KONČAR sees record order intake in 2022
Croatia, Zagreb: Despite numerous global economic challenges, KONČAR Group has announced achieving another record business year.
The 2022 business year is the second consecutive year of significant growth across all segments for KONČAR Group, with a spotlight on the order intake reaching nearly one billion euros, as well as €152 M expansion of export sales year-on-year. Consolidated income generated from the sales of products and services amounts to €699.7 M, the majority of which, 61 % is generated in foreign markets.
The war in Ukraine has been impacting overall business conditions since the outbreak in Q1 2022. The prices of commodities, raw materials and energy which had not yet returned to their pre-pandemic levels, have been soaring in the aftermath war between Russia and Ukraine and subsequent sanctions.
Although the profitability has gone down by 0.7 percentage points year-over-year (normalized net margin), despite all measures, good order intake at the start of 2022 resulted in an expansion of income generated from the sales of products and services across all markets. Consolidated income generated from the sales of products and services amounts to €587.4 M, representing a year-on-year increase of €125.9 M or 27.3 %.
The integration of Dalekovod resulted in an EBITDA upturn in the amount of €114.4 M and it now reaches €699.7 M. A considerable growth of income was matched with rising volumes and rising share of income generated foreign markets, increased profit, order intake reaching €787.7 M, and record backlog of €976.1 M at the end of 2022. The company has leveraged growth opportunities stemming from rising demand for power engineering products and equipment, primarily transformers, which has driven significant growth across all markets.
“KONČAR embarks on the new year compelled with optimism and with expectations of good performance. Our goals remain the same – growing the income side and expanding exports, further investments in equipment and new product development, and crucially – investment in people, lifelong learning and professional development as the imperative for the realisation of strategic goals. With the global economy that has been increasingly pivoting towards sustainability, a trend that will accelerate, KONČAR has recognized the green transition as an opportunity for further growth and development of new technologies that will drive the business forward”, said Gordan Kolak, CEO of KONČAR.