TechnomarketDomo (TMD), the second-largest electronics and home appliances retailer on the Romanian market reported a 21% sales decline in the first half of the year from the 94 million euros recorded in the similar period of last year.
The company also boosted its market share by 5%, to 24%, according to the report published on the London Stock Exchange by TMD's majority shareholder, Equest Investment Balkans (EIB) investment fund.
Based on data from this report, i.e. Domo's market share - 24% and the 74 million-euro sales posted in the first half of the year, the Romanian electronics and home appliances market amounted to 308 million euros, with 65% of sales being generated by retailers Altex, Domo, and Flamingo, while the rest were made through independent stores, cash & carry networks and supermarkets.
In the first half of the year, Altex sales were down 50% against the similar period of 2008, while Flamingo reported a 45% sales decline, to 44.5 million euros.
According to a survey by market research company GfK, the Romanian electronics and home appliances market posted sales worth 664 million euros in the first half of the year, but the figure also includes office and telecommunications equipment retail.
""The first half of 2009 has witnessed a continuing downturn in the economies of South East Europe and EIB has not been immune to the momentum of this setback. Despite this negative environment, the company has held to its strategy of concentrating its operations on TechnomarketDomo and on maintaining progress with the required disposals of non-core assets to meet debt repayments," said Ian Schmiegelow, non-executive chairman of EIB.
EIB investment fund, with operations in Romania, Bulgaria, Serbia and Montenegro, ended the first half of the year with 12.7 million euros in losses and a 9% turnover decline, to 239.5 million eur
