Rem thus failed to exceed its record business result from 2016, but posted the second best result in its history, according to its director Igor Kastelic.

Kastelic attributed this to lower demand for modular residential units in Germany, which Rem was supplying with residential containers for asylum centres during the migration crisis. The other reason was more expensive raw materials.

Kastelic expects sales to grow by 5% this year and profit to roughly match last year's.

Rem exported last year almost 80% of its output, totalling EUR 22.6m, which was a slight increase on 2016.

While exports of modular residential units to Germany have been dropping, Rem has increased the sale of modular buildings for kindergartens and schools in this country.

Last year, it built 15 schools and kindergartens in Germany, its biggest market, followed by Switzerland, Austria and Hungary.

Other export markets are also Scandinavian countries, Benelux, the UK and others, while the company is also eyeing France.

This year, the company, which has 150 employees and some 65 temps, started marketing more demanding, low-energy, modular buildings.

It is also expanding its production facilities at the Trebnje industrial area, where it is seated.

A 20,000 sq. metre factory is to be completed next May and should create 40-60 jobs. The investment comes after Rem built a new production facility in 2016 and added a warehouse to it in 2017.

Rem is one of the fastest growing companies in the Dolenjska region, south-east, and received the Silver Gazelle as the second-fastest growing company in Slovenia in 2016.