The operator of the Luas in Dublin recorded pretax losses of €21.19 million last year due mainly to a €20.75 million onerous contract lease provision.
“The unavoidable costs of meeting the obligations under the Luas operations and maintenance contract with the National Transport Authority (NTA) and Transport Infrastructure Ireland (TII) exceed the economic benefits expected to be received under it,” a note with the company accounts said.
Numbers on the Luas light rail network last year increased by 12 per cent to approximately 54 million passenger journeys and the increase in passenger traffic contributed to revenues at Transdev Dublin Light Rail Ltd (TDLR) rising by 11 per cent from €92.38 million to €102.2 million.
The pretax loss of €21.19 million is a six fold increase on the pretax loss of €3.53 million incurred in 2023.
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The note with the accounts also said that at December 31st 2024, the €20.75 million provision was recognised for the expected losses for the period to August 31st, 2026, the remaining contract period.
The note went on to say that labour cost increases have been experienced in the market since the agreement and the settlement agreement was amended on September 15th, 2025.
The 2024 agreement contributed to staff costs at TDLR last year increasing by €9 million or 24 per cent from €37.16 million to €46.16 million. Numbers employed increased by 30 from 648 to 678.
The accounts also said that “due to the unforeseen costs resulting from the Covid-19 pandemic, an agreement was reached with TII in 2024 for the sole provision of relief to the company in relation to the deductions applied during the period from March 2020 to May 2021”.
The accounts disclose that in May 2024, TDLR received a share capital injection of €27 million.
A Luas tram, #5037, set alight during the Dublin Riots from November 2023 is currently being repaired “and is scheduled to be back in service at the beginning of 2026”.
Another Luas tram, #3003, damaged in a road traffic accident with a bus in March 2019 and is back in service since August 2025 after undergoing repairs since 2024.
The accounts also show that a €2 million provision has been recognised for repair costs arising from road traffic accidents for two trams (#3003 and #5037) “which are expected to be in excess of the costs covered by insurance”.
The notes that it is expected that the costs will be primarily incurred in the next financial year.
The firm has also provided for a €1.23 million insurance provision for 2024 for insurance claims below the excess amount.
