Revenue and profits grow at Talgo
TALGO: Spanish rolling stock manufacturer Talgo announced its financial results for the first quarter of 2019 on May 14.
Net revenues grew by 2·2% year-on-year, to €87·1m. Adjusted EBITDA was €15·9m and net profit €7·1m, a 70% increase compared with the first quarter of 2018. Lower depreciation and amortisation costs had an effect, as did lower debt financing costs.
Contracts won by Talgo in the first quarter include those for the supply of 23 push-pull trains for Deutsche Bahn and six trainsets to operate inter-city services for Egyptian National Railways. In a joint venture with Systra, Talgo has also recently been awarded a contract by Southern California Regional Rail Authority for the refurbishment of 50 Bombardier BiLevel coaches used on Metrolink commuter services.
Talgo says that it is currently participating in more than 20 ‘commercial opportunities that it hopes will be awarded in the short and medium term’, cumulatively worth around €6·7bn, and is ‘actively’ monitoring 45 longer-term projects with an expected value of about €12bn. It has identified opportunities mainly in the high-speed segment, including the HS2 project in the UK, where Talgo is one of five shortlisted groups; final bids are to be submitted shortly. The company is also looking at regional train tenders in Europe and the Middle East.