Trainline shares soared on Friday after reporting it had doubled its profits in the past year and is now the most downloaded rail app in Europe.
The FTSE-250 listed company reported that its operating profits rose from £28m to £56m in the year to the end of February.
Net ticket sales rose 22 per cent year-on-year to £5.3bn, due to strong demand in Europe and a slowdown in rail strikes in the UK, driving revenue up 21 per cent to £397 million.
Ticket to ride: Trainline shares soared on Friday after doubling profits last year
Actions on Trainline They rose 8.3 per cent on Friday to 326.2 pence, bringing total gains over the past year to 36 per cent.
The majority of Trainline’s revenue came from the UK, with net ticket sales up 23 per cent year on year to £3.5bn.
However, growth in Spain and Italy helped boost the growth of its international business by 14 per cent, to £1bn, in the last year.
Jody Ford, CEO of Trainline, said: “Competition from new operating companies is revolutionizing rail in Europe as more customers benefit from greater choice, lower prices and the opportunity to choose greener journeys.
‘We are becoming the preferred aggregator in the UK and internationally and are achieving strong growth, particularly in those markets that are liberalizing more rapidly, such as Spain.
‘With four airline brands competing on its high-speed rail network, we have doubled national ticket sales in Spain for the second consecutive year and have significantly increased our market share on the main routes.
“With competition from new incoming carriers set to increase in Italy, France and the UK in the coming years, the opportunity to create a golden era of rail travel is growing.”
Trainline also announced a new £75m share buyback program which will begin as soon as the current one ends.
Trainline said £38m of shares had been bought back under the existing £50m programme.
Mark Crouch, analyst at investment platform eToro, said: “Trainline remains firmly on track to exceed growth expectations and now holds the title of Europe’s most downloaded rail app. Shareholders will be encouraged by the news of 75 million additional pounds in buybacks, on top of the £50m already underway.
‘Investors will hope the company’s momentum is not derailed following the Labor Party’s recent announcement that they plan to renationalise the UK’s railways.
“Right now it is nothing more than a headline-grabbing slogan, but uncertainty could persist later if it becomes a reality.”
Trainline received a boost in late 2023 after the Government confirmed it would scrap plans to create a website and ticketing app for the ‘Great British Railways’.
On Friday, Trainline told shareholders it had received assurances from the Labor Party that it had no plans to revive the national retail website and app.