Market Overview
In 2023 the volume of population income increased by 10.7% year‑on‑year to RUB 88,334.1 billion. The average monthly accrued salary in November 2023 was RUB 73,383, an increase of 15.2% compared to the same period of the previous year.
The real population income in 2023 grew by 4.6% year‑on‑year and in Q4 2023 – by 6.8% compared to a year earlier.
Long‑distance passenger service market
Russian transport market
Air carriers, bus carriers and personal vehicles are main competitors of JSC FPC. The market has become much more competitive in recent years. The reasons were the development of aviation, the growth of the personal car fleet, car sharing services, state support for regional aviation, the construction and renovation of new motorways and airports. Therefore, rail transport no longer dominates the long‑distance passenger transport market.
Because to the state of the passenger transportation business, particularly the shutdown of several airports in southern Russia, there was a higher share of rail service in passenger‑km travelled in 2023.
In 2024, FPC’s budget envisages a 1.1% increase in passenger‑km travelled against the 2023 level, and a 1.0% increase in the number of passengers carried. It is anticipated that air travel According to
The average distance travelled by FPC trains in domestic service in the 12 months of 2023 remained flat with 2022 and amounted to 846 km.
Today, JSC FPC is the leader in the long‑distance passenger rail service market. However, as can be seen in the table, competition with other carriers has increased recently. JSC FPC’s share in the long‑distance domestic service among Russian railway carriers in 2023 was 86.6%, which just marginally (by 0.5 p.p.) lower than in 2022. The expansion of the route network to the areas outside FPC train service and the speed advantages of rivals’ rolling stock are the main reasons behind this situation.
DB Fernverkehr (Germany)
DB Fernverkehr is a Deutsche Bahn Group business unit providing national high‑speed and cross‑border long‑distance rail passenger services.
Rolling stock repair, maintenance, and management, as well as communications and IT services are provided by specialist companies within Deutsche Bahn Group.
SNCF Voyageurs, Business Unit — TGV‑INTERCITÉS (France)
TGV‑INTERCITÉS is the business unit of SNCF Voyageurs — the passenger carriage division of SNCF Holding. It specialises in long‑distance passenger servicing in France and other European countries.
Rolling stock repair, maintenance, and management, as well as communications and IT services are provided by specialist companies within SNCF Voyageurs Group.
FEDERAL PASSENGER COMPANY
JSC FPC (Russia)
Unlike the above companies, FPC’s activities cover the majority of important business processes: acquisition, maintenance and repair of rolling stock, sales organisation, revenue collection, as well as management and administration, IT and communications.