ZUE is looking for diversification due to the stagnation on the domestic railway market

There is a certain stagnation in the signing of contracts on the domestic railway market, which is why the ZUE Group is looking for diversification by increasing its activity on the Romanian and Latvian markets, informed President Wiesław Nowak.

“We have a kind of stagnation in signing contracts on the railway market, which is felt by manufacturers and contractors. That is why we are looking for diversification, hence our entry into Romania. We consider this market as prospective, we do not treat the contract implemented there individually, but rather as an attempt to establish ourselves on this market. Similarly, we treat our signal entry into the Latvian market as market research,” Nowak said during a teleconference.

He emphasized that the company is looking for further tenders in Romania, so that after the implementation of the current two-year contract, it can immediately start further works. He did not rule out that ZUE would take part in further tenders on this market in 2023.

Company representatives noted that ZUE is still waiting to sign a contract worth nearly PLN 800 million net for works on the railway line between Będzin and Katowice, but it is optimistic that it will happen soon.

“In general, we see the future of the railway market well, sooner or later financing must be found. The European market is also rich in orders, the German market is opening, where there are problems with the lack of employees, which is a good signal for a company such as ZUE,” summed up the president.

The main activity of the ZUE capital group is the design and implementation, in the general contracting formula, of comprehensive services for the construction and modernization of tram and railway lines, together with the accompanying infrastructure. The company has been listed on the Warsaw Stock Exchange since 2010. Consolidated revenues of ZUE amounted to PLN 921.42 million in 2022.

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