„We have plans for strong growth this year, despite a slow recovery in the demand for furniture. Certain new markets opened up last year, and new trading partners in our existing top-selling countries – those in the Scandinavia and Benelux regions – will help us achieve this. Provided the world’s logistics chains are not disrupted by military actions in the Middle East, and if there is no new shock rise in the prices of raw materials, we expect double-digit growth,“ said Tomas Mauricas, the Head of Kauno Baldai, in a business forecast.
"Global demand for furniture is still stagnant and not ripe for rapid growth. This is due to interest rates not coming down from their highs, with a flattening property market and inflation still having their impact on buyer sentiment. However, the market has remained robust, and Kauno Baldai has grown in double digits this year; something achieved by taking advantage of the latest factory model, and we of course have an ambitious team to thank as well. We have been actively expanding our customer base through our participation in major exhibitions, in which we have been presenting 9 new collections of our furniture", said Tomas Mauricas, the head of Kauno Baldai.
„We are currently going through an unfavourable economic cycle, with a slowdown not only in furniture but also in other manufacturing businesses. The real estate market, which is directly linked to the furniture trade, has also slowed down due to higher interest rates. The economy has cooled down worldwide, but there are positive signs. In recent months, sales have stopped falling and have stabilised, which means that we may be bouncing back from the bottom. But the recovery will not be sudden. We forecast that we will see stronger growth in the beginning or middle of next year“, – says Raimonda Kižienė, the head of SBA Home, which unites 4 furniture manufacturing companies in Lithuania.
„Increased inflation, higher interest rates and lower consumer expectations have already slowed down furniture sales on the world markets since the beginning of the year. This was felt in the form of lower orders. Activity in real estate markets, on which furniture sales depend, is still subdued and general inflation is not falling, so buyers are in no hurry to open their wallets for major purchases. But with an ambitious team, we are looking for ways to boost sales. For example, we have shortened the lead time for our customers several times – in the new factory, we now produce a batch of furniture in just 4–5 weeks,“ says Tomas Mauricas, the head of Kauno Baldai.