The good level of profit was achieved mainly through a further increase in labour productivity and efficient logistics management of the production cycle. The great advantage of Farmet is the high level of its own production and the very low share of cooperation. Own production is very efficient and cheaper than cooperative production. The company can fully manage the technological development of its own production facilities and its effective management. The largest investment event in the company's history culminates in 2022. The production facilities were expanded with the building of a new hall, new efficient production technologies were acquired and the dynamic management and production planning system of FPS (Farmet production system) was further improved. This has led to significant cost savings in production operations. Therefore, despite the very unfavourable development of the purchase prices of materials, it was finally possible to keep the increase in selling prices to customers at an acceptable level comparable to the competition. The European Union, Africa and overseas markets were the main drivers of sales growth. Significant growth was also recorded in the domestic market, which maintained a long-term share of 15% of total sales. The structure of products sold is also changing. A larger share is now made up of more complex products and technologies, complemented by advanced digital control systems and comprehensive customer services. Achieving a reasonable level of profit is very important to Farmet. Ensures high financial stability of the company and enables further investment and development. Farmet steadily invests large sums in all areas of its activities. This makes it one of the most modern engineering companies in the world today. Not only the top devices in the production plant, but also the excellent research and development background are a guarantee of continuously increasing competitiveness.
Further development investments are being made this year 2023, mainly in further expansion of the production facilities. Currently, the building of a new logistics hall is being finalized, which will enable efficient supply of components from suppliers to production and assembly sites in the future, as well as a further significant increase in the volume of spare parts deliveries to customers. Additional efficient production technologies were also acquired to expand production capacity and further increase productivity. These include laser cutting and welding, welding robots, machining centres, etc. The aim is to increase the technological quality and production capacity of the plant in the context of growing demand in number of markets. Higher concentration and efficiency of production shall ensure that the high quality of production and very favourable prices for our end customers will be maintained.
Superior investments are also being made in the personnel area. Farmet has long offered existing and new employees above-standard financial compensation and regular wage indexation, which was also carried out this year. Along with a quality working environment and a range of employee benefits, Farmet is targeting further staff development for future expansion.
