Slides
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FirstGroup H1 2026 Results 18 November 2025
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1. Headlines 2. Financial review 3. Business review 4. Summary Agenda
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3 18 November 2025 | Results for 26 weeks to 27 September 2025 • Group Adjusted revenue +30% to £834m • Adjusted EPS +16% to 9.9p • Half year dividend +29% to 2.2p • £76m returned to shareholders • Growth in First Bus continues at pace; revenue includes £150m from London • Further progress in First Rail and Rail Services; offsetting nationalisation of SWR and Stirling open access mobilisation costs • On track to deliver modest growth in adjusted EPS in FY 2026 and to then at least maintain adjusted EPS in FY 2027 • Strategy remains focused on UK growth and diversification Strong growth in EPS despite economic and policy headwinds Group Adjusted Revenue (£m) H1 2023 H1 2024 H1 2025 H1 2026 834 640615576 H1 2023 H1 2024 H1 2025 H1 2026 4.6 8.1 8.5 9.9 Group Adjusted EPS (p) Strategic execution has driven further progress in earnings, portfolio growth, diversification and shareholder returns
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4 18 November 2025 | Results for 26 weeks to 27 September 2025 Delivering against our four strategic pillars to drive growth Deliver, day in day out Drive modal shift Lead in sustainability Diversify our portfolio ✓ Hull Trains and Lumo seat capacity utilisation of 67% in H1 2026, above industry average ✓ Rolling stock secured for new Stirling open access rail service ✓ First Bus roll out of new digital ticket machines to improve driver and customer experience ✓ Largest UK electric bus fleet; c.23% of First Bus fleet zero emission ✓ Launch of First Charge providing third party access to chargers at 15 depots ✓ Investment in Palmer Energy Technology to bring innovative battery storage units to First Bus sites ✓ First Bus NPS score improved to +15 ✓ First Bus lost mileage down 24% to 1.3% ✓ Business restructure will deliver c.£15m of annualised overhead savings (fully effective H2 2026) ✓ First Bus London contributes six months of earnings following February completion ✓ Further bolt-on acquisitions and contract wins in First Bus ✓ Award of extra paths and Glasgow extension in existing open access rail services and applications for new routes
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1. Headlines 2. Financial review 3. Business review 4. Summary Agenda
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6 18 November 2025 | Results for 26 weeks to 27 September 2025 Strong H1 financial performance – 16% growth in Adjusted EPS • Adjusted operating profit marginally higher: • acquisitions +£7m; First Rail performance +£5m; decrease in Group costs +£3m; Bus passenger revenue +£8m; Bus efficiencies +£6m partially offset by: • increased NI contributions £(7)m; First Bus cost inflation £(14)m and IFRS 16 impact £(7)m • Good progress on business restructuring; c.£6m of targeted £15m savings delivered in H1 2026 • Interim dividend of 2.2p per share in line with progressive dividend policy • Free cash flow of £(36)m reflects timing of capex in H1 2026 and impact of RATP London acquisition • First Bus post-tax ROCE 9.4% (H1 2025: 11.4%); includes impact of lower returning First Bus London acquisition • Adjusted net debt at period end of £(207.6)m; H1-weighted accelerated decarbonisation capex of c.£105m, growth investment of c.£10m and £50m buyback programme £m (from continuing operations) H1 2026 H1 2025 Change % Adjusted revenue 833.6 639.6 30.3% Adjusted operating profit1 103.6 100.8 2.8% Adjusted profit before tax1 76.3 70.8 7.8% Adjusted earnings 55.5 51.8 7.1% Adjusted earnings per share 9.9p 8.5p 16.5% Dividend per share 2.2p 1.7p 29.4% Free cash flow (35.6) 2.6 - Adjusted net debt 207.6 0.2 - 1 Before net adjusting items See slide 30 for definitions of Adjusted revenue, Adjusted earnings, Free cash flow and Adjusted net debt
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7 18 November 2025 | Results for 26 weeks to 27 September 2025 • First Bus regional passenger revenue growth of 2.3% from yield improvements offset by softer commercial volumes and minor impact of industrial action • First Bus London is performing ahead of our expectations • First Bus other revenue includes coaching acquisitions, launch of Flix Bus services and tender wins and contract extensions in Business and Coach • First Rail open access revenue growth of 2.4% • Other Rail Services growth includes London Cable Car which commenced during FY25 (+£2m), and further contract progress in Rail Services • DfT TOC variable fees marginally lower due to SWR NRC ending in May 2025 Strong growth in adjusted revenue – up 30% 639.6 8.7 150.2 30.2 1.3 5.5 833.6 (1.9) H1 2025 £m First Bus passenger revenue growth First Bus London acquisition First Bus Other revenue Open Access growth Other Rail Services DfT TOC variable fees H1 2026 £m
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8 18 November 2025 | Results for 26 weeks to 27 September 2025 • First Rail open access & Rail Services: passenger revenue growth and provision releases partially offset by mobilisation costs for new Stirling open access service • First Bus: passenger revenue growth and earnings from new acquisitions partially offset by inflation and increased Employer’s National Insurance • Lower central costs aided by business restructuring completed early in H1 2026. H1 adjusted profit benefit of +£3m. • DfT TOCs1: higher variable fee income partially offset transfer of SWR to DfTO in May 2025 • Higher interest charge reflects IFRS 16 lease interest for First Bus London and higher adjusted net debt • c.53m shares repurchased since H1 2025 (£99m) via buyback programmes Sustained growth in Group Adjusted EPS 1 DfT TOCs: Pre-IFRS 16 basis net of tax and non-controlling interests (MTR is 30% shareholder of SWR, Trenitalia is 30% shareholder in WCP) 8.5p 0.5p 0.2p 0.3p 0.1p (0.5)p 9.1p 0.8p 9.9p H1 2025 Open Access & Rail Services First Bus Group items DfT TOCs Interest H1 2026 pre-buyback Buyback H1 2026
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9 18 November 2025 | Results for 26 weeks to 27 September 2025 Cash generated from operations of £223.7m (FY 2025: £207.4m) Free cash flow of £78.3m before acquisitions and returns (FY 2025: £113.5m) • £181.4m EBITDA +12% benefitting from First Bus +5%, Open Access and Rail Services +15% and lower central costs • Post-tax DfT TOCs fee income received a year in arrears • Working capital inflow due to management actions offset by the release of the London loss making contract provision • Accelerated decarbonisation capex net of funding and disposal proceeds of battery sales to Hitachi JV • Other movements include Employee Benefit Trust share purchases offset by non-cash share-based payments charges • Acquisitions comprise First Bus London and several coaching acquisitions Continued investment in growth, fleet and returns Numbers shown on pre-IFRS 16 basis and excluding ring fenced cash (0.2) 181.4 37.9 4.4 (126.5) (6.5) (12.4) 78.1 (149.5) (37.1) (99.1) (207.6) H1 2025 Adj. net debt £m EBITDA DfT TOC Fees Working capital Net capex Tax & interest Other movements Total pre capital allocation Acquisitions Dividends Buyback H1 2026 Adj. net debt £m
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10 18 November 2025 | Results for 26 weeks to 27 September 2025 The Group’s strong cash conversion and balance sheet strength enables investment in sustainable, value accretive growth and progressive shareholder returns Our disciplined capital allocation policy remains unchanged Maintain a strong balance sheet ✓ Leverage policy - less than 2.0x Adjusted net debt: Adjusted EBITDA ✓ First Bus: a younger fleet (8.8 years) and greater availability of EVs drives cost efficiencies ✓ First Bus London expected to be operating cash positive from FY 2027 ✓ First Rail: anticipated cash inflow of c.£125m over three years from Oct 2025 as DfT TOCs transition; includes Rail Services profit Invest in future growth ✓ Strong pipeline of value accretive organic and inorganic UK growth opportunities ✓ Acquisitions must exceed Group’s post-tax WACC (c.9%) with appropriate further risk adjustment ✓ Strong cash conversion in First Bus and government co-funding support enables short-term accelerated investment in decarbonisation Deliver progressive dividends ✓ Dividend policy - c.3x cover of Group adjusted earnings; paid c.1/3 interim and 2/3 final dividend ✓ Interim dividend of 2.2p proposed (H1 2025: 1.7p) Return surplus cash to shareholders ✓ £49m returned to shareholders via buyback programmes in H1 2026 ✓ c.£65m held in escrow for the Group’s pension schemes until completion of 2030 valuation; further derisking of Group section under evaluation ✓ The Board remains committed to returning surplus cash to shareholders
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11 18 November 2025 | Results for 26 weeks to 27 September 2025 We expect modest growth in adjusted EPS in FY 2026 and to at least maintain adjusted EPS in FY 2027 Financial Outlook • FY 2026 revenue of c.£1.4bn; includes c.£300m from First Bus London • H2 EBIT margin in regional bus is expected to normalise to c.10% with further efficiencies and annualised cost savings from business restructure offsetting the impact of continued inflationary pressureand c.£15m annualised increase in NI contributions • Open access and Rail Services: revenue growth will offset mobilisation costs of c.£6m in new open access operations in FY 2026 • DfT TOCs: lower FY 2026 adjusted revenue and operating profit due to SWR transition in May 2025 and normalised level of variable fees • FY 2026 IFRS 16 EBIT impact from DfT TOCs: c.£36m in FY 2026 • Central costs: c.£8m lower than FY 2025 aided by business restructuring savings • FY 2026 interest: c.£60m; includes DfT TOCs IFRS 16 interest of c.£34m • FY 2026 accelerated net capex of c.£180m, principally on First Bus decarbonisation net of c.£20m of co-funding; includes c.£30m for electric buses in London, where ownership model is being trialled on a specific route • Year-end adjusted net debt: £125-135m reflects strong cash generation, accelerated investment in decarbonisation, and before any M&A spend • £20m held in escrow in Bus Section returned to the Group in November; with £20m to the scheme, c.£65m retained in escrow with outcome dependent on 2030 valuations First Bus First Rail Group Balance sheet
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1. Headlines 2. Financial review 3. Business review 4. Summary Agenda
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13 18 November 2025 | Results for 26 weeks to 27 September 2025 Transition to the £3 fare cap and increased National Insurance contributions have had a significant impact Bus H1 adjusted operating profit up 4% in a challenging economic environment • Adjusted operating profit margin of 6.1% in H1 2026 (8.2% in regional bus); includes NIC margin impact: (1.4)% • Underlying1 passenger volumes declined 4%; concessions growth of 4% offset 7% decline in commercial volumes • Pricing includes c.10% yield increase in regional bus with new fare structure introduced, offsetting £3 fare funding reduction of £17m • Cost inflation of c.3%; driver cost inflation of 4%; majority of largest bargaining units settled in H1 • Efficiencies includes electrification, fuel and overhead savings • Acquisitions and growth includes First Bus London, new coaching businesses, contract wins and contract extensions First Bus adjusted operating profit (£m) 1 Volumes exclude London and other acquisitions completed since H1 2025 41.1 (17.1) (15.1) 40.4 (21.0) 7.1 7.3 42.7 H1 2025 £3 fare funding Volume Price Inflation & NI Efficiencies Acquisitions and growth H1 2026
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14 18 November 2025 | Results for 26 weeks to 27 September 2025 Growth and portfolio diversification in First Bus Regional bus Local tendered and contracted bus services with fare paying passengers • H1 2026 revenue growth of 3.5% • Further efficiencies have resulted in improved revenue per mile in H1 2026 of £5.60 (H1 2025: £5.46) • H1 2026 lost mileage down 24%, to 1.3% Business and Coach Bus and coach services, large transport contracts and fleet sales • Launch of Flixbus services • Acquisition of Tetley’s Coaches in Leeds • Significant scope to grow our market share, with longer term contracts and attractive margins Franchising Transport for London and regional Mayoral franchise contracts • First Bus London acquisition completed in Feb 2025 • Experienced bidding team focused on winning our fair share of the regional franchise market • Service is core to our strategy; Rochdale and London top the operator league tables First Bus Revenue £703m £505m1 £514m £428m 1 H1 2024 revenue includes an extra week of trading (c.£19m)
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15 18 November 2025 | Results for 26 weeks to 27 September 2025 We are committing significant investment in our bus fleet and depot electrification, strengthening our asset base and unlocking future potential revenue streams First Bus remains at the forefront of electrification • Group decarbonisation investment of c.£105m in H1 2026 alongside co- funding of c.£5m received in H1 2026 and c.£7m in FY 2025 for FY 2026 bus deliveries; balance of c.£15m co-funding anticipated in H2 2026 • c.1,280 zero emission buses at end of Sept, including in London; c.23% of our fleet; • 3 fully electric depots and 17 partially electric depots across the UK, and work underway at 4 more depots • 40 'repowers' in operation - an important strand of our decarbonisation strategy • Average net fuel cost per mile has reduced by 20% over the last three years (£5m reduction in H1 2026) • Potential to further monetise our assets and manage power costs through smart charging, third party charging, battery storage and capacity market trading; H1 2026 highlights include: • Launch of First Charge providing access to our charging infrastructure at 15 depots in Scotland and England • Investment in Palmer Energy Technology to bring battery storage units to our sites; will prove battery second life value over time 6 7 8 9 10 11 0 200 400 600 800 1000 1200 1400 H1 2022 H2 2022 H1 2023 H2 2023 H1 2024 H2 2024 H1 2025 H2 2025 H1 2026 Average fleet age Number of ZEVs Fleet ZEVs Average Fleet Age
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16 18 November 2025 | Results for 26 weeks to 27 September 2025 Solid performance in open access rail with material growth ahead • Hull Trains passenger revenue up 2% to £22.2m, includes impact of industrial action • softer leisure passenger volumes during summer offset by strong business traveller ramp up from Sept • use of ten car operations to maximise seat availability • Lumo’s passenger revenue grew 5% to £29.3m; revenue per seat mile up 7% reflecting good asset utilisation and yield optimisation • strong passenger demand during the summer • Mobilisation costs of £1.3m for new Stirling service in H1 2026 Hull Trains & Lumo H1 2026 H1 2025 Change % Revenue (£m) 53.2 51.9 3% Adjusted operating profit (£m) 16.3 18.1 (10)% Passenger journeys (m) 1.43 1.40 2% Seat miles operated (m) 424 439 (3)% Seat miles utilisation1 (%) 67% 67% 0bps • Track access rights for Lumo Edinburgh-Glasgow extension and additional paths on Lumo and Hull Trains from Dec 2025 awarded by ORR (c.118m seat miles) • Stirling service expected to be fully operational from mid CY 2026 • FY 2029 sees step up from introduction of Carmarthen and additional 10 car operations • Ongoing applications with ORR for new services - c.1bn seat miles 1 Seat miles utilisation is calculated by comparing the total seat miles available for travel (the number of seats multiplied by the train miles travelled) with the actual seat miles occupied by passengers. First Rail open access planned seat miles (m)
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17 18 November 2025 | Results for 26 weeks to 27 September 2025 Delivering on our National Rail Contracts and growing Rail Services Adjusted operating profit £m H1 2026 H1 2025 Change Adjusted operating profit from DfT TOCs 39.7 44.1 (4.4) Open access adjusted operating profit 16.3 18.1 (1.8) Rail Services adjusted operating profit 10.6 5.7 4.9 Total First Rail adjusted operating profit 66.6 67.9 (1.3) Attributable net income from DfT TOCs 15.3 14.0 1.3 Adjusted Revenue £m H1 2026 H1 2025 Change Adjusted revenue from DfT TOCs1 24.1 26.0 (1.9) Open access revenue 53.2 51.9 1.3 Rail Services revenue 53.6 48.1 5.5 Total First Rail adjusted revenue 130.9 126.0 4.9 DfT TOCs • H1 2026 attributable net income of £15.3m • SWR transferred to DfTO on 25 May 2025 (H1 2026 net attributable fees of £2.4m after non- controlling interest of £1.0m) Growth in Rail Services continues • First Customer Contact, Mistral Data and First Rail Consultancy: • revenue of £53.6m with growth in all services • continued support for TPE and SWR • almost a third of current contracted revenues from external customers 1 See slide 30 for definition of Adjusted revenue
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1. Headlines 2. Financial review 3. Business review 4. Summary Agenda
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19 18 November 2025 | Results for 26 weeks to 27 September 2025 As the UK bus and rail sectors transition, we are well positioned to leverage our strong asset base, drive further efficiencies and create further value for all our stakeholders A strong foundation for sustainable value accretive growth • We expect modest growth in adjusted earnings per share in FY 2026 and to then at least maintain EPS in FY 2027 • First Bus: we will continue to drive operational improvements, grow in attractive markets and leverage our strong asset base, well- capitalised fleet and decarbonisation credentials • First Rail: focus remains on operational delivery, growing our successful open access business and participating in other contract opportunities, where we can apply our deep sector expertise • Our strong balance sheet enables us to evaluate a strong pipeline of strategic UK focused growth opportunities • We remain committed to progressive shareholder dividends and the return of surplus cash to shareholders
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Appendix
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21 18 November 2025 | Results for 26 weeks to 27 September 2025 Investing in decarbonisation, enhancing our operations and driving modal shift reduces our environmental impact, supports growth and prosperity in our communities and is a key driver of our commercial success. Leading in Sustainability is one of our four strategic pillars Top 200 cleanest publicly-listed firms worldwide Included in the 2025 Top-Rated Companies List with a ‘medium- risk’ rating Included in S&P’s Sustainability Yearbook again in 2025 with a score of 61/100 Proud member of UN Global Compact Network UK Re-awarded London Stock Exchange’s Green Economy Mark in 2024 ‘AAA’ ranking on MSCI ESG index ‘ESG Prime’ rating; ESG – top decile ‘B’ Rating
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22 18 November 2025 | Results for 26 weeks to 27 September 2025 We have a comprehensive strategy to meaningfully reduce emissions, manage climate-related risks, drive modal shift and contribute to growth and prosperity in the communities we serve. Appendix: Our Climate Transition Plan • Prepared in alignment with the Transition Plan Taskforce (TPT) Disclosure Framework, our Climate Transition Plan includes: • an analysis of the impact of climate and the transition plan on our business model and value chain • a review of levers, dependencies, and an engagement strategy for stakeholders to achieve our goals • our robust governance and financial planning crucial to the delivery of the plan • how we engage and upskill our workforce and other stakeholders to create a culture that can meet our strategic ambitions • In addition to our commitment to reach net-zero emissions by 2050, we have science-based Group emissions targets validated by the Science Based Targets initiative (SBTi) including: • to reduce Scope 1 and 2 emissions by 63% by the end of FY 2035 from a FY 2020 base year • to achieve a 20% reduction in absolute Scope 3 emissions from fuel and energy-related activities • to ensure 75% of our suppliers by emissions covering purchased goods and services and capital goods will have targets aligned to the science-based approach by the end of FY 2028
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23 18 November 2025 | Results for 26 weeks to 27 September 2025 Appendix: Group Adjusted revenue and earnings Our revenue and earnings include underlying fees from rail contracts to reflect the Group's risk and adjust for TOC IFRS 16 leases where the Group has minimal risk. £m H1 2026 H1 2025 Adjusted revenue reconciliation: Statutory revenue 2,297.6 2,373.5 Deduct: DfT TOC revenue (1,526.1) (1,803.9) Add back: DfT TOC management and performance fees 23.0 23.7 Intercompany eliminations related to DfT TOCs 39.1 46.3 Adjusted revenue 833.6 639.6 £m H1 2026 H1 2025 Group Adjusted earnings comprise: First Bus adjusted operating profit 42.7 41.1 First Rail adjusted operating profit 66.6 67.9 Group central costs (5.7) (8.2) Adjusted operating profit1 103.6 100.8 Interest (27.3) (30.0) Adjusted profit before tax1 76.3 70.8 IFRS 16 DfT TOCs adjustment 0.6 1.3 Tax (19.1) (17.8) Non-controlling interests (2.3) (2.5) Adjusted earnings 55.5 51.8 No. of shares (weighted average) 559.7 608.5 Adjusted EPS 9.9p 8.5p • FirstGroup reports 'Adjusted revenue' which excludes DfT TOC revenue, and related intercompany eliminations, where the Group has substantially no revenue risk • FirstGroup reports ‘Adjusted earnings’ shown before net adjusting items and excluding IFRS 16 impacts in the DfT TOCs From continuing operations 1 Before net adjusting items
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24 18 November 2025 | Results for 26 weeks to 27 September 2025 Appendix: Cash flow by division H1 2026 H1 2025 £m Open Access & Other Rail DfT TOCs First Bus Group items Total Open Access & Other Rail DfT TOCs First Bus Group items Total EBITDA 28.9 - 73.3 (5.7) 96.5 22.5 - 63.9 (7.9) 78.5 DfT TOC Management fees - 9.2 - - 9.2 - 9.2 - - 9.2 Working capital (5.0) - (11.7) (0.6) (17.3) 5.5 - (20.4) (0.7) (15.6) Cash flow from operations 23.9 9.2 61.6 (6.3) 88.4 28.0 9.2 43.5 (8.6) 72.1 Capex (0.4) - (114.8) - (115.2) (8.4) - (51.5) (0.4) (60.3) Disposal proceeds 0.3 - 11.0 0.1 11.4 - - 9.8 0.7 10.5 Pension cash (higher)/lower than P&L (0.6) - (0.7) 0.2 (1.1) (3.0) - (2.0) (4.5) (9.5) Interest & Tax (0.1) - (3.3) (0.6) (4.0) 0.2 - (2.9) (4.3) (7.0) Other movements 2.4 - 1.6 (19.1) (15.1) - - - (3.2) (3.2) Free cash flow 25.5 9.2 (44.6) (25.7) (35.6) 16.8 9.2 (3.1) (20.3) 2.6 Acquisitions (9.5) (1.5) Dividends (26.9) (24.0) Share buyback (48.7) (41.4) Movement in adjusted net debt (120.7) (64.3) Opening adjusted net (debt)/cash (86.9) 64.1 Closing adjusted net debt (207.6) (0.2)
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25 18 November 2025 | Results for 26 weeks to 27 September 2025 Appendix: Reconciliation of Statutory to Adjusted cash flows £m Statutory Ring fenced cash movements IFRS 16 Other movements Adjusted EBITDA 341.6 (23.5) (221.8) 0.2 96.5 Management fees - 9.2 - - 9.2 Working capital (119.4) 75.9 (1.1) 27.3 (17.3) Cash flow from operations 222.2 61.6 (222.9) 27.5 88.4 Capex (98.1) 21.3 - (38.4) (115.2) Disposal proceeds 11.4 - - - 11.4 Pension cash higher than Income Statement (1.1) - - - (1.1) Interest & Tax (25.6) - 21.6 - (4.0) Leasing (25.9) - 14.9 11.0 - Other (15.0) - - (0.1) (15.1) Free cash flow 67.9 82.9 (186.4) - (35.6) Acquisitions (9.5) - - - (9.5) Dividends (26.9) - - - (26.9) Share buyback (48.7) - - - (48.7) Other cash flows (85.1) - - - (85.1) Movement in net (debt)/cash (17.2) 82.9 (186.4) - (120.7) • Adjusted net debt of £207.6m at 27 September 2025 comprises cash (+£188.2m) less bank borrowings (£127.2m), bank overdrafts (£97.8m), finance leases (£147.2m) and NextGen battery debt (£23.6m) Net (debt) / cash at 29 March 2025 (974.8) (315.7) 1,203.6 - (86.9) Net (debt) / cash at 27 September 2025 (992.0) (232.8) 1,017.2 - (207.6)
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26 18 November 2025 | Results for 26 weeks to 27 September 2025 Appendix: IFRS 16 (leases) and First Rail DfT TOCs earnings • As at 27 September 2025, £1.0bn of leased assets were recognised as Right of Use assets on the balance sheet • As at the H1 2026 balance sheet date, £1,017.2m of IFRS 16 lease liabilities were recognised in reported net debt, of which £ 877.7m or 86% related to the First Rail division (principally rolling stock associated with the management fee-based rail operations) H1 2026 H1 2025 Adjusted and Continuing £m Under IAS17 IFRS 16 effect Under IFRS 16 Under IFRS 16 EBITDA 120.0 +221.8 341.8 362.0 Operating profit 84.4 +19.2 103.6 100.8 Net finance costs (5.7) (21.6) (27.3) (30.0) Reported net debt/(cash) - total business (25.2) +1,017.2 992.0 977.1 Adjusted net debt - total business 207.6 DfT TOC attributable earnings reconciliation £m H1 2026 H1 2025 Change Adjusted operating profit from DfT TOCs1 39.7 44.1 (4.4) Less IFRS 16 impact (16.2) (21.4) 5.2 Less tax and non-controlling interests (8.2) (8.7) 0.5 Attributable net income from DfT TOCs 15.3 14.0 1.3
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27 18 November 2025 | Results for 26 weeks to 27 September 2025 Appendix: Open access rail applications in progress • Paignton - London Paddington (c. 312m seat miles); 5 return services a day • Hereford - London Paddington (c.100m seat miles); 2 return services a day • Extension of Stirling service to c.510m seat miles, with 5 new battery electric trains from December 2028 • Rochdale – London (c.203m seat miles); 3 return services on weekdays and Sundays (4 on Saturdays) • Cardiff – York (c.316m seat miles); 6 return services on weekdays (5 on Saturdays; 4 northbound on Sundays, with three southbound)
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28 18 November 2025 | Results for 26 weeks to 27 September 2025 Appendix: Group accounting for the DfT TOCs and SWR transition £m GWR WCP (70% share) Fixed annual management fee 6.9 3.6 Variable fees (as previously announced) Up to 17.8 Up to 11.1 Annual fee opportunity range (net of WCP minority, pre-tax) 6.9 – 24.7 3.6 – 14.7 • Although the Group has very limited revenue, cost and contingent capital risk under the DfT National Rail Contracts, under IFRS 16 disclosure requirements, we are required to recognise right of use assets and lease liabilities for all leases with terms over 12 months • Management fee-based DfT TOCs, where the Group earns a small margin as set out in their NRCs, are fully consolidated into the Gr oup’s results. Shareholdings by MTR in SWR and Trenitalia in WCP, both 30%, are recorded as non-controlling interests • DfT TOC full year revenue of c.£3bn is reported although revenue exposure is limited to management fees of up to c.£40m • management fees comprise fixed fee and variable fees.Variable fees are scored against three categories evaluated on a bi-annual basis by the DfT: operational performance (including punctuality), customer measures and financial measures • The Group’s balance sheet includes right of use asset and liabilities balances of c.£0.9bn relating to rolling stock leases recognised under IFRS 16; however, the Group does not bear any risk from these lease contracts which is reflected in our alternative measures • Ring-fenced cash (pre-funded capex and working capital) in the DfT TOCs is reported on the Group’s balance sheet but is controlled by the DfT; the Group’s Adjusted net (debt)/cash measure excludes ring-fenced cash to reflect that the cash does not belong to the Group • South Western Railway was transferred to public ownership on 25 May 2025: • in FY 2025, SWR contributed revenue of £1,178m and adjusted operating profit of £25.2m; the IFRS 16 impact comprises operating profit benefit of £7.6m and interest cost of £4.5m (H1 2026: revenue of £176m and adjusted operating profit of £5.2m; IFRS 16 impact of operating profit of £0.6m and interest cost of £0.1m) • attributable net income earned by the Group for SWR for FY25 was £9.2m after the non-controlling interest of £4.0m (H1 2026 net income £2.4m after the non- controlling interest of £1.0m) • IFRS 16 leases recognised on the balance sheet at the end of FY25 were £23.1m (FY24: £160.5m), and SWR had £88.1m of ring-fenced cash (FY24: £30.0m).
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29 18 November 2025 | Results for 26 weeks to 27 September 2025 Appendix: DfT-Contracted TOCs transition to public ownership Train Operating Company Operator NRC Core Term expiry NRC final expiry date Announced transfer date South Western Railway FirstGroup / MTR 28 May 2023 25 May 2025 25 May 2025 C2C Trenitalia 23 Jul 2023 20 Jul 2025 20 Jul 2025 Greater Anglia Transport UK 15 Sept 2024 20 Sept 2026 12 Oct 2025 West Midlands Transport UK 15 Sept 2024 20 Sept 2026 1 Feb 2026 GTR Arriva 1 Apr 2025 12 Dec 2027 31 May 2026 Chiltern Arriva 1 Apr 2025 12 Dec 2027 - Great Western Railway FirstGroup 22 Jun 2025 25 Jun 2028 - East Midlands Transport UK 18 Oct 2026 13 Oct 2030 - WCP (Avanti West Coast) FirstGroup / Trenitalia 18 Oct 2026 17 Oct 2032 - Cross Country Arriva 17 Oct 2027 12 Oct 2031 - • The Government’s announced policy is to bring the National Rail Contracts into public ownership at the earliest possible opportunity • The Government announced that SWR would be the first DfT TOC to transition on 25 May 2025, with subsequent contracts transferring at intervals of approximately three months in the order that their current core contractual terms expire
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30 18 November 2025 | Results for 26 weeks to 27 September 2025 Appendix: Definitions • 'Adjusted revenue' is revenue excluding that element of DfT TOC revenue, and related intercompany eliminations, where the Group takes substantially no revenue risk. The Adjusted revenue measure includes management and performance fee income earned by the Grou p from its DfT TOC contracts • 'Adjusted operating profit' is operating profit before net adjusting items • 'Adjusted earnings' are shown before net adjusting items and excludes IFRS 16 impacts in First Rail management fee operations • 'Adjusted EPS' is adjusted earnings divided by the weighted average number of shares in the period of 559.7m (H1 2025: 608.5m) reflecting th e current year and prior year share buybacks • ‘Adjusted net debt/(cash)' is bonds, bank and other debt net of free cash (i.e. excludes IFRS 16 lease liabilities and ring-fenced cash) • ‘Free cash flow’ is the movement in adjusted net debt excluding proceeds from business disposals and cash outflows from dividends, share buybacks and business acquisitions. • The Group’s ‘Rail adjusted EBITDA' is First Bus and First Rail EBITDA from open access and Additional services on a pre-IFRS 16 basis, plus First Rail attributable net income from management fee-based operations, minus central costs • ‘Return on Capital Employed’ (ROCE) is a measure of capital efficiency and is calculated by dividing adjusted operating profit after tax, on a last-twelve-months basis using a normalised tax rate of 25%, by average period-end assets and liabilities excluding debt items adjusted for M&A timing • ‘Net Promoter Score’ (NPS) is a measure of customer satisfaction that is used across a number of industries • ‘Employee Benefit Trust’ (EBT) is the Group's employee benefit trust that holds shares to facilitate the delivery of shares under the Group’s share plans
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31 18 November 2025 | Results for 26 weeks to 27 September 2025 Important notice This presentation includes statements that are, or may be deemed to be, forward-looking statements. These forward-looking statements can be identified by the use of forward-looking terminology, including (but not limited to) the terms anticipates, believes, could, estimates, expects, intends, may, plans, projects, should or will, or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, objectives, goals, future events or intentions. T hese forward-looking statements include, without limitation, all matters that are not historical facts. They appear in a number of places throughout this presentation and include, but are not limited to, statements regarding FirstGroup plc (“FirstGroup”) and its intentions, beliefs or current expectations concerning, among other things, the business, results of o perations, prospects, growth and strategies of the Group. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances. Forward-looking statements are not guarantees of future performance and the actual results of operations of the Group, and the developments in the industries in which it oper ates, may differ materially from those described in, or suggested by, the forward-looking statements contained in this presentation. In addition, even if the results of operations of t he Group and the developments in the industries in which it operates are consistent with the forward-looking statements contained in this presentation, those results or developments may no t be indicative of results or developments in subsequent periods. A number of factors could cause results and developments to differ materially from those expressed or implied by the forward-looking statements including, without limitation, general economic and business conditions, industry trends, competition, changes in law and regulation, currency f luctuations, changes in business strategy and political and economic uncertainty. Forward-looking statements may, and often do, differ materially from actual results. Any forward-looking statements in this presentation reflect FirstGroup’s current view with respect to future events and are subject to risks relating to future events and other risks, uncertainties and assumptions relating to F irstGroup and its operations, results of operations and strategy. Investors should not place reliance on such forward-looking statements. Other than in accordance with its legal or regulatory obligations (including under the Listing Rules, the Disclosure Guidance and Transparency Rules and the Prospectus Rules), the Group is not under any obligation and the Group expressly disclaims any intention or obligation (to the maximum extent permitted by law) to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Percentages in this presentation have been rounded and accordingly may not add up to 100 per cent. Certain financial data have also been rounded. As a result of this rounding, the totals of data presented in this presentation may vary slightly from the actual arithmetic totals of such data. Unless otherwise stated, no statement in this presentation is intended as a profit forecast or estimate for any period and no statement in this presentation should be interpreted to mean that earnings, earnings per share or income, cash flow from operations or free cash flow for the Group for the current or future financial years would necessarily match or exceed the historical published earnings, earnings per share or income, cash flow from operations or free cash flow for the Group. This presentation is not a circular or a prospectus and it does not, and is not intended to, constitute or form part of any o ffer or invitation to purchase, acquire, subscribe for, sell, dispose of or issue, or any solicitation of any offer to sell, dispose of, purchase, acquire or subscribe for, any security. No representation or warranty, express or implied, is given regarding the accuracy of the information or opinions contained in this presentation and no liability is accepted by FirstGroup or any of its directors, members, officers, employees, agents or advisers for any such information or opinions. This informat ion is being supplied to you for information purposes only and not for any other purpose. The distribution of this presentation in jurisdictions other than the United Kingdom may be restri cted by law and persons into whose possession this document comes should inform themselves about and observe any such restrictions. Any failure to comply with these restrictions may con stitute a violation of laws of any such other jurisdiction.