nil |
Commenting on Go-Ahead’s outlook, Chairman, Sir Patrick Brown said:
“We have not changed our overall view on the outlook since our trading update in June 2009. We believe we are well placed for the year ahead, although we continue to assume economic conditions in the UK will remain difficult over the next twelve months.
“Our bus operations have proven to be robust and we expect demand for these services to remain strong. Our rail operations should deliver a good level of profitability in the year ahead, albeit below the level achieved to June 2009. Our aim is to supplement the expected modest growth in underlying passenger revenue with additional revenue from our new high speed rail services in Southeastern, revenue initiatives in our new Southern franchise and comprehensive cost control across all three franchises. In aviation services, we expect our ongoing restructuring programme to protect against near term deterioration whilst strengthening our position for the medium term.
“Our strategy remains to provide high quality public transport services in the UK, targeting organic growth through the economic cycle and from value-adding capital investment and acquisitions. We will maintain our financial discipline and strong balance sheet; our financing is secure and we remain committed to providing solid returns to shareholders.
“We have started the new financial year well and trading has been in line with the Board’s expectations.”
Preliminary Results In Full (PDF)
For further information, please contact:
The Go-Ahead Group
Keith Ludeman, Group Chief Executive
Nick Swift, Group Finance Director
Jim Boyd, Group Corporate Affairs Director |
020 7821 3920
020 7821 3922
020 7821 3927 |
Citigate Dewe Rogerson
Michael Berkeley
Chris Barrie
Angharad Couch |
020 7638 9571
|
Keith Ludeman, Group Chief Executive and Nick Swift, Group Finance Director will be hosting a presentation for analysts at 8.30am today (3 September 2009) at Investec, 2 Gresham Street, London EC2V 7QP, Tel: +44 (0) 20 7597 5970
A dial-in facility for analysts to listen to the live presentation is available:
Dial-in details:
International dial-in: +44 20 7138 0844
UK Freephone: 0800 032 3808
The presentation slides will be added to Go-Ahead’s website (www.go-ahead.com) at around 7:30am today.
A pdf copy of the Group’s Annual Report for the year ended 27 June 2009 will also be available to download from the website today:
http://www.go-ahead.com/goahead/ir/presentations/
Notes to editors
Go-Ahead
Go-Ahead is one of the UK's leading providers of passenger transport services operating in the bus, rail and aviation services sectors. Employing around 27,000 people across the country, around 960 million passenger journeys are undertaken on our services each year. In addition to the travelling public, customers include the Department for Transport (DfT), Transport for London (TfL), local authorities, British Airports Authority (BAA) and major airlines.
Bus
Go-Ahead is one of the UK’s largest bus operators. With a fleet of over 3,500 buses, we carry, on average, around 1.6 million passengers every day. Our operations are focused on high density commuter markets. We have a strong presence in London, with around 21% market share, where we provide regulated services for TfL. We operate deregulated services in the north east, Oxford, the south east and southern England.
Rail
The rail operation, Govia, is 65% owned by Go-Ahead and 35% by Keolis. It is the busiest rail operation in the UK, responsible for nearly 30% of all UK passenger rail journeys through its three rail franchises: Southern (which includes the Gatwick Express), Southeastern and London Midland. In December 2009, Southeastern will launch the UK’s first high speed domestic rail service between Kent and London, significantly reducing current journey times. Southeastern is currently running preview services.
For further information about our rail franchises please visit our factsheets:
www.go-ahead.com/goahead/ir/factsheets_rail/
Aviation Services
The Group's aviation services division is one of the UK's largest independent providers of cargo services (primarily Plane Handling), ground handling (primarily aviance UK) and car parking (Meteor). The division operates from 15 airports and services major airline operators such as British Airways (BA), Virgin and bmi.
Legal disclaimer
Certain statements included in this press release contain forward-looking information concerning the Group’s strategy, operations, financial performance or condition, outlook, growth opportunities or circumstances in the sectors or markets in which the Group operates. By their nature, forward-looking statements involve uncertainty because they depend of future circumstances, and relate to events, not all of which are within the Company’s control or can be produced by the Company. Although the Company believes that the expectations reflected in such forward–looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. Actual results could differ materially from those set out in the forward-looking statements. Nothing in this press release should be construed as a profit forecast and no part of these results constitutes, or shall be taken to constitute, an invitation or inducement to invest in The Go-Ahead Group plc or any other entity, and must not be relied upon in anyway in connection with any investment decision. Except as required by law, the Company undertakes no obligation to update any forward-looking statement.