Selena is growing. PLN 50 m of operating profit in 2013

Selena is growing. PLN 50 m of operating profit in 2013

This is an increase of nearly PLN 23 m year on year. Net profit amounted to more than PLN 20 m, which represents an increase of PLN 16 m. The increase in sales is the result of, inter alia, extension of the product portfolio in the markets of Central and Eastern Europe.

In 2013 Selena Group achieved a cumulative sales revenue of PLN 1.1 billion, which represents an increase of more than PLN 53 m in relation to 2012. EBIT profit amounted to PLN 50 m, an increase of nearly PLN 23 m year on year, and net profit amounted to more than PLN 20 m, which represents an increase of PLN 16 m.

Selena’s situation in 2013 was influenced by the state of the construction chemicals sector and conditions on international markets. The largest increases were recorded in the following markets: Turkish – about 30%, the Americas – about 24% and in Eastern Europe and Central Asia – more than 20%. The construction sector in Central Europe remained in stagnation. In the second half of the year the Polish market experienced a considerable revival and improvement of the situation is also evident at the beginning of 2014.

Net income amounted to PLN 20 m, which is a five-fold increase compared to 2012. The factors that had a negative effect on the results involve exchange losses, the weakening of the Russian ruble, Turkish lira, Brazilian real and the Kazakh tenge in relation to the euro.

2013 also involved the adoption by Selena of a strategy for the years 2014-2016. The new mission is Together we build faster and better, Together we deliver better building performance – it means more successful identification of customer needs and provision of products tailored to global trends and expectations of users in specific areas of construction, finishing and repair.

“In 2013, we continued optimization activities. The tangible results involve achieving key annual objectives, which included sales growth on profitable markets and further improvement in operating profitability. We place emphasis on building a competitive advantage based on new ideas and technological solutions, ensured by R&D. In 2013, we co-financed and developed our research centers in order to generate a greater number of innovative products that will give Selena an advantage in the market” says Jarosław Michniuk, CEO of Selena FM SA, the parent entity of Selena Group. “In addition, as a part of the strategy we began implementation of ERP class solutions, so as to increase the efficiency of processes by using system support. All these activities are aimed at strengthening the position of Selena on the international markets, the optimization of all processes in the group and increasing innovation and competitiveness of the company in the markets.”

In the coming quarters, Selena is taking into consideration the risk of doing business in Eastern Europe because of the unpredictable situation. The company is monitoring events and preparing packages of remedial action in the case of a deterioration of the situation. At the same time it is staying focused on the increased use of the potential of other markets in both emerging and developed countries.