Frankfurt, Berlin Richard Lutz’s dismay at the events in the Ukraine is evident. “The railways stand for a peaceful, free and democratic Europe,” said the head of Deutsche Bahn on Thursday when the balance sheet for 2021 was presented. The railways are helping where they can, for example with aid measures such as the “rail bridge” in Ukraine.
At the same time, the state-owned company, like the entire economy, is feeling the effects of the war. CFO Levin Holle said that the group has hedged against the drastically increased energy costs this year: “But the rising inflation will of course also affect our business.” Other factors also promise uncertainty: the required restructuring, for example, and the associated, still Pending replacement of infrastructure director Ronald Pofalla.
Lutz is nevertheless confident about the future. In the current year, Deutsche Bahn wants to be operational again in the black: “We feel a continuing trust in the DB Group everywhere, climate-neutral mobility is indispensable.” In fact, the 2021 balance sheet contains a number of things that point in the right direction.
While Deutsche Bahn had made a record loss of 5.7 billion euros in the first year of the pandemic, 2020, this figure shrank to 911 million euros in 2021. The operating loss before interest and taxes (EBIT) almost halved to 1.55 billion euros.
Top jobs of the day
Find the best jobs now and
be notified by email.
But the rail company remains a construction site. This can be seen, for example, in the liabilities. The net financial debt of around 30 billion euros last year is a huge burden. Above all, it is not yet clear where the new federal government intends to steer state participation.
Competitors criticize the lack of transparency in Deutsche Bahn’s numbers
The traffic light coalition has agreed to combine the infrastructure areas of DB Netz and DB Station and Service to form a society within the railway group that is geared towards the common good. The rail network is dilapidated and sometimes leads to massive disruptions in operation. Transport Minister Volker Wissing (FDP) has made it clear that he no longer accepts this situation. He hopes that the new structure will increase efficiency when modernizing the network.
In addition, transparency within the group is to be improved. Competitors have been criticizing for a long time that the core business is cross-subsidized through the revenue from train paths that private railway operators pay to DB Netz. The annual report shows adjusted earnings (EBIT) of 334 million euros for DB Netze Track 2021.
>> Read about this: Immense inflation jeopardizes infrastructure projects
“We are already working on the topic, at least conceptually,” said Bahn boss Lutz with a view to the planned reorganization, “we are also in close talks with the owner, the federal government.” Much more important to him than the structure, however, is ensure that sufficient money is released for the planned expansion of the infrastructure.
But that’s not fast enough for competitors. In the meantime, there is growing concern that many things will remain the same. This crystallizes, for example, in the question of who will follow the outgoing infrastructure board member Pofalla. Berthold Huber, previously the board member responsible for passenger transport, is the favorite for Deutsche Bahn. Last but not least, the EVG union prefers the long-standing rail manager.
With the Federal Association of Rail Transport and the two representatives for the private passenger and freight railways Mofair and NEE, the rivals have spoken out against a quick decision. Clarity must first be created about the future new structure of the infrastructure area. Otherwise, a post will be filled that probably nobody will need in the future.
The rail boss sees the company positioned for the future.
(Photo: dpa)
Mofair has already created a concept to convert the planned infrastructure division into a neutral “capacity manager”. “Some things take time,” said Managing Director Matthias Stoffregen. This includes, for example, the separation of network and sales at DB Energie. “Other things go with a trip to the notary, such as the termination of the profit and loss transfer agreements.”
According to the Federal Ministry of Transport, “there will be clarity by May” about the successor to Pofalla. With the personnel, Wissing wants to set the course for the railway. He is looking for the right person and is relying on an outside entrepreneur.
Nevertheless, the ministry does not rule out the possibility that it will ultimately be a “Bahner” who will have to implement the coalition’s core concerns – possibly including Huber. It is not yet clear whether Wissing wants to drive “a hard or a soft course”.
The numbers of the transport company are getting better, many construction sites remain.
(Photo: dpa)
The Ministry of Transport takes a critical look at the state-owned joint-stock company. There is talk of the “state within the state” and a “black hole” into which the federal government repeatedly pumps a lot of tax money. The strategy and the implementation for the new structure of the railway are still being worked on. There is talk of an “overall concept” – both for the “public welfare-oriented infrastructure division” and for the subsidiary DB Schenker.
No decision yet on the sale of Schenker
The question of how to proceed with the logistics offshoot of the railway is decisive for the future of the railway. The sale of Schenker has become an issue again with the change of government, although it is not written down in the coalition agreement. “There are currently no sales plans for Schenker,” emphasized CFO Lewin Holle on Thursday. But internally, the train is said to have started preparations for a separation, as can be heard.
A sale would have far-reaching consequences. Without Schenker, the railway would lack an important source of income. In 2021, the logistics company achieved an operating result of a good 1.2 billion euros, more than ever before. In the core business of transporting people and goods by rail, however, Deutsche Bahn is still in the red. In long-distance traffic, the minus is around 1.8 billion euros, with DB Regio it was minus 417 million euros. The freight offshoot DB Cargo reduced the operating loss from 728 million to 481 million euros.
On the other hand, the time for a transaction would be good, with Schenker’s record result behind it, Deutsche Bahn should be hoping for state proceeds from the sale. The offshoot is estimated at 20 billion euros.
More: The traffic light is looking for its supervisory board members – the old ones still have to advise