National Express owner Mobico Group has reported a 23.8% rise in profits in its opening half results.

The public transport company recorded an adjusted operating profit of £13.7m in the six months to 30 June.

Mobico said the group had delivered a “good performance” in H1, with continuing positive passenger demand and revenue growth, which was up 7.6% to £1.65bn.

The results come as Mobico also confirmed it has begun the sale process of its North American school bus business, following a “strong bidding season”.

“We have retained, won and successfully mobilised significant new business across different parts of the group and our cost-reduction initiatives have delivered savings slightly earlier than expected,” said Mobico chief executive, Ignacio Garat.

“Addressing our leverage remains a priority and in addition to commencing the formal sale process for North American school bus, we have identified new organic debt reduction initiatives that will deliver in the second half. We remain confident of achieving FY 24 adjusted operating profit of between £185m and £205m.”

The Guardian has reported that the share price of Mobico jumped by more than 20% after markets opened this morning, before later settling at 14% up at 66p.

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