Business
Trading Update
Trading Update.
About this update from Firstgroup Plc
[{"type":"text","content":"\n \n THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION\n FIRSTGROUP PLC\n Trading update\n FirstGroup plc ('FirstGroup' or ‘the Group') today reports an update on trading since the half-year results for the 26 weeks to 24 September 2022, published in November 2022.\n \n First Bus improved performance driven by higher passenger volumes in H2 2023 and driver resource pressures easing in certain locations\n First Rail open access operations benefiting from stronger than anticipated passenger demand over the winter months\n Acquisition of Ensign Bus Company Limited (‘Ensignbus’) completed\n Sale of First Transit by EQT Infrastructure completed with final earnout consideration anticipated later in 2023\n \n \n First Bus\n \nRecent First Bus passenger volumes have increased to 83% of 2020 equivalent levels, with commercial and concessionary volumes at 87% and 75% respectively. The increase in demand has partially resulted from the £2 bus fare cap scheme introduced in England in January 2023, recently extended to the end of June 2023, and the Scottish Government’s funding for free bus travel for all under-22s that has been in place since January 2022.\n First Bus has also benefited from improved driver resources in certain locations, with increased recruitment largely due to a number of initiatives introduced across the business, with more drivers completing their training and lower rates of attrition.\n In addition, we welcomed the Government’s extension of the Bus Recovery Grant in February 2023, which will help protect vital services for passengers for a further three months. We continue to work with our government and industry partners on long-term funding arrangements for the sector.\n \n First Rail\n \nOur open access operations Lumo and Hull Trains, which are the only segment of the First Rail division where the Group takes full passenger revenue risk, have experienced stronger than anticipated passenger demand throughout H2 2023. The First Rail division has also benefited from the settlement of one-off claims relating to prior reporting periods. \n \n FY 2023 Guidance\n \nAs a result of the factors detailed above, the Group anticipates that the FY 2023 Group adjusted operating profit and Group adjusted attributable profit will be ahead of the Group’s previous expectations. The Group’s expectations for FY 2024 remain unchanged...