Ukrainian Railways received UAH 20.4 billion in profit from freight transportation in 2024

At the same time, passenger transportation remains deeply unprofitable at UAH 18.1 billion

In 2024, Ukrainian Railways JSC (UZ) received UAH 20.39 billion in operating profit from freight transportation, which is 2.3% less than a year earlier, while the operating loss from passenger transportation increased by 15.4% y/y – to UAH 18.1 billion. This is stated in the company’s annual report, Interfax-Ukraine reports.

Overall, revenue from freight transportation last year increased by 10.3% y/y – to UAH 81.8 billion, while passenger transportation brought in UAH 10.67 billion (+14.8% y/y). At the same time, the passenger segment remained deeply unprofitable: intercity and international transportation generated UAH 8.81 billion in losses, and suburban transportation another UAH 9.31 billion.

The infrastructure component made the largest contribution to the profit of freight transportation – UAH 13.3 billion (+8.3% y/y). At the same time, the railcar component decreased by 11.7% y/y – to UAH 6.93 billion, while the locomotive component fell almost fivefold to UAH 0.15 billion.

In the passenger segment, suburban transportation brought in only UAH 0.52 billion in revenue against a UAH 9.31 billion loss. This is significantly worse than in 2023, when losses amounted to UAH 8.24 billion and revenue was UAH 0.56 billion.

The operating result of auxiliary activities amounted to UAH 2.99 billion, which is 3.7% less than the previous year, although revenue from them increased by 15.3% to UAH 9.78 billion.

In 2024, the railroad operator increased its revenue by 11.1% to UAH 102.87 billion, but posted a net loss of UAH 2.71 billion, compared to a net profit of UAH 5.04 billion in 2023.

As GMK Center reported earlier, in 2024, Ukrainian Railways increased iron ore exports by 1.7 times compared to 2023, to 33 million tons. Export transportation of ferrous metals increased by 13.7% y/y – to 5.17 million tons.

In 2024, the total volume of cargo transported by Ukrainian Railways increased by 17.9% compared to 2023, to 174.9 million tons. In particular, export traffic amounted to 84.67 million tons (+51.2% y/y), and import traffic – 9.63 million tons (+40.9%). Domestic transportation decreased by 5.5% y/y – to 80.2 million tons.