SNCF reports rising revenues but gross profit decline

March 17, 2016

Written by  David Briginshaw, International Railway Journal

REPORTING its first results as an integrated railway, French National Railways (SNCF) achieved a 5% increase in revenue from €29.9bn to €31.4bn in 2015, although Ebitda fell 4.6% from €4.6bn to €4.4bn.Website Insert Development Finance and Management copy

Current operating profit dropped by 28.5% from €1.76bn to €1.26bn. However, an increase in net profit from $135m to €377m was turned into a loss of €12.2bn following an impairment of its assets which SNCF describes as an accounting technicality which has no impact on its cash position or investment programme. The book value of SNCF’s assets was reduced by €9.6bn, plus €2.2bn for the TGV fleet, and €450m for stations.


SNCF invested €8.2bn in 2015 of which 70% was self-financed. Of this, €5.1bn was spent on the infrastructure with 1500 projects completed, 1014km of track upgraded, and 409 switches and crossings renovated. €3.2bn was invested in passenger services with 70% used to purchase new trains. SNCF plans to invest almost €9bn this year.

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