BILKA, the leader on the roofing market, ended 2016 with a turnover of more than EUR 60 million, which was 41% higher compared to EUR 43 million in 2015. In 2016, the company was considered for the third consecutive year as the largest consumer of pre-painted steel sheets in Romania, purchasing over 63,000 tons.
„Last year’s results are the immediate outcome of the 10 million euro investment plan launched in 2014 and completed in 2016. Following this project, we purchased and integrated a new platform of 27,000 sqm in our production flow, we installed 25 new production lines, we launched 3 new models of metal tile and thus we completed our investments related to the residential division. All these improvements are reflected in the 2016 turnover, which grew by 41%“, stated Horațiu Țepeș, the owner of BILKA.
2017 – consolidation and optimization
After the completion last year of the development process with respect to the residential sector, the main objectives for 2017 are: making use of the EUR 13 million investments executed throughout the company’s 10 years of activity in order to increase the production capacity and the range of products, rendering the factory’s activity more efficient and increasing the weight of exports in total business volumes.
„Our focus this year is to make our investments profitable; we have new production lines and products below one year of functioning and their impact on sales will start to be noticed only this year. At the same time, exports continue to be an important matter for us. In 2015, they represented 7.3% of the company’s turnover, reaching 10% in 2016. We see great potential in the foreign markets; therefore we plan to encourage exports this year. Given the investments made, we now have the necessary production and logistic means to become a player on the foreign markets“, declared Horațiu Țepeș.
Another relevant aspect of our strategy for 2017 is the support and expansion of the network of 500 dealers with whom the company cooperates at present.
„BILKA helps other 500 businesses grow. We are responsible for the development of more than 500 partners that represent us, and our growth is positively reflected in their business as well. This year, we will continue to offer know-how support to our partner dealers, but also services and products that help them evolve“, stated Horațiu Țepeș.
A new investment program is pending, dedicated to the industrial sector – the production of corrugated metal sheets, insulated panels, industrial profiles, structural liner trays, and turnkey halls. But the deployment of this project depends on the acquisition of new production spaces.
„Now, that we have ended the development stage of the residential division, it is the right moment to make new investments for the industrial sector. We have the necessary financial resources for this project, but the available property near the Bilka factory, notably the former Rulmentul platform, now in ruins, is owned by the state and we depend on the local authorities. If we succeed with the rental of the requested property, we will commence the investments; otherwise, we will have to put this project on hold. We go on with the proceedings in order to expand our activity on the neighboring lands, but in the future we do not exclude the option of purchasing properties outside the city“, mentioned Țepeș.
The roofing market in 2016 – the highest level ever recorded in Romania
The roofing market increased by 5-10% over the previous years, exceeding last year the threshold of 32 million square meters, for the first time since 2008. In 2016, the market reached the highest level ever recorded in Romania, notably 35 million square meters. This result is due to the higher consumption and the need for new residential estates or refurbishments on the one hand, and to the investments in this sector during the last years on the other hand. „We expect a 10% market increase during this year, as well. First of all, we count on the contribution of our company to market growth. A market cannot develop unless its main players invest in innovation, technology, and new products. If the market growth recorded in 2016 was mainly fuelled by that of BILKA, things will most probably follow the same trend this year, as well. Secondly, we rely on the market trend in the recent years, on the official surveys pointing to the increase up to 5% of the construction market in 2017, with a 10% increase in the residential sector; the number of building permits increased by 5% last year only in the urban area. The statistics encourage us to be optimistic and to see 2017 as a year of considerable growth on the roofing market“, mentioned Horațiu Țepeș.
BILKA’s turnover in 2016 amounted to RON 270 million. At present, the BILKA factory covers an area of 45,000 sqm, divided into production halls, warehouses, and offices. In 10 years of activity, BILKA covered over 150,000 houses. The production lines are fully automated, relying on the latest technologies available worldwide. In 2016, BILKA sold its products all over the country via more than 500 stable dealers. The company’s distribution network covers entire Romania.