Posted 13th May 2014 | 1 Comment
National Express reveals rise in rail earnings
NATIONAL Express Group has reported a 4 per cent rise in its earnings from the rail sector since the start of the year.
The Group once ran more rail franchises in Britain than any other company but now has only c2c, which is currently being relet by the Department for Transport as Essex Thameside. NXG also possesses the Midland Metro trams concession, and has improved its position recently by winning one German rail franchise and reaching the shortlist for another..
It is bidding for several more rail contracts after a period of retreat which followed its early exit from the East Coast franchise in 2009, because revenues had failed to live up to expectations.
In a statement, NXG said: "c2c has maintained its position as the top-performing UK franchise, with punctuality of 96.7 per cent. We have now submitted high quality bids for Essex Thameside, Crossrail and ScotRail. In Germany, we continue to mobilise the Rhine Münsterland Express ahead of its start in December 2015, and we have an active pipeline of further bids and opportunities, including the Berlin Ringbahn for which we have been shortlisted."
National Express chief executive Dean Finch added: "We are on track to deliver the Board’s expectations for the year. While we have faced specific challenges, such as the exceptional US weather and strike action in Spain, we have taken substantial steps to address their impact, including a renewed focus on cost efficiencies.
"We are also driving our strategy to develop opportunities in existing and new markets and I am particularly pleased by our progress in the UK, especially the increase in the number of passengers travelling with us. In the last few months we have secured important new contracts, including substantial new business in North America, and also submitted three high quality UK rail bids. Our cash generation remains strong and I believe we have the right strategy in place to deliver substantial value for our shareholders.”
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Melvyn Windebank, Canvey Island, Essex
As a C2C user I hope NX retains the franchise given how well its run and the standard of its trains (Although when I don't go to London I'd prefer Standards be left on them at Southend !) .
This route is different in that while many routes just experience to and from London rush hours C2C has commuters who travel to other destinations like Basildon and ever counter London commuters who travel out to Basildon or Southend and off course in summer Southend and stations like Leigh on Sea attract tourist business which means the line is busy at weekends as well.
While at the London end C2C provides a fast service to underground district and Hammersmith and City lines although those who jump on at west ham without checking can find next stop is Basildon or even Benfleet when they want Barking even a train cleaner made this mistake one night!
The coming of Crossrail may bring its own effect re commuters from Southend as they will be able to change trains at Shenfield or Stratford and ride to Central London stations in the west end .
The trains used on the line are ad mid life but still have many years service left in them and one problem is the disparity between peak and off peak numbers which makes it difficult to justify more trains . However, if London overground was extended to Grays from barking it might allow withdrawal of Fenchurch Street to Grays service and change it to Fenchurch Street via Grays service to say Pitsea .
The new port will also affect this service but fortunately 4 tracks already exist on sections of Tilbury route and electrification is being looked at . In fact t suggest those who think freight trains only run at night pay a visit to barking Station where freight trains pass through for most of the day heading to/from goblin route.