Significant increase in turnover and profit for Forte

12.11.2020 − 

Following declines in the double-digit percentage range in the first half, which were primarily due to the corona crisis and the associated production shut downs, turnover of Fabryki Mebli Forte rose sharply again in the third quarter. At PLN347m, the preceding year’s figure was exceeded by 31%. The increase is almost exclusively attributable to the furniture business. Turnover generated through sales of particleboard to external customers remained virtually unchanged at PLN17m.

Results figures in the third quarter increased even more significantly than turnover, meaning the margins also rose considerably. The EBITDA almost doubled to PLN64m. The EBIT, compared to the corresponding period in the preceding year, actually increased by approximately 150% to PLN50m. However, this unexpectedly strong recovery of the furniture business also has its negative aspects. Forte had to build reserves in the amount PLN4.5m to cover possible contractual penalties resulting from delivery delays in the third quarter.

With development along significantly better lines in the third quarter, most of the turnover losses incurred during the first half year were compensated for as early as the end of September. According to provisional figures published on 28 October, turnover in the nine-month period decreased by 7% to PLN778m compared to the corresponding period in the preceding year.

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