Brick and Tile Plant, 150,000 MT/Year Capacity, Fully Automated

Description

  1. Inventory
    1. Inventory number: E-7313
  2. Brick Plant Overview
    1. Brick plant is the most modern available in the southeastern European region.
    2. Actual production was 120,000 mt/year.
    3. Capacity was 150,000 mt per 300 working days.
    4. Production line was fully automated and final product was of very high quality standards.
  3. Roofing And Floor Tiles Plant Overview
    1. Roofing and floor tiles plant is the most modern available in the southeastern European region.
    2. Actual annual production was 37,000 mt/year.
    3. Plant was capable of producing a very large range of tiles of exceptional quality.
    4. High standards of quality were achieved by the use of final class raw materials making the best use of very good equipment.
  4. General Condition Of Machinery And Equipment
    1. The plants employ European technology and the manufacturers of the equipment are considered the best internationally.
    2. All the equipment is in good working order and considered reliable and up-to-date for this type of manufacturing.
  5. Introduction
    1. The analysis is based on certain assumptions, related to the relocation of the plant in low wage countries of the southeastern European area.
    2. Data of costs are relevant to this area of Europe and represent average costs for this field of manufacturing.
  6. Parameters
    1. Brick type/size: 16x25x40 cm.
    2. Brick weight: 12 kgr.
    3. Sales price: 0.36 to 0.46 € per piece or 0.034 to 0.038 € per kgr.
    4. Production: 400 mt/day x 30 days = 11,000 mt/month.
    5. Work period: 11 months.
    6. Production: 122,000 mt/year.
    7. General administration: 5,000 €/month.
  7. Monthly Costs
    1. Electricity: 180,000 x 0.073 = 13,000 €.
    2. Fuel: 35 kgr/mt x 0.38 = 140,000 €.
    3. Maintenance: 10,000 €.
    4. General administration: 5,000 € or 15 employees.
  8. Revenues – Per Month / Per Annum
    1. Sales revenue per month: 11,000 mt x 0.034 = 374,000 € or 11,000 mt x 0.038 = 418,000 €.
    2. Net profit per month: 189,000 € or 233,000 €.
    3. Net profit per annum: 189,000 x 11 = 2,000,000 € or 233,000 x 11 = 2,500,000 €.
    4. Minimum cost per unit: 0.0168 €/kgr x 12 kgr = 0.20 €/piece.
  9. Conclusions
    1. From the previous brief analysis of costs and benefits it can be deduced that the brick factory would yield a net benefit per annum of euro 2,000,000 to euro 2,500,000.
    2. If a similar calculation were to be carried out for the roof tiles, an additional net benefit of euro 500,000 would result since tiles have a higher profit margin normally than bricks do.