National Express on course to meet expectations
BIRMINGHAM-based transport group National Express has said it remains on track to deliver profits in line with expectations for 2013.
The group, which operates Travel West Midlands and the Midland Metro, said it was complementing its trading performance by securing new contracts and launching new services.
“These successes demonstrate the international appeal of our market-leading and value for money services. In addition to delivering growth, we remain focused on strong cash generation and prudent debt management, which will provide flexibility and shareholder returns for the future,” it said it a trading update.
Trading across the group is said to be in line with expectations. Building on last year’s success, it said it had made further progress in developing a pipeline of new business, including recent contract wins in German Rail and North America Transit, as well as the launch of new services in both UK and German Coach.
“This further demonstrates the international appeal of our market-leading and value for money services,” it said.
Key developments so far in 2013 are said to include: winning two rail contracts and launching three coach services in Germany, UK Coach being selected to run coach services between London Luton Airport and London Victoria, entering the important California market and growing annual revenue to $75m, a continuing steady performance in Spain and c2c maintaining its position as the best performing UK rail franchise, supporting good revenue growth and profitability.
Dean Finch, Group Chief Executive, said: “We have made a positive start to the year, continuing to deliver a high level of value and service to our customers and building our new business pipeline through regular contract wins. Our focus on driving up returns on capital, strong cash generation, organic growth and leveraging our international transport skills to deliver new opportunities is proving to be successful.”
