Stagecoach has reported a £23m pre-tax loss for the half year to 27 October, driven by a huge write-down of £85.4m on its US coach business. It is now planning to sell the division.
Despite the setback, the transport group’s shares were up 6 per cent in morning trading.
“We are reviewing strategic options for the North America Division and while that includes ongoing discussions regarding a possible sale of all or part of the business, there is no certainty of a sale at this time,” Stagecoach added.
Chief executive Martin Griffiths also said the group was performing better-than-expected.
“While we recognise the competitive challenges in some of our markets in the UK and North America, we are confident that public transport will be central to delivering government priorities to grow the economy, connect people and communities, reduce road congestion and improve air quality.”