Archivio dei tag hsr

DiAndrea Giuricin

Railway Reform in France: TRA consulting advise on French medias

TRA consulting CEO, Prof. Dr. Andrea Giuricin, was interview by several media and Institutional stakeholders about the railway reform in France.

Data and analysis about the #HSR in Italy were used by the #JDD Journal de Dimanche en France where the #Spinetta report and #Macron government are trying to make a reform of the railway system and SNCF.

In Italy the competition gives benefits for the consumers with a strong decrease of the prices of the tickets (Yield -40%) and the demand increased about 90 per in cent in 6 years.

These datas were also shown on France 2 at the news of 8 pm.

Italo Treno – NTV is the first experience of a private  #HSR railway company in open access competition and the RU had great financial result with an EBITDA Margin at 34 per cent in 2017.

The debt level is very low as shown by the NFP/EBITDA ratio that it will be lower than 2 in 2018.

Competition was good for the consumers and for the railways company that they need to innovate to be competitive.

DiAndrea Giuricin

Italo, a case of success. Interviews at Reuters and CNBC

In the last days, I saw many comments on #ITALO and the sale to the Infrastructure Fund #GIP.

I think that it is important to understand the importance of this acquisition.

#Italo grew a lot in the last years and the EBITDA margin is higher and higher: in 2017 it was 34,3 per cent of the revenue.

The number of passengers increased from 6.56 million in 2014 to 12.8 million in 2017 with the same numbers of train (25 AGV).

The increase of the productivity decreased the cost per available seat km to a lower level of many low cost, even if #Italo is a not a low cost carrier thanks to the wide offer of services (Italo Lounge, Club, Wifi, On board portal).

The increase of the productivity gave an higher frequency of the service and this an important point to understand: in the HSR business the frequency is a key driver of the success to have also an higher Yield (Rev/PaxKm).

Why has an infrastructure fund bought a railway undertaking that it has not a infrastructure?

I had meetings in the last months with the most important investment bank that asked me some counselling:

– the EBITDA margin is similar to the Utilities

– The regulation will be certain for the next 4 years (access charge)

– The European market is opening soon

– The increase of the number of trains from 25 to 42 in the next 20 months will permits to increase frequency and to take new markets (Turin-Milan-Venice).

– It will be not easy to a third Railway operator to enter in the italian market due to the importance of the frequency of the service.

Last points the I underlined in my article for an italian newspaper:

– the crazyness of one founder of the company, Eng. Sciarrone that he was the first CEO of the company (2006-2013) and he created the company from zero.

– The capacity of the CEO, Mr. Cattaneo in making an impressive turnaround of the business.

– The shareholders that believe in this “crazy adventure”

– The high knowledge of the management of the company, that they were able to improve day by day the efficiency of the company.

DiAndrea Giuricin

TRA consulting meets CEO of SRT on NTV-Italo

TRA CONSULTING had an interesting meeting with the CEO and the top management of #SRT the first competitor in the High Speed Railway sector in South Korea.

In this meeting, few weeks after Prof. Andrea Giuricin visited the company in Seoul, SRT top management had the possibility to try and  understand the business model of NTV-Italo.

Italo – NTV is the first great example of rail competition (in the HSR) and soon it will be listed on stock exchange, but more and more there are business cases all around Europe and World.

#ITALO and #SRT signed a MOU 2 years ago and now both companies are growing in a competitive market.

DiAndrea Giuricin

TRA consulting: Three days lessons at China Academy of Railway Sciences

The China Academy of Railways Sciences is the biggest organization in the World for the railway sector with around 10 thousand students.

China has developed in the last 9 years the longest network of High Speed Lines with more than 23000 kilometers.

Prof. Dr. Andrea Giuricin has the privilege to be a visiting professor at CARS and to make frequently lessons in Beijing.

Last week, from the 23rd to the 25th of October, he was invited to give 3 days lessons in China.

The audience of the 3 days lessons was very large, around 100 students and managers of the Chinese railway sector: around 50 % of the students was at PhD level.

In the training program, the presentations were on:

  • INNOVATION AND DIGITIZATION TO IMPROVE THE QUALITY OF THE RAIL
  • COST CONTROL FOR THE HSR OPERATORS
  • ACCESS CHARGE: BENCHMARKING AROUND THE WORLD AND ASSET MANAGEMENT FOR ROLLING STOCK

DiAndrea Giuricin

TRA Consulting meets the CEO of SRT

Last week, the CEO of TRA consulting, Prof. Dr. Andrea Giuricin met the CEO of SRT, Mr. Lee Seungho in Seoul, South Korea.

SRT is the first HSR railway undertaking in competition and in 2018 it will transport around 20 millions of passengers.

TRA consulting has a long experience with the new entrants in the rail market and it helps to establish a MOU within NTV and SRT in 2015.

Prof. Dr. Andrea Giuricin has the possibility to visit all the operation of the company, from the OCC to the cabin drive of the train at 300 km/h and the new stilish railway station in Suseo (Gangnam area).

It was an honour to have a very deep inside view of SRT.