German slowdown hits Mobicrasna

Satu Mare-based Mobicrasna SA, a maker of rustic furniture for the domestic and international market, saw its net profit in euros down by nearly one third and its turnover shedding 10%, after three years of profit growth. The downward trend of the financial indicators is mainly due to the slowdown in Gemany, the main outlet for its exports. "The demand for furniture dropped about 30% in Germany, where the recession was very serious. Furthermore, the summer season is slower anyway, because people spend their money on holiday trips and other goods, instead of furniture," Leon Grigore Gatina, Mobicrasna general manager told Ziarul Financiar. To alleviate some of the negative effects of the German slowdown, the company is trying to direct its imports to Northern markets such as Sweden and Norway, as explained by Gatina. Fir st half profit stood at about 150,000 euros, while turnover was worth 1.8 million euros, compared with the same time last year, when profit reached 220,000 euros and turnover 2 million euros. ZF