Financial Results

Kelsian Group Limited (ASX: KLS) 1HFY25 results reflect the strength of a diversified, global business with a strong track record of growth, underpinned by a majority of highly defensive long-term service contracts with high quality counterparties as well as cost base protection in most contracts.

• A highlight of the period was the successful launch of the Bankstown Rail Replacement service for Transport for New South Wales in September; delivered on time and on budget; with 60 new buses and 140 new drivers

• The US business continued its impressive track record of contract renewal with the notable award of the new Colorado Department of Transportation Bustang contract, adding 25 new motorcoaches to the business, alongside a rapid ramp-up of industrial client contract work that is expected to continue strongly into the second half

• Several bus contracts were renewed during the period including the Bunbury and Busselton bus services contract in Western Australia; and the Jersey contract in the Channel Islands which together secure over $360 million in revenue over the next 10 years; and the expanded, capital light Bustang contract with the Colorado Department of Transportation, securing up to US$26.5 million of revenue in the first year.
• The USA and UK markets continue to represent important growth opportunities for the business.