Offices and hotels boost Lafarge Gips turnover

Lafarge Arcom Gips, part of the French group Lafarge, this year expects turnover to increase by 15% year-on-year, to 17 million euros.
“For this year, we forecast a 15% increase in turnover because of the development of the office buildings market, hotels and the residential market,” Sebastian Popescu, general manager of Lafarge Arcom Gips, told ZF.
The company last year reached turnover worth 15.4 million euros amid losses standing at around 300,000 euros, according to data published in the Official Gazette.
“Last year, we registered negative yields compared with 2004, mainly due to the depreciation of the European currency against the domestic one. This affected us because the majority of our contracts are in euros. However, sales still rose by over 15% amid market growth and the favourable effects of the optimisation of sale / supply processes,” specifies Popescu.
The company announced it would triple the production capacity of its plasterboard plant in Romania after witnessing rapid growth in consumption domestically. Work for the expansion of the plant in Bucharest will end early next year, giving the plant a production capacity of around 10 million square metres, according to the company’s representatives.
At present, Lafarge has a production capacity of around 3.5 million square metres per year, with more than 50% of sales being covered by imports.
“During the 2005-2007 period, investments carried out by the plasterboard unit of Lafarge in Romania will amount to around 15 million euros. These mainly target an increase in production capacities, environmental protection, the rehabilitation of exploited areas, as well as the development of a range of products and services,” mentions Popescu.
The main rivals of Lafarge Arcom Gips are Rigips Romania, part of Britain’s BPB group, which was this year taken over by the French Saint-Gobain, Knauf (Austria) or Norgips (Norway).
In 2005, the plasterboard market was estimated at 25 million square metres, and this year is expected to reach around 30 million square metres, according to market sources.
“Over the last 5 years (2001-2005) the progression of the plasterboard market has been spectacular, with an average increase by 15-20% per year. The same growth trend will maintain this year, as well,” states Popescu.