The latest financial report from the public company Putevi Srbije (Roads of Serbia) reveals troubling figures, showing that the company’s net loss for 2024 has nearly doubled compared to the previous year, reaching 11.4 billion dinars, up from 6.8 billion in 2023.
In addition to this significant loss, the company’s debt to suppliers, primarily road construction firms, is also on the rise. The total debt owed to suppliers, which remained unpaid in 2024, amounts to 11.9 billion dinars—slightly more than the reported loss.
Forbes Serbia analyzed the situation and looked into who Putevi Srbije owes money to and the reasons behind this financial situation.
Financial results
The financial report shows that Putevi Srbije, led by Zoran Drobnjak, who has served as the company’s director for a prolonged period, generated total revenues of 60.3 billion dinars in 2024—4 billion less than in 2023. Meanwhile, the company’s total expenses amounted to 71.6 billion dinars, an increase of just under 1 billion dinars compared to the previous year.
The company’s financial balance reveals that almost 70% of its revenue comes from toll collections, generating 40.1 billion dinars, while the rest is primarily funded by state budget contributions.
State contributions
According to the report, Putevi Srbije received substantial support from the state, amounting to 25.6 billion dinars in 2024. Of this, 17.3 billion dinars were directly allocated from the state budget for road maintenance, with additional funds provided by the Ministry of Finance. The remaining 8.3 billion dinars are listed as unspecified state allocations.
Despite these state contributions, the company’s cumulative losses at the end of 2024 amounted to a staggering 106 billion dinars.
Debt to suppliers
Putevi Srbije’s financial struggles are further exacerbated by its failure to meet obligations to suppliers. The debts to contractors, mainly road companies, amounted to 11.9 billion dinars in 2024. These companies include PZP Valjevo, to which the company owes 1.3 billion dinars, and Srbijaautoput, with 1.2 billion dinars outstanding. Additionally, companies like the Austrian firm Strabag and Novi Pazar Put (owned by the Veselinović family) are also listed among the creditors.
Delayed payments and growing debts
According to several contractors speaking to Forbes Serbia, this delayed payment practice has become routine at Putevi Srbije. Contractors claim the company spends its allocated budget for the year without paying suppliers, resulting in delayed invoicing until the following year. While this issue has persisted for years, it has worsened in recent times. In 2023, obligations to suppliers were half of what they were in 2024, rising from 5.4 billion dinars in 2023 to 11.9 billion in 2024. The total debt has grown more than fivefold in just two years, but the list of creditors remains largely the same.
Despite these challenges, suppliers continue working with Putevi Srbije, as they have few alternatives for large infrastructure contracts.
Auditor’s findings
A post-audit report by the State Audit Institution (SAI) revealed that, in 2024, Putevi Srbije had still not corrected the irregularities highlighted during previous audits. Specifically, the company failed to collect tolls for 782,583 vehicle passes, resulting in a loss of 329.8 million dinars. The issue stemmed from toll exemptions, but Putevi Srbije was unable to provide the state auditor with evidence that these exemptions were made in accordance with regulations.
In conclusion, while the Roads of Serbia continue to face financial difficulties, with mounting debt and uncollected tolls, the situation remains unresolved, impacting the company’s ability to pay its suppliers and meet its operational needs.
