Wellis: Significant Increase in 2022 Turnover

Hungarian-owned Wellis Hungary Plc., a manufacturer of hydromassage tubs, outdoor pools and sanitary ware, reported a 32% increase in sales last year to more than HUF 50.8 billion compared to HUF 38.4 billion in 2021, while its profit after tax decreased to about HUF 1 billion from HUF 3.8 billion in the previous year, the company said on the Budapest Stock Exchange (BSE) website.

According to the annual report published, export sales increased from HUF 30.9 billion to HUF 41.5 billion, with a significant contribution from the company's further expansion of sales to the United States in 2022, the establishment of a new subsidiary in Germany and the opening of a warehouse in Romania.

The largest revenue came from the sale of pools, with 6% more pools sold last year than in 2021. 

The operating result decreased by 69.2% to HUF 1.27 billion compared to 2021, down from HUF 4.1 billion the previous year.

The company continued to invest in its Ózd site (NE Hungary), which resulted in a 36.9% increase in depreciation and amortization compared to 2021. Production at the Ózd plant started in June 2021, and a 24,000 sqm warehouse was inaugurated in 2022.

Last year, the company laid off 300 workers from its plant in Dabas (southeast of Budapest) due to the adverse change in the economic environment. According to the annual report, the number of production workers was reduced by 74% by the end of 2022, which meant a 44% reduction in labor costs.

According to the annual report, the company will continue to adapt to the new economic environment this year, with strict headcount and cost control. To expand the market, a joint venture has been set up in the UK and a new exclusive showroom is planned to open in Switzerland.