Sunday, June 30, 2024
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Talgo reported strong performance for fiscal year 2023 during its Annual General Meeting at headquarters in Las Rozas, Madrid. The company outlined two key priorities going forward, enhancing its industrial capacity and optimizing financial efficiency.
Highlights from the year include a record revenue of €652 million, marking a 39% increase from 2022. Talgo’s EBITDA also rose significantly by 55% to €76.5 million. The company closed the year with a robust order book of €4,223 million, up 54% from the previous year and a historical high for Talgo.
Securing €2,100 million in new orders, including contracts from esteemed clients like Deutsche Bahn in Germany and DSB in Denmark, underscores Talgo’s commitment to sustainable growth.
Additionally, Talgo successfully executed a shareholder remuneration programme in 2023, distributing €12 million through a flexible dividend and a new share buy-back initiative.
Talgo president Carlos Palacio said: “In the coming years, the majority of our revenues will come from international projects. More specifically, the main sources of new commercial opportunities will be in the countries of the European area, but also in the countries of the Middle East and North Africa. We continue to work on potential opportunities, focusing on both the high-speed and long-distance segments, where our experience is greater”.
Talgo CEO Gonzalo Urquijo said: “The execution of manufacturing projects continued in 2023 with a high level of activity, with the launch of very high-speed projects based on the Avril platform for Renfe and Adif in Spain, and the intercity projects developed in the European market for Deutsche Bahn in Germany and DSB in Denmark, as well as the long-distance trains delivered to ENR in Egypt.”
Urquijo added: “Our maintenance activities have continued to provide customers with the best reliability and availability ratios and have also increased with the deployment of the trains in Egypt, with contracts now in eight countries, giving us revenue visibility and long-term activity, with a solid portfolio and in constant growth”.
Palacio also expressed its gratitude to the shareholders for their trust and support during 2023 and the first half of 2024, a year marked by the takeover bid by European company Magyar Vagon: “As you already know our red lines are and will continue to be preserving employment and industrial capacity in Spain, maintaining Talgo’s headquarters and management in Spain, keeping the ownership of patents in the Company, and all this while getting the best option for all shareholders and workers”.
