Profits on track at Merseyrail
MERSEYSIDE rail operator Merseyrail saw profits rise 16% to £12.3m last year.
Newly-filed accounts show revenue rose 4% to £131.6m in the year to January and it returned £8.7m (2011: £7.2m) to shareholders Serco and Abellio which have equal stakes.
Merseyrail is responsible for 800 services a day across a 75-mile network. During the period fares rose by an average of 5.4%. They increased again by the same amount in January 2012.
It said 95% of trains were punctual and it achieved a 93% rating in a passenger satisfaction survey – the highest of all franchised train operators.
Unusually Merseyrail was awarded a 25-year franchise in 2003 – around double the length of most licence agreements.
In their report the directors said this arrangement enabled them to take a, “long-term perspective on the investment and development of rail passenger services”.
The company spent £1.2m on capital improvements during the year and has around £13m in cash balances.
But despite the stronger figures the directors added: “The economic climate in the region has impacted on Merseyrail. There is a higher degree of uncertainty around patronage, and the leadership team within Merseyrail are focused on close monitoring of all relevant KPIs [key performance indicators] to ensure any required remedial action in response to the emrging conditions is taken.”
Merseyrail’s new managing director Martin Spaargaaren, who succeeded Bart Schmeink in November, is on an annual salary of £221,000 according to the accounts.
