Sweets plant Excelent Bucuresti registered rather weak results on the first quarter of this year. Thus, net profit stood at only 378 million lei, almost 24 times lower than profit posted during the similar period of last year.
"First half weak results are almost exclusively due to the low price policy the plant has followed so far and that proved to be inadequate. The result registered during this period could cover neither the domestic currency's depreciation against the dollar, nor inflation. During the following half, the price of Excelent products will be raised to their true value," sources within Excelent's management told Ziarul Financiar.
Gross profit recorded by the Bucharest-based company amounted to 4.11 billion lei, over ten billion lei lower than profit registered on the first half of last year. Operating profit on this period stood at 12.04 billion lei, while turnover amounted to 220.87 billion lei.
The revenue/expenditure budget on year 2000 includes net profit worth 73.37 billion lei, against gross profit standing at 97.83 billion lei. Turnover forecast for this year by Excelent officials reaches 880.65 billion lei.
On the first three months of this year, Excelent had registered profit worth 5.10 billion lei, a level almost 70 percent higher than profit reported during the same period of last year, of only 3.05 billion lei.
Excelent stock, listed on the first tier of Bucharest Stock Exchange, has registered a descending tendency since the beginning of May, when it reached a record high of 970 lei per share, a price which was however below the face value per share. At present, Excelent stock is traded at a price of about 730 lei per share.
Excelent Bucuresti has a share capital worth 93.85 billion lei, divided into shares with a face value standing at 1,000 lei. The company has been entirely privatised, its majority shareholder being Axis Investments Limited, which owns 94.7 percent of stock, while the rest of stock, weighing 5.3 percent within its capital, is divided among small investors.
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
