Dekpol Capital Group – stable in difficult times

Dekpol Capital Group published financial results for the first quarter of 2020, according to which consolidated revenues amounted to PLN 205.1 million. The Group specializing in general contracting services, real-estate development activities and the production of accessories for construction machines in the first three months of this year also generated net profit in the amount of PLN 8.1 million.

In the first quarter of 2020, Dekpol Capital Group generated sales revenues of PLN 205.1 million. This means an increase in the amount of 16% compared to the same period of previous year. At the same time, the Group generated net PLN 8.1 million profit during the first three months of this year. The value of equity is at the level of PLN 250.4 million.

Segment of production of accessories for construction machines has been operating since the beginning of 2020 as a separate company called Dekpol Steel. The entity plans to expand the products offer in the country and abroad using a proven sales network. Dekpol Steel also talks with two global leaders in the field of infrastructure construction.

„The main goal of Dekpol Steel for 2020 is to increase net result through implementation of production optimization processes as well as the standardization of manufactured products. At the same time, we heavily invest in human resources capital and develop our team. Despite the prevailing situation associated with the COVID-19 virus pandemic, we see our strength in people, they create the company’s value, hence we decided to maintain the staff and even increase it as market conditions begin to stabilize. We believe that thanks to this action, our goal of maintaining the leading position on the market of manufacturers of accessories for construction machines in Poland and Europe (currently we are in the honorable third place) will become real. At the same time, we are constantly looking for new development opportunities” – said Andrzej Kuchtyk, the President of Management Board of Dekpol Steel Sp. z o.o.

As a part of real-estate development activities in the first quarter of this year, we handed-over for use two investments (Nowe Rokitki stage V and VI and Grano Residence), covering in total 421 apartments. In sales revenues Dekpol Deweloper recognized the sales of 180 apartments comparing to 80 apartments handed-over in the same period last year. In March this year the Company noted a decrease in the number of concluded agreements caused mainly by epidemic situation, through the introduction of security procedures and general uncertainty associated with the slowdown of the global economy. „This year, we plan to launch safely several investments on the market. Our structure of new projects is even more adapted to the needs of customers and market demand. Simply put, we build what customers expect, which should translate into future results” – summarized Sebastian Barandziak, President of Management Board of Dekpol Deweloper Sp. z o.o..

In turn, in the scope of general contracting services, at the end of the first quarter of 2020, the Capital Group in its backlog had contracts for external entities with a total contractual value of over net PLN 574 million. Approximately net PLN 372 million will remain to be implemented after the first quarter, the vast majority of which will be completed this year. „The SARS-CoV-2 coronavirus pandemic did not have a significant impact on our general contracting activities. All work was carried out in compliance with all safety procedures and principles and, which is very important, was implemented in a timely manner. Caring for safety has become our priority and is appreciated by our contractors” – assured Mariusz Tuchlin, President of Management Board of Dekpol S.A.