DECEUNINCK
Belgian window profiles manufacturer lifts sales 24% / Strong geographical differences
At EUR 582m, sales of leading window systems and profiles manufacturer Deceuninck (B-8830 Hooglede-Gits; www.deceuninck.com), were 24% higher in 2004 compared with 2003. However, this was due to a large extent to the first-time full consolidation of Thyssen Polymer (D-94327 Bogen; www.thyssen-polymer.com), acquired in June 2003. Volume sales were up 5.5%.
Business development varied widely according to region. A brief glimmer of recovery was seen in all western European markets midway through the fourth quarter, but this soon faded. On the whole, the company performed well in Belgium, France and Spain, while the German market remained under pressure. Thyssen Polymer managed to hold sales steady at home, despite the difficult market.
In the new EU countries, Polish sales stagnated in local currency, a fact Deceuninck attributes primarily to the rise of the VAT rate since Poland´s entry into the EU, which slowed consumption. In the Czech Republic, Slovakia and Hungary, rises of more than 30% were recorded. The Turkish market went a stage better, with a euro-denominated sales increase of more than 50%. The newly acquired Winsa in Turkey – see Plasteurope.com 23, 2004 “Pointers” – was consolidated from 1 December.
Activities in Russia are developing well, the Belgian company said. Turnover there amounted to EUR 15m. At the end of 2004, more than 200 window manufacturers were registered clients of Deceuninck in Russia, and there are plans to start producing in Moscow. Despite positive economic impulses, North American sales were down 8% last year, due to the unfavourable exchange rate.
Deceuninck´s earnings suffered from increases in raw material costs in 2004, especially as the company was been unable to fully pass on the 30% rise. Selling prices are therefore to be raised again in some geographic markets, as the first round of increases did not have the desired effect everywhere, especially in Poland.
A number of streamlining programs are currently running in the US, the UK and Poland, all of which have had an impact on results. The integration of Thyssen Polymer and synergy projects are on schedule, the company said. Detailed figures are to be announced in March.
Business development varied widely according to region. A brief glimmer of recovery was seen in all western European markets midway through the fourth quarter, but this soon faded. On the whole, the company performed well in Belgium, France and Spain, while the German market remained under pressure. Thyssen Polymer managed to hold sales steady at home, despite the difficult market.
In the new EU countries, Polish sales stagnated in local currency, a fact Deceuninck attributes primarily to the rise of the VAT rate since Poland´s entry into the EU, which slowed consumption. In the Czech Republic, Slovakia and Hungary, rises of more than 30% were recorded. The Turkish market went a stage better, with a euro-denominated sales increase of more than 50%. The newly acquired Winsa in Turkey – see Plasteurope.com 23, 2004 “Pointers” – was consolidated from 1 December.
Activities in Russia are developing well, the Belgian company said. Turnover there amounted to EUR 15m. At the end of 2004, more than 200 window manufacturers were registered clients of Deceuninck in Russia, and there are plans to start producing in Moscow. Despite positive economic impulses, North American sales were down 8% last year, due to the unfavourable exchange rate.
Deceuninck´s earnings suffered from increases in raw material costs in 2004, especially as the company was been unable to fully pass on the 30% rise. Selling prices are therefore to be raised again in some geographic markets, as the first round of increases did not have the desired effect everywhere, especially in Poland.
A number of streamlining programs are currently running in the US, the UK and Poland, all of which have had an impact on results. The integration of Thyssen Polymer and synergy projects are on schedule, the company said. Detailed figures are to be announced in March.
24.02.2005 Plasteurope.com [202041]
Published on 24.02.2005
German version of this article...