PRESS: Russian Railways to raise invest 5% to 2.42 tln rbl 2020–22

MOSCOW, Oct 3 (PRIME) -- Russian Railways plans to raise investment program for 2020–2022 by 120 billion rubles to 2.422 trillion rubles, but sees fewer financing sources, Kommersant business daily reported on Thursday quoting the company’s investment program and financial plan draft.

Russian Railways has sent the draft for consideration of the Transport Ministry.

In 2020, investment will amount to 806.3 million rubles.

Around 40% of the 2020–2022 investment, or 961.2 billion rubles, will be used for a comprehensive infrastructure upgrade plan including 13 projects. Around 89% will be financed using the company’s own funds, and the rest will come from the National Wealth Fund and budgets of different levels.

The company has also downgraded its loading growth forecast to 1.8% to 1.315 billion tonnes in 2020 from 2.3% projected earlier. In 2019, loading will grow around 0.15% to 1.292 billion tonnes as compared with 1.55% projected earlier. Loading will grow 2.3% in 2021 and 2.7% in 2022.

The 2020 net profit forecast increased to 51.3 billion rubles from 48.6 billion rubles seen earlier, which is a 90% year-on-year growth from the figure expected in 2019. In 2021, the company plans a decrease of the net profit to 28.9 billion rubles, and in 2022 to 28.5 billion rubles.

Earnings before interest, taxes, depreciation, and amortization (EBITDA) will add 16.3% on the year to 484 billion rubles in 2020, as compared with 476.4 billion rubles projected earlier. EBIDTA is also seen at 499 billion rubles in 2021 and 554.4 billion rubles in 2022.

(65.4399 rubles – U.S. $1)

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