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Stagecoach revenues are back on track

STAGECOACH revenues from fares at its rail businesses grew last year while poor weather hit its bus services.

Like-for-like revenues at the transport company’s British rail services were up 2.1 per cent in the 40 weeks to 7 February.

Meanwhile, Virgin Rail, in which it owns a 49 per cent stake, saw sales growth of 8.8 per cent.

However, bus revenues were blighted by severe weather conditions in December and January with fewer passengers venturing out.

Revenue growth on the buses arm dipped to 3.4 per cent – one per cent lower than reported at half-year result.

The company said in a statement: “Notwithstanding the continued uncertain economic outlook in the countries in which the group operates, overall current trading remains in line with our expectations and we believe the prospects for the group remain positive.”

The firm is in dispute with the Department for Transport over the level of subsidy it receives for its South West Trains business.

The matter is in arbitration with a decision expected in the summer.

Stagecoach last year launched a failed bid to buy National Express.