VR Business Review 1 July to 30 September 2025: Profitability remained strong
VR-Group Plc, interim report, 29 October 2025 at 1:00 pm EEST
In the third quarter, VR maintained strong profitability, at the previous year's level. The operating environment remained relatively stable, but customer demand in logistics was weak. Profit improvement measures aligned with the strategy progressed as planned and supported financial development. VR continues to focus on its core business while preparing for intensifying competition.
July-September (Q3) 2025:
- Net sales decreased by -6.8% to EUR 308.5 (331.0) million. Net sales excluding the completed acquisition and divestment decreased by -1.8% to EUR 297.8 million.
- Comparable operating result (EBIT) was EUR 42.3 (41.0) million or 13.7% (12.4%) of net sales.
- Operating result (EBIT) was EUR 40.0 (43.8) million, or 13.0% (13.2%) of net sales.
- Cash flow from operating activities was EUR 35.4 (51.3) million.
- The number of long-distance journeys in Finland increased by 4.2% in July-September, to 4.0 (3.9) million journeys.
- The railway freight volumes of VR Logistics decreased by -14.3% to 5.5 (6.4) million tonnes.
January-September 2025:
- Net sales decreased by -4.1% to EUR 920.0 (959.1) million. Net sales excluding the completed acquisition and divestment decreased by -0.2% to EUR 889.4 million.
- Comparable operating result (EBIT) was EUR 100.8 (58.5) million or 11.0 % (6.1%) of net sales.
- Operating result (EBIT) was EUR 115.6 (54.5) million or 12.6 % (5.7 %) of net sales.
- Cash flow from operating activities was EUR 193.3 (153.7) million.
- The number of long-distance journeys in Finland increased by 4.5% to 11.8 (11.3) million journeys.
- The railway freight volumes of VR Logistics increased by 10.9% to 18.9 (17.1) million tonnes.
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Key figures |
7-9/2025 |
7-9/2024 |
1-9/2025 |
1-9/2024 |
1-12/2024 |
|
Net sales, M€ |
308.5 |
331.0 |
920.0 |
959.1 |
1,294.7 |
|
Comparable EBITDA, MEUR* |
86.1 |
87.5 |
229.8 |
198.9 |
271.6 |
|
% of net sales |
27.9 |
26.4 |
25.0 |
20.7 |
21.0 |
|
Operating result (EBIT), MEUR |
40.0 |
43.8 |
115.6 |
54.5 |
76.1 |
|
% of net sales |
13.0 |
13.2 |
12.6 |
5.7 |
5.9 |
|
Comparable operating result (EBIT), MEUR* |
42.3 |
41.0 |
100.8 |
58.5 |
84.6 |
|
% of net sales |
13.7 |
12.4 |
11.0 |
6.1 |
6.5 |
|
Net profit/loss for the period, MEUR |
26.8 |
28.9 |
79.4 |
34.9 |
48.6 |
|
Cash flow from operating activities, MEUR |
35.4 |
51.3 |
193.3 |
153.7 |
226.9 |
|
Investments, MEUR |
51.4 |
54.2 |
144.3 |
174.3 |
234.1 |
|
Capital invested at the end of the period, MEUR |
1,819.1 |
1,795.6 |
1,819.1 |
1,795.6 |
1,817.9 |
|
Comparable return on capital employed (ROCE), %* |
9.6 |
9.5 |
7.9 |
4.8 |
5.2 |
|
Comparable return on equity (ROE), % |
9.2 |
8.4 |
6.8 |
4.2 |
4.7 |
|
Net interest-bearing debt at the end of the period, MEUR |
397.1 |
447.7 |
397.1 |
447.7 |
443.4 |
|
Gearing, % |
30.3 |
36.1 |
30.3 |
36.1 |
35.1 |
|
Employees on average, FTE |
7,801 |
7,741 |
7,551 |
8,046 |
7,919 |
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* VR presents comparable EBITDA and operating result (EBIT) as an alternative performance indicators. The aim of comparable performance indicator is to improve comparability between reporting periods. |
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Comparable key figures are excluding items affecting comparability. These items are linked to unpredictable events of a significant nature that do not form part of normal day-to-day business, such as disposal gains and losses, impairments or impairment reversals, down-sizing of major units, change in non-recurring provisions or other major non-recurring costs or income. |
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This report is unaudited. |
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The comparative figures in brackets refer to the corresponding time period in the previous year, unless otherwise stated. |
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CEO Elisa Markula:
“In the third quarter, our profitability remained at a strong level compared to the previous year, supported by growth in the number of journeys and a relatively stable operational environment. Comparable net sales declined by two percent due to the expiry of a few tendered traffic agreements and lower freight volumes. Logistics customer demand declined significantly compared to the previous year. Our determined efforts to improve profitability continued, and our profit improvement measures progressed as planned.
The profitability of VR Long-distance Traffic improved in the third quarter compared to the previous year. In Finland, the number of journeys, increased by four percent despite extensive track works and disruptions in the electrified rail network. Customer satisfaction remained excellent, with an NPS of 51 (48). In Sweden, significant track works led to a decline in the number of journeys and a decrease in customer satisfaction to an NPS of 50 (58).
VR City Traffic net sales declined due to the expiry of a few tendered traffic agreements, and profitability continued to be impacted by certain long-term contracts with low profitability. VR actively participates in regional tenders and is expanding its operations in Sweden. The start of Norrtåg and Öresundståg traffic at the end of 2025 will make VR the second-largest rail operator in the country. These new agreements support our strategic goal to grow profitably in Sweden’s competitive market and strengthen our readiness for intensifying competition in Finland.
Weak market demand reduced VR Logistics’ freight volumes by 14 percent in the third quarter, resulting in a decline in net sales. However, thanks to our profit improvement measures, we succeeded in maintaining profitability at the previous year’s level. We continued to develop our services by improving delivery reliability, deepening customer collaboration, and investing in low-emission solutions.
Our strategic profit improvement programme is progressing as planned and on schedule. This is essential for financing nearly one billion euros in rolling stock investments and for strengthening our long-term competitiveness. We continue to focus on our core business as a provider of passenger transport and rail logistics services. As part of this strategic direction, we continued the sale of station properties and have also sold used rolling stock to other operators in the industry.
VR is committed to promoting competition and the growth of the rail market in Finland. In line with the Government Programme, VR established Suomen Ostoliikennekalusto Oy, which enables equal market access for new operators in publicly funded passenger rail traffic. By decision of VR’s General Meeting, the rolling stock company will be transferred entirely to state ownership on 1 November 2025 and will continue to operate as an independent company under the ownership steering of the Prime Minister’s Office. In the next phase, rolling stock owned by VR and used in publicly funded passenger services is planned to be transferred to the rolling stock company through a business transaction. Rolling stock used in market-based passenger and freight services will not be transferred to the company.
A future-proof VR is built together. The commitment and expertise of our personnel are key success factors. I would like to thank all our employees for their valuable work and our customers for their trust. Together, we are on a shared journey towards a sustainable and competitive transport system that serves the whole society.”
Outlook for the full-year 2025
VR estimates that the Group's net sales in 2025 will decrease slightly compared to the previous year due to the sale of the road logistics business and the expired tendered traffic contracts in Sweden. The new tendered traffic contracts won in Sweden will not start until the end of 2025.
The Group's comparable operating result is estimated to improve compared to 2024. The outlook is subject to uncertainties in the business environment due to the general economic development.
This stock exchange release is a summary of VR’s business review 1 July to 30 September 2025. The complete report is attached to this release.
VR-Group Plc
Contacts
- VR Mediadesk, +358 29 434 7123,
About VR-Yhtymä Oyj
At VR, we promote the responsible transport of the future. We are a passenger, logistics and maintenance service company owned by the Finnish state, and we increase the popularity of low-emission rail and city traffic. We ensure smooth daily travel in Finland and Sweden and act as a pillar of support for industry in Finland’s logistics. In 2024, our customers made a total of 15.3 million journeys on long-distance trains with us in Finland, and we transported 23.2 million tonnes of goods by rail. Our net sales amounted to EUR 1,294.7 million and we employed approximately 8,400 top professionals. Further information: