The Spanish national company Renfe will invest 282 million Euros on buying and updating trains, accounting for 74 per cent of the total budgeted invest in 2018.

Most of the purchases were committed since 2016, the Spanish government having authorised Renfe to increase its net debt around 250 million Euros, according to information provided by Renfe. Renfe explained it had a profit before taxes of 65 million Euros, not including extraordinary results in 2017, after its losses being 35.86 million Euros in 2016.

Operational expenses

Its operative expenses were steady but the fees for infrastructure manager Adif reached 988 million Euros, the expenses totalling 3.5 billion Euros. Rail freight division Renfe Mercancias losses were 16.98 million Euros, 65 per cent less than in the previous year, having carried 19.6 million tonnes. That is 1.6 million more than in 2016.

The company expects to achieve net profits in 2019, increasing its revenues and decreasing its expenses.
The rail freight division has retired or moved to the passenger division around 250 employees and it is going to sell 72 locomotives and 1,600 wagons, following its strategical plan 2017-19.

Financial results

Thus, the rail freight division has walked a long and hard way to improve its financial results and to be competitive in the Iberian market, Portuguese government having done a great deal of effort also, due to the liberalisation of the rail freight industry in the EU.