Transurban Group (ASX:TCL) Announces Organisational Changes
Organisational Changes
Transurban Group has announced organisational changes to support the company’s growth and simplification, resulting in approximately 300 employees leaving the business.
Financial Impact
The restructuring is expected to generate over $50 million in annualised cost savings, which will be reinvested into customer-facing and operational technologies. These changes will be accounted for in FY25 results and excluded from proportional operating EBITDA. Distribution guidance for FY25 remains at 65 cents per security, and the cost growth guidance targeting a below inflation outcome remains unchanged.
Executive Comments
CEO Michelle Jablko stated, “Transurban aims to be a leader in helping people move more easily and safely around major cities. To do this, we must be a more agile and efficient organisation and re-allocate our capital and resources in ways that best serve our stakeholders. Transurban remains focused on safety, strengthening government partnerships, investing in customer value and laying the foundations for long-term growth. Our immediate priority will be to manage this process as quickly and as sensitively as possible and provide support to those impacted by this decision. Building on the work we have already commenced, there will be a continuation of investment in customer facing and operational technologies to improve the overall experiences of our customers and our operational effectiveness. This will be a core focus for us as we pursue our pipeline of growth opportunities.”
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Transurban Group. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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