Milling and bakery producer Titan, formerly Loulis Romania, this year targets turnover worth 85m-euro, up around 20% year-on-year and income worth 5m euros.
In 2007 the company reported turnover worth 71m euros, up more than 50% against the previous year, and an over 5 times higher profit on 2006, worth 4.6m euros.
"Last year's financial results were aided by lower costs, improved production efficiency and higher sales. Around 1m euros of last year's profit resulted from the sale of a small portion of the land we own near the Bucharest plant to a real estate company," stated Stefanos Krommydas, Titan's chief executive officer and chairman of the board. He added the 2008 budget targets a profit worth 5m euros, derived exclusively from milling and bakery industry operations and double the sales of last year in terms of volume.
Krommydas has been working with Loulis group since 1992 and initially held the position of chief financial officer. After holding several positions in the Greek group's companies, from 2001 he was chief executive officer of Loulis Romania for three years, and then became chairman of the Bulgarian subsidiary, Sofia Mel. In April 2006, he returned to the domestic subsidiary of the Greek group as first vice president and chief executive of Loulis Romania and eventually became chairman in June.
From his new position Krommydas participated in one of last year's biggest deals in the domestic food industry, after Austria's Leipnik Lundenburger Invest (LLI), controlled by Raiffeisen group, bought 60% in Loulis Romania for 34m euros. The Austrians also took control of the Bulgarian subsidiary of the Greek group, and acquired a 60% stake. At present, as a result of the sale of the shares owned by a minority shareholder, 66% of Titan Bucuresti is controlled by Austrian group LLI Euromills Vienna, 30% is held by Loulis International Foods Enterprises, and 4% belongs to minority shareholders. Last July, shortly after the acquisition, Loulis Romania changed its name to Titan, the name it had before the merger with Loulis in February 2006.
In the wake of the Austrian group's takeover, Titan will step up its investments this year, and has earmarked between 1.5 and 4m euros for at least five new Belforno stores in Bucharest. "At present, we have 30 stores in Bucharest, which generate around 8% of turnover. When we reach 50 stores, the network will generate around 14% of turnover," said the company's chairman. Titan will also direct 2m euros towards retooling, after it invested only 1.5m euros last year. In addition, its marketing budget will almost triple to over 2m euros.
According to its own estimates, Titan now holds around 8-9% of the domestic milling and bakery market, and between 25 and 30% of Bucharest's packaged bread market with the Belforno brand. The company also produces and sells Fortza cereals and other products under the Titan brand.
Titan
This year targets turnover worth 85m euros, up around 20% yoy and income worth 5m euros
Will step up its investments this year, and has earmarked between 1.5 and 4m euros for at least 5 new Belforno stores in Bucharest
Will direct 2m euros at retooling, after it invested only 1.5m euros last year, whilst its marketing budget will almost triple to over 2m euros
Now holds around 8-9% of the domestic milling and bakery market and between 25 and 30% of Bucharest's packaged bread market with the Belforno brand
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