Avi Compact, the most important distributor of Daikin products in Romania for 14 years, announces an increase in the turnover for the first six months of this year. Last year, the company had a turnover of about EUR 7.5 million.
The residential segment contributed with 60 percent to the turnover in the first part of this year. Due to the Covid-19 pandemic, split systems registered a significant increase.
”At the beginning of this year we reinvested part of our profit in making stocks, so the lockdown found us prepared. Air conditioning and ventilation systems are a necessity, even in these difficult times. The stocks helped us cope when the demand was high and the imports of equipment and spare parts were long overdue “, explains Florin Rădulescu, Founder of Avi Compact.
The company applied for the SME Invest Program in order to develop its current activity, especially the commercial side. After analyzing the situation during the lockdown, as well as the current situation in the market, the company estimated a delay in payments from beneficiaries throughout the year. According to the presented financial results, SME Invest granted a financing of RON 1 million (approximately EUR 200,000).
“This amount supports our current commercial activity, because as the data from the market show, as well as our internal situation, the period for collecting the invoices has increased drastically, by about 60 days in the case of Avi Compact”, adds Florin Rădulescu.
The company’s representatives estimate that in the context of the Covid-19 pandemic as well as the increase in the number of damages in the supply of hot water and heating, the thermal plants equipment market will grow by about 10 percent by the end of the year.
Another segment with a significant increase in total turnover is maintenance. The requests to service air conditioning systems increased by 5 percent in the second half of this year, especially for the corporate area. Sanitation of air conditioning equipment has become an important concern during the pandemic.
The corporate segment decreased by about 30 percent compared to the previous year.
“According to our estimates, the construction sector registered a decrease of 15-20 percent when speaking of large projects. This year, the projects already started were completed, but no new projects have been launched. The market for air conditioning systems dropped by 18-22 percent”, says Florin Rădulescu.
The most important corporate projects carried out this year are the Diana Hotel in Eforie (air conditioning installations with indoor wall units), Decebal Parking (ventilation and smoke extraction installations), Vivenda residential and Casa Presei Residence.
“The critical period for construction companies will come in January – April 2021. Smaller companies didn’t manage to pay their taxes on time, and the number of projects has decreased,” says Florin Radulescu.
For 2021 Avi Compact aims to maintain its turnover, to create its own stocks of parts and equipment and to increase its team. Opening a service point in the eastern part of the country (Iaşi) is another objective for Avi Compact.
Avi Compact is the main Daikin distributor in Romania, but its portfolio also includes other brands such as Samsung, Mitsubishi, Visemann, Vaillant. Avi Compact has a national distribution and service network.