2019-04-30

This year, the sales of SBA furniture sector reached 74.2 million euros, and its robotization program is in full swing

Compared to the last quarter of the previous year, the sales of companies belonging to the largest furniture group in the Baltic states managed by SBA have increased by 3.5 percent or by 2.5 million, reaching up to 74.2 million euros during the first quarter of this year. However, sales were still lower by 2.7 percent compared to the first quarter of 2018 (76.2 million euros). SBA Furniture Group and its managed companies will continue implementing the robotization program which was launched several years ago. The value of this program will reach two and a half million euros this year alone.

"At the beginning of the year, furniture sector sales remained at the same level as last year, when we had a record double-digit revenue growth during the first half of the year due to a sharp increase in demand. This year will be smoother, as our investments in innovations, capacity development and efficiency helped build a solid foundation for further growth. Thus, if the dynamics of the market remain predictable, furniture sector revenue will surpass the results of the previous year", – says Vice President of SBA Egidijus Valentinavičius.

The manufacturer of carcass furniture "Germanika" established in Šilutė district stood out from other SBA furniture sector companies because of its rapid growth. By increasing its efficiency and launching the production of the group's new products, the company managed to increase its sales by 22 percent to 13.3 million euros during the first quarter of the year, compared to the same period last year. Soft furniture manufacturer "Kauno baldai" increased its sales by 25 percent after finishing the first quarter of the year, and exceeded the limit of 5 million euros. This was mostly influenced by Scandinavian markets where sales jumped by as much as 60 percent.

According to E.Valentinavičius, in addition to increasing capacities, one of the most important production tasks of the furniture group this year is expansion of the range of products and further investments in robotization.

"This year, our production lines will have new furniture families in most of our furniture sector companies. In parallel, we will also continue implementing our production robotization and automation program. This will help us further strengthen our positions in the global and very competitive furniture production market", – says Vice President of SBA.

There are plans to install 18 robots this year alone, which will require more than 2.5 million euros of investments. It is estimated that, by the end of the year, "Klaipėdos baldai", "Šilutės baldai", "Germanika", "Visagino linija" and "Mebelain" managed by the SBA Furniture Group will have nearly 60 implemented and operating robots, while the overall amount of investments in robotization will come close to 7 million euros.

The robotization and automation of production processes did not decrease the number of employees working in the group's companies. On the contrary, the need for employees has increased due to the expansion of production volumes and transfer of people to job positions that generate higher added value. At the beginning of this year, SBA furniture sector had 3900 employees, which is 240 people (6.5 percent) more than in 2018.

Furniture companies belonging to the SBA Group export 95% of their products to over 30 different countries.

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