Renfe Mercancías, the rail freight transport subsidiary of Spanish National Railway Company, Renfe, had reported significant improvements of financial results in the first half of 2017, compared to the same period last year. The company reported a loss of EUR 12.5 million, compared to a loss of EUR 23.4 million in the similar period of 2016. It indicates an improvement of 46.5%.
Renfe Mercancías announced it carried 9.9 million tonnes of freight in the first half of 2017, a 10% increase compared to the same period of 2016. Consequently, its earnings amounted to EUR 114.31 million, 2.7% more compared to the first six months of 2016. Operational costs diminished by 5%.
Considering the EBITDA indicator (earnings before interest, taxes, depreciation and amortisation), the first year of 2017 experienced a loss of just EUR 0.2 million compared to a loss of EUR 9.5 million in the same period of 2016.
These financial results are due to the management decisions made in conformity with the 2017-2019 Strategy. The tactic objectives of this plan include increasing the international activity focusing on the most profitable activities and on reducing operational costs. Renfe wants to reduce the staff by 300 employees, to sell 73 locomotives and 1,600 freight cars. Personnel restructuring is at an advanced phase after 250 employees accepted a change of position in several subsidiaries of Renfe.
The main objective of the 2017-2019 Strategy consists in getting positive results to be competitive and, finally, to get a partner amongst international multimodal transport companies. In November, the Government in Madrid plans to launch the evaluation of potential candidates to cooperate with Renfe Mercancias.
A partnership agreement could be signed at the end of 2018. Renfe Mercancías tries to find new multimodal transport partners in 2016, but results were unsatisfactory.
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