D&E Coaches posts profit rise in first full year under Highland Council

Inverness operator D&E Coaches increased both turnover and profit in its first full financial year under the ownership of The Highland Council, the local authority has revealed. The council completed its purchase of the business in March 2025.

For the 12 months to 31 March 2026, turnover was £7.93 million and profit after tax was £701,000. The previous period, which ran for 13 months to 31 March 2025, produced turnover of £7.5 million and profit after tax of £553,000.

No dividend will be paid to the owner, and the operator will retain the cash. The council attributes the results to higher revenue from contracted work and private hire, along with savings in the workshop that came from renewing the fleet.

The Highland Council has also bought former Stagecoach operations in Thurso and Wick, in the far north of Scotland. These now form part of D&E Coaches. The operator's accounts show that £2.4 million was paid to Stagecoach through a mix of loans and existing company funds.

The council says D&E Coaches has kept providing its full range of services since the takeover. This has included expanding the scheduled coach services it runs on behalf of Scottish Citylink, and introducing battery-electric double-deck buses. One of those is an open-top vehicle for the Inverness City Sightseeing service.

Cllr Ken Gowans, chair of the council's Economy and Infrastructure Committee, said the accounts show "a profitable first full year, a stronger balance sheet, and continued investment in the business". He added that the operator has continued to provide transport links for communities and support the tourism economy despite rising costs across the industry, and said the results demonstrate "the benefits of public ownership".