State-owned regional coach company Volán had pre-tax profit of HUF 234 million in 2010, down from HUF 2.27 billion reported in 2009, the national asset manager MNV said on Tuesday evening.
The MNV said it would pay no dividend to shareholders this year in order to spend the company’s 2010 profit on refurbishing and buying buses.
Volán generated revenue of HUF 173.3 billion in 2010, up from revenue of HUF 172 billion in 2009.
The MNV said 7 of the 24 regional Volán companies sustained losses in 2010 as a result of a 14.8% yr/yr decline in local bus passenger traffic last year. It added that inter-community passenger traffic, which accounts for two-thirds of Volán’s total ridership, was essentially unchanged last year.
Volán had operating costs of HUF 173.4 billion last year, down HUF 4.3 billion from 2009. Volán exceeded the HUF 4 billion in targeted cost cuts contained in the company’s 2010 business plan submitted to the MNV Council in February of last year.
The government said it plans to merge the Volán bus companies and state-owned railway company MÁV into a joint holding company at the end of this year.
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