Tuesday, 14th July 2020, Velenje

Measures in Gorenje already showing results: increased orders, June the first profitable month in 2020

Measures in Gorenje already showing results: increased orders, June the first profitable month in 2020

In recent weeks, the company has gained a larger number of orders for August, September and October. Increased orders are good news for the company and its employees and are the result of a number of timely measures took by the management to strengthen operations, adapt to the situation caused by the coronavirus pandemic, and to improve business results. All these measures have resulted in a positive turnaround, as June was the first profitable month this year.

Nevertheless, the half-year business result remains negative, and market conditions remain uncertain and volatile, both due to the economic consequences of the pandemic and the second wave of the Covid-19 pandemic. Neither the company nor the wider business environment has ever faced such unpredictable and rapidly changing circumstances, the duration of which cannot be predicted. Therefore, the company must continue to implement all measures to strengthen the business and continue to respond quickly to changes in the business environment.

The management of Hisense Gorenje has therefore decided that due to changed business circumstances in the production company Gorenje, d. o. o., we will be using soft methods to improve labour efficiency.

At the end of April this year, due to a sharp drop in orders and revenues as a result of the coronavirus pandemic and a consequent expected negative result in the first half of 2020, Hisense Europe Group adopted a series of crisis measures to mitigate revenue shortfalls, including redundancies in four companies in Slovenia. In the past two months, the management of Hisense Gorenje has been focused on increasing sales, accelerating online sales and e-commerce, and we are also changing business models, reducing costs and continuing to increase production efficiency.

All these operational changes are essential for the long-term survival of the company and for securing of jobs in the current unpredictable and entirely new coronavirus-related circumstances which the global economy is currently facing. The company is determined to keep the positive trend also in the future months by continuing to do the right things: focusing on customers, products and overall performance excellence.