Estonia, Railways, Transport
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Saturday, 05.07.2025, 20:14
Estonia: Elron's net loss deepens by 1/3 on year to EUR 5.2 mln in 2018
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Altogether 35.2% of
Elron's revenue was made up of ticket revenue, which rose 20.4% on year to
15.9 mln euros. The number of trips made by train increased 4.4% to 7.7 mln, it
appears from the company's annual report.
In addition to the greater number of passengers, the
increase in ticket revenue was also aided by an approximately 5% increase in
ticket prices and the decrease in the use of cheaper season tickets, which
is why the average revenue earned for a trip was higher. Increases were also
observed in the number of trips made between larger towns as well as the use of
the first class, where the length of the average ride and the ticket price were
higher.
"When it comes to longer routes, high demand has
resulted in a situation where trains are often overcrowded, which significantly
hinders further development opportunities and makes increasing the rolling
stock fleet unavoidable," the management board said in the annual report.
State subsidy for passenger carriage was 22.1 mln euros,
42.6% more than in 2017. Business expenses rose 34% on year to 44.8 mln euros
in 2018.
The greatest expense last year was the railway
infrastructure charge in the amount of 19.6 mln euros, which made up 43.8% of
the business expenses, followed by labor expenses with 7.6 mln euros, energy
and fuel with 7 mln euros and the depreciation and write-down of fixed assets
in the amount of 5.6 mln euros.
The annual report said that in 2018 the company employed 319
people, translated into full-time workers, whose average monthly net
income was 1,490 euros.
Although the company's EBIT was 522,000 euros compared with
2.2 mln euros in 2017, Elron saw a loss due to 5.8 mln euro financial lease
interest charges. As at the balance sheet date, the rolling stock's financial
lease payables of the company amounted to approximately 78 mln euros, the
residual value of rented assets was 80.6 mln euros.
Eesti Liinirongid AS
operates diesel and electric trains on all domestic passenger train routes of
Estonia. Last year, Elron services passengers with 18 electric trains on six
routes and 20 diesel trains on 11 routes.
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