22nd Aug 2007 07:01
Stagecoach Group PLC22 August 2007 Stagecoach Group plc Interim Management Statement 22 August 2007 Stagecoach Group plc ("the Group") today publishes its first interim managementstatement as required by the UK Listing Authority's Disclosure and TransparencyRules. The statement is made ahead of the Group's Annual General Meeting beingheld on Friday 24 August and covers events in the period from 1 May 2007 to thedate of the statement. The Group has made a good start to its financial year ending 30 April 2008 andits financial performance has been ahead of our expectations as a result ofstronger than anticipated revenue growth. Although severe weather has causedlocalised disruption to parts of our UK operations, revenue trends remainencouraging. Like-for-like revenue* growth in our main divisions was: UK Bus - twelve weeks ended 21 July 2007 7.6% UK Rail - twelve weeks ended 21 July 2007 15.0% North America - three months ended 31 July 2007 4.3% Virgin Rail Group - twelve weeks ended 21 July 2007 13.4% The revenue growth at North America is after taking account of the reduction inrevenue from the contracts with Greater Toronto Airport Authority, which wasanticipated as a result of the authority reducing its required level of service.After excluding the impact of this reduction, like-for-like revenues in NorthAmerica were up 6.1%. The most significant changes in the Group's financial position since 30 April2007 were the £694m return of value to shareholders in May and June 2007, andthe payment of £30m of special pension contributions in May 2007, togetherresulting in a more efficient capital structure. Further details on thesematters are provided in the Group's annual report for the year ended 30 April2007. On 22 June 2007, the Group was awarded the East Midlands rail franchise. We arenow progressing with the implementation of our plans for the franchise and lookforward to commencing operations on 11 November. On 15 July, we took over theoperation of the Manchester Metrolink tram network. Both East Midlands andManchester Metrolink should make positive contributions to the Group's profitsin the second half of this financial year. As previously announced on 10 July 2007 and 14 August 2007 respectively, we weredisappointed our bids with our partners for the New Cross Country and InterCityEast Coast rail franchises were unsuccessful. Nevertheless, we are satisfiedwith our overall rail bidding record over the last year, having secured threenew contracts and Virgin Rail Group having renegotiated the West Coastfranchise. We are encouraged with the current trading performance of the Group and theoutlook remains positive. - ENDS - * Like-for-like revenue growth refers to the comparison of year-to-date revenueto the equivalent prior year period for those businesses and individualoperating units that have been part of the Group throughout the whole of thecurrent financial year-to-date and the immediately preceding financial year. Forthis purpose, revenue is measured on a constant currency basis so the reportedgrowth figures are not affected by changes in foreign exchange rates. For further information, please contact: Stagecoach Group plc www.stagecoachgroup.com Martin Griffiths, Finance Director 01738 442111Steven Stewart, Director of Corporate Communications 01738 442111-------------------------- This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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