German-owned Stagecoach ups revenue to £1.176bn

Perth-based transport giant Stagecoach, now owned by German asset manager DWS, said its revenue grew to £1.176 billion from £928.2 million in the year to April 30.

The firm said profit before tax was £39.3 million compared to a loss of £5.5 million in the prior year.

DWS — a standalone unit of Deutsche Bank — won control of Stagecoach last month as its £595 million cash takeover bid trumped rival bidder National Express.

In its outlook, Stagecoach said: “We remain positive on the long-term outlook for the group.

“The company is now controlled by a company managed by DWS Infrastructure.

“DWS Infrastructure is a patient, long-term investor with a strong track record of unlocking value for all stakeholders …

“While there remains some uncertainty around the pace of recovery, there is no change to our expected outlook for the year ending 29 April 2023.

“Strong partnership working between bus operators, national government and local transport authorities is critical if we are to maximise the opportunities ahead and we are pleased that this is reflected in the direction of public policy across the country.”

Stagecoach CEO Martin Griffiths said: “I am pleased to report that we have firmly returned to growth in the full year.

“We are in a good financial position, supported by recovering customer demand and continued investment grade credit ratings, as we look to the next phase of our journey under new ownership.

“We are not immune from the global macro-economic headwinds.

“However, we believe our good value public transport services offer consumers help in managing the cost-of-living challenges and high fuel and energy prices, supporting our ambitions around modal shift from car to bus.

“In addition, we are making good progress with the delivery of our sustainability strategy and our transition plans, including introducing fleets of new zero emission buses.

“Looking ahead, public transport remains critical to economic recovery, healthy and connected communities, levelling up the country, and delivering a net zero future, and I am confident Stagecoach has positive long-term prospects.”