Trainline Shares Rally as Sales Rise, Guidance Bolstered

Trainline PLC (LON:TRN) saw its shares surge at the open on Thursday following a robust first-half trading statement, improved profitability guidance, and the announcement of an enhanced £150 million share buyback program.

The positive news has seen Trainline shares rally to 300p per share. However, it has now pulled back to 283p, up 8.85% from Wednesday's close.

Net ticket sales for the first six months of the financial year 2026, ending August 31, 2025, rose to £3.25 billion, an 8% increase year-over-year.

The growth is said to be tracking towards the upper end of Trainline's FY2026 guidance range for growth of between 6% to 9%.

Revenue also saw an uptick, reaching £235 million, a 2% increase compared to the previous year, aligning with the upper end of the projected 0% to 3% growth.

Meanwhile, Trainline now anticipates adjusted EBITDA to grow at the top end of its previously guided range of 6% to 9% for FY2026.

The improvement is said to reflect the benefits of operational leverage and the successful completion of cost optimization measures implemented by Q4 FY2025.

As of September 5, 2025, the company said it had acquired £71 million worth of shares under its existing £75 million program.

The new £150 million buyback, slated to commence after the current program concludes, would bring the total shares repurchased and cancelled over three years to £350 million, representing a significant 13% of issued share capital.

Driver Breakdown:

• UK Consumer Strength: Leisure travel and commuter market recovery drove an 8% increase in UK consumer net ticket sales, reaching £2.1 billion.
• International: Strategic focus on European high-speed routes, particularly in Southeast France, where sales jumped 34% in Q2, contributed to international growth.
• Trainline Solutions Surge: The B2B distribution segment within Trainline Solutions experienced rapid growth, up 36% YoY, fueled by strengthening business travel sales, notably in Europe.

CEO Jody Ford stated, “Trainline has delivered robust performance in the first half and today announces improved guidance for the full-year alongside an enhanced £150 million share buyback programme. Rail liberalisation in Europe continues to demonstrate the value Trainline brings as the preeminent domestic aggregator.”

Despite the overall positive performance, challenges remain. Changes to Google's search results and reduced demand from US tourists impacted foreign travel sales, declining 2% YoY. Additionally, the reduction in the UK headline commission rate from 5.0% to 4.5% in April 2025 had a slight impact on revenue.