Mobico Group (LSE:MCG) reported a 5.0% year-on-year increase in group revenue for the second quarter of 2026, with growth at Alsa and German Rail offsetting declines in UK Coach, WeDriveU and UK Bus.
The passenger transport group maintained its full-year guidance as it continued to adjust its portfolio, including the exit from loss-making WeDriveU contracts and reductions to unprofitable routes within UK Coach.
Alsa Revenue Increases 8%
Alsa recorded an 8.0% increase in revenue during the quarter, with its long-haul, regional and urban operations benefiting from higher passenger volumes and improved yields.
Revenue from Alsa’s international and diversified activities increased 21.3%, despite a reduction in the scale of its operations in Morocco.
UK Coach revenue, meanwhile, declined 16.7%. Mobico attributed the decrease to lower demand and its decision to reduce loss-making routes as it focuses on improving the profitability of the network.
German Rail Revenue Rises 19.3%
German Rail reported a 19.3% increase in revenue as operations returned to normal and revised contracts supported the business during the quarter.
WeDriveU revenue fell 11.8%, reflecting the group’s withdrawal from loss-making contracts as well as operational issues earlier in the period.
Management said corrective measures and additional controls have since stabilised WeDriveU’s operational performance.
Mobico Plans November Completion of UK Bus Sale
UK Bus revenue declined 1.8% year-on-year, reflecting lower commercial passenger numbers.
Mobico has agreed in principle to sell the division’s net assets and operations to the West Midlands Combined Authority. The company expects the transaction to complete in November 2026.
The proposed disposal forms part of Mobico’s efforts to reshape its portfolio and would reduce its exposure to future changes associated with bus franchising in the West Midlands.
Across the wider group, Mobico continues to focus on margin improvement, cash generation and asset-light activities while withdrawing from contracts that do not meet its profitability requirements.
The company maintained its guidance for the full year following the second-quarter trading performance.
More about Mobico Group PLC
Mobico Group PLC operates passenger transport businesses across several markets and transport formats.
Its operations include long-haul and regional coach services, urban transport, international activities, corporate shuttle provider WeDriveU, German Rail and UK Bus.
The group is adjusting its portfolio through measures including the withdrawal from loss-making contracts and the proposed disposal of its UK Bus operations, while focusing on margin, cash generation and asset-light transport activities.
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