Commenting, FirstGroup's Chief Executive, Tim O'Toole said:
"I am pleased to report that overall Group trading for the first half of the current financial year is in line with our expectations. In First Student we are executing our plan to address performance and strengthen the operating model and I am encouraged by the positive early indicators. At Greyhound our actions to transform the business are delivering results with good revenue growth and margin improvement. First Transit continues to deliver growth and has a strong pipeline of further opportunities. In our UK Bus operations, which are focused in high density urban areas, our priorities are to manage the immediate challenges presented by a softening macroeconomic outlook and reduced funding to the industry while also taking the necessary forward looking decisions to equip the business to deliver increased growth. Strong passenger demand continues across all of our rail operations and we look forward to building on our market leading position and developing further opportunities once the Department for Transport's new rail franchising programme commences in 2012. With market leading positions and operations that are fundamentally strong, together with our clear focus on creating a stronger business for the future, the Group has good prospects to deliver long-term value for shareholders in a sector which is a key enabler of economic growth."
The dividend rises 7% to 7.62p at the interim stage
