Refrigerating equipment market booms

The new supermarkets and hypermarkets opening and the many investments in hotels and restaurants have caused sales of commercial refrigerating equipment to pick up speed.

“The refrigerating equipment market in Romania is expected to increase by 50% this year compared with last year, and reach 30,000 units,” says Mihaela Opait, assistant of the general manager of Timisoara-based Frigoglass Romania SRL, one of the leading players on this market.

Established in 1994 as a representative office of Greek Frigoglass Group, the company came to total 26 million euro sales last year.

Turnover in the first nine months of the year was nearly 30 million euros, therefore some 30% higher in euros from the same time last year.

The company representatives say Frigoglass Romania accounts for 60% of the specialised market.

The turnover increase year by year has also induced a net profit growth. Its 2002 net profit amounted to 201bn ROL (6.4 million euros).

“We disbursed dividends for 2002, ” the company representatives say.

This profit put the company on the 15th place of the large enterprise category in a ranking of the most profitable companies in Romania, recently devised and released by the National Council of Small and Medium-Sized Private Enterprises in Romania (CNIPMMR), based on Finance Ministry data. The company is currently employing 380 people, 9% more than last year. The profit in the first nine months amounted to 331bn ROL (8.7 million euros). Encouraged by the sales growth, the company will expand its factory in Timisoara, following a 24.5 million euro investment.

It has 20 million euros scheduled for investment this year, and some 4.5 million euros for the next, the data provided show. “We will use the profit for our financing needs,” Opait said.

The company has invested about one million euros since early this year, with the remaining 19 million scheduled to be spent in the last three months.

About one tenth of this money will be used for buildings and intangible assets, while the rest will go to plant and equipment. georgiana.stavarache@zf.