Grundfos to invest HUF 2.8bn to increase capacity in Hungary
Danish pump manufacturer Grundfos is to invest HUF 2.8bn to expand production capacity at its Hungarian units this year, business daily Világgazdaság said on Monday.
They plan to begin serial production of new products in 2012.
In addition to its two units in Tatabanya, set up in 2000 and 2002, the company established a large-capacity plant in Szekesfehervar four years ago, the paper reported.
The company spent HUF 4bn on investments in 2009 and HUF 2.5bn in 2010, expanding production capacity in Tatabanya, among other developments.
Employment at Grundfos Magyarország Gyártó, which makes pumps that are exported to 25 countries, fell from 2,000 three years earlier to 1,650 by the end of 2010 but is projected to grow to 1,900 by the end of this year.
Grundfos Magyarország Gyártó posted after-tax profit of HUF 6.5bn on sales of HUF 90.5bn in 2010.
The company's distributing unit which is also responsible for Bulgarian, Romanian and Moldavian sales, expects revenue from domestic sales this year will be level with last year's HUF 4.2bn, the managing director told the paper.
Grundfos set up Grundfos Shared Service Centre, servicing its 41 European distributing and manufacturing units, in Budapest last year.
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