Israel Railways reported its financial results for the fourth quarter and full year 2015 this morning. Fourth quarter revenue was NIS 575 million, 5% down on the corresponding quarter of 2014. Revenue for 2015 as a whole was NIS 2.2 billion, 28% less than in 2014.
Gross profit totaled NIS 211 million in 2015, which compares with NIS 1.1 billion in 2014. Net profit was 265 million, 83% lower than in 2014. Net profit in the fourth quarter was NIS 17.9 million. The sharp decline in profit was due to one-time expenses and a rise in costs of sales, works and services.
There were 52.8 million passenger journeys on Israel Railways in 2015, versus 48.5 million in 2014, representing a rise of 9%. In relation to the period 2009-2011, annual passenger traffic has grown by 40%.
Revenue from carrying passengers in 2015 totaled NIS 775 million, which compares with NIS 713 million in 2014. The average daily number of passenger journeys was 200,000 in 2015, representing a rise of 10% over the 2014 average of 182,000.
Israel Railways chairman Husam Bishara and CEO Boaz Tzafrir said, "Israel Railways continues to present profits and positive results in the range of services to our customers, at the same as huge development that in 2015 saw the opening of the Negev railway and its stations. The company is proud of its achievements, and the results of our daily efforts in recent years can be seen in the growing number of railway passengers."
Published by Globes [online], Israel business news - www.globes-online.com - on March 24, 2016
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