The Group reported a net profit for the sixth consecutive half-year period since 2021, driven by strong revenue growth and strategic cost management.
Financial overview
In the first half of 2024, SNCF Group's revenue rose by 3.4% compared to the same period in 2023, totalling €21.4 billion. This growth was supported by a sharp increase in passenger traffic across various services, including TER regional trains, Transilien mass transit in the Paris region, and high-speed TGV services both in France and Europe. The Group's consolidated EBITDA reached €3.1 billion, representing 14.6% of revenue, up from 13.4% in the first half of 2023.
The net profit for the Group was €143 million, slightly lower than the €158 million reported in the same period last year. This stability in profit highlights the Group's ability to manage costs effectively despite external challenges such as inflation and fluctuating freight rates.
Passenger transport
Passenger rail services showed significant growth, with TER regional trains and Transilien services in the Paris region both seeing an 11% increase in ridership. The TGV high-speed rail services also experienced a 7.5% rise in passenger numbers, underscoring the ongoing demand for high-speed rail travel within France and to neighboring European countries.
International services operated under the Eurostar brand, which now includes all high-speed services between France, the UK, Belgium, the Netherlands, and Germany, reported nearly 9.4 million passengers in the first half of 2024. This marks a 7.5% increase from the previous year and a return to pre-pandemic levels of ridership.
Freight and logistics
In the freight sector, SNCF's logistics arm, GEODIS, faced a challenging environment with an 8.6% drop in revenue due to the normalization of freight rates and a decrease in volumes. However, the division managed to improve its margins, demonstrating resilience through effective cost control measures. Rail Logistics Europe, another freight subsidiary, reported a 9.5% increase in revenue, supported by steady performance in sectors like chemicals despite mixed market conditions.
Infrastructure and investments
SNCF Group maintained its strong investment strategy, allocating a record €5.0 billion in the first half of the year, with 98% of this amount dedicated to the French rail system. Key projects included network regeneration, modernization of stations, and upgrades to rolling stock. These investments are part of the Group's commitment to promoting sustainable mobility and improving the overall rail infrastructure.
The Group also made strides in reducing its net debt, which stood at €24 billion as of June 30, 2024, down €200 million from the end of 2023. This reduction is in line with the Group's financial commitments and supports its long-term investment plans.
