As a leader in prefabricated construction, we closed 2021 with revenues exceeding PLN 1.5 billion and a portfolio of orders exceeding PLN 1.2 billion. Despite the demanding environment, we see favorable long-term prospects, which should be supported by stable demand for the construction of logistics halls and industrial plants. Another support may be the need to quickly build many apartments due to the wave of refugees from Ukraine, for which the modular prefabrication technology seems ideal.
Last year, the Group’s revenues increased by 58 percent on a y/y basis. In the prefabrication segment, the value of sales amounted to PLN 873 million (+74%), and in the area of general contracting it exceeded PLN 560 million (+47%). The total production volume generated by the 6 production plants in 2021 amounted to a record 266.5 thousand m³ (+31%).
– Last year, we performed 472 contracts, and the size of the order portfolio at the end of 2021 exceeded PLN 1.2 billion. We carried out major investments for the logistics industry, in particular large international developers (Panattoni and Prologis), and in the manufacturing industry, the flagship project was the construction of halls for the Korean manufacturer of batteries for electric cars SK Innovation in Dąbrowa Górnicza. In the area of infrastructural construction, it is worth paying attention to the projects of the tunnel in Łódź or the communication connection of the Naramowice district in Poznań, and in the residential segment, we built, as a general contractor, e.g. estates in Toruń and Włocławek. Geographical diversification, in turn, means contracts on the growing German market, which is becoming as important to us as the Scandinavian market – says Robert Jędrzejowski, President of the Management Board of Pekabex SA.
In 2021, the consolidated operating profit of Pekabex amounted to PLN 57.8 million, and the net profit reached PLN 40.6 million. A year earlier, it was PLN 69.5 million and PLN 57.9 million, respectively. It should be remembered that last year and at the beginning of 2022, the construction
industry faced major challenges – an increase in the prices of raw materials and materials, unprecedented for several years.
– Adapting to the new reality required renegotiating many contracts, which was largely successful thanks to the fact that Pekabex’s clients are usually leaders of the Polish economy, effective companies that are not afraid of sometimes making difficult decisions. Difficult times positively verified the strategy we adopted. Geographical and product diversification, and in particular the diversification of the order portfolio, has become the key to overcoming the Covid crisis for us. Currently, it will be an important factor in overcoming the problems resulting from the outbreak of war in Ukraine, indicates Robert Jędrzejowski.
The war in Ukraine resulted in another interruption of supply chains, which resulted in a further increase in construction costs. According to the President of Pekabex, a large part of this growth is speculative and the prices of the main raw materials will soon start to fall at a rate proportional to the rate at which the economic situation will deteriorate.
Despite the demanding environment, the long-term prospects of the Pekabex Group are favourable. They decide, among others, strategic competitive advantages, related in particular to the automation of production.
– In our opinion, the trend of moving industrial production to Europe will continue, which should generate stable demand for the construction of logistics halls and industrial plants. Moreover, we do not expect a significant decline in demand in the residential segment, despite the deterioration of the mortgage loan market. In recent weeks, over 2 million people from Ukraine have come to Poland, some of whom are likely to stay here. Therefore, there will be a need to quickly build many apartments, for which modular prefabrication technology is perfect. An example is the construction of a housing estate in Toruń, where the assembly of eight four-storey buildings with 320 apartments took only 9 months. If steel prices remain at a high level, a reinforced concrete structure will in many cases be a good quality and price alternative, assesses the President of Pekabex.
In accordance with the strategy for 2020-2024 “Safe Development”, we focus on automation, diversification, foreign expansion, increasing the efficiency of processes and technical excellence, bearing in mind the goal of safe and sustainable development.
– The Strategy for 2020-2024 adopted so far, confirms that directions of development are appropriate. The strategic assumptions will be consistently updated and their implementation will be continued in the coming years. We intend to continue to strengthen our leading position on the market by implementing further investments and business projects in various areas of activity, taking into account sustainable development, i.e. responsibility for the environment, social matters and corporate governance – notes Robert Jędrzejowski.
We want the implemented investments to be environmentally and socially responsible, which is why at the beginning of this year we adopted the “Climate Policy of the Pekabex Group”, in which we declare support for the implementation of the goals of the Paris Agreement and the EU strategy to reduce greenhouse gas emissions. Last year, we launched a climate protection campaign under the slogan “Pekabex Goes Green”. It consists of the work of a dedicated team of environmental protection specialists, calculating the carbon footprint of the company’s products, changes to the company’s waste and infrastructure to be more environmentally friendly, “green” information campaigns for employees and cooperation with clients for BREEAM and LEED certification.