KTZ - 2023: record volumes, infrastructure modernization, strategic objectives

28-03-2024

Production figures
     Transportation is showing high growth and has reached a historical maximum within three years.
     - operational cargo turnover: 270 billion ton-km, which is 7.5% more than 2022.
     - transit: 27.4 million tons, which is 18.4% higher than in 2022.
- exports: 85.8 million tons, which is 9% higher than in 2022.
     - volume of transportation from China: 28 million tons, which is 22% more than 2022.
 

     Economic indicators (according to operational data)
     The Company’s revenue has shown steady growth over three years, rising from 1.3 trillion in 2021 to almost 2 trillion in 2023.
     - revenue: 1.9 trillion tenge, which is 29.3% more than 2022.
     - profit: 140 billion tenge, which is 4 times more than in 2022. This is the Company's best performance over the past 10 years.
     - the wage fund amounted to 574 billion tenge, which is 2 times more than the 2020 level.

  
  Asset Update
Within three years, the issues of the locomotive fleet shortage were resolved (254 units were purchased). Systematic renewal of the fleet of passenger cars is expected in the period from 2025 to 2030 (production of 537 cars by the Stadler plant).
In 2023:
- 112 locomotives were purchased. The average wear and tear of locomotives has been reduced from 68% in 2020 to 52% in 2023.
- 1,369 km of railway track were repaired, which is 2 times higher than last year.

 

Significant events

The company is in an active phase of large-scale development of railway infrastructure. In the next three years, 1,300 km of new tracks will be built and another 2,000 km are in preparation.
- The implementation of large infrastructure projects has begun: the construction of the Dostyk-Moyynty, Darbaza-Maktaaral, Bakhty-Ayagoz, Obvodnaya line bypassing Almaty.
To date, 5,700 thousand m3 of soil have already been filled, more than 300 km of tracks have been laid.
- A cargo terminal of Kazakhstan was built in the Chinese dry port of Xi’an, the start of construction of which was given by the Head of State in May 2023.
- The first stage of the Smart Railway project has been completed. A joint digital hub has been opened with Huawei. Pilot projects with Wabtec have been completed (Kinetix, PTC 2.0, Trip Optimizer). The DTC Digital Corridor program has started working with PSA.

Development of transport and logistics potential:

Active work is underway to fulfill the instructions of the Head of State to develop transit potential. The Company plans to double the volume of transit cargo within three years. For this purpose, the following operators have been identified along the main transit routes:

- on TMTM - the company “Middle Corridor Multimodal Ltd”, a joint venture with Azerbaijan and Georgia;
- on the North-South ITC: through the Port of Kuryk - a joint venture with AD Ports Group; a joint venture with Russia and Turkmenistan is being formed through the Bolashak crossing;
- JSC United Transport and Logistics Company - Eurasian Railway Alliance, a joint venture with Russia and Belarus, continues to operate on the China-Russia-Europe transit route.

The world's largest companies have been involved in joint work: COSCO (Dry Port), Lianyungang Port Group LLC (Dry Port, Aktau port), PSA International (digital corridor), Shandong Port Group (trade hubs), Rhenus Logistics (terminals), AD Ports Group (trading), Huawei Technologies Co. Ltd. (digitalization), Wabtec corporation (digitalization and interval movement), Alstom (blocking systems, turnouts), Stadler Bussnang AG (passenger cars), Deutsche Bahn (passenger transportation management), CRRC corporation Ltd. (locomotives).

 

 

     

Ratings

     The positive dynamics of the Company’s work is confirmed by the assessment of independent international rating agencies:
  - Moody’s Investors Service – credit rating “Baa3”, outlook “Stable”.
  - FitchRatings – credit rating “BBB-”, outlook “Stable”.
  - S&P – credit rating “BB”, outlook “Stable”.
  - Moody’s ESG Solutions - ESG rating - A2, 57 points (the best among global transport companies).

Press service of JSC «NC«Kazakhstan Temir Zholy»