Bigger sales, smaller profit for Aerostar

Aerostar Bacau sold more last year but gained less than it did in 2001. The trend is expected to maintain in 2003, but the company announced it had received new orders and concluded partnerships with international companies for both planes and aircraft parts.
Aerostar preliminary results show turnover to have reached more than 23 million euros (730bn ROL) last year, which is 5% more than 2001’s turnover in euros. Still, net profit did not follow the same trend, having lost nearly 4%, down to 1.96 million euros (61bn ROL) last year.
The company’s S&R budget considers turnover of nearly 820bn ROL (22.6 million euros, if calculated at an average exchange rate of 37,000 ROL/EUR) for this year. The profit forecasts are in line with the downward trend witnessed in 2002. Therefore the 63bn ROL net profit estimated for this year accounts for 1.7 million euros if calculated at the above-mentioned exchange rate. Under the circumstances, turnover should go down nearly 5% in 2003, while net profit should lose almost three times as much, that is 13.7%.
Aerostar Bacau’s general manager said last month the company had received an order for 15 Aerostar 01 ultralight planes from the US. Aerostar 01 is a new model, designed, built and patented in 2002; three of the 15 ordered have already been delivered. The official was saying Aerostar had another batch of 15 planes under construction for the domestic market this year, with the clients offered three engine options to choose from. Aerostar 01 is a 480-kg two-seater and costs between $30,000 to $40,000 depending on the options.
Aerostar Bacau has signed a memorandum of understanding with the Dutch Stork Aerospace Group this week. The memorandum specifies Aerostar is the partner Stork Aerospace chose for developing its Stork Fokker division, which makes aircraft parts and subassemblies.