Mobico Group PLC
LSE:MCG
Mobico Group PLC
Mobico Group Plc engages in the provision of shared mobility solutions to cities, businesses, education, healthcare, and consumers. The company is headquartered in Birmingham, Warwickshire and currently employs 46,200 full-time employees. The firm provides mobility solutions to cities, businesses, education, healthcare and customers. The company is internationally diversified with a portfolio of contracts and customer brands. The firm operates transportation services in 11 countries, the United Kingdom, the United States, Canada, Spain, Morocco, Switzerland, France, Germany, Portugal, Ireland and Bahrain, with some international coach services to other European countries. Its subsidiary, ALSA, operates long distance, regional and urban bus and coach services across Spain, and in Morocco, Portugal, Switzerland and France. ALSA also offers mobility solutions to meet business leisure and healthcare needs. Its business in North America has three areas of activity, student transportation, transit and shuttle services. The company operates in 34 states in the United States and three Canadian provinces. The firm operates rail services on seven routes in North Rhine-Westphalia.
Mobico Group Plc engages in the provision of shared mobility solutions to cities, businesses, education, healthcare, and consumers. The company is headquartered in Birmingham, Warwickshire and currently employs 46,200 full-time employees. The firm provides mobility solutions to cities, businesses, education, healthcare and customers. The company is internationally diversified with a portfolio of contracts and customer brands. The firm operates transportation services in 11 countries, the United Kingdom, the United States, Canada, Spain, Morocco, Switzerland, France, Germany, Portugal, Ireland and Bahrain, with some international coach services to other European countries. Its subsidiary, ALSA, operates long distance, regional and urban bus and coach services across Spain, and in Morocco, Portugal, Switzerland and France. ALSA also offers mobility solutions to meet business leisure and healthcare needs. Its business in North America has three areas of activity, student transportation, transit and shuttle services. The company operates in 34 states in the United States and three Canadian provinces. The firm operates rail services on seven routes in North Rhine-Westphalia.
Revenue Growth: Group revenue rose 7% year-on-year to GBP 1.3 billion, driven mainly by strong performance in ALSA and WeDriveU.
Profitability Challenge: Adjusted operating profit fell by GBP 8.7 million to GBP 59.9 million, mainly due to operational problems in WeDriveU and underperformance in several divisions.
Guidance Reaffirmed: Management expects full-year 2025 profit to be in line with previous guidance of GBP 180–195 million.
ALSA Strength: ALSA remains the group's strongest business, with double-digit underlying profit growth and successful diversification.
Cost Control Focus: New management is prioritizing cost reductions, overhead cuts, business simplification, and tighter capital expenditure.
Debt Reduction: Proceeds from the School Bus sale are being used to deleverage, aiming for a year-end covenant gearing of 2.5x.
Strategic Changes: U.K. Coach will join ALSA to create a pan-European coach business, targeting efficiency and synergy.
Problem Contracts: Ongoing operational and financial issues in WeDriveU (Washington contract) and German Rail are being actively addressed.
