Trainline profits double to £56m as sales surge despite strikes costing it £4m a day
TRAINLINE made over £5billion in ticket sales in the past year — doubling its profits to £56million.
It came despite rail strikes costing it £4million a day.
The rail ticketing app’s shares were hit last month when Labour unveiled plans to renationalise nearly all passenger services, should it win the next General Election.
However, the firm yesterday emphasised that Louise Haigh, Shadow Secretary for Transport, had made that announcement at Trainline’s head office in support of the business.
Boss Jody Ford said Labour “have confirmed to Trainline they have no plans to revive the current government’s previous proposal for a national retailing website and app”.
Trainline said yesterday its sales rose by 22 per cent to £5.3billion, with operating profits doubling to £56million in the year to March.
The strong results led to it kicking off a new £75million share buyback.
Its shares steamed ahead by 7.24 per cent, or 21.80p, to 322.8p as investors reacted to reassurance on renationalisation and the buyback.
Trainline said e-tickets now accounted for 47 per cent of the total ticket market in the UK, with more people using them to get cheaper fares.
However, it still only has 23 per cent of the market as most people still buy from station ticket offices.
£42M MIKE DROP
MIKE Ashley has dropped his £42million battle with Wall Street bank Morgan Stanley.
The tycoon sued believing the bank’s $1billion demand to cover his stake in retailer Hugo Boss was driven by “snobbishness” and personal dislike. The bank said neither side had made any payment.
GINS AND OUTS
GUINNESS and Gordon’s gin maker Diageo has appointed a new finance chief six months after a shock profit alert for Latin America.
Nik Jhangiani, from Coke bottler Coca-Cola Europacific Partners, replaces Lavanya Chandrashekar.
Boss Debra Crew said Mr Jhangiani has a “record of generating growth”.