business

A Canadian company closes a factory in Poland due to rising costs

A Canadian company closes a factory in Poland due to rising costs

A Canadian company closes a factory in Poland due to rising costs

ABC Automotive Poland, a company belonging to ABC Technologies, part of the Canadian concern ABC Group, operates in Koninko near Poznań. The plant is to be closed definitively next year, reports Canadian Plastics.

The reason for the decision to liquidate the Polish factory is supposed to be a “dramatic” increase in costs media, transport, raw materials and labour.

The company is working with its customers to move production from its Koninko plant to the fourth quarter of 2023, it said in its quarterly report on November 11.

According to the company’s reports, its situation has not been good for years, and recently it has deteriorated even more, writes “Puls Biznesu”. In the financial year that ended on June 30, 2020, ABC Automotive Poland’s revenues fell by over 43%. and amounted to nearly PLN 34.7 million. At the same time, the company’s net loss increased from PLN 6.78 million in 2018/19 to PLN 15.59 million, i.e. by over 140 percent. The total net loss for the last five financial years exceeded PLN 47 million.

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