Propelled by a dramatic rise in international revenues thanks to launch of services to France and Spain, Italian high speed rail firm FS Group has reported a growth of 11 pc in overall passenger traffic and total operational revenues of EUR 15 billion, a record figure.

Ferrovie dello Stato Italiane (FS Group), the largest Italian railway company, has reported an operating revenue of about EUR 15 billion, up 8 pc from 2022 and net profit EUR 100 million, more than six times the 2022 figure. 

A state-owned company, FS Group operates high-speed lines on the mainland and also on the islands of Sicily and Sardinia and controls about four-fifths of Italy’s rail network.

According to a press statement, FS Group says it recorded a capital expenditure of EUR 16 billion in the year gone by.

“The first key element I want to underline is that the group reported record capital expenditure of more than EUR 16 billion. This is the first time we have passed this threshold,” says Luigi Ferraris, CEO, FS Group.

The rail company says that this positive 2023 outlook has been driven by operating performance and a surge in passenger transport by 11 pc compared with 2022. Freight transport also performed well, up by 6 pc in a challenging European logistics market.

“The group is healthy and growing, and also working according to the timetable of the National Recovery and Resilience Plan. By December 31, 2023, we had invested EUR 8 billion of the funds allocated for the projects planned under the NRRP. So we are on schedule and are building important works to support Italy’s infrastructure and growth. As far as our other activities are concerned, we achieved significant growth in passenger transport. Our trains have now returned to pre-Covid load levels, reflecting strong demand and an important boost from tourism,” he adds.

Despite the difficult international situation with the crisis in the Red Sea and tensions in the Middle East, freight transport revenues rose 6 pc, the group says. All with a growing focus on Europe, compared with 2020, revenues from FS’ international operations increased by 80 pc. 

The group says that this was largely due to the roll-out of high-speed services to France and Spain and the development of the logistics business on the central European market integrated with Italy.

“Despite a complicated year, turnover at the logistics division increased 7 pc, thanks in part to our strategic positioning, with a presence in Europe that enables us to link central Europe both with Italy and with the ports. This obviously means our offers are more integrated and more competitive. So we are making good progress on our industrial plan, with very satisfactory not to say excellent results,” Ferraris adds.

The group adds that it also had EUR 24 billion in rail contracts awarded in 2023, which it says underscores its effort to roll out strategic rail works for the country.