Balco Group has a strong position in balcony solutions with high quality and long durability.
The opportunities for continued growth, organically through new products, complementary solutions and selective acquisitions, are considered to be very large.
Balco's growth and expansion strategy is based on the fact that the growth potential in the Nordic countries is much greater than we had previously thought. Heavy investments were made to expand the sales organisation. Thanks to our sales model, educating customers about the alternative to traditional balcony renovation and expanding production capacity as the number of customer projects increases, we have been able to create our own market and grow significantly. The strategic decision to focus to a greater extent on the renovation segment and to reduce our exposure to new build has contributed to increased profitability and sharper focus.
Continued growth in existing markets
Balco Group’s offerings provide opportunities to continue to take market share from local players through our broad sales organisation and increased presence at mini-fairs. Every customer is unique, and since our products are tailored to the customer’s needs, local presence is important. To exploit the market potential in existing markets, we will continue to increase our exposure to the renovation segment and to key customers such as public sector housing companies and private property owners.
We help our customers in the transition to "green properties". Balco Group’s standard glazed balconies have a proven energy-saving effect of up to 30% and are in line with the EU Green Taxonomy. In addition, we offer complementary energy-saving measures to our customers. By reviewing the property's energy performance, we can suggest energy-saving measures such as installing solar panels and insulation. When a property achieves energy savings of over 30%, banks can offer green loans with lower interest rates and renegotiate other financing on more favourable terms.
Historically, Balco has grown organically, and the Company’s primary growth strategy remains organic growth. Acquisitions have been and will continue to be an important strategic complement, providing the opportunity to rapidly strengthen the presence in existing or new markets. We are in continuous discussions with various players about candidates for acquisition, and our target is to make between one and three acquisitions per year.