Dublin Bus and Bus Eireann turn profits for first time in years
Published 09/05/2014 | 18:03
THE country’s two public transport bus companies have returned to profit for the first time in a number of years.
Last year, Dublin Bus earned a net surplus of €500,000, compared with a deficit of €3.8m in 2012.
And Bus Eireann reported a surplus of €400,000, a dramatic improvement on a deficit of €6.2m in 2012.
The company describes these improvements as a “key milestone” and says it has plans to provide funds for future investment.
However, loses overall are continuing to mount at CIE.
Unprecedented financial pressures on the troubled company are likely to up the pressure for wage reductions and job cuts in both bus and rail services.
In a number of key areas losses are mounting despite an extensive round of cutbacks in recent months which has provoked the ire of the unions.
The company has reported a deficit for last year, almost as large as the surplus of the previous year.
The group's annual report for 2013 showed a net deficit of €11.6m in 2013, compared to a 2012 surplus of €11.7m.
CIE borrowings also increased over the 12-month period.
However, the company said its fare income is up €40m and passenger numbers across its bus and rail network have increased.
It also points out €10m of payroll savings have been achieved.
Passenger journeys have increased by 300,000 to 229.4m.
However, it is likely the pressure to hold down costs will intensify in the coming months.
The CIE group of companies includes Iarnrod Eireann, Dublin Bus and Bus Eireann.