Slide 1: FirstGroup 2025 Full Year Results
FirstGroup 2025 Full Year Results 10 June 2025
Slide 2: Agenda
Agenda 1. Headlines 2. Financial review 3. Business review 4. Summary
Slide 3: Another very strong year for FirstGroup
Another very strong year for FirstGroup Strategic focus and operational delivery has driven further earnings growth in FY 2025 and positions us well for FY 2026 Group Adjusted Revenue (£m) 1,370 1,280 Group Adjusted revenue +7% to £1.4bn 1,123 956 Adjusted EPS +16% to 19.4p Full year dividend
Slide 4: Successful execution of our strategy drives sustainable growth
Successful execution of our strategy drives sustainable growth Deliver, day in day out Drive modal shift Lead in environmental and Diversify our portfolio social sustainability First Bus 10% adjusted First Bus underlying2 FirstGroup upgraded to RATP London and Adjacent operating margin in H2
Slide 5: Agenda
Agenda 1. Headlines 2. Financial review 3. Business review 4. Summary
Slide 6: Strong financial performance - 16% growth in Adjusted EPS
Strong financial performance - 16% growth in Adjusted EPS Adjusted revenue increased by £90m £m (from continuing FY 2025 FY 2024 Change % operations) Adjusted operating profit £19m ahead of the prior year with strong performance in both First Bus and First Adjusted revenue 1,370.0 1,279.6 7.1% R
Slide 7: Robust adjusted revenue performance – up 7%
Robust adjusted revenue performance – up 7% FY 2024 included an extra week of trading Other First Bus revenue includes B2B growth and Manchester franchise changes Like-for-like First Bus passenger revenue growth of 7.0% generated from volume growth and yield improvements First Rail open acce
Slide 8: Sustained growth in Group adjusted EPS
Sustained growth in Group adjusted EPS Strong financial performance in FY 2025 as we continue to grow, diversify our earnings and return capital to shareholders DfT TOCs1: higher variable fees in FY 2024 and FY 2025 than Lower central costs: continued efficiencies offset by acquisition and forec
Slide 9: Strong cash generation enabling investments and returns
Strong cash generation enabling investments and returns Free Cash Flow of £113.5m before acquisitions and returns Cash generated from operations of £207.4m £163.4m EBITDA up £15.1m YoY benefitting from First Bus +7% Disposal proceeds comprise battery sales to Hitachi JV and open access rail +14%
Slide 10: Disciplined capital allocation to drive further growth and returns
Disciplined capital allocation to drive further growth and returns Over the last three years we have generated over £750m of cash, invested over £320m mainly in First Bus decarbonisation, c.£190m in value accretive acquisitions and returned c.£320m to shareholders Maintain a strong Invest in future
Slide 11: FY 2026 financial outlook
FY 2026 financial outlook We expect to at least maintain Adjusted EPS in FY 2026 from a stronger, more diverse earnings base First Bus: anticipated revenue of c.£1.4bn, including c.£300m from First Bus London and further operating profit progress; further efficiencies and annualised cost savings f
Slide 12: Agenda
Agenda 1. Headlines 2. Financial review 3. Business review 4. Summary
Slide 13: Bus delivers 10% margin in H2 and FY 2025 adjusted operating profit up 15%
Bus delivers 10% margin in H2 and FY 2025 adjusted operating profit up 15% First Bus revenue (£m) and adjusted operating profit margin 10.0% 7.1% 9.4% 8.0% 7.9% Revenue of £1.1 billion, 7% ahead of FY 2024 (which 4.8% included an extra week of trading) Long-term Bus margin target of 10% achieved
Slide 14: Growth and operational improvements continue in First Bus
Growth and operational improvements continue in First Bus Passenger Regional bus Adjacent services Franchise First Bus London volumes2 revenue per mile revenue Revenue3 (m) (£) (£m) (£m) - Integration progressing well; trading ahead of acquisition expectations FY 2025 412 5.58 270.8 34.8 - Strong
Slide 15: Well placed to grow as the UK bus market presents opportunities
Well placed to grow as the UK bus market presents opportunities Franchising Estimated revenues in excess of £250m will be awarded in next 2-3 years: Liverpool City Region, West Yorkshire, Cambridgeshire and Peterborough, South Yorkshire and West Midlands Fleet and depot ownership models not yet
Slide 16: Rail delivers another year of strong financial performance
Rail delivers another year of strong financial performance Adjusted Revenue £m FY 2025 FY 2024 Change DfT TOCs Adjusted revenue from DfT TOCs 71.7 69.8 1.9 FY 2025 attributable net income of £39.0m Open access revenue 106.4 99.8 6.6 broadly flat as expected Additional services revenue 110.7 98.2 1
Slide 17: Strong performance and growth opportunities in open access
Strong performance and growth opportunities in open access Hull Trains and Lumo continue to grow their earnings, and open access platform for growth established - Track access rights for two new services acquired in FY 2025: Hull Trains & Lumo FY 2025 FY 2024 Change Stirling - London Euston: (c.44
Slide 18: Agenda
Agenda 1. Headlines 2. Financial review 3. Business review 4. Summary
Slide 19: Further growth ahead
Further growth ahead The successful execution of our strategy and our strong balance sheet will allow us to capitalise on opportunities ahead to further grow and strengthen our business We expect to at least maintain adjusted earnings per share in FY 2026 First Bus: as we continue to strengthen
Slide 20: Appendix
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Slide 21: Leading in Sustainability is one of our four strategic pillars
Leading in Sustainability is one of our four strategic pillars Investing in decarbonisation, enhancing our operations and driving modal shift reduces our environmental impact, supports growth and prosperity in our communities and is a key driver of our commercial success Top 200 cleanest Top perform
Slide 22: Appendix: Our Climate Transition Plan
Appendix: Our Climate Transition Plan We have a comprehensive strategy to meaningfully reduce emissions, manage climate-related risks, drive modal shift and contribute to growth and prosperity in the communities we serve Prepared in alignment with the Transition Plan Taskforce (‘TPT’) Disclosure F
Slide 23: Appendix: Group Adjusted revenue and earnings
Appendix: Group Adjusted revenue and earnings Our revenue and earnings include underlying fees from rail contracts to reflect the Group's risk and to look through IFRS 16 distortions £m FY2025 FY2024 £m FY 2025 FY 2024 Adjusted revenue reconciliation: Group Adjusted earnings comprise: Statutory reve
Slide 24: Appendix: Cash flow by division
Appendix: Cash flow by division FY 2025 FY 2024 £m Open Open Group Group Access & DfT TOCs First Bus Total Access & DfT TOCs First Bus Total items items Other Rail Other Rail EBITDA 40.8 - 144.0 (21.4) 163.4 37.6 - 132.5 (21.8) 148.3 DfT TOC Management fees - 37.9 - - 37.9 - 38.2 - - 38.2 Working ca
Slide 25: Appendix: Reconciliation of Statutory to Adjusted cash flows
Appendix: Reconciliation of Statutory to Adjusted cash flows Ring fenced cash £m Statutory IFRS 16 Other movements Adjusted movements EBITDA 785.1 (61.6) (555.8) (4.3) 163.4 Management fees - 37.9 - - 37.9 Working capital 47.1 (61.5) 2.7 17.8 6.1 Cash flow from operations 832.2 (85.2) (553.1) 13.5 2
Slide 26: Appendix: Group accounting for the DfT TOCs and SWR transition
Appendix: Group accounting for the DfT TOCs and SWR transition Although the Group has very limited revenue, cost and contingent capital risk under the DfT National Rail Contracts, under IFRS 16 disclosure requirements, we are required to recognise right of use assets and lease liabilities for all
Slide 27: Appendix: IFRS 16 (leases) and First Rail DfT TOCs earnings
Appendix: IFRS 16 (leases) and First Rail DfT TOCs earnings As at 29 March 2025, £1.1bn of leased assets were recognised as Right of Use assets on the balance sheet As at the FY 2025 balance sheet date, £1,203.6m of IFRS 16 lease liabilities were recognised in reported net debt, of which £1,074.
Slide 28: Appendix: DfT-Contracted TOCs transition to public ownership
Appendix: DfT-Contracted TOCs transition to public ownership The Government’s announced policy is to bring the National Rail Contracts into public ownership at the earliest possible opportunity The Government has announced that SWR would be the first DfT TOC to transition, followed by c2c on 20
Slide 29: Appendix: Definitions
Appendix: Definitions 'Adjusted revenue' is revenue excluding that element of DfT TOC revenue, and related intercompany eliminations, where the Group takes substantially no revenue risk. The Adjusted revenue measure includes management and performance fee income earned by the Group from its DfT TO
Slide 30: Important notice
Important notice This presentation includes statements that are, or may be deemed to be, forward-looking statements. These forward-looking statements can be identified by the use of forward-looking terminology, including (but not limited to) the terms anticipates, believes, could, estimates, expects