“We have been seeing growth across all our export markets since the beginning of the year due to our solid work performance and ability to adapt to the situation. While we were not able to participate in exhibitions and introduce our new collections, we began to focus more on cooperation with online sales partners, and this decision turned out to be one of the most significant, helping us improve our sales and grow even during this difficult period,” says Kauno Baldai CEO Tomas Mauricas.
Sales have jumped across all their markets including Germany, and despite this being a relatively new market for Kauno Baldai, the company sold 24 per cent more production there. In Scandinavia, growth reached 20 per cent, while in the largest Benelux market, even under the pandemic restrictions, the company was able to find new clients and increase its sales by 28 per cent.
Mauricas explains that the main challenge when looking to the future is the continued rise of commodity prices, which started in the third quarter of 2020 and is continuing today. Disruptions in certain strategic commodities, which arise due to quarantine restrictions, also spur on a search for alternative and non-standard solutions.
“Having maintained our sales of 2019 during the pandemic year (20.6 million euros), we are intent this year to recoup for the lost year and grow significantly. Since the third quarter last year, demand for furniture rose sharply on the markets because during lockdown, people have been actively renovating their homes. However, it is still early to talk about prospects for the second half of this year – much will depend on the pace of pandemic containment in not only Lithuania but also all of Europe. Nevertheless, the accelerating pace of vaccination and the resultant opportunities for a faster removal of restrictions are a source of optimism,” Mauricas explained of the situation on the European furniture market.
Having grown by double-digit figures over the past few years aside from in 2020, Kauno Baldai is entering a new stage of active development, launching a conversion project and investing in the construction of a new factory. The company plans to allocate almost 20 million euros to the construction and setting up of the new manufacturing building, which is due to rise instead of old premises. The factory will emerge in the company’s current territory at Kaunas’ Žemieji Šančiai, and it is planned for the new factory to begin operating at full capacity from 2023.
Kauno Baldai exports 100 per cent of its production to Scandinavia, the Benelux countries and Germany, employing 400 staff members.
Other than Kauno Baldai, the SBA furniture sector includes SBA Home, which manages the furniture manufacturers Klaipėdos Baldai, Šilutės Baldai, Germanika, Visagino Linija, Mebelain and Laminn. The SBA Group also operates in the real estate and textile sectors, employing around 5,000 staff.
This article was edited by expert copywriter and proofreader Vicki Leigh. Find out more about her professional writing and editing services at twoflowercactuscreative.com
vėliau po 3,5 €/mėn.
už 12 mėn. – 33,50 €