Record-high consolidated turnover (PLN 647.3 million, +6.8% y/y) and historically high consolidated EBITDA at the level of almost PLN 40 million (+67.1% y/y) are the best summary of the three quarters of 2019 in the TIM Capital Group. 

TIM’s turnover for 9 months of 2019 increased by 5.9% to PLN 583.3 million, which is also an unprecedented event in nearly 32-year history of the company. Almost 70% of this amount was generated by online sales. Despite high competition on the market, the result on sales recorded an increase by 155% to PLN 22.6 million mainly due to the percentage gross margin, higher by 1.98 percentage points as compared to the three quarters of 2018. As a consequence, the unit EBITDA recorded even higher dynamics than the consolidated EBITDA (+119% vs +67.1% y/y) and amounted to PLN 27.5 million.

Things are happening in Siechnice

For three quarters of 2019, TIM Capital Group generated net profit of PLN 14.2 million as compared to nearly PLN 11.7 million a year before. Unit net profit amounted to over PLN 18.2 million vs PLN 7.6 million for the period of quarter I-III of 2018.

– Of course, further dynamic growth of revenues from sales of TIM SA had a decisive impact on this net result. At the same time TIM Group’s operating costs were growing slower than in the previous year (by 4.5%) – says Piotr Tokarczuk, Board Member and Financial Director of TIM SA.

In the third quarter of 2019 alone, the logistics company 3LP SA, whose 100% shares are held by TIM SA, recorded a 24% increase in revenues mainly thanks to the cooperation with IKEA, as also to the expansion of the cooperation with the largest tire and automotive accessories distributor in Poland.

Consistency in pro-sales activities

TIM recorded a record-high third quarter but also the entire 9 months of 2019 in terms of turnover, despite the high basis of the previous year and the deteriorating economic situation noticeable in the falling dynamics of construction and assembly production, and the results of other distribution companies.

– The third quarter clearly demonstrated that we are getting detached from the market and exceeding, in October, for the first time in history, the level of PLN 80 million in monthly turnover was its confirmation. This is the result of the incessant work of the entire TIM and the consistency in the implementation of pro-sales activities aimed at the acquisition of new and increased loyalty of the existing customers – explains Piotr Nosal, Board Member and Commercial Director of TIM SA.

Dynamic growth in the sale of products used in photovoltaic installations requires being noted. TIM started building this product category already in 2018 and in the first half of 2019, using new sales models, communicated in the strategy for 2019-2021 (dropshipping), supplemented the product offer with missing elements. Thus buyers at TIM.pl gained access to a comprehensive offer for photovoltaic installations enriched with an appropriate knowledge base in this field.

– Full product offer, as also the dynamic growth of the demand in this segment stimulated by appropriate legal regulations and support in the scope of financing of such installations, resulted in the nearly 5000% sales dynamics of products for photovoltaic installations, calculated after the third quarter of 2019 as compared to January 2019 – adds Piotr Nosal.

See consolidated quarterly report >>