Getlink, the operator of the Channel Tunnel, reported a net profit of €317 million for 2024, marking a 5% decrease compared to 2023. The company clarified that this decline was mainly due to the suspension of its ElecLink cross-Channel cable and the intensifying competition from ferries.
Annual revenue also fell by 12%, amounting to €1.61 billion. Despite these results, Getlink emphasised that its earnings before interest, taxes, depreciation, and amortisation (EBITDA) of €833 million was at the higher end of the forecast range made in February 2024.
Performance of the EuroTunnel subsidiary
The performance of the EuroTunnel subsidiary, which handles vehicle and passenger transport through the tunnel, saw slight growth. Its EBITDA increased by 8%, reaching €642 million, while revenue rose by 3%, totalling €1.17 billion. However, the group observed a 2% decline in passenger traffic, with 2.2 million vehicles transported. This drop is attributed to increased competition from ferry companies, which benefit from more flexible social models than those applied to British and French flagships.
Impact of ElecLink’s suspension
The suspension of ElecLink, the undersea cable that transports electricity between France and the United Kingdom, heavily impacted the subsidiary’s results. Its operating income dropped by 57% to €159 million, and the commercial impact of the suspension is estimated at €78 million for 2024. This interruption occurred from September to early February, significantly affecting a large portion of Getlink’s revenues.
Outlook for 2025 and new challenges
For 2025, Getlink has revised its EBITDA forecast downward, expecting an amount between €780 million and €830 million, slightly lower than in 2024. This cautious outlook is largely due to new border control requirements set by the European Union, which could affect traffic fluidity. While the company states that it is prepared to handle these changes, it remains vigilant about their potential impact. The implementation of these new measures is expected in October 2025, although the exact date has not yet been set by the EU.
Increased competition in the Channel Tunnel
Another challenge facing Getlink is the growing competition in the Channel Tunnel rail transport market. Several operators have expressed interest in joining Eurostar in the tunnel, including a Spanish company, a Dutch one, and recently, Virgin in the UK, which plans to launch new services. This competition could reduce Getlink’s market share in the rail transport sector. In response to this shift, Eurostar plans to purchase 50 new trains and expand into new destinations, with expansion plans targeting other European capitals such as Germany, Switzerland, and beyond.
