BUSINESS

CFR Marfa to have net profit of RON 5 M

Minister Ioan Rus’s forecast according to which the main companies under the Transport Ministry’s control will improve their management and financial situation seems to be coming true.

Apart from Tarom, which is still in difficulty, the railway companies are registering promising results. CFR Marfa is among them. For 2014 the company estimates a good balance between expenses and revenues. For 2015, CFR Marfa CEO George Buruiana states that the balance sheet will be in the green. “In March we will have the financial results for 2014; however I believe we have managed to reach zero losses. For this year we estimate a net profit of RON 5 M, we are trying to win as many contracts as possible,” George Buruiana stated.

In 2008-2013 CFR Marfa registered losses of EUR 420 M, despite the fact that the largest private operators manage to register profit on this market. In 2013 state-owned transport companies registered losses of RON 262 M (approximately EUR 62 M), at a turnover of RON 922 M (EUR 209 M). All those who led the company left it in the red, in the absence of a clear strategy on recovering the market share lost to private companies.

CFR Marfa registered good results in 2014, the Transport Minister announced, bearing in mind the fact that the volume of transported freight grew by over 6 per cent. CFR Marfa SA is the leader of Romanian railway freight transports, with a market share of 58 per cent.

CFR Marfa’s privatization will once again be discussed with international financiers, Transport Minister Ioan Rus stated. “We explained that we absolutely agree with privatizing CFR Marfa – and not only CFR Marfa -, I agree with the idea itself – but they should give me the time needed to bring these companies in the situation of being sold for real money. Privatization cannot be a purpose in itself: let’s get rid of something. We should also manage to collect something and to make a good deal from an economic-financial point of view too, and these things are slowly coming to be and then we will agree with them on a timetable that would really take place,” Minister Ioan Rus explained.

 

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