29 July 2016

Eurostar reports on quarter 2 2016

Eurostar, the high speed rail service between the UK and mainland Europe, today reported a challenging second quarter of 2016, as business demand softened in the run-up to the EU referendum and leisure traffic continued to be impacted by the Brussels terrorist attacks.
 
Uncertainty over the UK’s future relationship with Europe has resulted in a drop in business travel, whilst on the leisure market there has been a continued slowdown in traffic from international markets, the USA and Japan in particular. Passenger numbers in the second quarter of the year were down 3% compared to last year (2.7 million Q2 2016: 2.8 million: Q2 2015) and sales revenues were 10% lower year-on-year (£208 million Q2 2016: £232 million Q2 2015). 
 
In the month of June,  the number of travellers increased by 2% following an increase in demand during Euro 2016. With three quarters of the matches being staged in Eurostar destinations, over a million passengers travelled by high-speed rail, with fans from across Europe creating a celebratory atmosphere in stations, on board and in the host cities. The success of the Welsh team boosted travel in the final stages of the tournament, as thousands of Welsh fans chose to take the train to the game.
 
Nicolas Petrovic, Chief Executive of Eurostar, said:
“In the run up to the EU referendum we experienced a slowdown in business travel and the uncertainty following the vote to leave, combined with the Brussels terrorist attack, has continued to dampen demand. At the same time, as a business trading on both sides of the Channel, a drop in the pound typically drives an increase in demand for leisure travel from the continent as customers take advantage of lower cost trips to London.”
 
Transformation of Gare du Nord in Paris
Over the coming months, passengers can look forward to a complete transformation of the Eurostar space at Gare du Nord with the redesign and extension of the departure area and the opening of a new business lounge set to be unveiled towards the end of 2016. 
 
The new look lounge will transform the experience  for business travellers and will include a brand new catering offer from Eurostar’s Business Premier culinary director, Raymond Blanc.
This refurbishment forms part of a wider regeneration plan at Paris Nord, which will see a range of new shops and restaurants opening next year.
 
Nicolas Petrovic, Chief Executive of Eurostar, said:
“The transformation of Gare du Nord and the opening of our new business lounge mark the next phase of our investment in our stations and our commitment to giving our customers the best possible experience at every stage of their journey.”
 
With a lead-in price  from just £29 one way, no additional charges for luggage or seats and a direct link between city centres, Eurostar represents a highly competitive alternative to travelling by plane.   For more information visit www.eurostar.com
 
-ends-
 
 Definitions:

• Sales revenue is the value of ticket bookings made during the period. This revenue is only recognised in the income statement at the date on which the passenger actually travels.
• Passenger volumes reflect the number of travellers carried by Eurostar in the period.

 
For more information please contact:
Eurostar Press Office
t: 020 7843 5500
e: press.office@eurostar.com
 
About Eurostar

1. Eurostar is the high-speed train service linking St Pancras International, Ebbsfleet International, Ashford International, Paris, Brussels, Lille, Calais, Disneyland Resort Paris, Lyon, Avignon, Marseille and the French Alps.

1. Eurostar was established in 1994 as a partnership between three railway companies: SNCF, SNCB and LCR (London and Continental Railways). On 1 September 2010, Eurostar became a single, unified corporate entity owned by three shareholders: SNCF, SNCB and LCR. LCR’s holding was transferred to the Treasury in 2014, and sold by the UK government to a consortium comprising Caisse de Depot et Placement du Quebec (CDPQ) and Hermes Infrastructure on 28th May 2015.

1. Eurostar and Eurotunnel are entirely separate companies.  Eurostar operates high-speed passenger trains, while Eurotunnel operates vehicle shuttle services and the Channel Tunnel itself. Eurostar is Eurotunnel’s biggest customer.