Go-Ahead Rail and a Our Devol to Deliver
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The Go-Ahead Group plc The Go-Ahead Group plc Annual Report and Accounts Registered Office for the year ended 27 June 2009 3rd Floor 41–51 Grey Street Newcastle Upon Tyne 2009 NE1 6EE Telephone 0191 232 3123 Facsimile 0191 221 0315 Annual Report and Accounts for the year ended 27 June 2009 The Go-Ahead Group plc Go-Ahead is one of the UK's leading providers of bus, Head Office rail and aviation services. 6th Floor 1 Warwick Row London Our devolved structure and local focus keep us on track SW1E 5ER to deliver efficient and high quality public transport. Telephone 0207 821 3939 Facsimile 0207 821 3938 Email [email protected] www.go-ahead.com Directors’ Report: Group highlights 1 Business Review Today’s key issues 2 This section provides information about the Chairman’s statement 4 Group’s performance, including detailed reviews Group Chief Executive’s review 6 of each of our three divisions. It also contains background market information, the four core Our markets 8 elements of our strategy and our performance Our strategy 12 against Key Performance Indicators. Key performance indicators (KPIs) 13 Finance review and risk management 15 Operating review - bus 21 Operating review - rail 27 Operating review - aviation services 35 Corporate responsibility 38 Directors’ Report: Board of Directors 42 Corporate Governance Senior management 43 This section provides information about the Corporate governance 44 Board of Directors and senior management, in Audit, nomination and remuneration committee reports 51 addition to the governance framework under which the Group operates and the remuneration Directors’ remuneration report 53 arrangements for the Board of Directors. Other statutory information 59 Financial Statements Independent auditors’ report to the members This section contains statutory information of The Go-Ahead Group plc - Group 63 on the Group and parent company accounts. Consolidated income statement 64 Consolidated balance sheet 65 Consolidated cashflow statement 66 Consolidated statement of recognised income and expense 67 Notes to the consolidated financial statements 68 Independent auditors’ report to the members of The Go-Ahead Group plc - parent company 101 Parent company balance sheet 102 Directors’ responsibilities in relation to the parent company financial statements 103 On track Notes to the parent company financial statements 104 For more information or to Shareholder Information Shareholder information and financial calendar 112 view this report online visit: www.go-ahead.com WorldReginfo - 59f02aaf-96d4-4c61-aeba-25b5b09a01b6 The Go-Ahead Group plc The Go-Ahead Group plc Annual Report and Accounts Registered Office for the year ended 27 June 2009 3rd Floor 41–51 Grey Street Newcastle Upon Tyne 2009 NE1 6EE Telephone 0191 232 3123 Facsimile 0191 221 0315 Annual Report and Accounts for the year ended 27 June 2009 The Go-Ahead Group plc Go-Ahead is one of the UK's leading providers of bus, Head Office rail and aviation services. 6th Floor 1 Warwick Row London Our devolved structure and local focus keep us on track SW1E 5ER to deliver efficient and high quality public transport. Telephone 0207 821 3939 Facsimile 0207 821 3938 Email [email protected] www.go-ahead.com Directors’ Report: Group highlights 1 Business Review Today’s key issues 2 This section provides information about the Chairman’s statement 4 Group’s performance, including detailed reviews Group Chief Executive’s review 6 of each of our three divisions. It also contains background market information, the four core Our markets 8 elements of our strategy and our performance Our strategy 12 against Key Performance Indicators. Key performance indicators (KPIs) 13 Finance review and risk management 15 Operating review - bus 21 Operating review - rail 27 Operating review - aviation services 35 Corporate responsibility 38 Directors’ Report: Board of Directors 42 Corporate Governance Senior management 43 This section provides information about the Corporate governance 44 Board of Directors and senior management, in Audit, nomination and remuneration committee reports 51 addition to the governance framework under which the Group operates and the remuneration Directors’ remuneration report 53 arrangements for the Board of Directors. Other statutory information 59 Financial Statements Independent auditors’ report to the members This section contains statutory information of The Go-Ahead Group plc - Group 63 on the Group and parent company accounts. Consolidated income statement 64 Consolidated balance sheet 65 Consolidated cashflow statement 66 Consolidated statement of recognised income and expense 67 Notes to the consolidated financial statements 68 Independent auditors’ report to the members of The Go-Ahead Group plc - parent company 101 Parent company balance sheet 102 Directors’ responsibilities in relation to the parent company financial statements 103 On track Notes to the parent company financial statements 104 For more information or to Shareholder Information Shareholder information and financial calendar 112 view this report online visit: www.go-ahead.com WorldReginfo - 59f02aaf-96d4-4c61-aeba-25b5b09a01b6 Our companies are significant contributors to the UK’s public transport infrastructure with around 960 million passenger journeys undertaken on our services each year. Group overview Bus operating Bus (100% owned) Operating Company company Go-Ahead is one of the UK’s largest bus operators.With a Revenue (£m) 283.3 82.5 70.5 68.2 48.3 31.9 fleet of over 3,500 buses, we carry, on average, around 1.6 Go-Ahead’s million passengers every day. We have a strong presence in Managing Director John Trayner Peter Huntley Alex Carter Alan Eatwell Roger French Philip Kirk rail network London, with around 21% market share, and also operate in Nature of business Regulated Deregulated Deregulated Regulated/deregulated Deregulated Deregulated the north east, Oxford, the south east and southern England. Geographical area Central London Tyne & Wear Dorset South East London Brighton Oxfordshire Aviation Services South London County Durham Wiltshire Kent Hove Routes to: East London Northumberland Hampshire Surrey Eastbourne London, 25% Revenue (£m) Teesside Isle of Wight East Sussex Tunbridge Wells Heathrow and Southampton West Sussex Steyning/Shoreham Gatwick Parking £584.7m Approx passenger 365 million 70 million 40 million 60 million 45 million 20 million 2008: £557.7m 2007: £514.0m journeys# 52% Average number of 4,507 2,043 1,494 1,344 1,056 554 Operating profit* (£m) employees £66.6m Fleet size** 1,444 buses 665 buses 592 buses 412 buses 257 buses 149 buses 2008: £66.2m 2007: £55.8m Rail (65% owned) Operating Company The rail operation, Govia, is 65% owned by Go-Ahead and Revenue (£m) 602.4 577.8 371.8 35% by Keolis+. It is the busiest rail operation in the UK, responsible for nearly 30% of UK passenger rail journeys Managing Director Chris Burchell Charles Horton Mike Hodson through its three rail franchises: Southern, Southeastern and Geographical area London London London London Midland. Surrey Kent Milton Keynes East / West Sussex East Sussex Northampton Hampshire Birmingham / West Midlands Revenue (£m) 66.1% Kent Liverpool Approx passenger 155 million 155 million 50 million £1,552.0m journeys# 2008: £1,378.4m 2007: £1,071.3m Average number of employees 4,153 3,824 2,461 48% Operating profit* (£m) Fleet size** 295 trains 338 trains 183 trains £61.5m 2008: £77.2m 2007: £66.1m Aviation Services (100% owned) The Group’s aviation services division is one of the UK’s largest independent providers of cargo services (primarily Operating Company Plane Handling), ground handling (primarily aviance UK) and Revenue (£m) 166.5 42.9 car parking (Meteor). The division operates from 15 airports Managing Directors Patrick Verwer – aviance UK Stephen Turner and services major airline operators such as Virgin and bmi. Rob Williams – Plane Handling Geographical area Nationwide Nationwide 8.9% Revenue (£m) Approx passengers 40 million 2.5 million served# / journeys £209.4m Average number of 2008: £263.0m 2007: £241.6m employees 4,732 959 Physical statistics** 15 airports 48,000 Operating (loss) / profit* (£m) parking spaces £(4.5)m 2008: £1.5m 2007: £(3.8)m Division Rest of Group * Before amortisation and exceptional items. ** As at 27 June 2009. # Rounded to the nearest 5 million. + Keolis is a French-based operator of passenger transport services which is majority owned by the French national railway SNCF. WorldReginfo - 59f02aaf-96d4-4c61-aeba-25b5b09a01b6 Our companies are significant contributors to the UK’s public transport infrastructure with around 960 million passenger journeys undertaken on our services each year. Group overview Bus operating Bus (100% owned) Operating Company company Go-Ahead is one of the UK’s largest bus operators.With a Revenue (£m) 283.3 82.5 70.5 68.2 48.3 31.9 fleet of over 3,500 buses, we carry, on average, around 1.6 Go-Ahead’s million passengers every day. We have a strong presence in Managing Director John Trayner Peter Huntley Alex Carter Alan Eatwell Roger French Philip Kirk rail network London, with around 21% market share, and also operate in Nature of business Regulated Deregulated Deregulated Regulated/deregulated Deregulated Deregulated the north east, Oxford, the south east and southern England. Geographical area Central London Tyne & Wear Dorset South East London Brighton Oxfordshire Aviation Services South London County Durham Wiltshire Kent Hove Routes to: East London Northumberland Hampshire Surrey Eastbourne London, 25% Revenue (£m) Teesside Isle of Wight East Sussex Tunbridge Wells Heathrow and Southampton West Sussex Steyning/Shoreham Gatwick Parking £584.7m Approx passenger 365 million 70 million 40 million 60 million 45 million 20 million 2008: £557.7m 2007: £514.0m journeys# 52% Average number of 4,507 2,043 1,494 1,344 1,056 554 Operating profit* (£m) employees £66.6m Fleet size** 1,444 buses 665 buses 592 buses 412 buses 257 buses 149 buses 2008: £66.2m 2007: £55.8m Rail (65% owned) Operating Company The rail operation, Govia, is 65% owned by Go-Ahead and Revenue (£m) 602.4 577.8 371.8 35% by Keolis+.