AusRAIL

Tranz Rail predicts NZ$55.8m profit

<p>Tranz Rail expects to achieve an operating profit of NZ$55.8m this financial year, the company said last week.</p> <p>The rail operator said it believes the work carried out over the past 12 to 18 months will now begin to show results.</p> <p>Tranz Rail has restructured its business to concentrate on running freight. It has divested non-core businesses and outsourced engineering functions.</p> <p>Managing director Michael Beard said revenue for intermodal and bulk freight is expected to increase significantly as Tranz Rail wins work from road.</p> <p>The intermodal system will be targeted for aggressive growth, particularly in picking up business with shipping lines, domestic forwarders, domestic LCL&#47FCL and finished milk products.</p> <p>Mr Beard said this system is a viable option for shipping companies who are dropping port calls because it can be relied on to ensure export containers meet ship departures.</p> <br />