Amtrak ridership record and path to 2028 profitability

An Amtrak ridership record has given the U.S. passenger rail operator its strongest year yet for passenger numbers and revenue. The company said on Tuesday that it trimmed its annual loss by 15% to $598 million and is still working toward operational profitability by 2028.

This is reported by the railway transport news portal Railway Supply.

Amtrak ridership record and improving finances

Over the 12 months to Sept. 30, Amtrak carried 34.5 million customer trips — a 5.1% rise that sits at the heart of the Amtrak operating revenue and losses story. Operating revenue increased 9.1% to a record $3.9 billion even though the railroad was running with slightly less capacity, a sign that demand is rebounding as Amtrak steadily narrows its deficit. This momentum is also reflected in the “Amtrak: A Year of Records” press release, which emphasizes how wide the growth has been.

At the same time, the company is deep into a long-running effort to rehabilitate aging infrastructure along the busy Northeast Corridor between Boston and Washington. Alongside these Northeast Corridor infrastructure upgrades, Amtrak is expanding service across the United States, buying a new generation of higher-speed Acela train cars and preparing to begin replacing its regional trains starting next year. Growing demand for intercity rail on major U.S. routes has also been explored by Railway Supply in its recent look at Amtrak ridership trends.

More capacity with new Acela high-speed trains

For now, boosting capacity is the main priority, Amtrak President Roger Harris said. The forthcoming Acela high-speed trains will be 27% bigger than the current fleet, and new regional trains are due to follow next year. “I think it’s a better product, more capacity,” he said in an interview. According to Harris, congested highways and recurring congestion or technical issues in the air travel system are nudging more travelers to consider Amtrak as a practical alternative.

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Leadership has been shifting as well. In March, the White House forced Amtrak Chief Executive Stephen Gardner to step down after President Donald Trump sought the changes. The board has not yet named a new CEO, so for now day-to-day operations are overseen by Harris, who noted that the leadership team has effectively been allowed to run the company for the last eight months.

Hudson River tunnel project and federal funding for Amtrak

Funding and big-ticket projects remain central to Amtrak’s plans. In October, the White House paused reimbursement payments for the $17.2 billion Hudson River tunnel project, which has received more than $11 billion in federal grants and is viewed as critical for improving train service between New York and New Jersey. The tunnel is one of Amtrak’s major long-term investments and is closely tied to its strategy for adding capacity across the Northeast.

In recent years, Amtrak has received about $2.4 billion a year in federal funding, on top of $22 billion approved in 2021 over five years for major capital projects. Harris said that during the most recent government shutdown — described as the longest in U.S. history — the railroad had enough cash on hand “to sustain the projects” and did not expect any delays, despite the temporary disruption in Washington.

U.S. Transportation Secretary Sean Duffy has also pointed to the operator’s trajectory as a sign of change in American rail. In September, the U.S. Department of Transportation said it had reclaimed management of Washington’s Union Station, one of the country’s largest rail hubs. “Faster trains, more affordable service, and extended routes are opening up a new era of American rail,” Duffy said, presenting the Amtrak ridership record as evidence that more people are willing to choose passenger rail when the service is there.

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