London deal for Go-Ahead
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.GO-AHEAD, the recently floated local bus operator, said it was still on the takeover trail as it picked up one of the 10 London bus companies yesterday for pounds 23.8m, writes Tom Stevenson.
London Central is the fourth of the capital's red bus companies to be privatised. Two were recently acquired by Stagecoach and one sold to its management.
Martin Ballinger, Go-Ahead's managing director, said London Central was attractive because - like its other companies in the North-east, Oxford and Brighton - it served a heavily populated area with lower than average car ownership and high bus usage.
In the year to March London Central made pre-tax profits of pounds 2.5m on sales of pounds 40.6m. Mr Ballinger said the group was targeting operating margins of 15 per cent.
Pre-tax profits in the period were pounds 2.87m, 25 per cent higher than forecast at the time of flotation in March and an almost tenfold increase on the previous year.
Much of the increase came from higher productivity after 200 staff in the North-east accepted a one- off payment of pounds 4,000 in exchange for a pounds 30-a-week wage reduction.
Earnings per share rose from 1.5p to 8.2p. As stated in March the first dividend will be the next interim payment. The shares, floated at 120p, closed 6p higher at 132p.
(Photograph omitted)
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments