Hanoi Metro, the operator of the Cat Linh-Ha Dong metro line, the first of its kind in Hanoi, posted a pre-tax profit of VND96.8 billion (US$4.1 million) in 2022, marking its first year of profitability.

The profit was thanks to improved ticket sales and a subsidy of VND417 billion ($17.8 million) from Hanoi authorities, a representative of Hanoi Metro told Tuoi Tre (Youth) newspaper on Thursday.

Specifically, the company generated total revenue of VND483 billion ($20.6 million) last year, according to its 2022 audited financial report.

Of the total, Cat Linh-Ha Dong metro tickets contributed over VND65.8 billion ($2.8 million).

The metro line was first put into operation on November 6, 2021.

Ticket sales in the last two months of 2021 were a modest VND5.3 billion ($226,000), while operation costs amounted to over VND58.94 billion ($2.5 million), resulting in losses of VND53.6 billion ($2.3 million) in 2021. 

Hanoi Metro’s losses amounted to VND160 billion ($6.8 million) between June 11, 2015, when the company began its operation, and the end of 2021.

In addition, Hanoi Metro did not receive any subsidy from the municipal administration in 2021.

The Cat Linh-Ha Dong metro line transported over nine million passengers between November 6, 2021 and the end of 2022.

In the first quarter of this year, the line transported 2.65 million passengers, a year-on-year surge of 262 percent.

The metro line is expected to post revenues of VND519 billion ($22.1 million) and serve nearly 11 million passengers this year, according to news site VnEconomy.

The 13-kilometer Cat Linh-Ha Dong metro line has 12 elevated stations and 13 trains which run from Cat Linh Station in Ba Dinh District to Yen Nghia Station in Ha Dong District

Construction of the line cost VND18 trillion ($767.4 million).

Hanoi Metro was established by the Hanoi People’s Committee in June 2015 to manage and operate the city’s urban railways.

Like us on Facebook or  follow us on Twitter to get the latest news about Vietnam!