After two years, the screw producer from Lancut is supposed to make money this year.
“We will get out of the red”, Przemyslaw Koelner, the chairman of listed Koelner said.
His company with headquarters in Wroclaw, became Srubex shareholder two years ago. Srubex had at that time problems caused by strengthening zloty and a flood of cheaper Chinese products. The net income dropped to a net loss from PLN 13m in 2004. Koelner kept restructuring the company and has so far invested PLN 30m in new technologies allowing for more advanced production which is not so highly endangered by rivals from Asia.
Srubex assets will be transferred to a new company: Koelner Lancucka Fabryka Srub. It won’t be listed any longer. Przemyslaw Koelner estimates that in 2009, the new entity will have 3-4 percent of profitability and within two years, it will generated PLN 220m of sales against PLN 144m in 2007.
“At that time, we will reach the profitability of companies from the sector, i.e. 6 percent”, Przemyslaw Koelner said.
He plans PLN 50m of additional investment within several years which will allow to raise sales to PLN 350m annually.
(PLN 1 = EUR 0.303)