Stagecoach reports revenue rise

Bus, rail and North America revenues all saw a rise

Perth-based transport firm Stagecoach has recorded a rise in revenues.

Figures for the 44 weeks to 1 March show bus revenues are up by 9% and rail revenues by 6.7%. Its Virgin Rail joint venture saw a 0.6% dip.

The company reported that revenues at its US arm, which includes Megabus.com, increased by 6.8% in the 10 months to 28 February.

Stagecoach said overall profitability for the year to 30 April was forecast to remain in line with expectations.

'Not immune'

Despite the increases, the firm stressed that concerns over the outlook for rail still stood, with commuter jobs being impacted heavily by the recession.

"Our rail businesses are not immune to the impact of the current tough economic climate and we continue to monitor economic developments," the group said.

It has so far announced plans for about 660 job cuts at its South West Trains operation and another 162 at East Midlands Trains.

Gerry Doherty, general secretary of the Transport Salaried Staffs Association, said: "It is outrageous that Brian Souter [Stagecoach chief executive] should be sacking hundreds of loyal staff while passenger growth and profits are up.

"He is using the recession as an excuse to boost profits even more while making life more uncomfortable for passengers."