Hungary: BauMax Magyarorszags Turnover Reaches HUF 35 Billion, Expansion Planned

9. März 2007, 00:00

BauMax Magyarorszag, the Hungarian arm of Austrian do-it-yourself store chain Baumax, generated a turnover of HUF 35...

BauMax Magyarorszag, the Hungarian arm of Austrian do-it-yourself store chain Baumax, generated a turnover of HUF 35 billion in 2006, increasing its revenues by 7.7 per cent y/y, news portal mfor.hu cited CEO Harald Mörtenhummer as saying.

Despite the modest growth rate of the Hungarian economy, BauMax plans to expand its floor-space by 50 per cent till 2010, Mörtenhummer said. In the next three years, the company plans to increase the number of stores to 20 from the present 14, he added.

New stores will be set up in Budapest, Pecs, Miskolc and Szombathely, and the president of the holding estimated the construction cost of a store EUR 8.5 million on the average.

Austrian-based Baumax has been present in Hungary since 1992 achieving 23-per-cent share in the do-it-yourself market with 85,000 sq meter floor-space. The Hungarian sales make up of 11 per cent of the holdings total revenues.

Baumax has units in Austria, Hungary, Slovenia, Croatia and the Czech Republic.

Martin Essl, President-CEO and owner of BauMax holding, said the company wants to launch its activity in the Bulgarian market next year and it plans to set foot on the Turkish market by 2009. In addition, there are some studies in the pipeline on new business opportunities in Ukraine and in the former member countries of Yugoslavia.

Moreover, the firm will start intensive construction of new stores on the existing markets and as a result 169 BauMax stores will operate at least in eight countries, he added.

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