Prec-Cast to create 300 new jobs
Sátoraljaújhely-based Prec-Cast Kft. will carry out a series of investments with a total value of EUR 300 million. The first phase of the development project is a new, 12,000-square-metre production hall. The foundation-stone laying ceremony of the new unit was held on Tuesday.
State Secretary for Foreign Affairs and External Economic Relations Péter Szijjártó said at the ceremony that as a result of the development project, 300 new jobs will be created by aluminium casts manufacturer Prec-Cast, one of the most important players of Hungary's foundry industry. The company, employer of 900, is an important supplier of Western European OEMs.
The new, 12,000-square-metre production hall will provide an adequate location for CNC machining and manual processes.
Szijjártó said that Prec-Cast Kft. is a quickly developing company, which managed to carry out development projects even during the crisis, achieving significant competitive advantage as a result. What's more, the Hungarian automotive supplier is a globally recognized company, he added.
Szijjártó reminded that earlier a long-term agreement was signed with the company's management, which included the construction of a logistics centre and the expansion of production capacity as a result.
Szijjártó added that Prec-Cast are satisfied with the operation of the Sátoraljaújhely plant, and are continuously expanding their export markets. 90 percent of the company's products are delivered to the most significant Western European OEMs.
He pointed out that the company is able to manufacture its products for a competitive price in Hungary, which then they sell on foreign markets. Szijjártó said that it seems that the automotive and electronics industries have found their way out of the crisis. He added that both sectors' order volumes are increasing, which is also good news for investors.
Prec-Cast's Sátoraljaújhely location boasts 57 aluminium die casting and galvanized casting machines. The plant manufactures special-purpose machines and tools. The company also has a location is Košice, Slovakia.
Prec-Cast Kft. have also signed a cooperation agreement with the Hungarian Investment and Trade Agency (HITA).
According to public company data, in 2012, the company booked an income of EUR 46.2 million, somewhat down from the EUR 48.7 million registered the year before. Export accounted for almost 80 percent of the company's income. The company, with a core capital of EUR 28.1 million and a subscribed capital of EUR 1.289 million, profited EUR 1.1 million in 2012, only marginally less than in 2011.
