České dráhy, the largest domestic railway operator, is set to increase ticket prices by an average of up to nine percent with the new timetable starting in December. This marks a milder price hike than last year’s exceptional fifteen percent increase. The state-owned company, ČD, returned to profitability last year after three years of losses.
According to the company, the price increase under the new timetable, effective from December 10th, is unlikely to exceed the rise within the Unified Tariff System, which has already been published in the price bulletin for the next year by the state-owned company Cendis. The Unified Tariff System anticipates a 9.5 percent price increase.
“We usually adjust ticket prices in the same range as the state,” said Vanda Rajnochová, a spokesperson for the railways. The operator will provide more specific details in the coming days. In the past, České dráhy regularly adjusted ticket prices based on the average inflation rate of the previous year. However, they broke this rule last year due to an exceptionally high inflation rate that exceeded the price growth rate of the current year.
Student and Senior Discounts to Remain
As reported by Právo, the price bulletin also confirms that the fifty percent discount on fares for students and seniors will remain unchanged.
České dráhy Reports Profits for the First Half of the Year.
České dráhy Group recorded a gross profit of 987 million Czech koruna for the first half of this year, representing an improvement of almost two billion koruna compared to the previous year. In the first half of 2020, the group was still in the red, losing 931 million koruna. The last time the group reported a semi-annual profit was in 2019.
The positive result is attributed to the return of passengers to trains, the stabilization of the energy market, and a stronger Czech koruna. The improvement is particularly noticeable in passenger transportation.
International passenger transport saw a one-third increase in revenues. “We now transport more passengers than in 2019, mainly thanks to tourists from abroad, including those from overseas,” confirmed Michal Krapinec, the CEO.
Increase in the Number of Passengers
Overall, the number of passengers has increased. In the first half of the year, České dráhy transported 79 million people, a six percent increase compared to the previous year.
Higher ticket sales revenue contributed to the profitability of passenger transportation, with an 18 percent increase to 4.6 billion koruna compared to last year.
Freight transportation recorded a gross profit of 481 million koruna for the first half of the year, a year-on-year improvement of 300 million koruna. The subsidiary company ČD Cargo experienced increased transport performance internationally, particularly in Germany, where it operates in seven countries.