Mobico Group (LON:MCG) Posts Earnings Results

Mobico Group (LON:MCG) released its earnings results on Thursday. The company reported GBX (19.20) earnings per share for the quarter, Digital Look Earnings reports. Mobico Group had a negative net margin of 4.36% and a negative return on equity of 13.71%.

Here are the key takeaways from Mobico Group’s conference call:

• Company reported an operational turnaround with revenue up 6% to EUR 2.8bn and adjusted operating profit up 9% to ~EUR 198m, delivering a record H2 of EUR 138m and guidance of EUR 195m–210m for 2026 alongside a cost‑savings program targeting EUR 75m in 2026 and a EUR 100m run‑rate by year‑end.
• ALSA is the group’s growth engine, with revenue up 12.8% to EUR 1.5bn, a milestone 640m passengers, and new international wins (including Qiddiya and Guadalajara) that management expects to drive further top‑line momentum.
• Material contract losses remain a near‑term drag: a EUR 52m onerous provision for the WMATA WeDriveU contract (EUR 47m still on the balance sheet, ~EUR 8m expected to be used in 2026) and the exited Carter contract (>$303m loss in 2025); legal recovery is being pursued but will take 18–24 months.
• Management says it has reached a restructuring agreement with the five North Rhine‑Westphalia PTAs to de‑risk German rail operations, but a remaining EUR 133m provision and complex accounting/audit treatment mean final covenant and P&L impacts depend on legally binding signings and the forthcoming audited results.

Mobico Group Price Performance

LON:MCG opened at GBX 31.44 on Friday. The firm has a market cap of £191.89 million, a price-to-earnings ratio of -0.18 and a beta of 1.60. The company has a 50 day moving average price of GBX 23.67 and a 200-day moving average price of GBX 26.14. Mobico Group has a 1-year low of GBX 18.57 and a 1-year high of GBX 72.55.

Analysts Set New Price Targets

Separately, Berenberg Bank reaffirmed a “hold” rating and set a GBX 35 target price on shares of Mobico Group in a research report on Monday, January 19th. Two investment analysts have rated the stock with a Hold rating, According to MarketBeat.com, Mobico Group has a consensus rating of “Hold” and an average target price of GBX 32.50.

About Mobico Group

Mobico Group is a leading international transport operator, diversified internationally and by business area; with operations in North America, continental Europe, the UK and North Africa.

We provide safe, efficient, clean and reliable shared mobility solutions to cities, businesses, education, healthcare and customers.

We are internationally diversified with a balanced portfolio of high quality contracts and market-leading customer brands.

We help millions of people around the world every day, getting them safely and reliably to work, school, to family and friends.

We are leveraging our network economies to shape the future of multi-modal transport.