KONČAR targeting over €960 M in revenues in 2024
Croatia’s largest net exporter also aims to reach order backlog of €1.6 billion.
Gordan Kolak, President of the KONČAR Management Board (Image source: KONČAR)
Croatia, Zagreb: Croatia’s largest net exporter also aims to reach order backlog of €1.6 billion.
KONČAR Group has adopted a Business Plan for 2024, aiming for further financial and developmental strides following its recent business records. In a meeting held on December 14, the Supervisory Board of KONČAR – Elektroindustrija d.d. approved the consolidated business plan for 2024, projecting total revenues exceeding €960 million. The plan is based on the current backlog, estimated to reach a record €1.4 billion by year-end, with a goal to increase it to €1.6 billion by the end of 2024.
Intensive investments in decarbonization projects, renewable energy sources, and electric mobility, particularly in EU countries, have led to high demand for electrical power equipment. In the rail vehicle and railway infrastructure segment, there is also an increased demand for products and solutions that reduce harmful environmental impacts. An ambitious plan has been set for 2024 to secure new contracts worth €1.2 billion.
“Following the successful realization of major projects and the continuation of positive business trends on a distinctly upward trajectory for the third consecutive year, KONČAR Group enters 2024 with justified optimism, expecting further progress. Our goals for the upcoming period remain the same: revenue growth, especially from exports, further investments in production capacities, equipment, and new product development, and most importantly, investing in people, lifelong learning, and professional development as prerequisites to achieve all our set plans,” says Gordan Kolak, President of the KONČAR Management Board.
Exports continue to dominate the company’s product and service sales revenue, accounting for 67%. The EU (in particular, Germany, Sweden and Austria) remains the most significant market, with growth planned in others. In addition to increasing revenue and export share, further growth in profitability is a priority for 2024. This involves continued investment in product development, technology, and production capacities. Despite some delayed project implementations in 2023, investment plans will continue in 2024, with a CAPEX of €62.9 million, focused on real estate and new equipment and machinery.
Source: KONČAR