Slide 1: Full Year Results for the year ended 31 December 2024
Full FullYear YearResults Results For Forthe theyear yearended ended 31 31December December2024 2024
Slide 2: Mobico Group FY 2024 Results
Mobico Group FY 2024 Results 2
Slide 3: Key messages FY 2024
Key messages FY 2024 Group revenue growth FY guidance achieved Statutory operating loss Group revenue growth of 8.3% FY 24 Adjusted Operating Profit Impairment reflects slower than Record progress at ALSA, further growth of 11.3% to £187.7m anticipated recovery of School Bus growth in WeDriveU & NAS
Slide 4: North America School Bus sale
North America School Bus sale Continuing to review options to further accelerate debt reduction and deleveraging Transaction followed a thorough sales process Consistent feedback on the position of the business and valuation ranges Sale agreed to I Squared for EV of Creates a simplified portfolio up
Slide 5: Key operational highlights
Key operational highlights Relentless focus on improving operational effectiveness and profitability ALSA North UK & FY24 another record breaking delivery America Germany Strong growth; Strong performances UK turnaround on track with diversification and from WeDriveU and Germany PTA negotiations int
Slide 6: Good contract momentum
Good contract momentum Strong pipeline conversion, disciplined capex allocation. Focus remains on asset light opportunities Bid pipeline of £1.1bn value from which £0.6bn 36 £144m Overall 36 new contract Revenue values of £144m p.a. value contracts selected wins at the Group level (FY 23: £126m), an
Slide 7: Pricing improvements
Pricing improvements Delivered & Secured in FY 24 4.7% increase in average ticket Dynamic real time pricing and yield ALSA Long Haul prices in FY 24 vs. FY 23 management led by customer (across 9 main corridors) demand School Year 23/24 bid season uplift School Year 24/25 bid season uplift now secur
Slide 8: UK & Germany: key negotiations status
UK & Germany: key negotiations status Improved execution & efficiency the key objectives Improved funding agreement secured for UK Proactively Addressing Industry Challenges Bus in West Midlands Through Strategic PTA Engagement Better balance between risk and reward achieved Ongoing active negotiati
Slide 9: Mobico Group FY 2024 Results
Mobico Group FY 2024 Results 9
Slide 10: Consistent financial imperatives
Consistent financial imperatives Net debt Sustainable Improved reduction profitable growth margins and and UK cash generation turnaround progress Driving improvement in liquidity Mobico Group FY 2024 Results 10
Slide 11: Key financial highlights
Key financial highlights 1 Revenue growth across most divisions 2 Delivered adjusted EBIT within guidance for FY 24 3 Group adjusted net debt stable vs YE 23 4 Strong cash generation in excess of 2024 target, plans to generate even higher cash in 2025 Statutory operating loss – large North America S
Slide 12: FY 2024 financial overview
FY 2024 financial overview Business profit within guidance and improvement to free cash flow then impacted by one off items Restated1 Adjusted FY 24 FY 23 Change Revenue £3.41bn £3.15bn 8.3% Group Operating Profit £187.7m £168.6m 11.3% Basic EPS 4.8p 4.5p 0.3p DPS 0.0p 1.7p (1.7)p Key Metrics Free C
Slide 13: Divisional performance
Divisional performance Strong Full Year results in ALSA and in North America were delivered alongside substantial reorganisation in the UK Revenue Adjusted Operating Profit FY 24 FY 23 YoY% FY 24 FY 23 YoY% change change1 ALSA £1,327m £1,165m 13.9% £186m £136m 36.0% NA £1,205m £1,115m 8.0% £38m £27m
Slide 14: Accelerate recap
Accelerate recap The Accelerate programme has delivered significant and sustainable bottom-line benefits in FY 24 FY 24 FY 25 & beyond Organisational Design Accelerate 1.0 Procurement £34m of savings delivered in FY 24 from Productivity Accelerate 1.0. (HY 30m) Digital Accelerate 2.0 £52m Enablement
Slide 15: Adjusting items
Adjusting items Profit Cash £m FY 24 FY 23 FY 24 FY 23 (Restated) Adjusted Operating Profit 187.7 168.6 Intangible amortisation for acquired businesses (27.7) (35.3) – – Goodwill impairment of School Bus (547.7) - – – Re-measurement of covid related OCPs 4.1 (2.1) (1.4) (7.1) Re-measurement of Germa
Slide 16: Cash flow
Cash flow Successful initiatives, generating positive free cash flow versus FY 23 after investment (£m) FY 24 FY 23 EBITDA 426.2 386.0 Net maintenance capex (157.8) (135.7) Working capital 48.0 9.1 Pension deficit (7.6) (7.5) Operating cash flow 308.8 251.9 Tax & interest (98.6) (88.2) Free cash flo
Slide 17: Net debt
Net debt Covenant net debt stable vs FY 23, improvement in covenant gearing from 3.0x to 2.8x (£m) FY 24 FY 23 Free Cash Flow after CapEx and M&A 93.0 86.2 Adjusting items (99.2) (71.0) Hybrid coupon (21.3) (21.3) Dividend - (41.1) Other, including FX 26.7 53.4 Net funds flow (0.8) 6.2 Opening net d
Slide 18: Debt maturity improved
Debt maturity improved RCF extended, North America School Bus proceeds sufficient to address near term maturities Vast majority of the £600m £500m hybrid bond call period RCF extended a further year Nov25-Feb26 to 2029 Options to call and refinance, or roll the bond which resets £0.8bn cash and comm
Slide 19: German rail update
German rail update OCP increase reflects continuing industry challenges RRX rail contracts RME rail contract RRX 1 and RRX 2/3 are onerous Loss for FY24 £9.3m (down £9.5m from FY23) contracts reflecting impact of increased penalties from driver shortage and infrastructure issues, coupled with Onerou
Slide 20: Further deleverage is our priority
Further deleverage is our priority Profitable growth, continued cash management and disciplined investment, together with strategic next steps under consideration, post North America School Bus sale NASB Disposal Key debt metrics important first Accelerate Organic towards performance programme delev
Slide 21: Mobico Group FY 2024 Results
Mobico Group FY 2024 Results 21
Slide 22: Key operational highlights
Key operational highlights Relentless focus on improving operational effectiveness and profitability ALSA North UK & FY24 another record breaking delivery America Germany Strong growth; Strong performances UK turnaround on track with diversification and from WeDriveU and Germany PTA negotiations int
Slide 23: ALSA
ALSA Another record year Key Stats FY 24 FY 23 % Change Revenue €1,568m €1,340m 17.0% Adjusted Operating Profit €219 €157m 39.6% ALSA Share of Group revenue Adjusted Operating margin 14.0% 11.7% 2.3% excl. School Bus Highlights FY 24 • Strong revenue growth (+17%) reflecting good progress in Regiona
Slide 24: North America
North America Successful separation of School Bus & WeDriveU Key Stats FY 24 FY 23 % Change Revenue $1540m $1387m 11.0% Adjusted Operating Profit $49m $33m 45.4% WDU Share of Group revenue Adjusted Operating margin 3.2% 2.4% 0.8% excl. School Bus Highlights FY 24 16% School Bus • Underlying revenue
Slide 25: Turnaround in progress
UK Turnaround in progress Key Stats FY 24 FY 23 % Change Revenue £623m £610m 2.1% Adjusted Operating Profit £6.5m £23.5m (72.3)% UK Share of Group revenue Adjusted Operating margin 1.0% 3.9% (2.9)% excl. School Bus 10% Highlights FY 24 14% UK Bus • Revenue growth reflecting passenger growth together
Slide 26: Germany
Germany Continuing industry challenges Key Stats FY 24 FY 23 % Change Revenue €303 €298m 1.4% Adjusted Operating Profit €(11.0) €0.2m Germany Share of Group revenue Adjusted Operating margin (3.6)% 0.1% (3.7)% excl. School Bus Highlights FY 24 • Revenue continued to be impacted by higher operational
Slide 27: Opportunity pipeline
Opportunity pipeline £2bn pipeline reflects a balanced mix of small and large opportunities, focus on asset light bids 18-month pipeline value by size of opportunity Bid pipeline contains a higher mix of asset light Bids Asset Heavy M&A 22% Asset Light 78% Large (>£50m) Medium (£5-£50m) Small (<£5m)
Slide 28: Mobico Group FY 2024 Results
Mobico Group FY 2024 Results 28
Slide 29: Key focus areas for FY 25
Key focus areas for FY 25 Focus on consistent financial imperatives Optimise exciting growth opportunities in ALSA and newly consolidated WeDriveU Conclude German Rail PTA negotiations New COO to drive best practice across the Group Mobico Group FY 2024 Results 29
Slide 30: Mobico Group FY 2024 Results
Mobico Group FY 2024 Results 30
Slide 31: Mobico Group FY 2024 Results
The information in this presentation is general information and background only, and is not intended to be relied upon as advice to investors or potential investors as it does not take into account their particular investment objectives, financial situation or needs. The contents of this presentatio