Totalgaz Iasi, a manufacturer of industrial measurement, regulation and control equipment, last year registered turnover worth 35.5 million RON (9.8 million euros), down 21% from the previous year.
Totalgaz Iasi, a manufacturer of industrial measurement, regulation and control equipment, last year registered turnover worth 35.5 million RON (9.8 million euros), down 21% from the previous year.
"Turnover logged in 2005 fell by 21% because of the lower investment volume earmarked for the sector we operate in," said Adrian Coca, the commercial manager of Totalgaz.
"2004 was an electoral year and investments in this field were higher. Furthermore, in 2005 some of our main customers, Distrigaz Nord and Distrigaz Sud, changed their shareholding structure and immediately moved to cut down investments," Coca said, explaining last year''s decline in the company''s business.
The Totalgaz official says the company started focusing on foreign markets so as to offset the unfavourable effects of the quoted factors.
Pressure measuring and regulation stations in 2005 accounted for almost half of the company''s turnover, followed by pressure regulators, with a 45% share.
In 2004, the Iasi-based company posted net income worth 16.5 million RON (4 million euros), with turnover worth almost 45 million RON (11.1 million euros).
Plans for 2006 target a 50% share of the market of self-aspirating automatic burners for household use, 50% of the pressure measurement-regulation equipment market and 60% of the market of regulators for household and industrial use. Sales registered on the domestic market account for 91% of the total.
The company''s management estimates sales will grow by at least 15% in 2006, for each product category.
"In 2006 we will launch a much more aggressive advertising campaign and we will employ higher quality standards. For this year, we forecast 35-40% turnover growth, to more than 48 million RON," said the Totalgaz representatives.
The company''s most important customers include Distrigaz Sud, Distrigaz Nord, SNTGN Transgaz Medias, Luxten Lighting Company - AEM Timisoara, Petromservice, SNGN Romgaz Medias, Inspet Ploiesti.
In 2005, the company invested almost 3 million euros to build new production halls, to buy high precision processing machinery and equipment for the production halls, to expand of the car fleet and to purchase land.
For this year, the company''s management projects investments worth at least two million euros, in order to open a showroom in Brasov, an RX non-destructive control laboratory, and a modern sector for sandblasting and dyeing.
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