Shares of FirstGroup PLC (LON: FGP) soared over 11% on Tuesday after the bus and rail operator announced it expects its full-year profit to come ahead of market expectations.
The company saw the traffic levels increase to 50% of pre-covid levels, from around 10% earlier this year. A surge in passenger numbers comes on the back of the return to school and universities.
“Overall, our divisions have delivered better revenue recovery and strong cost control in the period and the group is now expecting to generate a small adjusted operating profit in the seasonally weaker first half of the financial year. This anticipated result is ahead of our expectations earlier this summer,” FirstGroup said in a statement
A few days ago, FirstGroup share price surged nearly 20% after a report in the Sunday Telegraph noted that a number of companies are interested in acquiring the firm’s U.S. operations.
FirstGroup share price traded 13% higher this morning before paring back around half of these gains later in the day.