Cargo, Good for Business, Latvia, Railways, Statistics, Transport

Along with the turnover growth, the average wage at the company rose by 3.8%.

LDz representatives said that the company's financial results improved thanks to an increased amount of freight carried by rail in Latvia. In January, freight shipping by rail grew 4.6% against the same month in 2016 to 4.8 mln tons, and 4.4 mln tons of freight were carried in February, up 7.3%. Shipping of coal increased significantly, surpassing the result for the first two months of last year by 65%.

Activity also picked up at the western Latvian ports of Ventspils and Liepaja at the beginning of this year, which had a positive effect on the rail company's turnover and revenues from railway infrastructure.

At the beginning of this year, LDz continued to implement cost saving measures. Around EUR 700,000 were saved on purchases of materials and fuel, as well as electric power.

"The infrastructure manager traditionally shows better results at the beginning of each year because freight shipping is influenced by seasonal factors throughout the year - freight shipping increases in winter and declines in summer. Still, the results achieved during the first months of the year suggest of the company's financial stability, ability to maintain the infrastructure at the existing level and undertake the implementation of significant development projects, which will improve the perspectives for Latvian transport services exports and the competitiveness of its infrastructure in the future," said LDz Vice President Aivars Straksas.

LDz plans to raise EU co-funding to launch a number of major development project in the near future, including the modernization of the Riga-Daugavpils railway junction. The company also intends to apply for EU funding for the first stage of the railway electrification project, envisaging the electrification of the railway lines from Rezekne and Daugavpils to Riga (Skirotava).

Latvijas Dzelzcels is a state-owned company, involved in freight transportation by rail and the maintenance of infrastructure. The group consists of parent company Latvijas Dzelzcels and several subsidiaries: LatRailNet, LDz Cargo, LDz Logistika, LDz Infrastruktura, LDz Ritosa Sastava Serviss and LDz Apsardze.