Latest news with #GrahamSutherland
Yahoo
11-06-2025
- Business
- Yahoo
Rail challenger to take on Labour's nationalised trains
Private train operator Lumo is plotting a range of new services across Britain in a direct challenge to Labour's nationalised rail network. FirstGroup, which owns the low-cost rail company, is looking to expand operations after already announcing plans to triple Lumo's passenger count to 10m a year with the addition of five new routes. Graham Sutherland, the chief executive, said FirstGroup is now studying population growth and housebuilding plans to determine where is best to introduce new routes. However, he said the company is particularly keen to restore direct services to London from small towns across the UK, while it is also exploring the possibility of launching trains between poorly connected regional centres. He said: 'Obviously it gets harder the further you get through it, but we feel there are other opportunities still to come out over time. 'Anything we are looking at is commercially sensitive. But the basic criteria is do we think there are under-served areas in terms of rail and do we have an opportunity to drive modal shift and get people out of their cars.' It comes after Labour sent out mixed messages on the continuation of private rail services following the launch of its state-backed railway company, Great British Railways (GBR). Privatised 'open-access' operators, which are not paid by the Government to run services and make their money only from passenger fares, are due to remain in private hands, according to the blueprint for GBR. However, Heidi Alexander, the Transport Secretary, wrote to the industry regulator in January advising it to adopt a more rigorous stance on approving open-access applications. GBR is set to be fully operational by next year. Meanwhile, The Telegraph revealed last month that LNER, which is already government-run, is predicted to lose out on £1bn in ticket sales to private operators offering cheaper fares. Mr Sutherland said open access is no threat to the nationalised railway, claiming instead that competition helps to improve standards and attract new customers. Mr Sutherland added that further routes targeted by Lumo were likely to conform to its existing long-distance model. FirstGroup currently operates open-access services along the east coast main line from Kings Cross to Edinburgh and Hull via Lumo and sister brand Hull Trains, which it plans to extend to Glasgow and Sheffield respectively. A further two new routes are guaranteed, one from London Euston to Stirling, in Scotland, and the other from London Paddington to Carmarthen, in south Wales, after FirstGroup bought access rights from Arriva's Grand Union. FirstGroup has also lodged applications with the Office of Rail and Road to run trains from Euston to Rochdale via Manchester and from Paddington to Hereford and Paignton, Devon. Should the company succeed in expanding to all seven routes, its open-access revenue should jump from £106m to around £300m, Mr Sutherland said. FirstGroup's South Western Railway became the first to be seized by Labour last month and will be followed by its remaining Avanti West Coast and Great Western franchises. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.
Yahoo
11-06-2025
- Business
- Yahoo
Rail challenger to take on Labour's nationalised trains
Private train operator Lumo is plotting a range of new services across Britain in a direct challenge to Labour's nationalised rail network. FirstGroup, which owns the low-cost rail company, is looking to expand operations after already announcing plans to triple Lumo's passenger count to 10m a year with the addition of five new routes. Graham Sutherland, the chief executive, said FirstGroup is now studying population growth and housebuilding plans to determine where is best to introduce new routes. However, he said the company is particularly keen to restore direct services to London from small towns across the UK, while it is also exploring the possibility of launching trains between poorly connected regional centres. He said: 'Obviously it gets harder the further you get through it, but we feel there are other opportunities still to come out over time. 'Anything we are looking at is commercially sensitive. But the basic criteria is do we think there are under-served areas in terms of rail and do we have an opportunity to drive modal shift and get people out of their cars.' It comes after Labour sent out mixed messages on the continuation of private rail services following the launch of its state-backed railway company, Great British Railways (GBR). Privatised 'open-access' operators, which are not paid by the Government to run services and make their money only from passenger fares, are due to remain in private hands, according to the blueprint for GBR. However, Heidi Alexander, the Transport Secretary, wrote to the industry regulator in January advising it to adopt a more rigorous stance on approving open-access applications. GBR is set to be fully operational by next year. Meanwhile, The Telegraph revealed last month that LNER, which is already government-run, is predicted to lose out on £1bn in ticket sales to private operators offering cheaper fares. Mr Sutherland said open access is no threat to the nationalised railway, claiming instead that competition helps to improve standards and attract new customers. Mr Sutherland added that further routes targeted by Lumo were likely to conform to its existing long-distance model. FirstGroup currently operates open-access services along the east coast main line from Kings Cross to Edinburgh and Hull via Lumo and sister brand Hull Trains, which it plans to extend to Glasgow and Sheffield respectively. A further two new routes are guaranteed, one from London Euston to Stirling, in Scotland, and the other from London Paddington to Carmarthen, in south Wales, after FirstGroup bought access rights from Arriva's Grand Union. FirstGroup has also lodged applications with the Office of Rail and Road to run trains from Euston to Rochdale via Manchester and from Paddington to Hereford and Paignton, Devon. Should the company succeed in expanding to all seven routes, its open-access revenue should jump from £106m to around £300m, Mr Sutherland said. FirstGroup's South Western Railway became the first to be seized by Labour last month and will be followed by its remaining Avanti West Coast and Great Western franchises. 擷取數據時發生錯誤 登入存取你的投資組合 擷取數據時發生錯誤 擷取數據時發生錯誤 擷取數據時發生錯誤 擷取數據時發生錯誤
Telegraph
11-06-2025
- Business
- Telegraph
Rail challenger to take on Labour's nationalised trains
Private train operator Lumo is plotting a range of new services across Britain in a direct challenge to Labour's nationalised rail network. FirstGroup, which owns the low-cost rail company, is looking to expand operations after already announcing plans to triple Lumo's passenger count to 10m a year with the addition of five new routes. Graham Sutherland, the chief executive, said FirstGroup is now studying population growth and housebuilding plans to determine where is best to introduce new routes. However, he said the company is particularly keen to restore direct services to London from small towns across the UK, while it is also exploring the possibility of launching trains between poorly connected regional centres. He said: 'Obviously it gets harder the further you get through it, but we feel there are other opportunities still to come out over time. 'Anything we are looking at is commercially sensitive. But the basic criteria is do we think there are under-served areas in terms of rail and do we have an opportunity to drive modal shift and get people out of their cars.'
Reuters
10-06-2025
- Business
- Reuters
FirstGroup shares soar on full-year profit beat, eyes UK transport opportunities
June 10 (Reuters) - British public transport operator FirstGroup (FGP.L), opens new tab reported full-year profit ahead of market expectations on Tuesday, helped by strong performance of its bus division and recent acquisitions. Shares in the London-listed company, which carries more than a million passengers daily on its buses and trains, rose more than 6% after it also announced an additional share buyback of 50 million pounds and raised dividend by 18% to 6.5 pence a share. Britain, as part of a new spending review, pledged 15.6 billion pounds ($21.04 billion) for transport projects targeting cities outside London, which have long been underfunded. "We intend to build up a good, strong bid team and we intend to participate in the opportunities as and when they come to market," CEO Graham Sutherland told Reuters, adding that he expects further details on the government's spending plans on Wednesday. FirstGroup has been expanding its bus network across Britain, including by entering the London market earlier this year with its acquisition of RATP London. Its First Bus service, which caters to about a fifth of the UK population, reported revenue of 1.08 billion pounds for the year ended March 29, ahead of expectations of 1.05 billion pounds, according to a company-compiled consensus. The company also acquired track access for two open access services between London Euston and Stirling and between London Paddington and South Wales, last year. FirstGroup was looking at further acquisitions this year, Sutherland said. Sutherland expects growth in buses and its open access rail companies such as Hull trains and Lumo. This is likely to counter the hit from nationalization of some of its railway projects. Nationalisation of its South Western Railway unit, which happened in May, will hit the company's fiscal 2026 revenue, Sutherland said. The unit contributed about 1.18 billion pounds in revenue in fiscal 2025. The Aberdeen-based company posted adjusted earnings per share of 19.3 pence for the year, ahead of company-compiled consensus of 18.9 pence. ($1 = 0.7414 pounds)
Yahoo
10-06-2025
- Business
- Yahoo
FirstGroup bounces back to profit as bus revenues grow
Transport operator FirstGroup has returned to profit for the past year as it cheered progress in its bus and rail operations. Shares in the Aberdeen-based company rose in early trading as investors welcomed stronger-than-expected profits. FirstGroup, which runs Avanti West Coast and Great Western Railway, recorded a pre-tax profit of £169.6 million for the year to March, swinging from a £24.4 million loss a year earlier. It also reported a group adjusted profit of £222.8 million for the year, up from £204.3 million a year earlier. The company said it saw a particular rise in profitability from its First Bus business, which has been boosted by its return to the London market following its £90 million takeover of RATP Dev Transit London. First Bus revenues grew 6.8% to £1.08 billion for the year despite a £17 million reduction in funding, as passenger numbers increased by 7% year-on-year. Meanwhile, the group's rail business said it saw passenger numbers on its open access lines, which include Hull Trains and Lumo, grow to 2.9 million for the year, from 2.7 million. The Government has set out plans to nationalise UK rail operations, except for open access franchises and freight. FirstGroup said it has acquired track access rights for two new open access services. Chief executive Graham Sutherland said: 'I am pleased to report another positive set of results for our 2025 financial year. 'We have further strengthened our businesses and continued to deliver against our strategy, including growing and diversifying our earnings in both First Bus and First Rail. 'This leaves us well placed to at least maintain our adjusted earnings per share in full-year 2026, from a stronger base, as we continue to successfully navigate a period of transition in bus and rail in the UK.' The company also told shareholders that it expects to secure around £15 million cost savings over the first half of the new financial year. Shares in the business were 6.6% higher in early trading.
