Go-Ahead profits climb on public transport demand

Source: Supply Chain Digital

Date :05/09/2008 10:01:09

Bus and train operator Go-Ahead said full year pre-tax profits climbed by a fifth as commuters opt for public transport in the face of soaring fuel prices.

Go-Ahead reported pre-tax profits up 19.1 percent to £131.1 million for the year to June 28, on revenue up 20.4 percent to £2.2 billion.

The transport group, which carries 30 percent of the UK's rail passengers and has the country’s fourth biggest bus business, said that passengers were turning to buses or trains, particularly in the last quarter of its financial year.

Sir Patrick Brown, Chairman of Go-Ahead, said: "Demand for our bus and rail services continues to rise as people change the way they travel, and our balance sheet and cashflows remain strong."

Despite being "mindful of the current economic uncertainty", Go-Ahead said it was well-placed for the year ahead and would continue to target growth organically and from appropriate acquisitions.

Brown added that retaining the Southern rail franchise was a priority for the group. The franchise, which has been combined with other services to form a new South Central operation, brings commuters from the South of England and the South coast into London Bridge station.