Our results

Comment of the President of the Board

GRI G4-DMA

Krzysztof Mamiński, the acting President of the Management Board of PKP CARGO S.A. from 26 October 2017 to 26 March 2018

 “Last year was highly successful in terms of our financial performance and our operating results. The PKP CARGO Group’s revenues rose substantially while simultaneously maintaining rigorous cost discipline. The positive net result and its growth compared to 2016 are a source of great satisfaction. In every subsequent month of 2017 our transportation services were higher than in the same period of the previous year in terms of freight volume and freight turnover alike. The robust conditions in the manufacturing industry, the development of Polish sea ports and the acceleration in the pace of growth in infrastructural investments were conducive to that happening. The growth in EBITDA is also noteworthy as it proves the Group is more strongly committed to renewing its rolling stock potential and its ability to conduct repairs and renovations.

The additional important trade contracts we entered into made a direct contribution to our performance in 2017, including, among others, contracts with the largest entities in the mining industry, the power sector and the metallurgical industry. We are elated that our offers were the most favorable when compared with the competition. The PKP CARGO Group is the main partner of the mining and power industries. We are responsible for 2/3 of the coal transportation market in Poland when measured by freight turnover. By continuing their cooperation with the PKP CARGO Group, our business partners confirm how highly they assess the quality of our services and our market experience, which is a large challenge while also being a reason for satisfaction.

The upward movement in the freight turnover performed on international markets is proof positive of the PKP CARGO Group’s greater degree of activity there. The Group is well-prepared to face these ambitious challenges organizationally, technologically and with respect to its managerial capabilities and logistics know-how. Moreover, we are pursuing active efforts to enhance the commercial attractiveness of container service and the organization of rail transportation. Transport between China and Europe through Poland along the New Silk Road is one of our top priorities for the PKP CARGO Group’s expansion on international markets.

By rendering top in class logistics services, we intend to sustain this favorable trend in 2018, too. The many billions of investments that are gradually being phased in and that are co-funded using EU funds to modernize rail lines and create a coherent network of rail connections contributing to improved operation of cargo transport should advance our cause. I am also counting on a return to the concept of energy security based on having our own fuel resources and implementing EU regulations pertaining to the fees for road transport contributing to enhancing the railway’s competitiveness. The PKP CARGO Group has enormous potential, which we will strive to utilize in the interest of the Polish economy, our clients and shareholders.”