FirstGroup Plc - Pre Close Trading Update
pre close Trading update
First Rail overview
Trading in the First Rail division has been slightly ahead of the Group’s expectations due to strong performance in the division’s Open Access operations as a result of continued strong demand, effective yield management, and the settlement of certain one-off infrastructure and other claims during the period.
Open Access growth
On
The ORR consultation with industry partners has concluded. Capacity and performance modelling is now underway. The Group is also working on the fleet strategy and is in discussions with rolling stock companies. It is anticipated that services could begin in the second half of the 2025 calendar year.
In addition, Lumo has identified opportunities to extend a number of its daily
The Group has been shortlisted with its bid partner
First Bus overview
Trading in the First Bus division is strong and in line with the Group’s expectations. We continue to focus on commercial opportunities to drive growth, the delivery of operational efficiencies and our continued progress in the electrification of the First Bus fleet and infrastructure. The division is on track to have more than 600 electric buses (c.15% of its fleet) and three fully electric commercial bus networks in
Completion of acquisition of
Following the conclusion of a customary regulatory review, the Group completed the acquisition of
Corporate
Since the announcement of the H1 2024 results, the Group has continued to opportunistically purchase its
FY 2024 Guidance
Due to the slightly stronger performance in First Rail detailed above, the Group anticipates that its FY 2024 Group adjusted operating profit and Group adjusted earnings will be slightly ahead of the Board’s previous expectations.
The Group anticipates to end its FY 2024 financial year in an adjusted net cash position of £60-70m, with c.£40m of the ongoing share buyback programme still to be completed post year-end.
Graham Sutherland, FirstGroup Chief Executive Officer, said:
“Our focus on operational delivery, driving demand for our services and growing and diversifying our portfolio has resulted in further progress in the second half of our financial year. This leaves us well positioned to create further sustainable value for all our stakeholders.”
First Rail Teach-in for analysts and investors and notice of results
The Group will be hosting a First Rail Teach-in for analysts and investors tomorrow, Wednesday 13 March from 09:30-12:30 in
No material new information will be provided at the event. Following the event, a copy of the presentation and recording of the webcast will be made available on the Group’s website at:
www.firstgroupplc.com/investors/reports-and-presentations.aspx .
The Group expects to report its results for the year ended
Contacts atFirstGroup :Marianna Bowes , Head of Investor Relations Contacts atBrunswick Group : Stuart Butchers, Head of CorporateAndrew Porter /Simone Selzer Communications Tel: +44 (0) 20 7404 5959 corporate.comms@firstgroup.co.uk Tel: +44 (0) 20 7725 3354 Contacts atLiberum Capital Limited : Contacts atRBC Europe Limited :Nicholas How /John Fishley James Agnew /Jamil Miah Tel: +44 (0) 20 3100 2000 Tel: +44 (0) 20 7653 4000
Notes to Editors
A consensus of publicly available sell-side analyst forecasts compiled by the Group is available on the Group’s website at www.firstgroupplc.com/investors/analyst-consensus.aspx .
Definitions
Adjusted operating profit is defined as operating profit from continuing operations excluding
items which management has determined as not being relevant to an understanding of the Group’s underlying business performance.
Group Adjusted earnings are reported before net adjusting items and excludes IFRS 16 impacts in First Rail management fee operations.
Adjusted net cash/(debt) excludes ring-fenced cash and IFRS 16 lease liabilities from net cash/(debt).
Forward-looking statements
Certain statements included or incorporated by reference within this announcement may constitute 'forward-looking statements' with respect to the business, strategy and plans of the Group and our current goals, assumptions and expectations relating to our future financial condition, performance and results. By their nature, forward-looking statements involve known and unknown risks, assumptions, uncertainties and other factors that cause actual results, performance or achievements of the Group to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. No statement in this announcement should be construed as a profit forecast for any period. Shareholders are cautioned not to place undue reliance on the forward-looking statements. Except as required by the
Legal Entity Identifier (LEI): 549300DEJZCPWA4HKM93. Classification as per DTR 6 Annex 1R: 3.1
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