Highlights
Adjusted earnings per share in line with expectations
Adjusted earnings per share of 24.4 pence (2016: 27.7 pence) in line with our expectations
Basic earnings per share of 5.5 pence (2016: 17.1 pence) reflect exceptional charges
Dividend per share for the year up 4.4% to 11.9 pence (2016: 11.4 pence)
Substantial further investment - net capital expenditure of £157.3m (2016: £187.0m)
Our expectation of 2017/18 earnings per share is broadly unchanged
Operational developments
Engaged in discussions with Department for Transport on contractual matters at Virgin Trains East Coast, including implications of Network Rail's reprioritised infrastructure programme
o £84.1m exceptional charge to provide for anticipated losses under current contract, over the next two years
o Business expected to be profitable from 2019
o £44.8m non-cash exceptional impairment of franchise intangible asset
o High customer satisfaction and around £525m to date in premium payments to taxpayer - average monthly payments around 30% more than made by Directly Operated Railways
Shortlisted for new East Midlands and South Eastern rail franchises
New joint venture with Virgin and SNCF shortlisted to bid for West Coast Partnership rail franchise
Management action taken across our bus operations in response to period of subdued revenue trends - targeted network, pricing and management changes
Improving revenue trends and contract opportunities in North America
Progress with digital and technology programme, including new initiatives outside of our core operating divisions
