Melgen boosts sales by 55% in 2022
For the same period of time in 2021, Merlgen Euro Designs, Inc. records its 2022 sales with a 55% increase
“We did well during the span of the pandemic. With everyone indoors, home improvement was seen as essential to accommodate the needs of each household member, whether it’s for work, school or personal space. Coming into 2022, when restrictions eased up and Merlgen’s operations went full blast, the sales shot up,” said Honeylet Lim, manager of the Merlgen.
Lim shared that their clients are pushing through with the residential projects, and these are new projects for a new home, not renovations. Merlgen has been tasked to fit homes with customized cabinetry—from kitchen to bedroom, living room to toilet and baths.
“Residences make up most of the projects with 40% of the total number. Condominium, hotel and restaurant projects make up the rest of the list with 20% each,” said Lim.
The company’s service reaches beyond the city borders. Merlgen’s track record has enticed clients from out of town going as far as General Santos, Koronadal, Valencia, Maramag in Northern Mindanao; Bangaga in Davao Oriental; and Agusan, southeast of Mindanao.
“Of our total projects, 30% are out of town,” said Lim, adding, “These areas are where families are building their rest houses. These, perhaps, are second homes or vacation homes, and even alternative addresses just in case a similar incident like COVID transpires in the future. It’s best to be ready, our clients confessed.”
Merlgen had to keep up with the high demand for their customized cabinetry orders, and make sure they adhere to their 45-day project completion.
“Even if our factory operations are in full blast and doing overtime shifts, the work force is not enough. Because of the boost in sales, we had to increase manpower. We added new employees for the production and installation teams,” said Lim.
The company’s manufacturing facility in Davao houses state-of-the-art machinery including the CNC (Computer Numerical Control) cutting machines, which ensure speedy and accurate results. The output of the two manufacturing plants guarantee that the demands are met.
“With the high yield of the CNC cutting machines, banding production has to be augmented as well. We also added additional edge banding machines this year.”
Edge Banding is the process of covering the raw and exposed sides of particleboard or wood panels with a thin strip of PVC or resinous material.
“The new addition of machines to the production line is a big help because it cuts the waiting time for the boards to undergo the edge banding process.”
At the rate Merlgen is going this year, what's the company’s forecast for 2023?
“At the rate we are going now, I think Merlgen will grow and will increase its sales in the coming years. This is due to the people’s awareness of the convenience of customized cabinetry. We are also planning to upgrade our material options to cater the latest trends in the market,” shared Lim.