Getlink, the company which manages and operates the Channel Tunnel between England and France, revealed on Tuesday that Eurotunnel traffic decreased during the first half of the year.
The operator also said that a no-deal Brexit is looking “very likely” ahead of the new 31 October deadline for the nation’s departure from the European Union.
Truck and car traffic through the Eurotunnel were lower than last year. Car traffic decreased by 2%, and Getlink has cited the market-wide uncertainties surrounding Brexit as a reason for this decline.
The group revealed a 2% growth in revenue to €523 million, whilst group earnings before interest, tax, depreciation and amortisation (EBITDA) decreased 2% to €255 million.
“In the first half of the year, despite the jolts resulting from the political uncertainties of Brexit the Group has once again demonstrated the resilience of its business model with revenue growth for the tenth time in a row,” Jacques Gounon, Chairman and CEO of Getlink, said in a company statement.
“Without the recent strike by French customs officers, the Group’s EBITDA would also have increased. The Group remains confident in its ability to manage the next stages of Brexit and confirms the dividend growth policy,” the Chairman and CEO continued.
Getlink also provided its outlook for the year ahead, though it emphasised that its figures were in the context of the nation’s departure from the European Union.
“In the context of a UK’s exit from the European Union, the Group gave a financial objective of an EBITDA of €560 million in case of a ‘no-deal’ or €575 million in case of agreement. As the absence of an agreement on Brexit on 31 October is becoming very likely, the reference scenario for 2019 is now the “no-deal” one,” Getlink said in its results.
Shares in Getlink SE (EPA:GET) were trading at -0.81% as of 11:43 CEST Tuesday.
