The increase in turnover is mainly due to the optimization of the production processes and the attraction of new clients in the portfolio by expanding the market.
”The economic climate is still characterized by excessive and changing taxation, cumbersome legislation, exaggerated bureaucracy in obtaining permits and authorizations necessary for operation, currency risk with influence in the price of raw materials and materials”, the report reads.
The company’s operating profit fell by 31% to RON13.8 billion in 2021, compared to RON19.9 billion in 2020. The decline is due to the increase in production costs as a result of the increase in prices for raw materials, materials, fuel and especially the increase in energy costs (gas and electricity), which impacted the margins obtained.
The company’s total debts decreased by 4.97% to RON43.7 million in 2021 from RON46.04 million in 2020, and the decrease would have been much higher if the energy crisis had not started. The increase of the indicator is due to the repayments of bank loans made during this period.
Prefab has a stock market capitalization of RON100 million and is 83% owned by Romerica International, while regional investment fund SIF Muntenia owns 13%.
PREH shares have lost nearly 1% since the beginning of 2022 amid deals worth RON472,508, in line with stock market data.