National Express driving ahead with turnaround

The turnaround at transport giant National Express continues, as it today reported an increase in third-quarter bus, train and coach revenues.

It said it was on track to meet full-year forecasts after a strong third quarter.

Operating profit at NatEx's British bus business was up by £5 million, with passenger per mile revenue 5% higher. Underlying revenue for its coach division increased by 4% in the year to date.

The firm said profitability at its British rail business continued to grow on the back of a 7% rise in third-quarter underlying revenue.

"We are making great progress in UK bus, rail and North America, whilst delivering strong, stable returns in our other two businesses, Spain and UK coach," chief executive Dean Finch said.

He reiterated plans for NatEx to bring back its dividend this year.

The firm also said economic troubles in Spain had not held back revenue. "There has been limited direct impact from [Spanish] government austerity measures," said a statement.

Analysts are expecting National Express to report full-year pre-tax profit from between £141 million and £158.5 million.