Russian Railways’ (RZD) revenue has grown to 3 trillion rubles (30 billion euros) in 2023. This is an increase of 16 per cent. The growth in revenue is mostly driven by higher income from freight transportation and track access charges.
RZD’s head presented last year’s financial data at a meeting with Russia’s transport ministry on Friday 29 March. “The latest information is literally hot. We reached a historical record in revenue – 3 trillion and 17 billion rubles,” said RZD’s representative.
The record revenue includes RZD’s revenue, as well as the revenue of all of its 94 subsidiary companies. Last year’s revenue saw a growth of 16 per cent compared to 2022, when the total revenue amounted to 2,6 trillion rubles.
Freight and track access charges
The main drivers of revenue were freight transportation and track access charges. Revenues from these two sources grew by 16,6 per cent and amounted to 2,2 trillion rubles in total.
RZD’s income from passenger transportation grew faster than freight revenue, but was significantly less sizable. Passenger revenue in 2023 was 356,1 billion rubles, up by 23,3 per cent from the year prior.
Investment programme
According to RZD, it reached a net profit of approximately 170 billion rubles last year. This is 51 per cent higher than 2022. Russia media point out that the company’s financial data bode well for its investment priorities. Last year, the company prioritised investments in locomotive fleet upgrades as well as increasing safety and throughput capacity on the rail network. The company also uses the money to participate in state programmes to develop the country’s transport infrastructure.
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- Russia and China saw record rail freight volumes in 2023
- Huge investments in Russian Far East rail are no break with the past
