logo-loader

Stagecoach profits stuck in neutral but divi lifted

Published: 08:20 07 Dec 2016 GMT

megabus-elitecoach-2_opt
The shares, which have been in reverse in the year to date, opened 1% higher at 207.4p

Stagecoach Group PLC (LON:SGC), the owner of South West Trains and Virgin East Coast, said first half profits were flat as it invested heavily in new vehicles and technology.

The company, which also owns megabus and runs Sheffield’s tram service, said its expectations for the year were unchanged as it posted pre-tax profits of £89.5mln.

Its capital expenditure budget has ballooned to £125.5mln from £83.9mln.

The interim dividend has been tweaked 8.6% higher to 3.8p a share.

"We remain confident that we can continue to deliver long-term value to our customers and shareholders,” said chief executive Martin Griffiths.

“The prospects for growth in public transport in the UK and North America remain good and we are continuing to invest to ensure that our businesses are a central part of that growth."

The shares, which have lost 30% in the year to date, opened 1% higher at 207.4p.

FTSE rises ahead of Easter weekend, JD Sport gains on upbeat outlook -...

The FTSE 100 gained on the final morning of this shortened Easter trading week. Festive cheer was limited though, as Thames Water confirmed shareholders would not provide it with a £500 million rescue package, prompting speculation over the London supplier’s future. On a more positive...

1 hour, 20 minutes ago