The Slovenia Times

Slovenian Railways looking back at bumper year

New trains produced by Swiss company Stadler.
Photo: Slovenian railway operator Slovenske Železnice

The Slovenian railways company Slovenske Železnice generated €620 million in revenue last year for an-all time high operating profit of over €40 million, according to preliminary estimates presented by CEO Dušan Mes.

In an interview run by the news web portal, Mes said that earnings before interest, taxes, depreciation and amortisation (EBITDA) reached €100 million for the first time ever.

Net operating profit has been estimated at €41-42 million, which is significantly more than planned and the highest figure so far. The 2022 business report is yet to be discussed by the supervisory board.

"The plans for the future are much more ambitious, considering that in 2024 we'll become the sole owner of Nomago," said Mes about the travel and inter-city bus company in which Slovenske Železnice acquired 50% last year.

Under the contract the national railways operator has the exclusive right to acquire a 100% stake in Nomago by the end of 2024, which Mes says the railway company intends to exercise.

He does not rule out acqusition of another small bus operator, company or application that provides transportation services, as the company is aiming for passenger satisfaction as its main goal.

"The coming years will be dedicated to passenger satisfaction, which is the key. Our service must improve and become what passengers in Austria, Germany, Switzerland - countries we like to compare ourselves with - have."

The company is renovating its vehicle fleet, with increased comfort as a result. "The second part ... is travel times, which very much depends on infrastructure," says Mes, who is counting on the government to do its bit, in particular by renovating regional routes.

In the cargo segment, Slovenske Železnice plans to expand outside Slovenia, "to manage the cargo that goes from Trieste, the north Adriatic ports, from Ploče to Trieste or further on in Italy, towards Central Europe ... and from the Balkans towards Italy."

With that goal in mind, Mes says the company will be taking over companies in the region and establish its own subsidiaries with own production.


More from Business