Q3 2017 in TIM Capital Group: record turnover, profits in the logistics company. Another record – in October!
For the first time in history, the revenue from sale earned by TIM Capital Group, after three quarters already, exceeded PLN 0.5 billion and amounted to PLN 515.1 million. TIM alone recorded profit: from sales, operating profit, gross and net profit. 3LP logistic company generated profit on sale and operations in Q3 2017 . 15% of its revenue already comes from outside of TIM Capital Group.
The consolidated turnover increased in relation to the period of quarter I-III 2016 by 6.2%, and the unit turnover – by 4.8%, to PLN 471.9 million. The share of the online channel in the TIM SA revenue from sales is still gradually growing. In the first nine months of 2017, it was 71% in relation to 70% in 2016 and 67% in 2015.
“The success of our hybrid sales model and the better and better situation in the construction industry have resulted in the best quarter ever in terms of turnover. We are also happy about almost PLN 1 million (PLN 974 thousand) of net profit achieved by TIM SA after 9 months of 2017. This is a consequence of both our business model and the maintenance of cost discipline, “comments Krzysztof Folta, the President of TIM SA Management Board.
While the last months in TIM SA were primarily the time of refining and adjusting the operating model, in 3LP SA it was the period of dynamic development. At the beginning of the third quarter of 2017 was the first anniversary of the logistics company operating as a logistics centre operator in Siechnice near Wrocław. The company specializes in the support of e-commerce and constantly acquires customers from the outside of TIM Capital Group. Already, 15% of its revenues come from external business partners. Ultimately, it will be 30-50%. The newly acquired clients include one of the largest e-sellers of tires and car accessories in Poland and Europe as well as an international online distributor of dietary supplements which sends orders from Siechnice to 12 countries of the European Union.
“Already, just one year after 3LP started operating, the company generated positive net cash flows from operations in three quarters of 2017, and in the third quarter of 2017 alone it recorded profit on sales and operations”, notes Piotr Tokarczuk, a member of the management board and financial director of TIM SA. “What is important for us, positive net cash flows from operating activities were achieved at the consolidated and individual level. They amounted to PLN 4.3 million in TIM SA Capital Group and PLN 5.3 million in TIM itself”, added Piotr Tokarczuk.
3LP SA undergoes the optimisation process of the recently launched shuttle warehouses, one of the largest in Europe, with a capacity of almost 52,000 containers underway. The value of this investment amounted to PLN 22 million. October 2017 is better by 1/4 than the previous one.
Preliminary estimates show that in October 2017 TIM SA turnover was higher by as much as 24.2% than the results achieved a year earlier and amounted to PLN 66.9 million. Considering online sales only, the increase is even bigger – 26.3%, to PLN 48.2 million. The share of e-commerce in the total turnover of TIM in October exceeded 72%.
Sales revenues of TIM SA after 10 months of 2017 amounted to over PLN 540.7 million (increased by 6.8% y / y), while the turnover generated in this period through the e-commerce channel – PLN 385.1 million.
“The sales results achieved by TIM in October confirm the growth of investments in Poland. I am particularly pleased with the dynamics of sales in the online channel. Our change of the sales model implemented three years ago is bringing effects”, says Krzysztof Folta. ‘I hope that this is just the beginning of sales growth and a good sign for the future. The years to come will be the time of success for TIM and the entire electrotechnical sector”, he predicts.
See the consolidated quarterly statement >>
See current statement no. 39/2017 >>