Israel Railways moved from an operating profit of NIS 4.3 million to an operating loss of NIS 3.8 million

In the first quarter, Israel Railways moved from an operating profit of NIS 4.3 million to an operating loss of NIS 3.8 million. This loss is attributed primarily to the impact of the corona crisis on the number of passengers. The company ended the quarter with a total profit of NIS 1.8 million, compared to NIS 32.7 million in the corresponding quarter.
The total revenue of the railway has hardly changed between the quarters: in the first quarter of 2020 the revenue was NIS 606.5 million, and in the first quarter of this year - 605.9 million.
Revenues from passenger transportation decreased in the first quarter of 2021 by 73% compared to the corresponding quarter, to NIS 39 million. The number of trips decreased from 13.9 million to 4.4 million. The average daily travel in the reported quarter was 87,000, compared to 215,000 in the corresponding quarter last year.
The accuracy of trains in the first quarter was 97.5%, compared to 89.3% in the corresponding quarter of 2020. According to the train, "the improvement is attributed to managerial attention alongside a focus on operational preparation, among other things by placing bookshelves in strategic network locations." However, it should be noted that the reduction in the number of journeys following the crisis may also have affected the accuracy of the trains.
Railway revenues from cargo transportation fell slightly, from NIS 44 million to NIS 41 million, due to a decrease in the number of transports due to infrastructure works (mainly electrification of tracks). In the reported quarter, Israel Railways carried about 1.9 million tons, compared to 2 million tons in the same period last year.
Losses in the cargo segment in the first quarter amounted to NIS 17.4 million, compared with a loss of NIS 8.2 million in the corresponding quarter last year. In the train, they added that in 2020, the implementation of the Eastern Railroad project began, which is expected to "significantly increase the operational flexibility of the Israel Railways as well as the potential for cargo transportation."
What pushed train revenues upwards in the quarter was a 28% increase in operating revenues, to NIS 518 million.
The train also detailed the estimated schedule of some of the mega-projects it is working on. 431, which will connect the Rishon Lezion area to Modi'in and Jerusalem, and the eastern rail project, which is expected to connect the Rosh HaAyin area to eastern Hadera and is mainly expected to serve as an additional route for freight trains.
There are other railway projects such as the fourth railway in Ayalon, the new train station in Dimona and others that are not mentioned because they are not under the direct responsibility of Israel Railways but of other bodies such as Netivei Israel.