Go-Ahead profits hit the brakes
Bus and train operator Go-Ahead posted a 13% drop in half year pre-tax profit and remains cautious about the wider economic outlook.
Bus and train operator Go-Ahead posted a 13% drop in half year pre-tax profit and remains cautious about the wider economic outlook.
Pre-tax profit fell to £44m in the six months ended 31 December from £50.7m the year before. Revenue for the period rose 5% to £1.2m.
Go-Ahead reiterated that it remains in a good financial position with strong cash generation and a robust balance sheet. It also saw robust trading in bus and rail, in line with management expectations.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
"Looking ahead, whilst we remain suitably cautious about the wider economic outlook, in rail we expect first half revenue growth trends to continue in the second half and in bus we expect a solid performance despite an impact from the implementation of a new contract," it said in a company statement.
"Overall, we continue to anticipate the group will deliver full year results in line with management expectations."
Go-Ahead has maintained its interim dividend at 25.5p.
-
FTSE 100 hits record highs – why is it rising and will we see more gains?
Advice UK equities have been described as unloved for a long time but as the FTSE 100 hits new highs, we explain if now is the time to buy British.
By Marc Shoffman Published
-
How to invest in copper
It may be time to invest in copper as the red metal appears poised for a big jump. Dominic Frisby looks at what should investors should buy
By Dominic Frisby Published