<abstract xmlns="http://www.w3.org/1999/xhtml">

<p>This paper explores the factors affecting the net profit margins of railway companies, a relatively under-researched topic. The analysis focuses on ten railway companies within the European Union from 2010 to 2019. Historically, the railway has played a critical role in economic growth, especially during the first industrial revolution. Despite its influence waning in the latter half of the 20<sup>th</sup> century, it remains an integral component of the economy. The current rise of the green economy provides a vital motivation to focus on railways as a research subject. In this study, the authors examine the effect of six factors on the net profit margin of railway companies. The results indicate that the number of passengers, labour productivity, and the number of employees positively influence the net profit margin. Interestingly, the paper finds evidence of economies of scale in passenger transport but not goods transport. Furthermore, the study demonstrates that the number of employees positively affects the net profit margin, contradicting the widely held assumption about the low productivity of workers in the public sector and state-owned companies.</p>
</abstract>

This paper explores the factors affecting the net profit margins of railway companies, a relatively under-researched topic. The analysis focuses on ten railway companies within the European Union from 2010 to 2019. Historically, the railway has played a critical role in economic growth, especially during the first industrial revolution. Despite its influence waning in the latter half of the 20th century, it remains an integral component of the economy. The current rise of the green economy provides a vital motivation to focus on railways as a research subject. In this study, the authors examine the effect of six factors on the net profit margin of railway companies. The results indicate that the number of passengers, labour productivity, and the number of employees positively influence the net profit margin. Interestingly, the paper finds evidence of economies of scale in passenger transport but not goods transport. Furthermore, the study demonstrates that the number of employees positively affects the net profit margin, contradicting the widely held assumption about the low productivity of workers in the public sector and state-owned companies.

Determinants of Profitability in Railway Transport of Selected Companies in the European Union

Croatian Regional Development Journal

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

This paper explores the factors affecting the net profit margins of railway companies, a relatively under-researched topic. The analysis focuses on ten railway...

Determinants of Profitability in Railway Transport of Selected Companies in the European Union

Publicado en línea: 19 dic 2023

Páginas: 1 - 14

Recibido: 11 jun 2023

Aceptado: 05 ago 2023

DOI: https://doi.org/10.2478/crdj-2023-0001

Palabras clave
railway, profitability, energy efficiency, green economy, labour productivity

© 2023 Toni Gligić et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

Determinants of Profitability in Railway Transport of Selected Companies in the European Union

Publicado en línea: 19 dic 2023

Páginas: 1 - 14

Recibido: 11 jun 2023

Aceptado: 05 ago 2023

DOI: https://doi.org/10.2478/crdj-2023-0001

Palabras claverailway, profitability, energy efficiency, green economy, labour productivity

© 2023 Toni Gligić et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

Palabras clave
railway, profitability, energy efficiency, green economy, labour productivity