Romania’s railway network operator CFR expects EUR 200 mln losses this year

The Romanian state-owned company that manages the railway network, CFR SA, expects its losses to increase tenfold this year, compared to 2022, to RON 1 bln (EUR 200 mln), according to the company’s budget planning for the current year, quoted by G4media.ro.

The company expects RON 373 mln more from the budget, as subsidies, under the mid-year public budget revision.

The company’s total revenues will increase by 4.2% y/y to RON 5.29 bln, according to the 2023 budget planning. This includes the revenues from subsidies and operating transfers, amounting to RON 1.6 bln, representing the contribution of the state budget to financing the expenses for the maintenance, operation and repair of the public railway infrastructure owned by the state and managed by the company. These revenues decreased by 14.1%, respectively, by RON 266 mln compared to 2022.

The personnel expenses will increase by 32.5% y/y, respectively, by RON 657 mln, as a result of the application of salary increases according to the provisions of Law 195/2020 on the status of railway staff starting with July 1.

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