Stagecoach is boosted by bus and train ticket sales

STAGECOACH posted a positive trading update after the transport group saw improved revenue and strong profitability during the first quarter.

The Perth-based firm, which also has operations in the US and Canada, said higher revenue boiled down to economic recovery in all of the regions where it operated.

Bus and rail revenue in the UK climbed by 2.9 and four per cent respectively, despite adverse weather in December and January.

Virgin Rail, a joint venture between Stagecoach and Virgin Group, saw revenue up by 9.9 per cent compared with the first quarter in 2009.

Stagecoach, led by chief executive Brian Souter, said while the sustainability of the economic recovery remained uncertain, the outlook for the group was positive.