Pasazieru Vilciens rail passenger carried posts EUR 980,383 in unaudited 2018 profit

RIGA - Pasazieru Vilciens (Passenger Trains) rail passenger carrier closed 2018 with EUR 69.848 million in unaudited profit, up 5.5 percent against 2017, while the company’s unaudited profit declined 4.6 percent year-on-year to EUR 980,383 last year, the company’s unaudited report for 2018 shows.

According to the company’s statement, Pasazieru Vilciens carried 18.1 million passengers in 2018 at a 4.32 percent increase against 2017. The rail company has recorded an increase in passenger numbers for the third consecutive year, which Pasazieru Vilciens attributes to its strategic project like the introduction of train fare zones, modernization of its diesel trains and sale of train tickets on the Internet and via a mobile app.

Pasazieru Vilciens has started work on its medium-term business strategy for 2021-2025, the company’s management said.

The company’s management also noted that since after a reassessment of bids a contract to supply new passenger trains to Pasazieru Vilciens has been awarded to the Czech company Skoda Vagonka, Spanish company Talgo has appealed the result of the tender, which may delay the first deliveries of passenger trains. Also, there is still no full clarity about the financing of the train purchase.

Pasazieru Vilciens closed 2017 with EUR 1.016 million in unaudited profit, which was 1.6 times more than in 2016, while the company’s unaudited turnover rose 2.34 percent year-on-year to EUR 66.349.

Pasazieru Vilciens was established in 2001 to separate domestic passenger services from other functions performed by the state-owned Latvijas Dzelzcels (Latvian Railway). Although initially Pasazieru Vilciens was a 100-percent owned subsidiary of Latvian Railway, in October 2008 it was transformed into an independent state-owned company.