Annual Report 2014
Another passenger record - 40% renewable based energy
DB publishes its first integrated report • Nearly EUR 40 billion in revenues in 2014 • Strikes and storms put pressure on profits • Over 12,000 new employees hired in Germany • DB drives digitalization
Deutsche Bahn once again saw its train passenger numbers grow in 2014. Over the course of the year, DB transported 2.03 billion passengers on its trains in Germany, 14 million more than during the year prior. DB took a major step toward meeting its ambitious environmental targets: As of the end of 2014, renewable energy sources made up nearly 40% of the traction current mix. In 2014, it reduced its specific CO2 emissions by 22.7% compared to 2006, reaching its original goal of 20% by 2020 ahead of schedule. "These are important successes, given our aim of becoming an eco-pioneer. However, we are unhappy with our economic growth, which was hampered by strikes and storms," explained DB CEO and Chairman of the Management Board Dr. Rüdiger Grube when presenting the 2014 balance sheet figures in Berlin. "Digitalization is the biggest challenge in DB's history. We want to be – and will be – a leader of this development, not a follower," he continued.
2014 marks the first year that results have been published in an integrated report. "The integrated report combines our annual report and sustainability report in a single publication and is a symbol of complete transparency," Grube said. "It contains all of the information and facts about our three economic, social and environmental dimensions. The report presents business figures in their specific context, links information together and identifies correlations within the company. By adopting integrated reporting, we are taking stock of our company in a way that looks toward the future," Grube added.
Revenues in financial year 2014, at EUR 39.7 billion, were up EUR 601 million, or 1.5%, from the year prior. At EUR 2.1 billion, adjusted EBIT fell 5.7% short of the previous year's figure (EUR 2.2 billion) as a result of strikes and storms. Net capital expenditures made heavy gains of 30.2% year on year, rising by over 1 million to EUR 4.4 billion – the highest ever in a single year for DB. We reduced our financial debt by EUR 150 million, finishing the year at EUR 16.2 billion. "DB continues to enjoy a very good reputation on the capital markets," said CFO Dr. Richard Lutz. "We need to do all we can in the coming years to improve our earnings because this reputation is worth defending."
Along with becoming a profitable market leader and a pioneer in environmental protection, Deutsche Bahn set out in its DB2020 strategy to develop into a top employer. DB was able to improve its employer ranking by nine spots, coming in at 13th. In its global survey of satisfaction among its employees, DB earned a mark of 3.7 out of 5, 0.1 percentage points higher than on its last survey two years ago. The number of new employees hired at DB in Germany increased by 8.3% in 2014 to over 12,000, plus 3,700 new vocational trainees and cooperative education students. With nearly 12,000 vocational trainees, cooperative education students and participants in the "Chance plus" program, DB is one of the largest providers of training in Germany.
More passengers in regional transport – higher punctuality rates
Punctuality in rail passenger transport in Germany was up slightly, by 0.4 percentage points year on year, to 94.5%. The increase of 14 million passengers on DB's trains in Germany was based on hefty gains in regional and local transport, which was up 16 million. The number of long-distance passengers fell slightly, by 1.5%, to 129 million. Volume sold was down slightly for the year, largely as a consequence of storm Ela and strikes.
Transportation and Logistics
Volume sold in rail freight transport was down 1.3% to 102.9 billion metric ton kilometers, not least because the market situation in Europe remained tense. Business was better for DB Schenker Logistics, with the number of consignments in European land transport up 3.5% and air freight volume up 1.8%. Ocean freight volume rose an impressive 4.9%. Contract logistics again saw a strong increase in revenues of 10.3%.
Volume produced in the rail network was up nearly 1% for the year. Non-Group railways were able to further increase their share by an additional one percentage point to 25%. The number of station stops rose 1.5% to 148.4 million.
Last modified: 26.03.2015