Blockbuster filmmakers

Poland's second-biggest plastic-film producer, Eurofilms, is very pleased with the results of its entry into the stock exchange last year. "Thanks to floating on the bourse the company was able to carry out investments which have already converted into dynamic growth," says the president of the firm's executive board, Tadeusz Nowicki.

The IPO enabled the company to make a total of zł.18 million in investments, which mainly involved the purchase and development of production equipment. In addition, Eurofilms invested zł.13.4 million in launching the production of PET (Polyethylene terephthalate) tape. The investments slightly affected profits, however, resulting in the company achieving only 94 percent of its net-profit projection. Last year the company saw net profits of zł.5.2 million, compared to zł.6.8 million in 2005.

At the same time though, Eurofilms saw a growth in sales of 30 percent in 2006 and export growth of 60 percent. "We have changed our export structure. This growth relates to the Western market," said board member Grzegorz Kędzierski. "We know where to sell our products," he added.

Eurofilm's plans for 2007 include strengthening its present position and developing new production lines and new products as well as further export growth. Sales growth is estimated at zł.154 million, with net profit at zł.8.1 million. The company also wants to carry out a merger with ERGIS, another plastics producer, in the second or third quarter of 2007, following ERGIS' takeover of BAAD printing house, which should take place this month. Eurofilm is also interested in foreign acquisitions, most probably in Hungary or the Czech Republic.