GMXT railroad's revenue from steel transportation falls 13.6 percent in Q4

Friday, 02 February 2024 23:02:55 (GMT+3)   |   San Diego
       

Mexican railway company Grupo México Transportes (GMXT) reported that its steel transportation sales totaled MXN 791 million ($45.0 million) in the fourth quarter of 2023, 13.6 percent less compared to the same period in 2022, the company reported to the stock market.

GMXT, made up of the Ferromex, Ferrosur and TexasPacific railways, reported that it mobilized 22,120 full railway cars to transport steel, 10.6 percent less than those used from October to December 2022. This meant that it used a daily average of 240 boxcars, 29 fewer units compared to the 269 railway cars used in the fourth quarter of 2022.

Revenue per rail car decreased 3.4 percent, going from $402 to $389. Of the nine commercial segments that GMXT divides its income, six divisions recorded increases in the average income per rail car, the three most dynamic were automotive with 26.5 percent, energy with 14.6 percent and agricultural with 7.6 percent.

In contrast, the only three decreases were in cement with 6.7 percent, minerals with 5.6 percent and the reduction in the steel segment.

According to data from the government's Railway Transport Regulatory Agency, a loaded railway car transports 64.3 metric tons (mt). Thus, in the fourth quarter GMXT moved an average of 15,630 mt per day in national or international trade cargo.

In the quarter, GMXT moved more than 1.42 million mt of steel and in all of 2023 just over 6.0 million mt. Steel sales represented 5.7 percent of the total and in the full year 6.2 percent.

According to the company, among its main clients in the steel sector are Ternium, DeAcero, Talleres y Aceros (Tyasa) and Simec, among other companies.


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