DART VALLEY RAILWAY PLC
Dart Valley Railway PLC ("DVR") was incorporated in 1965 as The Dart Valley Light Railway Limited to operate a standard gauge railway on the Buckfastleigh to Totnes branch line (the original "Dart Valley Railway"). In 1971 the company purchased the scenic coastal line from Paignton to Kingswear and commenced operating the Torbay Steam Railway in addition to the Buckfastleigh line.
There are many standard and narrow gauge heritage railways constituted as public limited companies in England but the DVR is unusual in that it has always operated as a commercial railway seeking to make a profit. Nearly all other heritage railway PLCs are effectively charities owned by "shareholders" who understand that their "investment" does not confer any rights to a dividend or ownership of any assets. By contrast DVR paid its first dividend in 1972 and has done so intermittently since then and every year from 1994 to 2007.
In 1990 DVR were finding it difficult to make a profit from the Buckfastleigh line and the line was leased to South Devon Railway Trust ("SDRT"), a charity set up, owned and run by volunteer enthusiasts. That line became known as the South Devon Railway and the Paignton line was thereafter known as the "Dart Valley Railway" (and also, confusingly, as the Paignton & Dartmouth Steam Railway). In 2001 the freehold of the Buckfastleigh line and its stations was sold to SDRT for £1,130,000, a satisfactory outcome for both companies
In 1999 DVR purchased Dart Pleasure Craft and Red River Cruises, two ferry and cruise operators on the River Dart. This enabled the company to market a much improved tourist product including the "Round Robin", a very successful and popular circular day trip incorporating the boats with the railway and their own bus fleet.
I began investing in DVR in 1996 and I currently own 72,209 shares which amounts to 27.68% of the total shares, making me easily the largest shareholder. My relationship with the directors was very difficult initially as they were suspicious of my motives. I acknowledge that I am not a steam railway buff but a long term investor in small companies. I have always believed DVR has enormous potential to enhance its profitability and to use those profits to invest in its infrastructure and rail and marine assets and expand their operations, as well as to provide a decent return to shareholders.
Relations were considerably improved on the appointment of David Madge as Chairman in May 2001. Mr Madge had been a director since 1991, had played a substantial role in DVR's purchases of its marine operations and their integration with the railway and was instrumental in overseeing the sale of the Buckfastleigh freehold. Under his Chairmanship the DVR enjoyed three excellent years, operating profits growing from to £159,627 to £379,932.
David Madge was replaced by Sir William McAlpine in 2004 and since then the board has in my view "lost the plot" and the company's financial position has deteriorated annually. The current board of directors is I believe incapable of managing the company efficiently. I have therefore been campaigning for a root and branch reform of DVR's board and management which I believe is essential to the company's and the railway's prosperity and in its shareholders' best interests. I am convinced that the board is failing not only as a heritage railway appealing to steam enthusiasts, but also in its much vaunted claim to be Britain's premier commercial heritage railway - see financial comparisons.
These web pages are expanded and updated regularly. If you would like to be notified by email of updates, you can send me a blank email and I will add you to my contact list. I am happy to discuss any matters relating to Dart Valley with any interested party and my contact details are here.
LINKS:
MY LETTER TO SHAREHOLDERS, 07.09.06
I wrote this letter in support of my unsuccessful attempt to gain one seat on Dart Valley's board of directors. Opposing my election, the 2,000+ shareholders also received two letters from Sir William McAlpine, a letter from shareholder, Mrs R Houghton, and finally an extraordinarily malicious attack on me from David Morgan on Heritage Railway Association notepaper containing various unfounded allegations which he subsequently publicly retracted. All these letters, except mine, were presumably paid for by the company, ie the shareholders.
MY COMMENTS ON THE 31.12.06 ACCOUNTS (LETTER TO SHAREHOLDERS)
MY COMMENTS ON THE 31.12.07 ACCOUNTS (LETTER TO SHAREHOLDERS)
Some comments made over the years about the DVR.
Details of the current board
It is difficult to compare DVR's profitability with that of its competitors since the latter's profits are generally flattered by the extensive use of volunteer staff. I think a fairer comparison can be made by studying growth in turnover. As these figures demonstrate, the DVR's turnover growth is stagnant and the competition is doing much better.
A PRESERVATION 'POLITBURO'? - THE RAILWAY MAGAZINE MARCH 2007
A PRESERVATION 'POLITBURO'? - THE FULL TRANSCRIPT OF DAVID WILCOCK'S INTERVIEW WITH DAVID BARRY
TIME FOR A CHANGE - HERITAGE RAILWAY 30.10.08
DART VALLEY RAILWAY PLC SHARE PRICE
A link to the website of James Sharp & Co, stockbrokers. Click on Menu, then Prices for current DVR share price.
RETURN TO: DJBARRY HOME PAGE