Editor’s note: Amtrak and others continually claim nowhere in the world do passenger trains make a profit. That is wrong. Sweden is just one place in the world with profitable passenger trains, with plans for expansion. Here is the story from International Railways Journal. – ccrail.com Editor
SJ plans investment in new trains as profits soar
Written by Keith Barrow, International Railway Journal
SWEDISH national train operator SJ is planning to accelerate investment in the modernisation of its train fleet as rising demand continues to strengthen the company’s revenues and profits.
According to SJ’s annual results for 2016, which were published on February 15, net sales grew 3.1% year-on-year to SKr 9.34bn ($US 1.04bn) while operating profits soared to SKr 837m, compared with SKr 212m in 2015. Net profit climbed 38% to SKr 650m.
SJ’s customer satisfaction index score rose from 66 to 70, while punctuality improved slightly on both long-distance services (up 1% to 83%) and regional trains (up 1% to 90%). Passenger numbers increased by 2% year-on-year with 5% growth in the fourth quarter.