National Express remains ‘robust’ as revenues increase
REVENUES at Birmingham-based transport group have increased by 5% year-on-year as it continues to invest in its fleet, the firm said today.
In an interim management statement for the nine months ended September 30, 2011, the plc said it was achieving continued organic growth across its divisions while its cost saving plans were on track.
Its financial position remains “robust”, it said, and during the period it invested £125m in capital for fleet replacement.
Commercial revenue increased during the third quarter in each business, it said, while its transport services had enjoyed “robust levels” of demand in the UK and Spain.
It was also seeing growth in its North American operation through its outsourced school bus transport service, the statement added.
Revenue in its UK bus business increased by 2% in the period with commercial revenue in the West Midlands increasing 5%.
However, the rate of growth had continued to slow as fare rebalancing actions in 2010 worked through, the company said.
In its UK coach division, revenue rose by 6% as it did in its UK rail operations where it will be seeking prequalification for the replacement c2c franchise due to operate from 2013.
Group chief executive Dean Finch said: “We have continued the strong performance reported at the half year in the third quarter.
“We have delivered good revenue growth and further improvements in efficiency and we have clear plans to continue to improve revenue and profitability in the future.”
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