Record investments and losses on German railways

In 2023, Germany’s railways (DB) demonstrated decisive actions in investment, investing a record €7.6 billion in infrastructure development and fleet renewal, which is 16% more than the previous year, this is reported by the railway transport news portal Railway Supply.

An additional €1 billion was allocated to infrastructure projects, the cost of which will be compensated from the Federal Republic of Germany’s budget.

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Overall, investments in the modernization and maintenance of railway infrastructure reached €16.9 billion in 2023, which is 12% higher than in 2022.

However, despite active investments, DB’s financial result turned out to be negative.

The company’s loss amounted to €2.4 billion, while revenue decreased by 13%, reaching €45.2 billion.

The deterioration in financial performance is partially explained by the lower performance of the subsidiary transport and logistics company DB Schenker due to stabilization of freight prices in the international market.

At the same time, revenue in DB’s core business sectors grew: in long-distance passenger services by 18.4%, in regional transport by 7.4%, and in freight transport by 6.4%.

High utilization of the railway network while simultaneously conducting repair works led to a decrease in the punctuality of train schedules: down to 64% for long-distance trains and down to 91% for regional trains.

Information is based on DB’s financial results report for 2023. [Source: Deutsche Bahn Annual Report 2023]

Picture: DB

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