BAKU, Azerbaijan, June 8
By Tamilla Mammadova - Trend:
The total amount of cargo transported by Georgian Railway JSC amounted to 3.6 million tons from January through March 2020, which is 5.8 percent more comparing to the same period of 2019, Trend reports citing a financial report of the company.
Despite the increase in the turnover of the Georgian Railway, the company is still at a significant loss in the first quarter of 2020.
According to the company, consolidated revenues for the group increased by 23.7 percent to 122 million lari ($41.02 million) in January-March, while the expenditures also increased significantly, leaving the company with a loss of 163.5 million lari ($55.4 million) in the first quarter of the year.
The major loss occurred due to the difference of the currency exchange rates and made up 188.9 million lari ($63.5 million). Consequently, the sum could not be balanced by the operating profit and a loss of $163 million has been reflected in the financial results.
Revenues of Georgian Railway were distributed as follows: freight transportation - 94.5 million lari ($31.7 million); logistics services - 13.1 million lari ($4.4 million); passenger traffic - 4.7 million lari ($1.5 million); income from car rental - 8.3 million lari ($2.7 million); other sources of income - 2 million lari ($672,471).
Due to the depreciation of the lari rate, the value of loans denominated in foreign currency (bonds issued by the company) increased by 296 million lari ($99.5 million) and amounted to 1.64 billion lari ($551.4 million), said the report.
In 2019, the company's operations ended at a loss. Nevertheless, in comparison with 2018, the amount of loss in 2019 decreased by several times and amounted to 5.6 million lari ($1.8 million).
The most profitable year for the company was 2011 (174 million lari that is $58.5 million), and the most unprofitable year was 2018 (loss amounted to 716 million lari that is $240.7 million). From 2013 to 2018, inclusively, the volume of cargo turnover decreased annually, and from 2019, a phased restoration of financial flows began.
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