Atlas Arteria (ASX:ALX) share price gains on revenue update

The quarter just been was a good one for Atlas Arteria’s European operations.

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The Atlas Arteria Group (ASX: ALX) share price is in the green following the company’s quarterly traffic and revenue update.

Over the 3 months ended 30 September, the company experienced its busiest third quarter of any calendar year since 2018.

At the time of writing, the Atlas Arteria share price is $6.49, 2.04% higher than its previous close.

Let’s take a closer look at the quarter just been for the toll road operator.

The quarter just been for Atlas Arteria

The Atlas Arteria share price is gaining today on news the company’s European toll roads have seemingly recovered from their COVID-19 induced slump.

The company operates 2 toll roads in France, the APRR and the ADELAC, as well as Germany’s Warnow Tunnel.

Over the September quarter, 6% more kilometres were travelled on the APRR, bringing in 6% more revenue, than in the same quarter of 2019.

Meanwhile, the ADELAC saw its traffic and revenue drop by 4% and 2% respectively compared to 2019’s September quarter. Though, it did see 8% more cars and bring in 8% more fares than in the same period last year.

At the same time, traffic in the Warnow Tunnel was down 2% on that of the same quarter 2 years ago, but its revenue was up 1.6%. The changes were due to higher toll averages and roadworks on competing routes.

According to Atlas Arteria, the EU DigitalCOVID Certificate, essentially a vaccine passport, was launched in Europe at the start of the quarter. As of 10 October, 80% of adults in France and 78% of adults in Germany were fully vaccinated against COVID-19.

However, traffic on Atlas Arteria’s Virginia toll road, the Dulles Greenway, was nowhere near its pre-pandemic levels.

In the third quarter of 2021, the Dulles Greenway saw 30% less traffic than it had in the same quarter of 2019. It also brought in 28% less revenue.

However, when compared to the third quarter of 2020, the toll road’s traffic and revenue were up 26% and 32% respectively.

Over the quarter just been, Virginia had another wave of COVID-19 infections. As a result, many employees continued working from home and weekday traffic slumped.

Atlas Arteria share price snapshot

Despite today’s gains, the Atlas Arteria share price is 0.07% lower than it was at the start of 2021.

However, it has gained 3.7% since this time last year.

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Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. 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 Bruce Jackson.

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