Trainline lifts FY profit outlook after strong first half

(Sharecast News) - Trainline lifted its full-year outlook on Thursday following a strong first half, which was ahead of its expectations. The company now expects net ticket sales and revenue growth at the top end of their respective guidance ranges. Meanwhile, adjusted earnings before interest, tax, depreciation and amortisation are expected to exceed the previously stated guidance range.

In May, Trainline had guided to net ticket sales year-on-year growth of between 8% and 12% for FY2025, and revenue growth of 7% to 11%. Adjusted EBITDA was expected to be between 2.4% and 2.5% of net ticket sales.

In an update for the period from 1 March 2024 to the end of August, the company said group net ticket sales rose 14% to just over £3bn, tracking ahead of its FY2025 guidance range. Revenue grew 17% to £229m, also tracking above the guidance range for the year.

UK Consumer net ticket sales rose 15% to £2bn as more people switched to digital tickets, with industry eticket penetration growing to 51% of ticket sales in the first half from 46% in the same period a year. Trainline said it also reflected a reduced impact from strike action versus the prior year.

International Consumer net ticket sales were 6% higher on the same period a year earlier at £583m, with Spain and Italy growing fastest.

Chief executive Jody Ford said: "As Europe's number one rail app, our strong performance shows how our relentless focus on innovation is helping more customers to choose digital ticketing.

"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."