Teleconstructia sees business shrink

Teleconstructia Bucharest, a company specialising in telecommunication constructions, posted $21.5 million turnover last year, with gross profit reaching $2 million, executive manager Bogdan Chirvasiu was quoted as saying by Mediafax. “Compared with 2001, when we made $27.7 million turnover and $3.1 million net profit, 2002 was slower for business, due to the cut in the telecom investments made by the main operators,” Chirvasiu said, commenting on the evolution of the company’s financial results. Teleconstructia’s business partners include RomTelecom, Orange Romania, Astral Telecom, the RCS & RDS Group, as wells as ISP KPNQwest Romania. Approximately 91% of its total revenues were collected from orders from the telecom sector, the company officials said. RomTelecom, one of its biggest clients, cut infrastructure investments last year, which also showed in Teleconstructia’s revenue level, Chirvasiu explained. The management’s 2003 goals are attaining $20-$25 million turnover and adding new activities to the core business, that is specialising in construction works for the public utility sector, as well. “We’re expecting the deregulation of the telecom market to bring new investments in this sector. At the same time, public utility works will account for a larger turnover share. We have recently won a tender for introducing a natural gas supplying system in a new neighbourhood of Tecuci, a contract worth 14bn ROL,” Chirvasiu said. ZF