Falcon Coaches Limited

Review of the company's business It is the opinion of the directors that the bus industry will continue to expand as a means of public transport in the United Kingdom for the foreseeable future. Recent Government policies and strategic plans seek to promote the bus as a flexible and cost effective means of transport to replace the private car and other modes of transport.t As such the directors continued with their policy of focusing on this sector of the market whilst maintaining other activities such as private hire, and private school and commercial contracts tostabilise the business and manage risk. Accordingly, the directors have continued with their policy of bidding for new bus contracts as they come up for public tender and actively re-tendering to renew when bus contracts come to an end. Success in this area was the prime reason for the Company's continued expansion. Fare subsidies in the nature of flat rate minimum fares have increased bus patronage and revenues in recent years. The Company also operates a fleet of coaches for its private hire and school contracts, both areas of the business that have remained stable during the period. Strict costs control has enabled profit margins to be maintained at 27% (2024 28%).