The turnover of SIA “Domenikss”, the official representative of Mercedes-Benz and Mitsubishi Fuso in Latvia, last year was 37.756 million euros, which is 17.8% less than a year earlier, but the company’s profit increases by 47.6% – to 1,569 million euros, according to information “Firmas.lv”.
According to the company’s annual management report, the decline in Domenikss’ turnover is due to the impact of the Covid-19 pandemic, when retail sales of cars and vans in the country as a whole fell by 26%, while the truck segment fell by 36%.
Benita Danilenko, chairman of the board of Domeniks, told LETA that the year had ended very successfully for the company, despite the fact that it was one of the most challenging in the history of the automotive and retail industries.
“The result was achieved thanks to strategic management decisions, financial cost discipline, extensive work to improve efficiency, as well as the team’s ability to quickly adapt to work in the new conditions, ensuring consistently high quality of service,” said Danilenko.
Representatives of the company also noted that car dealers, including Domeniks, started the year 2020 with quite large stocks in warehouses, and this has led to fierce price competition in the market in the fight for the buyer.
“Domenikss board member Arta Biruma stated that during the week the company’s board in cooperation with the council developed a crisis plan, which was focused on three main areas – income-expense balance, receivables control and precautions to protect the team from Covid-19.
“We focus on ensuring the full range of precautionary measures announced in the country in work premises, changes in work organization and prevention of congestion in confined spaces. Some of the security measures in Domeniks were similar to other companies – priority was always given to background factors coffee, how to change clothes, where and how we can disinfect our hands, but some of the measures were industry-specific, such as disinfecting the customer’s car interior, both light and long-distance, before service or maintenance. “the company ‘s operational performance throughout the year, but also significantly improved its operational efficiency, which resulted in increased profitability,” said Biruma.
This year, Domenikss intends to continue its growth in the Latvian market by presenting several new car models to the market, as well as implementing several strategic growth projects. Domenikss truck sales and service center for Mercedes-Benz trucks and buses, Fuso trucks and Setra buses will soon start operating in Sauri.
In 2019, Domenikss had a turnover of 45.947 million euros and a profit of 1.063 million euros.
The company “Domenikss” was registered in 1997 and its share capital is 3.738 million euros. “Domenix” belongs to Danilenko.
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