Tallink Grupp Affirms Focus on Profitability and Core Business Amid Economic Turmoil

The company stated that the decision to restore ferry traffic from Riga has not changed, as “Tallink” will still focus more on maintaining and increasing the profitability of the existing route between Estonia, Finland and Sweden.

Tallink representatives also explained that the company still does not see the demand for ferry traffic as it was before the Covid-19 pandemic, adding that the economic and financial situation is mainly affected by the consequences of the pandemic and the war in Ukraine.

Thus, as long as the economic and geopolitical situation is in turmoil, the company will focus on the profitability of the core business and alternative sources of income, such as “Tallink” ship leasing, the company said.

At the same time, the company noted that “Tallink Silja Line” continues to offer services also in the Latvian market, for example, the hotel “Tallink Hotel Riga” resumed operations last April.

On the other hand, representatives of the Ministry of Transport (MoT) previously told LETA agency that ferry traffic in Latvia is currently sufficiently intensive, that is, currently the ferry from Ventspils to Nīnashamn in Sweden runs eight times a week, while the ferry from Liepāja to Travemindi in Germany runs six times a week.

It has already been reported that “Tallink” regular ferry traffic between Riga and Stockholm was stopped at the beginning of 2020.

On the other hand, the hotel “Tallink Hotel Riga”, which was closed due to the pandemic, was opened last year on April 14. The hotel ceased operations on March 18, 2020, but resumed work on June 1. On the other hand, on October 18, 2020, the hotel stopped operating again, taking into account the significant decrease in the number of guests and reservations, as well as travel restrictions due to the impact of the Covid-19 pandemic.

“Tallink Grupp” carries out transportation by ferries in the Baltic Sea using the brands “Tallink” and “Silja Line”. The company is also the operator of three hotels in Tallinn and one in Riga. The company’s shares are listed on the official list of the Tallinn Stock Exchange. The largest shareholder is the Estonian investment company “Infortar”, which owns 40% of the shares of “Tallink Grupp”.

2024-01-28 06:22:33
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