In 6 months, railway revenue reached more than 3,700 billion VND

Today (July 6), Vietnam Railways Corporation held a conference to deploy tasks for the last 6 months of 2023. Information at the conference showed: The total revenue of the corporation reached about 3,732 billion VND, an increase of more than 17%.

Of which, the parent company alone, sales and service revenue excluding revenue from public service contracts is expected to reach more than VND 1,126 billion, up 5% over the same period.

Passenger transport grew strongly, contributing to the 6-month revenue of Vietnam Railways Corporation reaching 3,700 billion VND, an increase of 13% over the same period in 2022. Photo: illustration

In the transport sector, the total revenue of the two Hanoi and Saigon Railway Transport Joint Stock Companies is expected to reach over VND2,519 billion, up over 18% over the same period. Of which, direct revenue from transport activities is over VND1,953 billion, up 25% over the same period.

However, while passenger transport grew strongly with revenue of more than VND 1,246 billion, an increase of more than 83% over the same period, freight transport decreased sharply, with revenue only reaching VND 824 billion, equal to about 80% of the same period.

Railway infrastructure management and maintenance block, output reached more than 1,765 billion VND, up 12% over the same period; revenue reached more than 1,436 billion VND, up more than 21% over the same period.

Vietnam Railways Corporation said that the railway has implemented many solutions to promote transportation. Regarding passenger transportation, the number of trains and train routes have been adjusted reasonably, in accordance with customer needs. Promoting passenger trains on short routes with high tourist passenger demand such as Hanoi to Thanh Hoa, Vinh, Dong Hoi, Hue, Da Nang and vice versa, Saigon to Nha Trang, Phan Thiet, Da Nang and vice versa... Along with that are flexible fare policies, adjusted up - down depending on the number of passengers traveling by train, route and time of transportation, thus attracting tourists.

Regarding freight transport, the organization increased the operation of freight trains, especially specialized trains. Actively exploited the international freight flow after Kep station was allowed to operate international freight; initially transported containers of seasonal agricultural products for export such as lychees. Freight rates were also flexibly adjusted depending on the goods, distance, time, type of carriage and type of train. However, output and revenue have not reached the plan due to the general decline in market demand.

According to Mr. Dang Sy Manh, Chairman of the Board of Directors of Vietnam Railways Corporation, the task of completing the plan for the last 6 months of the year has many difficulties and challenges. The construction of projects to renovate and upgrade the North - South railway affects the rate of trains departing and arriving on time; Meanwhile, the rainy and stormy season occurs mainly in the last 6 months of the year, greatly affecting the organization of train operations and transportation.