Allied Plastics Inc., a Twin Lakes-based plastic thermoforming company, has experienced significant growth in recent years, in large part because of a shift in business from packaging to OEM (original equipment manufacturer) work.
Allied Plastics Inc.
Address: 150 Holy Hill Road, Twin Lakes
Industry: Plastic thermoformer
Annual revenue: $21 million
Number of employees: 110
The company has added 48 employees this year after adding 27 last year. Revenues are up 30 percent this year after a 30 percent increase last year. The company, which is owned by Tim Neal and Steve Wieder, bakes plastic sheets and then vacuum-forms them onto a mold to make its products.
“We made the decision a few years ago to kind of change our business,” said Tom Jankowski, chief financial officer. “We were heavier on the packaging side and lighter on the OEM side.”
A few years ago, the company did about 55 percent of its work for packaging products and about 35 percent for OEM.
“We wanted to flip that,” Jankowski said.
Today the company does about 55 to 60 percent of its work on OEM and 30 to 35 percent on packaging.
“We were able to make the change and added some nice business on the OEM side,” Jankowski said.
OEM is more appealing because it is more steady and predictable work than packaging, Jankowski said.
“(OEM is) repetitive once you get your tooling set up,” he said.
The company is planning for future growth. Revenues could increase from $21 million this year to $30 million next year and the company is considering plans to add a second facility, Jankowski said.
