2020 04 21

Press Release

Mitnija: Record sales in 2019, but drop expected this year

In 2019, Mitnija’s consolidated sales amounted to EUR 109 million, 2 percent more than the EUR 107 million that the company received in 2018. That is the best total in the company’s history. Mitnija received all revenue from its core business – construction services.

In 2019, almost EUR 92.2 million (85 percent) of revenue came from construction orders in Lithuania. Another EUR 16.8 million (15 percent) came from construction projects in the United Kingdom and Latvia. Almost all revenue (99.6 percent) was received from private clients.

Julius Gendvilis Mitnija 2019 01 scaled - Mitnija: Record sales in 2019, but drop expected this year

Mitnija predicts that the construction sector will be unable to avoid economic contraction as a result of the COVID-19 virus pandemic. For this year, the company expects its revenue to be 10 percent lower than in 2019.

Mitnija’s CEO Julius Gendvilis says that restricted economic activities and diminished confidence due to the global pandemic affect many businesses throughout the world, leading to decreasing demand and investments.

“At this point, it is difficult to say how significantly and for how long the pandemic will affect our business. This will depend on the measures taken by the European Union and the Lithuanian government to stimulate the economy and the actions of financial institutions, as well as other businesses and investors. We are successfully building our existing projects and effectively managing related risks, but we are concerned about new orders. We suspect that, due to the lack of confidence in the markets, some of the projects that were planned for this year will be either postponed to next year or will not be developed at all, and that the investments of the Lithuanian government may be delayed.

“I believe it is important to all of us to overcome our fears and doubts, continue our businesses and plan further activities and investments. Of course, people’s health is of the highest priority, and we must act carefully. But it is no less important for all businesses and public authorities to be active, responsible and united,” Mr. Gendvilis said.

S7 Laimonas Ciūnys 6 - Mitnija: Record sales in 2019, but drop expected this year

Currently, Mitnija is constructing Vilnius Business Garden, an office park for the international property developer Vastint Lithuania; the fourth stage of the S7 business center for the property developer Galio Group; the shopping and entertainment center Vilnius Outlet for Ogmios Group; a business and public complex in the newly developed Paupys district in Vilnius’ Old Town for the property developer Darnu Group; the Moxy hotels in Kaunas and Milton Keynes, southern England; as well as other projects.