Profits fall at Anglianbus, Hedingham and Chambers bus operator Go-Ahead
- Credit: Archant
Bus and train operator Go-Ahead, which employs around 400 people in Norfolk, Suffolk and Essex, has reported a slump in annual profits amid continuing woe for its strike-hit Southern Railway operation.
Go-Ahead, which runs Southern through its Govia Thameslink Railway (GTR) joint venture, saw pre-tax profit fall by 5.7% to £136.8m in the year to July 1, despite a 3.6% rise in group revenue to £3.481bn.
The group's regional bus division – which includes the Anglianbus, Konectbus, Chambers and Hedingham fleets in East Anglia – saw revenue remain broadly flat at £376.6m against £375.7m a year earlier while operating profit fell by 2.9%, from £48.5m to £47.1m, due largely to one-off costs.
However, a stronger performance from the group's London bus division, where revenue and operating profit grew by 7.8% and 2.1% respectively, left total bus revenue 4.5% higher at £902m and operating profit just 0.5% lower at £90.7m.
Go-Ahead said its regional bus operations had received the highest levels of customer satisfaction in the sector in the latest survey.
You may also want to watch:
'Our local bus businesses are focused on improving customer experience, including making it easier to pay for travel,' it added. 'During the year, the latest contactless technology was introduced across a number of our operations. We plan for contactless payments to be available to every Go-Ahead bus customer by the end of 2017.'
Profits at the rail division, which also includes London Midland and Southeastern, fell 16.1% to £59.9m on revenue up 3.2% at £2.579bn. At GTR, which also runs Thameslink, Great Northern and Gatwick Express services, revenues fell 4.1% as more than 30 days of strike action by the RMT union and six days of walkouts by drivers' union Aslef took their toll.
- 1 Tax inspectors probe 240 furlough fraud cases in Norfolk and Suffolk
- 2 Norfolk campsite voted third best in UK
- 3 Driver in hospital after BMW car ends up in ditch
- 4 9 pubs and restaurants which have had lockdown makeovers
- 5 'Very small' number of Indian Covid variant cases in Norfolk
- 6 Lorry driver admits causing deaths of two people in A47 crash
- 7 Hospital opens new £625,000 cancer wellbeing and support centre
- 8 Norfolk covid levels below national average but concerns raised about variants
- 9 Road cleared after three-vehicle collision on A47
- 10 Social distancing stops fish and chip shop's restaurant opening on May 17
The group also warned of a further hit to rail profits in the coming year after last month losing out to Abellio in the contest for the replacement London Midland franchise, and it remains in talks with the Government over contract changes which could hit annual rail profits by up to another £5m.
Go-Ahead chief executive David Brown said: 'Looking back on the year, our resilient business model has enabled us to operate through challenging market and trading conditions in our bus and rail businesses.'
He added: 'We apologise to our Southern passengers who have been inconvenienced for many months by disruption caused by industrial relations issues.
'Service levels are beginning to improve but there is still a lot of work to be done to provide the level of service we and our customers expect. Our primary aim is to improve the experience for our passengers and we are resolute in this commitment.'