Muhammad Faisal Kaleem

The Pakistan Railways (PR) has transitioned from a loss-making to a profit-earning entity in just three years after facing multi-billion-rupee losses.

According to documents exclusively available with WealthPK, the department’s income reached Rs93 billion in the year 2024-25 from Rs63.7 billion in 2022-23. Previously facing an annual loss of around Rs8 billion, the department is now posting a surplus of Rs2.26 billion. The operating expenses remained Rs72.178 billion, Rs88.380 billion, and Rs91.120 billion in the years 2022-23, 2023-24, and 2024-25, respectively.

“The Pakistan Railways is heading in the right direction, becoming a profit-making entity after facing losses of billions of rupees. The department is now picking up and will become the country’s best transportation service in the coming years,” a senior official at the Ministry of Railways told WealthPK. According to documents, the Railway Construction Pakistan Limited (RAILCOP) had Rs4.5 billion worth of assets, with Rs1.3 billion in liabilities, Rs2.6 billion in revenue, and Rs83.3 million profit-after-tax.

Similarly, the Pakistan Railways Freight Transportation Company (PRFTC) had assets of Rs1.17 billion, with Rs224 million liabilities, Rs178 million revenue, and Rs34 million profit-after-tax. The Pakistan Railways Advisory and Consultancy Services (PRACS) had assets of Rs449 million, with Rs274 million liabilities, Rs428 million revenue, and Rs60 million profit-after-tax.

Despite challenging financial circumstances, the department managed to give concessional tickets to the specific categories of individuals. Some of them even availed themselves of free tickets. As per documents, the Pakistan Railways gives a 50 percent discount on tickets to student travelers, attendant guides, and persons with disabilities.

Overseas tourists benefited from a 25 percent concession, and athletes 40 percent. The department also gives an 80 percent discount to journalists and 50 percent to their families. Senior citizens aged 65 to 75 are given a 50 percent discount, while those over 75 travel free.

The PR employees are also entitled to 100 percent free travel countrywide. The members of the Chartered Institute of Transport Pakistan (CIT–Pakistan) and children receive a 50 percent travel discount. The total impact of concessions given in the year 2024-25 is Rs1,157 million, making just 1.2 percent of the department’s total income of Rs93 billion during the year.

Credit: INP-WealthPk