FIRSTGROUP PLC AGM STATEMENT AND INTERIM MANAGEMENT STATEMENT
FirstGroup ("the Group") will provide the following update on trading during the first quarter period ("the period" or "Q1") from 1 April to 30 June 2012 at the Group's Annual General Meeting in Aberdeen today.
Commenting, Tim O'Toole, Chief Executive, said:
"I am pleased to report that trading during the first quarter of the new financial year is in line with our expectations. As previously stated, 2012/13 is a year of transition for the Group. We remain encouraged by the progress in our North American operations. In UK Rail we continue to see strong passenger and revenue growth and are focusing on service quality and delivery, whilst developing future opportunities. In UK Bus we are executing our plan to reform the operating model and achieve sustainable growth. Notwithstanding the steady performance during the period we have accelerated our programme to reposition the portfolio and place the business on a firm footing to achieve sustainable growth in patronage and revenue. We are looking forward to the London 2012 Games where we are proud that our UK Bus division will be a major provider of spectator transport.
"The combined effect of the outlook for trading together with the actions to reposition the UK Bus portfolio is expected to result in the Group's net cash flow being broadly neutral in 2012/13. We have leading positions in a sector that is a key enabler of economic growth and we are confident that the actions we are taking will strengthen the business for the future. Therefore, reflecting its longer term view, the Board remains committed to its current policy of dividend growth of 7.0% through to the end of the financial year 2012/13."
