of total sales of the Extruded Products Segment is exports
13 extrusion presses, including 8 presses for soft alloys and 5 presses for hard alloys
The Extruded Products Segment (EPS) – represented by Grupa Kęty S.A. and its subsidiaries Aluform Sp. z o.o. in Tychy, Aluminium Kety EMMI in Slovenia, and Alupol LLC in Ukraine – is the largest manufacturer of aluminium profiles in Poland and counts among the top 10 press shops in Europe. No Polish company may compare with the production capacity of the EPS, which is 90,000 tonnes a year. The combined forces of Advanced Aluminium Products Plant (ZZPA) and AK EMII (a company in Slovenia) also surmount competition in profiles machining and surface treatment as well as the comprehensiveness and quality of services. With such potential, Grupa Kęty may increase the sales of aluminium profiles and components to the fastest-growing industries such as automotive, rail and air transport.
Aluminium profiles sales in 2019
The largest project completed in 2019 was the commissioning of a new line for the extrusion of hard-alloy aluminium profiles – a 36 MN indirect press. The press is intended solely for the extrusion of rods and simple shaped full cross-section profiles. Thanks to that the dimensional range and the sales volume of the products have increased significantly, and the lead time has shortened. In practice indirect extrusion is perceived as onerous, yet, the technology has been selected due to the perfect quality of rods manufactured by such presses. Full automation and auxiliary devices, such as a billet scalper, guarantee quality and performance. With such modern configuration, the indirect extrusion technology comes closer with regard to reliability and easiness of handling to the commonly applied direct technology.
For several years now the EPS has been consequently building its position of a major supplier in the prestigious sectors of hi-tech products. All the investment and sales activities of the Company focus on products which require speciality equipment, expert know-how, and compliance with restrictive quality procedures. Such assumed direction supports the development of the Company and maintenance of competitive advantage. A key role in the strategy is played by the in-house Research and Development Centre, employing professional staff and furnished with modern controls and instrumentation. The R&D Centre is a place where hundreds of standard tests are carried out every day to release products for delivery, but it also acts as scientific facilities for the innovative projects carried out by the EPS, including creation and implementation of new technologies, as well as application of technical novelties and inventions. In that regard, the R&D Centre activities in 2019 concentrated on:
- continuous extending of the assortment of sections used in the automotive industry and intended for crumple zone control and bodywork structures,
- manufacturing of new sections for the automotive industry in relation to additional equipping of the 35 MN press and commissioning of a new 28 MN press intended mainly for such products,
- production processes optimisation, consisting in laboratory testing of new parameters, e.g. thermal treatment, which results in the improvement of production performance and reduces energy consumption by the process.
The works have been carried out in cooperation with established scientific and research institutions, such as: the Light Metals Institute in Skawina or the AGH University of Science and Technology in Kraków.
With such business approach and performance of many R&D projects, Grupa Kęty may closely cooperate with renowned brands in the automotive industry and the transport sector.
Since 2019, the Extruded Products Segment has had a new website. The site was created based on modern software. It is fully responsive and available in three languages. The site serves image visualisation purposes and comprises all information about the company, including current job offers at the EPS and professional photos of the plant. The website complies with the contemporary e-design trends and is visually attractive.
In 2019 the demand for aluminium products on the markets in the region remained on a level similar to that in the previous year, which means that the production capacity of the Alupol LLC press was fully utilised all year round. The situation translated into the results of the Ukrainian plant, where despite a decrease in the processing orders by 1,000 tonnes, the EBITDA level assumed in the budget for 2019 was achieved.
For three years Alupol LLC has been providing production services to Grupa Kęty based on the so called ‘processing agreement’. Such relationship, particularly in the situation of increased demand, is favourable to both companies. Within the agreement Grupa Kęty transferred to Ukraine some of the orders from the overloaded presses in Kęty. That resulted in practically complete utilisation of the production capacity of the Alupol LLC’s press and execution of budget assumptions. Invariably, the major recipient of Alupol LLC aluminium profiles is the construction business, but the number of new customers from the local market has been growing in Borodianka along with the number of dies operated.
The Aluminium Kety EMMI company was acquired by the EPS in 2016. Inclusion of a plant providing advanced profiles machining and surface treatment in the organisational structure of the EPS puts the Segment at a completely different position on the market. The business activity of AK EMMI complies with the EPS strategy of building a strong brand sought for by the manufacturers of speciality aluminium products. On the other hand, a few years ago AK EMMI gained not only a new owner but mainly a partner ensuring the company development by way of financial and subject-matter support. The synergy has been beneficial to both companies.
AK EMMI turnover under the control of Grupa Kęty has been gradually increasing, with 2016 sales amounting to EUR 23 million and EUR 29 million last year.
AK EMMI customers include mainly white-goods (refrigerators, washing machines and similar products) manufacturers and furniture-making companies. However, last year the company attracted an established automotive recipient and entered with them in a contract for several-year deliveries of exposed car body parts. In 2019, AK EMMI implemented the IATF standards.