This project examined the financial performance of Pakistan Railways (PR) - an important state-owned enterprise (SOE) in Pakistan - to identify the causes of its poor financial performance. Using a case study approach helped the researchers to analyse the issue by bridging the gap between theory and practice.

The study is based on a review of official documents and work practices, including interviews with PR managers and officials. The report focuses on audited financial statements from the last eleven years. These are the most authentic and important sources of information about the financial performance of PR. To determine the trend of declining financial performance, we also analysed quantitative data from the last six decades, as provided in key variables taken from the PR Year Books. However, the quality of the Year Books data may not be reliable in some instances due to poor management information systems in PR.