TRAINLINE
PLC TRADING STATEMENT
14th March 2024
Strong
growth in ticket sales from Europe's number one rail app
Trainline plc ("Trainline", the "Company" or the
"Group"), the leading independent rail and coach travel platform
selling tickets to millions of customers worldwide, today provides
an update on its trading performance for the financial year 2024
(1st March 2023 to
29th February 2024).
FY2024 trading performance
summary:
|
Twelve
months to end of February 2024
|
|
FY2024
|
FY2023
|
% YoY
|
Net ticket sales (£m)
|
|
|
|
UK Consumer
|
3,469
|
2,811
|
+23%
|
International Consumer
|
1,041
|
915
|
+14%
|
Trainline Solutions
|
785
|
597
|
+31%
|
Total Group
|
5,295
|
4,323
|
+22%
|
|
|
|
|
Revenue (£m)
|
|
|
|
UK Consumer
|
209
|
172
|
+21%
|
International Consumer
|
53
|
45
|
+17%
|
Trainline Solutions
|
135
|
110
|
+23%
|
Total Group
|
397
|
327
|
+21%
|
Jody Ford, CEO of Trainline
said:
"Trainline is a home-grown British tech success that has
scaled beyond domestic borders to become Europe's most downloaded
rail app. We outperformed expectations this year, growing strongly
in the UK and across the continent, with International Consumer net
ticket sales of more than £1 billion.
"Our growth was fastest in Spanish domestic travel, which
doubled year on year as we position ourselves as the aggregator of
choice. Trainline's market share continues to rise on key routes
like Madrid - Barcelona, which is now our third most popular route
across all countries, including the UK. This reflects
liberalisation and emerging carrier competition that is set to
transform European rail, driving down prices for customers while
increasing choice and value."
Group net ticket sales
increased to £5.3 billion, 22% higher year-on-year (YoY), at the
top end of Trainline's already improved guidance range for growth
of between 17% to 22%.
Group revenue was £397
million, growing 21% YoY, above Trainline's guidance range of
between 15% to 20%.
UK Consumer net ticket sales were £3.5 billion, 23% higher YoY. This
reflected continued rail market recovery, as well as the industry
experiencing fewer strikes than in the prior year (25 strike
days1 in FY2024 vs 30 in FY2023), which were also less
severe in their impact (estimated gross
ticket sales impact per strike day of c.£4 million in FY2024 vs
£5-6 million in FY2023). UK Consumer growth also reflected more
people switching to digital tickets, with industry eticket
penetration at 47% of ticket sales in FY2024, up from 43% in
FY2023. UK Consumer revenue grew 21% YoY to £209
million, slower than net ticket sales given
faster growth in commuter and on-the-day travel, which generate
relatively lower rates of revenue than longer distance travel.
However, revenue growth stepped up in the second half as the Group
increased its focus on non-commission revenue
generation.
International Consumer
net ticket sales were £1.0 billion, 14% higher YoY. Growth
was led by Spain and Italy - markets where carrier competition is
most widespread - with combined net ticket sales up 43% YoY as
Trainline positions itself as the aggregator of choice. Combined
net ticket sales across France and Germany grew 3% YoY, reflecting
Trainline's decision to pause brand marketing in France until the
arrival of more widespread carrier competition. Growth was led by
Trainline's mobile app, which now makes up 62% of transactions in
International Consumer, while Web sales growth was tempered by
changes to the presentation of search engine results, as outlined
in Trainline's Half Year results in November. International
Consumer revenue was £53
million, growing 17% YoY. Revenue growth outpaced net
ticket sales driven by higher non-commission revenues and further
growth in foreign travel sales. Foreign travel sales generate
higher revenue as a percentage of net ticket sales than domestic
travel.
Trainline Solutions
net ticket sales were £785 million, 31% higher than prior year, with a
strong performance from IT Carrier Solutions and business travel in
the UK industry recovering from a lower base. Revenue increased
by 23% YoY to
£135 million. Most
of the revenue related to an internal transaction fee paid by UK
Consumer and International Consumer2.
Group adjusted EBITDA
is expected to be around 2.3% of Group net ticket
sales, above the previously stated guidance range of 2.15% and
2.25%, primarily reflecting better-than-expected revenue growth and
cost discipline. International Consumer adjusted EBITDA loss
on a pre-internal transaction fee basis2 is still
expected to approach breakeven in FY2024, in line with previously
stated guidance.
Update on share buyback
programme
In line with Trainline's capital
allocation framework, the Company announced in September 2023 the
launch of a share buyback programme of up to £50 million, to be
conducted over the subsequent 12-month period. As at the end of
February 2024, the Company had bought back £28 million of its own
shares under the programme.
Notice of full-year
results
The Company will publish its
full-year results for the financial year 2024 (the twelve-month period running from 1st
March 2023 to 29th February
2024) on Friday 3rd May
2024.
The full-year results will be
published at 07.00am (UK time) through the regulatory news
service (RNS) and on the Company's website,
followed by an analyst presentation at 9.00am (UK time) which will also be
accessible through the Company's website.
Footnotes:
1. Strike days
include planned strike days that were cancelled only shortly
beforehand, therefore still resulted in significant industry
disruption.
2. In September
2022, Trainline announced revisions to its segmentation reporting.
This included the introduction of an internal fee per transaction
payable by UK Consumer and International Consumer businesses to
Trainline Solutions in order to access Platform One. The
transaction fee is reflected as contra revenue to UK Consumer and
International Consumer within segmental reporting. This charge is
eliminated on consolidation of the Group's results and does not
form part of total Group revenues.
Enquiries
For investor enquiries, Andrew
Gillian
investors@trainline.com
For media enquiries, Hollie Conway
press@trainline.com
Brunswick Group
Simone Selzer
+44 207 404 5959 / trainline@brunswickgroup.com
About Trainline:
Trainline (www.trainline.com) is the
leading independent rail and coach travel platform selling rail and
coach tickets to millions of travellers worldwide, enabling them to
seamlessly search, book and manage their journeys all in one place
via its highly rated website and mobile app. Trainline is a
one-stop shop for rail and coach travel bringing together millions
of routes, fares and journey times from rail and coach carriers
across Europe.
Unaudited figures:
All figures in this document are
unaudited.
This announcement includes
forward-looking statements. These forward-looking statements
involve known and unknown risks and uncertainties, many of which
are beyond the Group's control and all of which are based on the
Directors' current beliefs and expectations about future events.
Forward-looking statements are sometimes identified by the use of
forward-looking terminology such as "guidance", "believe",
"expects", "may", "will", "could", "should", "shall", "risk",
"intends", "estimates", "aims", "plans", "predicts", "continues",
"assumes", "positioned", "targets" or "anticipates" or the negative
thereof, other variations thereon or comparable terminology. These
forward-looking statements include all matters that are not
historical facts and include statements regarding the intentions,
beliefs or current expectations of the Directors or the Group
concerning, among other things, the results of operations,
financial condition, prospects, growth, strategies, and dividend
policy of the Group and the industry in which it operates. No
assurance can be given that such future results will be achieved;
actual events or results may differ materially as a result of risks
and uncertainties facing the Group. Such risks and uncertainties
could cause actual results to vary materially from the future
results indicated, expressed, or implied in such forward-looking
statements. Such forward-looking statements contained in this
announcement speak only as of the date of this
announcement.