Cargo, Latvia, Railways, Transport

The company's management report says that higher profit is attributable to changes to the Corporate Income Tax Law that came into effect on January 1 this year, which stipulate that deferred tax accrued by companies has to be included in their profit or loss statement. As a result, the company's profit after tax increased EUR 22.416 mln in 2017. Therefore the company's preliminary profit before tax was EUR 768,000 last year.

Latvijas Dzelzcels' management report explains that the substantial reduction in turnover last year was due to lower rail freight amounts.

The company's equity at the end of 2017 was EUR 315.2 mln, EUR 23.2 mln up from 2016.

According to Latvijas Dzelzcels representatives, 17.5 mln passengers were transported by rail last year, or 1.5% more than in 2016, as well as 43.8 mln tons of freight - 8.4% less than in 2016.

Latvijas Dzelzcels group companies did a lot last year to improve various processes and efficiency of operations, develop new services and expand into new markets, said the company's vice president Aivars Straksas. Last year's financial results are good overall, he added.

One of the companies of Latvijas Dzelzcels group, LDz Cargo posted EUR 235.3 mln in turnover - EUR 40.2 mln down from 2016, and EUR 800,000 in profit before tax. Due to said amendments, the company's profit after tax was EUR 12.6 mln last year. The company's equity increased more than EUR 10 mln to EUR 136.6 mln at the end of 2017.

LDz Logistika's net turnover in 2017 was EUR 27.1 mln - a twofold increase on 2016, while the company's profit after tax amounted to EUR 200,000.

LDz Ritosa Sastava Serviss' net turnover last year was EUR 63.2 mln, EUR 5.3 mln down from 2016, and profit after tax was EUR 1.5 mln, EUR 1.3 mln more than in 2016. The company's equity was EUR 42.5 mln.

LDz Infrastruktura's turnover was EUR 12.7 mln and profit after tax EUR 800,000 last year. LDz Apsardze's turnover amounted to EUR 6.5 mln and profit after tax to EUR 31,710 in 2017.