Stagecoach on track as drivers quit the roads

Published on Wednesday 27 April 2011 22:34

Bus and rail operator Stagecoach yesterday reported sales growth at all units and said it was positive on prospects for the current year as more hard-pressed motorists take to public transport.

Like-for-like revenues at its UK rail business, which includes the South West Trains commuter franchise, grew 6 per cent in the 48 weeks to 3 April, while Virgin Rail, in which the Perth group owns a 49 per cent stake, saw sales growth of 12.1 per cent.

Stagecoach, which last year re-entered the London bus market after buying the East London Bus Group, said sales at its UK bus division rose 2.2 per cent in the same period.

The company's North American coaches operation saw an 8.3 per cent rise in underlying revenues in the 11 months to the end of March, yesterday's trading update revealed.

"The overall profitability of the group has remained strong, with good ongoing cost control and all divisions showing revenue growth in the current year," Stagecoach added.