Among the main trends shaping 2022, Laimonas Luizys, Managing Director at Peikko Romania, estimates that competition will remain strong in the construction industry. How Peikko further sees the market, find out from the interview below.
How would you describe 2021 for your company’s business? What were the main achievements of your company last year?
2021 was a year of a roller coaster for all construction industry and it didn’t bypass Peikko Romania as well. Significant increases in raw material prices had a major impact, moreover freight availability and cost were challenging us, energy prices sky-rocketed at the end of the year. Peikko Romania grew strong in 2021, but it could have been stronger without the mentioned turbulence. On the other hand, it was a great test for sustainability of our business and I can state that due to dedicated team efforts, we passed it. By the end of the year we concluded investment of 1 million euros into increase of production capacity and start of a new production line of components for precast concrete products. Our total turnover grew by 50% and local sales in Romania by 43%.
Which are your main objectives for 2022?
Our main focus is customer satisfaction, we will continue delivering top quality products in shortest possible lead time. To support our main goal, we will focus on the improvement of production process to be capable to cope with peak demand expected in the middle of the year. This year we also plan further strong growth of turnover as last year’s investments become fully functional and already contribute to production output.
How do you see the main trends shaping 2022?
The start of this year looks to be more stable than the previous, however last couple of years proved how fast a situation can change based of various unpredictable factors. For sure, competition will remain strong in construction industry for many aspects: competition in sales, human resources, branding. Upside is that now the industry players are stronger, better prepared, more flexible and ready to adapt in short term. All in all, I estimate a further growth of construction industry, raw material prices will remain at a high level, but should not go significantly up anymore, just usual short-term ups and downs. The other aspect for increasing prices in the end user market might be a result of disbalance between demand and availability. To conclude – it will be a good year to come.
Peikko Romania was established in 2018 and is a part of Peikko Group Corporation. Peikko Group Corporation is a leading global supplier of slim floor structures, wind energy applications and connection technology for precast and cast-in-situ. Peikko has sales offices in over 30 countries in Asia-Pacific, Europe, Africa, the Middle East and North America, with manufacturing operations in 11 countries. Peikko is a family-owned and managed company that employs over 1,800 professionals. Peikko was founded in 1965 and is headquartered in Lahti, Finland.