The analysis of the results by respective service types shows that in 2012 all business units in the Impel Group enjoyed an increase in revenue from sales. The two largest business units – Facility Management (cleaning services and technical maintenance of facilities) and Security in 2012 achieved sales of PLN 683.5 million and PLN 443.5 million, respectively. The highest revenue growth rate (by 31%) was recorded by the Distribution BU, whose sales totalled PLN 290.5 million.
Grzegorz Dzik, President of Impel S.A., emphasises that ‘Our results, particularly in the Security, reflect the market situation. At present, the biggest problem in our business sector is posed by the lowest price imperative, sanctioned by the Public Procurement Law in its current version. The principals do not exercise – often for fear of inspection authorities – the rights granted to them by Public Procurement Law. Thus, the lowest price still remains a problem, although the Law provides for, and the Public Procurement Office even recommends to take also account of other criteria for bid assessment, related to the subject matter of the order. Thence, a question arises how to rectify this situation quickly. It seems that the development of commonly binding good practices and recommendations for awarding authorities by the President of the Public Procurement Office – or even imposing on him the statutory obligation to do so – would have a favourable impact on the quality of tenders. Another example of the failure to take advantage of the possibilities offered by the Public Procurement Law is the prohibition to make amendments to the agreement concluded under the public procurement regime during its term – commonly known Art. 144 of PPL. The principal may provide for such list of changes in the Terms of Reference, but in practice it is not done. The social and economic consequences are equally severe in this case – entrepreneurs and employees incur the costs of changes in the law or macroeconomic transformations that could not have been foreseen during the tender proceedings. This mechanism not only impairs competition, but also becomes the reason for layoffs, growing unemployment and company bankruptcies. The resolution of this problem – in the country’s present economic situation – becomes an urgent task for the legislator. The expected solution should consists in introducing to PPL a provision on the obligatory adjustment of agreements for newly passed legal regulations, tax rates or increases in minimum wages. Undoubtedly, in the domain of public procurement we face the situation where making amendments to PPL has become a necessity – and, as evidenced, the scale of required changes is not excessive. It can be stated that a small legislative step should be taken, which will be a huge leap for the whole public procurement system: state and self-government institutions, entrepreneurs and, predominantly, for a large group of employees.’
In 2012, in the Facility Management segment we focused on building synergies and market opportunities and worked out the details of development perspectives for new products.
Wojciech Rembikowski, Vice President of Impel S.A., added that ‘One of the crucial areas of our strategy is the development by making acquisitions. Subsequent takeovers are one of the ways of maintaining our growth rate and competitive advantage on the Polish market of outsourcing services. The acquisition of Climbex, which was incorporated in the structure of the Facility Management segment, enabled us to offer new services, including the cleaning of industrial installations, i.e. the vacuum loading and conveying of powdery and hazardous materials, vacuum cleaning of industrial facilities, etc. The company makes use of innovative technologies, and therefore this type of services opens up tremendous opportunities and supports development. The Company’s Clients include energy companies, metallurgical plants, entities representing the petrochemical industry and cement mills. In 2012, Impel Business Solutions launched an integrated service, combining personnel and payroll, personnel consulting and temporary work in the HR area and finance and accounting, outsourcing of accounting and tax advice in the FI area. This is a highly specialised product for which we have high hopes. We are prepared to provide comprehensive services in these areas and their quality is guaranteed by the experts and specialists representing respective fields and cooperating with the Impel Group for many years.’
The Impel Group’s priorities for the current year’s activity include the further strengthening of competitive position, improvement in achieved margins and maintaining the leadership position on the Polish market of services.
Wojciech Rembikowski, Vice President of Impel S.A., says, ‘We achieved the highest revenue growth rate since we started to be listed on WSE and we would like to retain such upward trend with the annual growth dynamics of about 14%. The biggest impact on the results produced in 2012 was exerted by withdrawals from unprofitable contracts and the high costs of acquisitions in the Security segment. In addition, a drop in 2012 EBIT resulted from the operation of external factors such as an increase in the minimum wages to PLN 1,500, i.e. by 8.2% (as of 1 January 2012), a reduction in subsidies to the remuneration of employees with moderate disability (as of 1 January 2012 and as of 1 July 2012) and an increase in the disability pension contribution by 2%, payable by the employer (as of 1 February 2012). However, we run our business on a large scale, the largest one on the Polish market, so the fact that the revenue growth level could be maintained evidences the established position of our Group. In 2013, we do not expect any changes for worse in the legal environment, resulting from amended regulations, and, therefore, the negative factors which appeared in 2012 will not have any influence on the results in the current year.
We are convinced that after a positive decision taken by the Office of Competition and Consumer Protection on the takeover of Brink’s C.L. Polska we will be able to definitely improve our position in cash handling. The strengthening of our position in the sector of cash transport and counting represents another step towards market consolidation, which opens up an opportunity for growth.’