Cargo, Estonia, Railways, Transport

International Internet Magazine. Baltic States news & analytics Thursday, 17.10.2019, 09:14

Operail's operating profit totals 7.5 mln euros for 9 months 2018

BC, Tallinn, 07.11.2018.Print version
The state-owned Estonian rail cargo operator Operail made an operating profit of 7.5 mln euros in the first nine months of 2018, meanwhile during the same period in 2017, the company saw a loss of two mln euros.

"A broader view of the rail industry and the expansion of our service portfolio allow us to finish the financial year with a profit again after a long time. Our projections show that we will end 2018 with nearly 10 mln euros in profit," chairman of board Raul Toomsalu said, commenting on the nine-month interim report of Operail, which previously operated under the name EVR Cargo.

Operail's freight volume for the first nine months of this year grew by 41% compared to the same period last year, reaching 10 mln tons. The company's sales turnover from freight operations grew 55.8% to 44 mln euros and wagon rental revenue by 160% to 6.3 mln euros. The group's EBITDA was 12 mln euros, compared to an EBITDA of three mln euros posted for the previous period. 

The biggest challenge for Operail in the near future is finding workers, the company announced. "We continue to grow in new directions, and therefore our demand for quality employees is also increasing. This year, our workforce has grown 7% and new projects, such as locomotive construction, still need a lot of additional workforce," Toomsalu said.

"Certainly, Operail's most important keywords for the third quarter are railway safety and our people's sense of responsibility and initiative," Toomsalu added. "Safety is a very important topic. I remind everyone that the days are getting shorter and nights longer, and this is why it is so important to make yourself visible by wearing reflectors at night. You cannot cross the railway except at a designated crossing point, and before crossing, you must first listen and look in both directions to make sure that it is safe to cross."

Operail is an Estonian state-owned railway company whose primary business areas are freight transport, locomotive and wagon maintenance and construction, and rolling stock rental. The company employs 680 people.


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