Eurostar reports a positive performance in the first half of 2017
Sales revenues and passenger numbers up on 2016
Robust business travel market
Continuing growth in US travellers
Strong outlook for the second half of 2017
Eurostar, the high speed rail service between the UK and mainland Europe, today reported a positive performance in the first six months of the year.
Sales revenues grew by 6% at constant exchange rates (£452.6m vs £428.4m) and by 11% at actual exchange rates (£455m 2017: £409m 2016) compared with the previous year. This increase was underpinned by a strong business travel market and an uplift in sales from overseas markets outside Europe. Passenger numbers during this period were up by 1% (5.04m 2017: 4.97m 2016).
Overseas traffic up on last year After a muted 2016, the first half of 2017 has been marked by a resurgence in overseas travellers, especially the US. The number of travellers from the US and the rest of the world grew by 24% and 18% respectively year-on-year with visitors drawn by the attractions of the destinations and the advantage of the weaker pound.
Nicolas Petrovic, Chief Executive of Eurostar, said: “We have recorded good growth in the first six months of the year with a marked increase in traffic from the US and overseas markets. This is testament to the enduring popularity of our destinations combined with favourable exchange rates. The outlook for the second half is promising with a busy summer season and bookings for the autumn up on last year”.
Continuing growth in business travellers The robust business travel market reported in the early part of the year continued into the second quarter with the number of business travellers increasing by 5% in the first six months of the year compared with 2016.
This growth was prevalent in the UK where the volume of business travellers in the first half rose by 7% versus the previous year.
Summer booking horizon looking strong Bookings for the summer season are strong as customers are increasingly attracted by the ease, style and comfort of high speed rail over plane.
To enhance the overall experience, Eurostar is investing in a programme of innovations in its service. In addition to wifi and onboard entertainment streamed to travellers’ personal devices, passengers travelling across the Channel over the summer will be able to explore the depths of the sea through a virtual reality experience called ‘Odyssey’.
By logging on to the train’s onboard entertainment system through their smart phones using free headsets, passengers will see the virtual train roof transform into a glass ceiling revealing an underwater world.
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.
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.
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
For customers looking for great value cross-Channel experience, Eurostar is offering day trips over the summer (between 17 July and 31 August 2017) from just £25 each way with Eurostar Snap, the digital platform with the lowest fares available to flexible travellers. With a Snap booking customers to pick their day of travel and then receive confirmation of their exact time of travel 48 hours before departure.
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.
Eurostar International Limited is an Appointed Representative of Mondial Assistance(UK) Limited (trading as Allianz Global Assistance) which is authorised
and regulated by the Financial Conduct Authority (FCA). Mondial Assistance (UK) Limited FCA registration number is 311909. FCA authorisation can be checked
on the FCA register at http://www.fsa.gov.uk/register