FirstGroup back on track with turnaround plan
FIRSTGROUP has reported a drop in revenues but said its turnaround plans were progressing as planned.
The public transport group, which has operations in the UK and US, saw half-year revenues fall 10.9 per cent to £2.9billion.
Pre-tax profits leapt 70 per cent to £33.3million in the six months to September 30 helped by a strong performance from its rail division.
We are on track to meet our expectations for the full year
Chief executive Tim O’Toole said: “We are on track to meet our expectations for the full year.”
The group is trying to turn the corner after suffering a number of contract blows including losing its Caledonian franchise to Serco and failing in its bid to win the Essex Thameside deal.
FirstGroup attributed the fall in revenues to a number of factors including currency exchanges and the selling off of bus depots in 2013.
Like-for-like passenger volumes in its struggling UK bus division were up 2.1 per cent.
Across its rail division, which runs the Great Western route, passenger numbers were up 3.5 per cent helping it achieve a high of 1.6 billion passengers in 2013/14.
