LNER, the primary operator on the East Coast Main Line, has seen its revenue surpass £1bn, as it reduced the number of train cancellations in its most recent financial year.
The company, owned by the Department for Transport (DfT), reported an increase in revenue from £866.5m to over £1bn in the year ending 31 March 2025, according to newly filed accounts at Companies House, as reported by .
Passenger revenue rose from £764.7m to £859.7m, while the subsidy received from the DfT increased from £36m to £88.8m.
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The company attributed the rise in government subsidy to a decrease in incentive payments from Network Rail, pay rises, indexation and rate changes on large contracts, and higher energy costs.
The impact of industrial action on LNER's revenue also decreased, falling from £23.4m to £8.3m. Pre-tax profit saw a slight increase from £6.6m to £6.7m, and the number of journeys taken rose by 8.8% to 26.4m.
However, punctuality dipped slightly with the percentage of trains arriving on time falling from 56.6% to 56.4%. The proportion of trains arriving within three minutes of schedule increased from 72.2% to 72.7%, and those arriving within 15 minutes rose from 92.3% to 92.8%.
The company also managed to reduce the percentage of cancelled trains from 4.8% to 3.8%. A dividend of £20m was paid to the DfT during the year, matching the amount paid in the previous 12 months.
York-based LNER stated: "The first half of the year was overshadowed by the continued uncertainty caused by strike action relating to the industrial disputes with trade unions.
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"LNER was pleased to see a deal reached between the rail industry and the ASLEF union.
"Whilst LNER looked to operate as many services as possible on stroke dates, the conclusion of industrial action has reduced the level of disruption and uncertainty to our passengers, exacerbated by strike action on other days from connecting operators.
"Operationally we have been relieved that the winder of 2024/25 saw a significant reduction in the number of weather events."
Northern: Cancellations rise as train company’s profit grows
Northern Trains, which is similarly controlled by DfT, scrapped more journeys during the identical financial period as its earnings climbed.
Service cancellations by the operator rose from 7.2 per cent to eight per cent over the 12 months ending 31 March, 2025, fresh filings lodged with Companies House reveal.
The increase in cancelled services occurred whilst the company's pre-tax earnings also climbed from £8.7m to £10.8m.
Total turnover expanded from £1.07bn to £1.1bn whilst passenger income increased from £359.7m to £395.5m.
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Government funding received by Northern also rose during the period from £648.4m to £672.5m.
York-based Northern explained its public subsidy had grown due to the effects of salary increases, indexation and elevated energy expenses. The percentage of trains arriving within three minutes of their scheduled time dipped by 0.4 per cent to 78.7 per cent, while the proportion of trains arriving within a 15-minute window increased slightly by 0.1 per cent to 97.7 per cent.
TransPennine Express profit dips
Simultaneously, results have been filed for LNER and its fellow Department for Transport-owned TransPennine Express. The Manchester-based company saw an increase in total revenue from £387.8m to £465.5m in the year ending 31 March, 2025, with passenger revenue also rising from £198.2m to £283.7m.
In its first full year under DfT ownership, the government subsidy for the company decreased from £174.5m to £165.2m, while its pre-tax profit also fell from £2.9m to £1.9m.
The percentage of trains arriving within three minutes of their scheduled time saw an increase of 0.9 per cent to 68.8 per cent. The proportion of trains arriving within a 15-minute window also rose by 0.8 per cent to 95.2 per cent, while cancellations dropped from 4.8 per cent to 4.2 per cent.