Energoutilaj - Bucharest Posts 1.24 Mio RON Profit

Energoutilaj SA - Bucharest, established in 1949, is a mobile crane service provider to the construction industry and one of the leading companies in this sector in Romania. At the end of the first half of the year, the company reported a turnover of 6,331,688 RON, up by 2,689,398 RON (73.8%) more than in H1, 2007, and an operating profit of 1,384,093 RON (1,560,553 RON in H1, 2007). The company also reported overall revenues of 7,006,429 RON (9,552,779 RON), overall expenses of 5,759,536 RON (7,970,209 RON) and a net profit of 1,246,893 RON (1,331,074 RON). The company has over 35 mobile cranes from leading manufacturers (Liebherr, Grove, Coles, P&H), as well as from the manufacturers that are best known on the Romanian market (RDK, MDK, DS, Stalowa Wola, Telemac) and is constantly investing in expanding the pool. Thus, equipment bought in 2006 - 2007 accounted for 21% of the productive pool and generated 36% of last year"s turnover. In 2006 - 2007, the company invested over 3,000,000 EUR, of which 1,000,000 EUR for two LIebherr cranes and a Grove crane in 2006 and 2,000,000 EUR for six cranes plus orders for others in 2007. The equipment was acquired through a financial leasing contract, so the company"s overall debt increased from 3,189,824 RON at the end of 2006 to 7,652,994 RON at the end of 2007, of which 6,895,951 RON due in more than one year. For the last three years, the company reported the following figures: 6,993,637 RON turnover and 637,154 RON net losses in 2005, 6,005,536 RON turnover and 765,561 RON net profit in 2006 and 8,493,044 RON turnover and 2,756,618 RON net profit in 2007. All of the profit made in this period was used to cover losses from the previous years and to constitute reserves. In 2007, 95% of the turnover was generated by renting construction equipment (especially mobile cranes) with the staff to operate it to various real estate developers. The company"s main customers in 2007 were Monsanto Romania (8.8% of the turnover), Tivierre Construzioni (6.9%) and MEP Construct SRL (3.5%). The main competitors were Felbermayr Romania, Kolaylik Vinc and Deme Macarale. To ensure financing for investments, the company increased the share capital from 11,506,155 RON to 14,006,155 RON in March 2007 and then from 14,006,155 RON to 27,925,195 RON in June 2008. The sale of some assets generated revenue of 6,970,119 RON in 2007. The staff reached 102 employees in 2007 (111 in 2006), while the productivity indicator almost doubled from 54,104 RON/ employee/ year in 2006 to 83,265 RON/ employee/ year in 2007.