Torpol builder expects PLN 1.8 bln revenue in 2025, similar amount in 2026

"In 2025, we expect revenues to be no less than PLN 1.8 billion. (...) We also have new contracts where [Poland's railway infrastructure operator PKP] PLK has certain expectations regarding the sale of materials, and we are working hard to contract and sell them to PLK, which may have an impact on revenues this year," said Torpol's deputy CEO Marcin Zachariasz.

"(...) In 2026, according to our backlog, revenues should also be at the same level as this year, not less than PLN 1.8 billion, excluding Rail Baltica," he added.

The deputy CEO pointed out that construction contracts are long-term.

"The further we advance in the performance of a contract, the more we are able to optimise things. We do not see 2026 as a year that will be worse than this year in terms of financial results," Zachariasz said.

"(...) If nothing unexpected happens, we have a fairly solid backlog – over PLN 4 billion excluding Rail Baltica, so in terms of revenue, next year is secured at a level that should not be worse than this year," he added.

After the three quarters of 2025, Torpol's net sales revenue increased to PLN 1.36 billion (EUR 320.14 mln) against PLN 905.9 million (EUR 213.3 mln) in the prior year period.

The group has secured an order portfolio worth over PLN 4.48 billion (EUR 1.1 bln) net, excluding consortium members.

"We have a full portfolio for 2026, and we are moving forward, we are not resting on our laurels, we are making offers. There is something to offer, there are several proceedings," CEO Konrad Tulinski told the video conference on Monday.

"(...) Despite full completion for 2026, we are filling our portfolio for the following years. Although we have some 'breathing space' for 2027, we are continuing to work on submitting offers," he added.

In the first three quarters of 2025, the average gross margin on sales from the group's order portfolio was 6.99 percent (against 8.52 percent in the prior year period).

"The end of the year, i.e. the fourth quarter, should not be worse than the first nine months of this year. It may be better if there are one-offs, but it should not be worse," said deputy CEO Zachariasz when asked about profitability for the whole of 2025.

Torpol's management board welcomes this year's tender plans of PKP PLK, which assumed tenders worth approximately PLN 25 billion (EUR 5.9 bln). The board is also optimistic about tenders in 2026.

"I am hopeful that 2026 will be a positive year, because in addition to the announced tasks, there will be several tasks announced in the south [of Poland - MI ed.] (...). PKP PLK and [Poland's central transportation hub project company] CPK are active, which is very good," CEO Tulinski said.

Although Torpol is counting on tenders for railway sections by CPK to be announced in 2026, the CEO does not expect contracts to be signed next year.

"The announcements are optimistic, and we will participate. The problem is the excessive financial and personnel requirements (...)," Tulinski pointed out.

"We hope that something will start to happen in 2026, but will the contracts be signed? In such large proceedings, the procedures are long – the announcement, the time for protesting the terms and conditions, verification, the question and answer stage, the tender itself and appeals after the tender. The signing of the contracts itself will probably not take place in 2026, but the announcements will definitely be made then," he assessed.

The group is also looking for tenders from contracting authorities other than Poland's railway infrastructure operator PKP PLK.

"If the value of PKP PLK tenders [in 2026 – PAP ed.] is significantly lower, it will not be good, so we are also looking for other contracting authorities," Torpol's CEO said.

As he pointed out, PKP PLK remains the group's main contracting authority, but Torpol is also monitoring closely the two-year programme, Polish energy market and Poland's grid operator PSE's announcements, seeking partners in this area.

"We are looking at military tenders related to railway infrastructure. We will try to fill the gap in PKP PLK tenders, if there are fewer of them, with something else," CEO Tulinski added.

Torpol maintains that it also wants to be active in the tram market.

"We are bidding, but unfortunately there are a lot of bids on this market, at low prices. It is not difficult to win with negative margins. But we are not giving up on this market, we want to be there," the CEO stressed.

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