The first nine months of the year were poor for construction companies listed on the Stock Exchange, which saw a nearly 20% turnover decline. Producers of construction materials were not spared, either, with their turnovers down by around 4%.
Overall, the business of Stock Exchange-listed construction companies slipped by 11.4%, to 732 million RON (173 million euros), while the cumulated net results amount to a 1.52 million-RON (360,000-euro) net loss, compared with a 23 million-RON cumulated profit in the similar period of 2009.
The declines come after business in the sector saw a major contraction, by nearly 40%, with most companies budgeting revenue increases at the beginning of the year, expecting a rebound in orders.
The rebound did not, however, occur, with turnovers of construction companies pursuing their decline amid a drop in state infrastructure works and lessened purchasing power as a result of the austerity measures taken by the Government.
The construction sector has therefore recorded the biggest slump out of the major GDP components, with the gross added value in the construction sector down by 13.3% in the first nine months of the year against the similar period of 2009, according to data published on Thursday by the National Statistics Institute (INS).
The first nine months of the year were poor for construction companies listed on the Stock Exchange, which saw a nearly 20% turnover decline. Producers of construction materials were not spared, either, with their turnovers down by around 4%.
Overall, the business of Stock Exchange-listed construction companies slipped by 11.4%, to 732 million RON (173 million euros), while the cumulated net results amount to a 1.52 million-RON (360,000-euro) net loss, compared with a 23 million-RON cumulated profit in the similar period of 2009.
The decl
