Stagecoach set to post strong year

Source: Supply Chain Digital

Date :23/06/2008 11:21:26

Perth-based transport group Stagecoach is expected to post seven percent rise in full year profits on Wednesday, June 25, after strong performance from its rail division.

Consensus forecasts put underlying pre-tax profit at £173.1million, compared to £162million last time.

Stagecoach's UK rail business, which includes East Midlands Trains and the group's joint venture, Virgin Rail Group, posted a 13 percent rise in rail revenues in the 48 weeks to end-March.

In April 2008, Stagecoach said it was “encouraged by the current trading performance of the group".

"Whilst we are mindful of macroeconomic developments and of continuing cost pressures such as increased fuel prices, the outlook remains positive,” the group said.

Greener buses

Earlier this year, the group also announced its £71 million investment in a fleet of 584 greener buses for the UK during 2008-09; the biggest ever order placed by the company.

Stagecoach has initially ordered nearly 500 vehicles with a total value of more than £60 million from manufacturers Alexander Dennis (ADL), Optare, MAN, Plaxton, Scania and Volvo.