Investments by GRIGISKES AB resulted in the turnov

Vilnius, Lithuania, 2013-10-23 08:36 CEST (GLOBE NEWSWIRE) -- The Company informed, that according to the unaudited data, during nine months of 2013, the Group consisting of GRIGISKES AB, Baltwood UAB, Klaipedos kortonas AB, Mena Pak PAT, and Klaipeda recycling UAB achieved the consolidate sales turnover of LTL 244.5 million (EUR 70.8 million). It is LTL 25.7 million (EUR 7.5 million) or 11.8% bigger than during the same period in 2012.

During the above-mentioned period, the Company's sales amounted to LTL 108.5 million (EUR 31.4 million), which is LTL 27.2 million (EUR 7.9 million) or 33.5% more than during the same period last year.

The growth was achieved at the result of the investments made in 2012 and sales development in 2013.

Following the acquisition of new lines for paper handkerchiefs and household products production in 2012, the Company has been rapidly increasing its sale volumes in 2013. GRIGISKES AB experienced 36.9% growth of hygienic tissue sales during nine months of this year. The latter result was achieved following active sale promotion of GRITE trademark household products on both domestic and export markets: the products are sold in Denmark, Poland, Lithuania, Latvia, Estonia. The sales of GRITE PROFESSIONAL increased by 22.9% during the same period.

At present, the Company has a paper production machine of LTL 53 million value under construction, which upon completion will produce raw material for the paper converting lines available in the Company, which manufacture consumer products. Furthermore, with the help from the Cohesion Fund, the Company has a new 10 MW capacity bio boiler house costing LTL 12 million (Project No. VP3-3.4-?M-02-K-02-020) under construction, which will supply thermal energy to the new paper production machine and also cheaper heating for Grigiskes residents.

Corrugated cardboard unit of the Company is enjoying similar success, planning to manufacture approximately 70% more packaging products in 2013 than in 2012. This result is feasible due to the investments made in 2011-2012. The last year witnessed the absorption of new technologies, while the current year will represent the year of the development of the range of products manufactured by new production lines. Substantial attention is focused on products quality improvement, processes optimisation, productivity increase by applying LEAN methods. Continuous staff qualification improvement motivates fulfilment of this year's plans and pursue of no less ambitious goals in the future. Personal attention to individual customer's needs allows offering the optimum solutions.

Subsidiary company Klaipedos kartonas AB boasting same successful operations is making investments into the machinery. Having secured support from the Cohesion Fund, the company already has a new modern 17.5 MW capacity bio boiler house of LTL 18 million value (project No. VP3-3.4-?M-02-K-02-003) under construction. This project is expected as early as in 2014 to provide the company with up to 100% green energy to be generated through incineration of wood waste purchased. Furthermore, additional machinery modernisation projects planned to be implemented in the next few years will allow reduction of thermal energy costs by 10% each year. This will make the company based in the seaport town to work even more efficiently and profitably.

"All companies of the Group are successfully improving their production and management processes, making ambitious investments, increasing profitability. All these actions will allow us to offer higher dividends per share to the shareholders in the nearest future", the President of the Company Gintautas Pangonis shared his joy about the Group's performance.

         Gintautas Pangonis          President of GRIGISKES AB          (+370-5) 243 58 01