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Romanian cosmetics maker Farmec to invest 14 mln lei (2.8 mln euro) in 2021

Romanian cosmetics maker Farmec to invest 14 mln lei (2.8 mln euro) in 2021 Farmec CEO Mircea Turdean Source: Farmec

BUCHAREST (Romania), August 30 (SeeNews) – Romanian cosmetics producer Farmec said on Monday that it plans to invest a total 14 million lei ($3.35 million/2.84 million euro) this year, double the 2020 amount.

The company is investing in expanding its portfolio, launching new products, enhancing the distribution network, and in digitalisation of its operations, it said in a press release announcing its half-year financial results.

"We aim to maintain our position on the cosmetic and personal care products’ segments and continue to grow our house cleaning and disinfectants product lines through sustained investment, as well as expand our online and international presence," Farmec CEO Mircea Turdean said.

Farmec posted a turnover of 135 million lei in the first half of 2021, slightly higher than the same period of last year. The result was boosted by sales in the face care and cleaning categories, whose total volume represented approximately half of the turnover, achieved in the January-June period.

The categories with the highest growth in sales were sun-care, professional, and make-up products. Some products in Farmec's sun-care range recorded individual increases of over 35%, due to
relaxation of COVID-19 measures and increasing consumer mobility, reaching the sales volume registered in 2019, during pre-pandemic period.

Sales in the face care category reached 32.5 million lei, 11.5% higher on the year, while cleaning products recorded sales of 27.1 million lei, up by an annual 13.1%.

In June, Farmec announced that it invested 500,000 euro ($605,700) in biocides production last year. The investment was mainly directed to product research, testing and approval in order to set up the production of biocides for personal and medical use.

Farmec is headquartered in the northwestern city of Cluj-Napoca, where it has a production plant with over 600 employees. The company's local network of stores comprises eight Farmec stores, 20 Gerovital stores and two franchise stores.

Farmec products are present in over 30 markets, the biggest being Japan, Hungary, Greece, North Macedonia, Moldova, UAE, Iraq, Kuwait and Canada.

In 2020 Farmec's turnover rose 9.7% to 287.9 million lei.

(1 euro=4.9349 lei)