Latvijas Dzelzcels concern preliminary closed 2021 with profit - Kleinbergs

  • 2022-01-10
  • LETA/TBT Staff

RIGA - Latvijas Dzelzcels concern preliminary closed 2021 with a profit, said the concern's board chairman Maris Kleinbergs in an interview with LETA.

He said that the nine-month results in cargo and passenger transportation were slightly lower than a year ago - cargo transportation dropped by 11 percent and passenger transportation declined by 19 percent.

"At the same time, we compensated the drop in transportation with reduction of costs. We are cutting both fixed and changing costs, but, of course, reduction of fixed costs at some point is not possible any more because railway infrastructure maintenance costs are as they are," he said.

"The year in general was full of challenges, but in the past two years we have managed to do almost impossible - we have been able to balance revenue and expenditure despite different external factors. We have been able to live through significant changes, and I would say - successfully," he said.

He said that, according to preliminary results, the concern has closed 2021 with a profit, but in relation to the parent company - the profit will be zero as the company needs government funding to ensure financial balance.

Latvijas Dzelzcels is a state-owned railway company. Latvijas Dzelzcels group comprises the parent company, Latvijas Dzelcels, and six subsidiaries: LatRailNet, LDz Cargo, LDz Infrastruktura, LDz Ritosa Sastava Serviss, LDz Apsardze, and LDz Logistika.