Business news from Ukraine

Business news from Ukraine

UZ increased passenger traffic by 21%

In May 2024, Ukrzaliznytsia (UZ) increased passenger traffic by 21% compared to the same period in 2023, to 2.4 million passengers, the UZ press service reported on Telegram on Tuesday.

According to the report, domestic traffic increased by 22% last month to 2.2 million passengers, and international traffic by 21% to 200 thousand passengers.

The leader of growth in domestic traffic in May was the Kyiv – Chop route, which grew by 221%. This was the result of the development of Chop station as a transfer hub between domestic and international trains, in particular the opening of an alternative travel option to Budapest and Vienna after the launch of trains 367/745 Lutsk/Kyiv-Chop and 143/146 Chop-Vienna in December 2023, UZ said.

In addition, the Mykolaiv-Kyiv and Kyiv-Mykolaiv routes showed an increase of 52% and 66%, respectively. High demand was also observed on the routes Kyiv-Khmelnytsky-Kyiv, Kyiv-Helm-Kyiv, Kyiv-Vinnytsia-Kyiv.

Earlier it was reported that from the beginning of the year to mid-May, UZ increased international passenger traffic by 27.7% to almost 800 thousand passengers and expects further growth in the summer months.

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“Ukrzaliznytsia” plans to increase passenger traffic by 10%

Ukrzaliznytsia JSC (UZ) plans to increase passenger traffic by 10% to 27.5 million passengers in 2024, according to a presentation made by the company’s CEO Yevhen Lyaschenko during a chat with journalists on Thursday.

At the same time, revenue from passenger transportation is expected to grow to UAH 10.6 billion in 2024, up from UAH 9.3 billion last year and UAH 5.3 billion a year earlier.

The growth in passenger traffic is driven by the launch of trains on international routes, according to a presentation by Ukrzaliznytsia. In particular, revenues from international passenger transportation amounted to UAH 2.6 billion in 2023, compared to UAH 1 billion in 2022. In fact, 2.1 million passengers were transported, compared to 1.1 million in 2022 and 0.04 million in 2021. In 2024, UZ expects to carry 2.3 million passengers, generating UAH 3.5 billion in revenue.

“International transportation, unlike domestic transportation, is profitable. We break even only on the Lviv-Rava-Ruska-Warsaw route (operated by the Polish company SKPL, which receives payment from UZ for services – IF-U),” Lyashchenko said.

In 2024, UZ also expects to increase domestic transportation to 25.2 million passengers, up from 22.8 million last year. Revenue from their transportation is expected to increase from UAH 6.7 billion in 2023 to UAH 7.2 billion.

The company reminded that in 2023, 15 new passenger trains were appointed, increasing the number of domestic routes to 66. In addition, three new international routes were launched: Vienna-Budapest-Chop, Lviv-Rava-Ruska-Warsaw, and Chop-Prague (operated by the Czech railway operator RegioJet – IF-U). The number of international routes in 2023 reached 25.

UZ plans to overhaul 63 passenger cars in 2024, which will increase the capacity of the passenger service. Also, the overhaul of the laundry in Kyiv, which will improve the quality of washing and the volume of laundry processing.

The seat availability monitoring feature, which is currently being tested in the UZ app, will be launched in full. The company also plans to integrate online scoreboards with a GPS system, refine loyalty programs, and update the classification of cars depending on their brand, which will make it easier for passengers to find the right category for them depending on the range of services.

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On eve of Catholic Easter, Ukrainian border guards recommend to monitor queues in front of crossings

Passenger traffic on the border with Poland in both directions has increased by 8 thousand people in recent days due to the approaching Easter holidays, in this regard, the State Border Guard Service of Ukraine reports about queues at checkpoints “Krakivets” and “Shegini” and recommends to use other border crossings.

“For crossing the border by cars and buses travelers most often choose checkpoints “Krakovets” and “Shegini”. Therefore, in front of these checkpoints there is an accumulation of traffic. At the same time, border guards periodically record queues also at the entrance to Ukraine,” – reported in the telegram channel of the State Border Service on Tuesday.

According to the border department, the least dynamics of traffic is observed at the checkpoints “Smolnitsa”, “Grushev”, “Rava-Ruska” and “Ugrini”. “In order to reduce the waiting time in queues we recommend citizens to choose these checkpoints to cross the border,” – stated in the message. This year’s Catholic Easter will be on March 31.

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SkyUp has increased passenger traffic by 24%

In 2023, Ukrainian airline SkyUp Airlines increased the number of passengers carried by 24% compared to 2022, to 1.546 million.

According to the official website of SkyUp Airlines, the airline also operated 10,528 flights to 53 countries on 664 routes, which is 36% more than in 2022.

The largest number of flights were operated by SkyUp Airlines to/from Chisinau Airport – 2 thousand flights, Egypt – 1.685 thousand, Turkey – 1.219 thousand, Tunisia – 675 flights, Romania – 556 flights, the report says.

It is noted that in 2023, the airline cooperated under ACMI contracts with Tunisair, FlyOne, HiSky SRL, HiSky Europe SRL, Wizz Air Malta, Wizz Air Abu Dhabi, Corendon Dutch, Tailwind Airlines, and FlyEgypt.

“After a turbulent 2022, 2023 was a year of stabilization for the airline. We significantly increased the volume of ACMI contracts and became one of the 20 most popular airlines in Europe. These results allowed us to retain a team of professionals, which is now actually the key to the future recovery of Ukrainian civil aviation,” SkyUp CEO Dmytro Seroukhov said in a statement.

He assured that in 2024, the airline will continue to strengthen its position in the ACMI and charter markets, and expressed hope for Ukraine’s soonest victory and the resumption of flights in Ukrainian airspace.

SkyUp reported that in 2023 it retained a team of 1,139 professionals and paid almost UAH 200 million in taxes to the state.

In November and December 2023, SkyUp Airlines took part in a highly complex operation to rescue Ukrainian citizens from the Gaza Strip. We managed to evacuate about 200 Ukrainians. President Volodymyr Zelenskyy thanked SkyUp Airlines for its assistance in the evacuation of Ukrainians from the Gaza Strip, the statement said.

It is also said that SkyUp is working to improve processes and introduce modern technologies: in 2023, the company signed an agreement with IBS Software to implement solutions that will modernize distribution, increase revenues, and improve service systems.

In addition, the airline is implementing an aviation security risk management system from Osprey Flight Solutions. The airline has trained staff and launched the software, the statement said. It is noted that thanks to adapted data collection, forecasting capabilities, automatic alerts and prioritization, the Osprey system continuously monitors changes, instantly adjusts risk assessments and sends appropriate notifications for further decision-making on possible changes to routes and flight schedules.

In 2023, SkyUP entered the European market by founding SkyUp MT, which received an Air Operator Certificate (AOC), a Continuing Airworthiness Management Organization (CAMO) certificate, and an Air Operator License (AOL). The airline’s office is located in Malta, and its fleet currently includes two Boeing 737-800 aircraft.

In 2023, the airline received permission to operate in the United States of America – a foreign air carrier certificate FAR129. In addition, SkyUp can operate in Canada. The FAOC certificate allows the Ukrainian airline to provide ACMI services and operate charter flights from other countries to Canada.

SkyUp has been operating commercial flights under ACMI contracts since mid-April 2022. As of June 2023, according to the ACMI Contract Monitor report by ch-aviation, the carrier was ranked among the top 15 ACMI service providers and among the airlines with the largest ACMI contracts.

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SkyUp Airlines reduced passenger traffic by 2.3 times

SkyUp Airlines (Kiev) carried 2.3 times fewer passengers in 2022 than in 2021 – 1.08 million, due to the full-scale aggression of Russia and against Ukraine and the closure of the Ukrainian sky since February 24 last year, according to a message on the official website SkyUp.
According to it, after the start of the war, the company worked on a “wet lease” with 10 airlines, including Wizz Air, SmartWings, Freebird Airlines, Tailwind Airlines, Corendon Airlines, and in just one year it performed 7,713 flights to 204 airports worldwide on 627 routes.
It is specified that SkyUp aircrafts also performed charter flights for tour operators from Moldova and Baltic countries, in particular for affiliated tour operator Join UP!, as well as special flights for Hasidic pilgrims from Tel Aviv to Chisinau.
“Despite the temporary lack of ability to operate flights from/to Ukraine, significant changes in competitive conditions and operating conditions in new markets, we continue our operations and have not stopped since the beginning of the full-scale invasion,” the statement said.
SkyUp underlined that it managed to keep the fleet, as due to the tight flight schedule on February 24, 10 of 11 aircraft were abroad at the time of closure of the Ukrainian sky, and on August 16 the company added a new mid-range Boeing 737-800 with 189 passenger seats to the fleet, manufactured in 2011.
According to the release, SkyUp did not lay off any employees last year, and fewer than 10 percent of employees decided to leave the company for their own reasons, with another 53 employees serving in the Navy. 80% of the 1,200 employees remaining on SkyUp’s payroll were engaged at varying levels of workload, with “the majority of the team remaining in Ukraine,” the release said.
SkyUp also pointed out that it opened a line maintenance station for its own fleet in Antalya, Turkey, in the middle of last year. Similar line station operates in Tallinn. The company notes that it planned to develop the direction of maintenance of its own fleet and in Ukraine, registering in March 2021 organization Sky-Stream: at the time of the Russian invasion was equipped and prepared maintenance station at Boryspil airport. “However, the full-scale war forced to look for opportunities to work abroad,” SkyUp stated.
The company said that it has received certificates of compliance with TCO safety standards of Great Britain and Switzerland, which gives the right to operate flights to these countries and also ensure compliance with national regulations of the UAE CAA necessary to perform occasional passenger flights to these countries.
The company plans for 2023 is to strengthen its position in new markets and the development of wet leasing, as well as the implementation of charter flights for Ukrainian and foreign tour operators, the release said.
Skyap Airlines LLC was registered in Kiev in June 2016, and carried out its first flight in 2018. The founder is ACS-Ukraine LLC of Tatiana and Yuri Alba, who also own the tour operator JoinUp!
As reported, SkyUp airline in 2020 carried 1.25 million passengers (while performing 8.7 thousand flights), and in 2021 increased this figure to 2.5 million.

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Passenger traffic through western border of Ukraine from 17 to 23 December increased by more than quarter

Passenger traffic across the western border from 17 to 23 December increased by more than a quarter: on departure from Ukraine – from 243 thousand to 301 thousand people, while on entry – from 231 thousand to 302 thousand, the State Border Service reported on Facebook.

Thus, according to the department, this week the outflow of people from the country, which has lasted five weeks in a row, gave way to a small influx of one thousand people.

Polish Border Guard Service also recorded a net inflow to Ukraine for the last seven days – 15 thousand people, whereas during the previous five weeks of outflow it amounted to 36 thousand people in total.

According to the Polish Ministry, the weekly flow from Ukraine to Poland increased from 153 thousand people to 184 thousand, while the return flow from Poland to Ukraine – from 149 thousand to 199 thousand people.

As a whole from the beginning of the war 8,638 million people arrived in Poland from the Ukraine, whereas in the opposite direction there were 6,814 million people.

According to the State Border Service of Ukraine, the number of cars crossed the western border of Ukraine increased from 127 thousand to 139 thousand, whereas the number of vehicles with humanitarian cargoes reduced from 643 to 593.

The agency warned that queues had increased in recent days, especially at the Polish border, due to the growth of passenger traffic and bad weather conditions.

As reported, since May 10, the flow to enter Ukraine through its western border every day almost a month exceeded the flow to leave. The net inflow during this time amounted to 188 thousand people. In subsequent weeks there was no such unambiguous trend, except for the week of the new academic year, when net inflow was a record 47 thousand people.

In general, statistics showed a gradual return of Ukrainians to their homes: the net influx for the period from May 10 to September 23 was 409 thousand people.

For the first time since May 10, the number of those who left Ukraine in a week exceeded the number of those who entered at the end of September. At that time, the net outflow was 28 thousand people at once, and one of the possible reasons was a reaction to mobilization in Russia and “pseudo-referendums” in the occupied territories, and then the probable reason for the outflow was massive shelling of the energy infrastructure. In total, since that time, the net outflow has been 117,000 people.

According to the UNHCR data as of December 20, a total of 16.595 million people left Ukraine since the beginning of the war (not including the flow of people into the country), of which 8.350 million left for Poland, 2.852 million for Russia (data has not been updated since October 3), Hungary – 1.930 million, Romania – 1.696 million, Slovakia – 1.024 million, Moldova – 726.7 thousand people, Belarus – 16.7 thousand.

At the same time, according to the UN data, 8.711 million people arrived in Ukraine from February 28 to December 20 (excluding Hungary, Russia and Belarus).

Passenger traffic through the western border of Ukraine, ths.

Date from Ukraine incl. Poland to Ukraine incl. Ukrainians number of cars humanitarian trucks, pcs.
23.dec 57 36 50 47 21 87
22.dec 43 25 44 41 20 90
21.Dec 46 27 42 38 20 108
20.Dec 38 22 35 31 19 58
19.Dec 35 21 39 36 18 76
18.Dec 39 23 48 44 20 84
17.Dec 43 25 44 39 21 90
16.Dec 39 24 34 30 19 118
15.Dec 37 23 34 31 19 99
14.Dec 35 20 30 27 18 55
13.Dec 31 18 30 26 18 78
12.Dec 30 19 33 31 17 69
11.Dec 32 19 34 31 16 59
10.Dec 39 24 36 32 20 165

Data: State Border Service