Strong year boosts outlook at Go-Ahead

 
City A.M. Reporter
GO-AHEAD Group said yesterday it expects profits in its bus division to hit £100m by 2015-16, as it raised its annual forecasts to reflect a better-than-expected performance so far.

Shares in the transport operator, which runs London buses and Southeastern trains, rose after it said deregulated bus revenue for the half-year to

28 December was expected to be 2.5 per cent higher than 2012 – rising to three per cent if revenues from last year’s Olympic contract were stripped out.

“I am pleased with the continued robust performance across our operations,” said chief executive David Brown. “Our bus and rail divisions have both seen commercial revenue growth in the year to date.”

He added that the group was working on submitting a “strong bid” for the Thameslink franchise at the end of the month.