First Group Review - half year results

[whole diary]

[grahame]

Received today - First Group Review - half year results

Overview:

Overall trading for the Group in the first half consistent with plans outlined at start of the financial year

Strong cash performance in the period, in addition to inflows from SWR^» (South Western Railway - about)

Solid performances partially obscured by impact of recent severe hurricanes

Confident that the Group will make further progress and deliver substantial cash generation for the full year

[IndustryInsider]

Shares down around 7p despite that fairly optimistic outlook.

[ChrisB]

If it wasn't for SWR^» (South Western Railway - about), revenue only up 0.9% on trains......

[grahame]

If it wasn't for SWR^» (South Western Railway - about), revenue only up 0.9% on trains......

Ticket machine out of order .... , Train Manager failed to come through before Xxxxxx; Xxxxxxx unbarriered ... so I expect ticket sales (and income to GWR^▸ (Great Western Railway)) won't accurately reflect the number of passengers carried.

[ChrisB]

With respect, Graham, very unlikely to make much pf a dent in the millions of revenue they take each half-year. Although, I agree, maybe a five-figure number, ie 0.01 of a million pounds

[Tim]

IIRC^▸ (if I recall/remember/read correctly) ticketless travel is somewhere between 2 and 5% of all journeys and will be more of an issue on some lines than others.  2% is sometimes a figure bandied around as the average profit margin of a ToC. 

[ChrisB]

That's 2% of revenue, not 2% of all journeys. Very different kettle of fish.

[grahame]

With respect, Graham, very unlikely to make much pf a dent in the millions of revenue they take each half-year. Although, I agree, maybe a five-figure number, ie 0.01 of a million pounds

With respect, ChrisB    - that represents an example.  Which is why my quoting made the example none-specific.

When I was in Scotland a handful of weeks back, it was really noticeable how much more ticket checking was in place than in certain parts of GWR^▸ (Great Western Railway) 'territory'.  Of course, it might be a co-incidence that I on came across the most heavily checked lines in Scotland ...

[Tim]

On my main route (Bath-London) ticket checking has collapsed since the station barriers were installed.  When people were able to buy tickets on the train every ticket got checked every time despite the Guard having the extra job of selling many tickets.  Today tickets are checked only about a fifth of the time.  I am not aware of any staff reductions, it appears to me that First have given up on managing and incentivising staff to check tickets. 

Yes I know that they are primarily there for our safety and they have other important jobs to do, but 15 years ago on the 743 Bristolian (which I think might have actually been the 741 back then) Guards managed to sell about 20 tickets per coach and check all tickets and work the doors.  The fact that selling 100+ tickets at £100+ each would have earnt a decent commission must have had something to do with it. 

I would also venture that on train staff who spend the journey in their office are undermining the justification of having on train staff.  The RMT^▸ (National Union of Rail, Maritime & Transport Workers) cannot expect the public to support the retention of Guards if the public hardly ever see the Guard.   

[Tim]

That's 2% of revenue, not 2% of all journeys. Very different kettle of fish.

I realised that after posting. 

[1st fan]

On my main route (Bath-London) ticket checking has collapsed since the station barriers were installed.  When people were able to buy tickets on the train every ticket got checked every time despite the Guard having the extra job of selling many tickets.  Today tickets are checked only about a fifth of the time.  I am not aware of any staff reductions, it appears to me that First have given up on managing and incentivising staff to check tickets. 

Yes I know that they are primarily there for our safety and they have other important jobs to do, but 15 years ago on the 743 Bristolian (which I think might have actually been the 741 back then) Guards managed to sell about 20 tickets per coach and check all tickets and work the doors.  The fact that selling 100+ tickets at £100+ each would have earnt a decent commission must have had something to do with it. 

I would also venture that on train staff who spend the journey in their office are undermining the justification of having on train staff.  The RMT^▸ (National Union of Rail, Maritime & Transport Workers) cannot expect the public to support the retention of Guards if the public hardly ever see the Guard.   

Going up past Oxford on Saturday evenings the Turbo is DOO^▸ (Driver-Only Operation (that is, trains which operate without carrying a guard)) until Oxford and then we are joined by a Train Manager. As the train boards from a non barriered platform at Paddington there are some people I'm sure who don't buy a ticket if going to Hanborough or Charlbury. Often the Train manager boards at the rear and I often don't see them at the front of the train until after leaving Kingham. The funny thing is the one time the Train Manager did start the journey towards the front there were four very surprised yoof. I think they'd all boarded that carriage at Oxford and the TM^‡(resolve) reached them and me after leaving Hanborough. They said they needed to buy tickets from Hanborough to Kingham which was a blatant lie. Train Manager pointed out that there had only been one person getting on at the last station so where did they actually board? They then said it must have been Oxford and that they'd got confused! Tickets sold they were slightly incensed that they'd been caught given "that normally works" "don't have any money for fags now" etc.  So I would assume this wasn't a one off and they may have come from London and just moved carriages. Whilst I'll agree that they'll never get rid of fare evasion completely they could do more.

Someone joining at Oxford confessed to me that they had travelled from Newcastle and were ticketed to Charlbury. However they were getting off at Hanborough because the advance ticket was a few quid cheaper to Charlbury.

[Sleepy]

I travelled from Paddington (barrier open) to Penzance then St Ives to Paddington (platform 1 unbarried) last week, tickets only shown / requested on St Ives branch train. Gates only make life easy for fare evaders to doughnut etc. Guards get no thanks from TOC^▸ (Train Operating Company)'s for any delays caused by issues with can't pay won't pay brigade so easy to see why checks getting less frequent IMO^▸ (in my opinion).