The analysis is based on the incidence of individual cost items on total production costs, a relevant parameter for assessing the economic sustainability of local public transport companies. The sample considered includes 39 Italian companies, divided into three clusters based on 2023 turnover.
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The companies covered by the 2nd cluster of analysis, were selected through the 2023 turnover with values between or between 94 and 53 million euros. For each of them, the incidence of individual cost items on total production costs was calculated, observing the values of 2014, 2023, the average of the period 2014-2023, and the percentage change between 2023 and 2014.
Personnel cost
Basco&T Consulting processing of data extracted from official (unconsolidated) financial statements (AIDA database)
In 2023, the average incidence of personnel cost for Cluster 2 stands at 51.8%, with a median of 46,8%. Compared to 2014 (median 54,7%), there is an average decrease of 5.3 percentage points, while the median drops by 14,2 points. The figure suggests a general downward trend in the incidence of personnel cost on this segment of operators.
Cost for services
Basco&T Consulting processing of data extracted from official (unconsolidated) financial statements (AIDA database)
In 2023, the share of services in total production costs is at an average of 22,3% and a median of 20.0%. There is an average increase of 30,5% from the historical average 2014-2023, with a median increase of +34,9%.
Several companies show significant increases, including SASA (+107,5%), Trieste Trasporti (+66,9%), Arriva Udine (+65,1%) and ASF Autolinee (+50,3%). In contrast, BUS Company (-12,6%), CTM (-14,3%) and TEP Parma (-17,7%) declined.
Raw materials and consumption
Basco&T Consulting processing of data extracted from official (unconsolidated) financial statements (AIDA database)
In 2023, the average impact of raw materials on production costs is 15.0%, with a median of 14.9%. Compared to 2014-2023, there is little change: -0.6% on average and -6.0% on median.
Most companies show substantial stability or slight decreases, with a few cases bucking the trend:
- Increasing incidence for TEP Parma (36,1%), Messina Transportation Company (+35,0%) e CTM (+12,2%).
- On the other hand, companies such as ASF Autolinee (-13,1%) and MOM S.r.l. (-11,1%) are decreasing.
Overall, the weight of raw materials remains relatively constant over time, with variations mainly related to procurement policies and type of service.
Depreciation
Basco&T Consulting processing of data extracted from official (unconsolidated) financial statements (AIDA database)
In 2023, depreciation as a percentage of total costs is 9,0 % on average and 9,1% as median, a slight increase from the historical average (17,8% on average, 23,5% median).
Variations are very heterogeneous:
- Up: CTM (+110,3%), ASF Autolinee (+51,7%) and Bus Company (+51,5%) report an increase in capitalized investments.
- Down: Trieste Trasporti (-32,4%) and AMTS (-7,6%) report downsizing.
Use of Third-Party Assets
Basco&T Consulting processing of data extracted from official (unconsolidated) financial statements (AIDA database)
The incidence of use of third-party assets in 2023 is 2,4% (average) and 1,7% (median), a slight decrease from the past (-4,5 percent average, -25,7 percent median).
Strong increases stand out in companies such as:
- SASA (+352,5%)
- AMTS (+189,5%)
- AMAT Palermo (+147,9%)
Probably due to increased leasing or use of external facilities.
Otherwise, significant contractions are observed for:
- CTM (-96,0%)
- MOM (-51,1%)
- Trieste Trasporti (-44,8%).
Other costs and operating expenses
Basco&T Consulting processing of data extracted from official (unconsolidated) financial statements (AIDA database)
In 2023, the incidence of operating expenses is 1,5% as average and 1,4% as median, up from the previous decade (+23.1% as average, +18.1% as median).
- ASF Autolinee (+284,0%), AMTS (+151.6%), Azienda Trasporti Messina (+74.4%) grow sharply.
- In contrast, MOM SRL (-24,8%), Tep Parma (-23.8%) and Trieste Trasporti (-21.2%) decline.
Basco&T Consulting processing of data extracted from official (unconsolidated) financial statements (AIDA database)
In 2023, the incidence of “other costs” is at an average of 0,9% and a median of 0,6%, down sharply from the historical average (-52,7%). This reflects a rationalization or different accounting classification of this item.
The most pronounced decline concerns companies such as SASA (-83.3%), Tep Parma (-79.2%) and ASF Autolinee (-68.2%).
The exceptions are AMAT Palermo, which from 2014 to 2023 rises from 0,1% to 0,6% recording an increase of +881.9%, and MOM, which scores an impressive +5903,2% (albeit on small absolute values).
Over the past decade, the composition of production costs has undergone significant changes even in medium-sized companies. Although personnel remains the largest cost item, other components such as services, depreciation, and minor expenses show widely varying trends. These differences probably depend on organizational choices, changes in service contracts, investments and management strategies at the local level. This confirms that the local public transport sector is extremely heterogeneous, even below the level of the large national operators.
The previous article, Cluster 1, looks at the top 15 Italian companies with the highest turnover, between 980 and 95 million euros.
