(Alliance News) - National Express Group PLC on Wednesday said it is seeing a trend of improving performance despite ongoing Covid-related restrictions.
Despite revenue for the four-month period to April 30 being 16% below last year, operating profit was ahead of last year after costs were cut. The public transport operator also noted April revenue is up by around 50% compared to a year prior.
Chief Executive Ignacio Garat said: "I am pleased to see the continued improving performance trajectory across our business in the first four months of 2021 despite the ongoing lockdown restrictions."
In other positive signs, underlying operating profit was strongly ahead of last year for March and April while the firm generated positive earnings before interest, tax, depreciation and amortisation, slightly ahead of its base case scenario.
Looking ahead, National Express said it expects its first-half performance to be at least in line with the preceding six months. An underlying revenue of GBP1.96 billion was posted by the Birmingham-based group for its 2020 financial year. For the second half-year of trading it predicts a "robust improvement", as vaccination programmes enable restrictions to be lifted.
National Express expects to close its first-half of trading with GBP900 million in cash and undrawn facilities.
"Whilst we remain focused on managing what we can control, we remain confident that as restrictions across the world are lifted we will see a strong recovery in demand for our services," said Garat.
Shares in National Express were trading at 296.00 pence in London on Wednesday morning, down 0.9%.
By Will Paige; willpaige@alliancenews.com
Copyright 2021 Alliance News Limited. All Rights Reserved.
