14th Sep 2021 10:59
(Alliance News) - Trainline PLC on Tuesday said it expects to return to profit in its current financial year as ticket sales increase across its major markets.
The rail and coach tickets app, which earns a commission on each ticket sold, said ticket sales reached 71% of pre-virus levels in its second quarter ended August 31, a new pandemic high.
Even more promisingly, second-quarter ticket sales in the UK climbed to 95% of pre-virus levels and actually posted growth in August.
Overall net ticket sales in the whole of the first half more than doubled to GBP1.00 billion from GBP358 million, the company added.
Second-quarter net ticket sales increased across the company's top four domestic markets - France, Italy, Germany, and Spain, up 5% overall from two years prior.
"It is reassuring to see demand for rail travel coming back strongly in all markets across Europe, following an incredibly tough period for the industry," said Chief Executive Officer Jody Ford.
The company said it now expects to return to profitability in the first half of its current financial year, which is due to end on February 28, 2022.
Adjusted earnings before interest, tax, depreciation and amortisation of between GBP13 million and GBP15 million are expected in its current first half, the company said.
For the full year, the company expects net ticket sales of GBP2.4 billion to GBP2.8 billion. Adjusted earnings before interest, tax, depreciation and amortisation are forecast to be between GBP35 million and GBP40 million.
"While it remains unclear how long it will take for demand to fully return, we remain positive about the long term tailwinds for the industry, including the significant planned investment in rail capacity, particularly on high speed routes, and a growing awareness of the environmental benefits of travelling by train versus other less sustainable modes of transport," Ford added.
Shares in Trainline were down 0.6% at 375.80 pence each in London on late Tuesday morning, having earlier traded as high as 399.40p.
By Scarlett Butler; [email protected]
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