Deutsche Bahn profit hit by economic lull
Author: AJOT | Jun 09 2013 at 08:00 PM | Category: Transport Intermediaries
Deutsche Bahn’s profit was hit by economic weakness in Germany and fell by some 40 percent in the first four months of 2013 compared to last year, according to documents seen by Reuters.
The documents showed the firm’s freight transport and logistics businesses were particularly hard hit.
Earnings before interest and tax (EBIT) fell in the first four months of the year to 470 million euros, about 200 million euros less than planned, although sales remained stable compared to the same period in 2012.
Long-distance passenger travel beat company expectations, but could not offset losses in goods transport.
A company spokesman was not available to give an official comment.
Sources at Deutsche Bahn said they now expect EBIT of 2.6 billion euros this year if conditions stabilise in the second half of the year, less than the 2.9 billion euros forecast in March.
Germany just skirted a recession in the first quarter with growth of 0.1 percent after a contraction of 0.7 percent the previous quarter. (Reuters)