Trainline shares soar as fewer strike days help drive £2bn in ticket sales
- UK also boosted by digital switching, while Spain and Italy lead internationally
Trainline shares soared on Thursday after the rail ticketing platform upgraded full-year guidance following solid first half growth.
The FTSE 250 firm's revenues swelled 17 per cent year-on-year to £229million in the six months to 31 August, as easing levels of industrial action drove net ticket sales 15 per cent higher to £2billion.
Trainline now expects full-year growth in revenues and net ticket sales 'at the top end' of previous guidance, which had forecast the former to rise by 7 to 11 per cent and the latter to grow by 8 to 12 per cent.
Trainline UK's trade was also boosted by more people booking travel digitally, while Spain and Italy continue to lead international gains
Consequently, adjusted earnings before nasties for the year are expected to exceed previous guidance of 2.4 to 2.5 per cent of net ticket sales – Trainline's key measure of profitability growth.
Trainline shares were up 9.7 per cent to 329.2p by late morning, bringing gains over the last 12 months to around 35 per cent. However, they are still down roughly 32 per cent over the last five years.
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Last year Trainline suffered from heightened rail industrial action just as it was recovering from the impact of Covid lockdowns.
But the group said the first half of the financial year had benefited from 'reduced impact from strike action', which it claims cost it £3million to £4million over six days compared to £5million to £6million over 11 days last year.
UK trade was also boosted by more Britons switching to digital tickets, with industry eticket penetration growing to 51 per cent of ticket sales, up from 46 per cent during the same period last year, according to Trainline.
International net ticket sales jumped 6 per cent to £583million, with combined growth of 23 per cent in Spain and Italy helping to offset a 3 per cent decline in France and Germany.
Spain and Italy continue to drive international momentum, having also enjoyed double-digit growth last year.
Boss Jody Ford said: 'Competition between rail carriers is growing across Europe and as the aggregator of choice we deliver the value and convenience customers want.
'This is most clearly demonstrated in Spain, where we have tripled net ticket sales in the last two years, with over one million customers transacting in the last 12 months alone.'
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