FINANCIAL HIGHLIGHTS, 9 months 2007 - Net sales 844 million kroons, up 37% yoy - Retail sales 44% growth yoy - Comparable store sales 8% growth yoy - Gross margin 54.3% - Operating margin 6.4% - Net margin 4.6% - Store openings 20 - Sales area 45% growth yoy Chairman of the Management Board, Meelis Milder: “The adjustment period that followed rapid expansion in the second half of 2006 and in the beginning of 2007 is coming to an end. Compared with the pre-expansion results, first time this year we achieved a notably higher gross margin on an annual comparison in the third quarter (52.6% versus 48.7% in Q3 2006). Both comparable store sales growth of 19% and sales efficiency growth in September imply a strong year-end.” Baltika Group ended the first nine months of 2007 with net sales of 844.1 million kroons (53.9 million euros), a 36.5% improvement on a year ago. Retail and wholesale revenues increased by 43.9% and 1.6% yoy respectively. The period's gross margin was 54.3% and operating margin 6.4% (9m 2006: 53.3% and 9.9%). Operating profit decreased by 10.8% and net profit by 30.5% compared to the same period in 2006. Net profit for the first nine months of 2007 amounted to 39.1 million kroons (2.5 million euros) and the period's net margin was 4.6% (9m 2006: 9.1%). In the first nine months of 2007 Baltika opened 20 stores in five markets, increasing its sales area by 45% yoy. In the third quarter, the Group's net sales amounted to 308.1 million kroons (19.7 million euros), up 35.0% yoy with retail revenues expanding by 48.4% and wholesale revenues decreasing by 12.9% yoy. Q3 gross margin was 52.6% (Q3 2006: 48.7%) and operating margin 4.6% (Q3 2006: 9.5%). Q3 net profit was 8.8 million kroons (0.6 million euros) and net margin 2.8% (Q3 2006: 8.8%). SALES Sales by segment -------------------------------------------------------------------------------- | EEK million | Q3 2007 | Q3 2006 | +/- | 9m 2007 | 9m 2006 | +/- | -------------------------------------------------------------------------------- | Retail | 255.9 | 172.4 | 48.4% | 702.7 | 488.3 | 43.9% | -------------------------------------------------------------------------------- | Wholesale | 45.9 | 52.7 | -12.9% | 122.7 | 120.8 | 1.6% | -------------------------------------------------------------------------------- | Subcontracting | 5.7 | 0 | n/a | 14.2 | 0 | n/a | -------------------------------------------------------------------------------- | Other | 0.6 | 3.0 | -79.2% | 4.6 | 9.3 | -51.0% | -------------------------------------------------------------------------------- | Total | 308.1 | 228.1 | 35.0% | 844.1 | 618.3 | 36.5% | -------------------------------------------------------------------------------- EUR 1 = EEK 15.6466 RETAIL Compared with the prior year, retail sales for the first nine months grew by 43.9% amounting to 702.7 million kroons (44.9 million euros). Q3 retail sales grew by 48.4%. September was a particularly good month posting a 54% yoy increase. Comparable store sales grew by 8% in the first nine months and by 11% in the third quarter. The Group's average sales efficiency (sales per square metre) has decreased this year due to rapid expansion at the end of last year outside the Baltic countries. Compared with the prior year, the Group's average sales area increased by 55% in the first nine months of 2007. Sales efficiency is also affected by larger store formats. In the third quarter, sales efficiency decrease slowed down - in the first six months the Group's average sales efficiency fell by 10% and in the nine-month period the figure decreased by 7%. In the third quarter, Monton launched a new product group - footwear. In the first season, a limited range of footwear will be offered for testing and in the following season the full range will be available in Monton stores. The collection has been received very well by customers. In the first two months, the sales of footwear have considerably exceeded the expectations. Fast fashion brand Monton accounted for 55%, i.e., 387 million kroons (24.7 million euros) of the Group's retail sales for the first nine months of 2007, 52% up on the same period in 2006. Retail sales of Mosaic increased by 36% yoy to 220 million kroons (14.1 million euros) contributing 31% to the Group's retail revenue for the nine-month period. Retail sales of Baltman grew by 29% yoy to 67 million kroons (4.3 million euros) and sales of the Ivo Nikkolo brand, which was acquired in September 2006, totalled 18 million kroons (1.2 million euros). On a cumulative basis, the Group's largest retail market was Estonia in the first nine months of 2007, however, on a monthly basis Lithuania has surpassed Estonia this year on a few occasions. The fastest growth in retail sales took place in Russia, where the Group's sales area expanded the most during the past 12 months. Sales in Poland decreased due to the closure of inefficient stores but comparable store sales improved by 12% yoy. Starting from Q4, Polish sales will be comparable as the last closing in the market took place in September 2006. Retail sales by market -------------------------------------------------------------------------------- | EEK million | 9m 2007 | 9m 2006 | +/- | Percentage, 9m | | | | | | 2007 | -------------------------------------------------------------------------------- | Estonia | 176.3 | 133.1 | 32% | 25% | -------------------------------------------------------------------------------- | Latvia | 101.3 | 67.3 | 51% | 14% | -------------------------------------------------------------------------------- | Lithuania | 164.7 | 119.6 | 38% | 24% | -------------------------------------------------------------------------------- | Ukraine | 112.7 | 89.1 | 26% | 16% | -------------------------------------------------------------------------------- | Russia | 126.6 | 53.6 | 136% | 18% | -------------------------------------------------------------------------------- | Poland | 21.1 | 25.6 | -18% | 3% | -------------------------------------------------------------------------------- | Total | 702.7 | 488.3 | 44% | 100% | -------------------------------------------------------------------------------- STORES AND SALES AREA At the end of September 2007 the Group had 125 stores with a total sales area of 23,339 square metres. Compared with September 2006, the net growth of the retail system was 25 stores and ca 7,200 square metres as a result of which the sales area operated by the Group increased by 45% yoy. Number of stores by country -------------------------------------------------------------------------------- | | 30.09.2007 | 30.09.2006 | -------------------------------------------------------------------------------- | Estonia | 30 | 28 | -------------------------------------------------------------------------------- | Latvia | 14 | 13 | -------------------------------------------------------------------------------- | Lithuania | 30 | 22 | -------------------------------------------------------------------------------- | Ukraine | 21 | 18 | -------------------------------------------------------------------------------- | Russia | 25 | 14 | -------------------------------------------------------------------------------- | Poland | 5 | 5 | -------------------------------------------------------------------------------- | Total stores | 125 | 100 | -------------------------------------------------------------------------------- | Total sales area, m2 | 23,339 | 16,128 | -------------------------------------------------------------------------------- In the first nine months of 2007, the Group opened 20 stores including four which were relocated to larger premises. The largest number of stores - eight - was opened in Lithuania. Five stores were opened in Latvia and three in Russia. Two stores were opened in both Estonia and Ukraine. Three stores were closed. During this year, Baltika began expanding the Ivo Nikkolo brand to other Baltic countries. In addition to Estonia, two stores have been opened in Lithuania to date. According to plan, the Latvian market will be penetrated in 2008. In the fourth quarter of the year, the Group plans to open 2-4 stores taking the total number of stores to 127-129 by the end of the year. In addition, the Czech Republic will become a new market for Baltika in Q4 2007. A Monton store will be opened at the end of October in Palladium Centre in Prague. WHOLESALE Wholesale revenue for the first nine months of 2007 amounted to 122.7 million kroons (7.8 million euros) accounting for 15% of the Group's consolidated net sales and posting a growth of 1.6% yoy. In the third quarter, wholesale revenue decreased by 12.9% yoy. The decrease is expected being due to more conservative sales policy with the Russian wholesale partner. Baltika's largest wholesale client in Russia is a company that operates around 30 stores in the Siberia and Ural region that sell Baltika's brands. Baltika Group announced about downgrading the wholesale prognosis for 2007 together with the decisions of the Annual General Meeting in May. According to the estimate, wholesale revenue may possibly decrease up to 10% in 2007. EARNINGS AND MARGINS The Group's results this year are influenced by rapid expansion and longer than expected start-up periods of new stores when sales efficiency has not achieved the targeted level. Above all this has occurred in Russia, where the Group's sales area expanded the most - more than two times - during the past 12 months. The start-up periods of the new Russian stores are estimated to last up to 18-24 months. However, comparable store sales in Russia followed a positive trend, yielding a 5% growth rate for the first nine months of the year. A store is comparable if it has been open and has had an unchanged sales area both in the reporting and comparative periods. Baltic countries sustained strong growth throughout the first nine months. However, half-year sales in Russia and Ukraine were lower than expected due to lower sales efficiency and as a result the end of season inventory level in these markets was larger than planned. Thus, profitability was affected by deeper discounts provided for the disposal of inventories accumulated. The main discount period of the spring-summer collection is in July and August and hence the impact from the disposal of the first-half stock appears particularly in those months and overall in the third quarter results. Appropriate changes have been made in stock planning in order to achieve more accurate purchasing. The new season started well in September and strong results were achieved both in sales and profits. The Group's gross margin for the first nine months of 2007 was 54.3%, an improvement from 53.3% in 9m 2006. Q3 gross margin rose to 52.6% from 48.7% in Q3 2006. Nine-month gross profit amounted to 458.1 million kroons (29.3 million euros), a 39.1% improvement on a year ago. Distribution costs that include all store related expenses increase (9m growth 61.5%) in proportion to sales area. In addition, store operating expenses in Russia are higher compared to those incurred in the Baltics. The Group's expansion also requires additional staff at the head office and consequently administrative expenses rose by 7.1% yoy. Operating profit for the first nine months of 2007 amounted to 54.4 million kroons (3.5 million euros), a 10.8% decrease from a year ago. Operating margin for the respective period was 6.4% (9m 2006: 9.9%). Q3 operating margin was 4.6% (Q3 2006: 9.5%). In the third quarter, the Group earned 6.8 million kroons (0.4 million euros) from revaluation of property. To adjust the Group's structure, the Veerenni Street 24 (Tallinn) property was transferred from the parent company's balance sheet into fully owned subsidiary Baltika TP, the core business of which is real estate management. As a result of the transaction, the property was stated at fair value and the revaluation gain recognised under other operating income. In the first quarter, the Group earned one-off income of 16.2 million kroons (1.0 million euros) in connection with the divestment of building rights and a logistics centre. Altogether, operating profit for the first nine months includes one-off income in the amount of 23.0 million kroons (1.4 million euros). Financial expenses for the first nine months of 2007 totalled 7.9 million kroons (0.5 million euros). The largest share of financial expenses is made up of interest expenses which amounted to 6.5 million kroons (0.4 million euros), 66.6% up on the same period in 2006. Interest expenses have increased on account of growth in the borrowings and a rise in Euribor. Consolidated profit before income tax for the first nine months of 2007 amounted to 46.4 million kroons (3.0 million euros), a 22.2% decrease from a year ago. Net profit (after tax and minority interest) amounted to 39.1 million kroons (2.5 million euros). Compared with a year ago, net profit decreased by 30.5%. Net margin for the period was 4.6% (9m 2006: 9.1%). BALANCE SHEET At 30 September 2007, the Group's consolidated balance sheet total was 655 million kroons (41.9 million euros), a 20% increase yoy. Both assets and liabilities have increased in connection with expansion. At the end of September inventories stood at 222 million kroons (14.2 million euros), up 21% yoy. Inventory turnover ratio (net sales/average inventories) remained stable at 5.32 compared with a year ago. Trade receivables totalled 100 million kroons (6.4 million euros), posting a 14% growth on a year ago. Supplier payables grew by 1%, amounting to 87 million kroons (5.6 million euros) at the end of September. At 30 September 2007, the Group's borrowings totalled 188 million kroons (12.0 million euros), including bank loans of 151 million kroons (9.6 million euros). The remainder of borrowings was made up of bonds of 29 million kroons (1.9 million euros) and finance lease liabilities of 8 million kroons (0.5 million euros). The borrowings have increased by 28 million kroons (1.8 million euros) over the year. The Group's borrowings have increased in connection with investments made for the expansion of the retail system. At the end of September 2007, the Group's net debt (interest-bearing liabilities less cash and bank balances) to equity ratio was 53.0% against 57.0% a year ago. INVESTMENTS The Group's investments for the first nine months of 2007 totalled 82.1 million kroons (5.3 million euros). Investments in the retail business and information technology amounted to 58.0 million kroons (3.7 million euros) and 8.7 million kroons (0.6 million euros) respectively. Investments in production activities totalled 9.8 million kroons (0.6 million euros). In addition, the repurchase of a 50% stake in joint venture OÜ Baltika Tailor cost 5.6 million kroons (0.4 million euros). PERSONNEL At the end of September 2007, Baltika Group employed 1,964 (30 September 2006: 1,822) people including 978 (767) in the retail business, 776 (875) in production operations and 210 (180) in the head office. The number of people employed outside Estonia was 789 (603), i.e., 40% of all employees. The nine months' average number of employees was 1,980 (9m 2006: 1,741). The Group's employee remuneration expenses for the first nine months of 2007 totalled 143.5 million kroons (9.2 million euros). Payments made to members of the supervisory council and management board totalled 4.7 million kroons (0.3 million euros). KEY FIGURES OF THE GROUP (9 months 2007) -------------------------------------------------------------------------------- | | 30.09.2007 | 30.09.2006 | +/- | -------------------------------------------------------------------------------- | Net sales (EEK million) | 844.1 | 618.3 | 36.5% | -------------------------------------------------------------------------------- | Retail sales (EEK million) | 702.7 | 488.3 | 43.9% | -------------------------------------------------------------------------------- | Share of retail sales in net sales | 83% | 79% | | -------------------------------------------------------------------------------- | Number of directly managed stores | 125 | 100 | 25.0% | -------------------------------------------------------------------------------- | Sales area (m2) | 23,339 | 16,128 | 44.7% | -------------------------------------------------------------------------------- | Number of employees (end of | 1,964 | 1,822 | 7.8% | | period) | | | | -------------------------------------------------------------------------------- | Gross margin | 54.3% | 53.3% | | -------------------------------------------------------------------------------- | Operating margin | 6.4% | 9.9% | | -------------------------------------------------------------------------------- | EBT margin | 5.5% | 9.6% | | -------------------------------------------------------------------------------- | Net margin | 4.6% | 9.1% | | -------------------------------------------------------------------------------- | Current ratio | 1.8 | 1.6 | 12.5% | -------------------------------------------------------------------------------- | Inventory turnover | 5.32 | 5.34 | -0.4% | -------------------------------------------------------------------------------- | Debt to equity ratio | 56.8% | 59.8% | | -------------------------------------------------------------------------------- | Return on equity | 23.2% | 37.2% | | -------------------------------------------------------------------------------- | Return on assets | 11.4% | 19.6% | | -------------------------------------------------------------------------------- EUR 1 = EEK 15.6466 Definitions of key ratios Gross margin = (Net sales-COGS)/Net sales Operating margin = Operating profit/Net sales EBT margin = Profit before corporate income tax/Net sales Net margin = Net profit (attributable to parent)/Net sales Current ratio = Current assets/Current liabilities Inventory turnover = Net sales/Average inventories* Debt to equity ratio = Interest-bearing liabilities/Equity Return on equity (ROE) = Net profit (attributable to parent)/Average equity* Return on assets (ROA) = Net profit (attributable to parent)/Average total assets* *Based on 12-month average CONSOLIDATED INCOME STATEMENT (unaudited, in EEK thousand) -------------------------------------------------------------------------------- | | Q3 2007 | Q3 2006 | 9m 2007 | 9m 2006 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | 308,056 | 228,113 | 844,099 | 618,317 | -------------------------------------------------------------------------------- | Cost of goods sold | -146,024 | -116,912 | -386,023 | -289,050 | -------------------------------------------------------------------------------- | Gross profit | 162,032 | 111,201 | 458,076 | 329,267 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Distribution costs | -134,594 | -84,018 | -379,604 | -235,038 | -------------------------------------------------------------------------------- | Administrative and general | -13,961 | -12,601 | -39,314 | -36,692 | | expenses | | | | | -------------------------------------------------------------------------------- | Other operating income | 5,971 | 7,451 | 22,552 | 7,609 | -------------------------------------------------------------------------------- | Other operating expenses | -5,364 | -432 | -7,345 | -4,206 | -------------------------------------------------------------------------------- | Operating profit | 14,084 | 21,601 | 54,365 | 60,940 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Financial income (expenses) | -3,634 | -556 | -7,936 | -1,284 | -------------------------------------------------------------------------------- | Share of joint venture results | 0 | 0 | 0 | -234 | -------------------------------------------------------------------------------- | Gains from other investments, | 0 | 304 | 0 | 1,890 | | net | | | | | -------------------------------------------------------------------------------- | Interest expenses, net | -2,303 | -1,635 | -6,470 | -3,884 | -------------------------------------------------------------------------------- | Foreign exchange gains, net | -1,326 | 196 | -1,389 | 483 | -------------------------------------------------------------------------------- | Other financial expenses, net | -5 | 579 | -77 | 461 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Profit before income tax | 10,450 | 21,045 | 46,429 | 59,656 | -------------------------------------------------------------------------------- | Income tax | -20 | -308 | -4,912 | -2,891 | -------------------------------------------------------------------------------- | Net profit | 10,430 | 20,737 | 41,517 | 56,765 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net profit attributable to | 8,763 | 20,033 | 39,130 | 56,302 | | equity holders of the parent | | | | | | company | | | | | -------------------------------------------------------------------------------- | Net profit (loss) attributable | 1,667 | 704 | 2,387 | 463 | | to minority shareholders | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Basic earnings per share, EEK | 0.47 | 1.13 | 2.10 | 3.15 | -------------------------------------------------------------------------------- | Diluted earnings per share, | 0.47 | 1.11 | 2.10 | 3.07 | | EEK | | | | | -------------------------------------------------------------------------------- CONSOLIDATED INCOME STATEMENT (unaudited, in EUR thousand) -------------------------------------------------------------------------------- | | Q3 2007 | Q3 2006 | 9m 2007 | 9m 2006 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | 19,688 | 14,579 | 53,948 | 39,518 | -------------------------------------------------------------------------------- | Cost of goods sold | -9,333 | -7,472 | -24,671 | -18,474 | -------------------------------------------------------------------------------- | Gross profit | 10,356 | 7,107 | 29,276 | 21,044 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Distribution costs | -8,602 | -5,370 | -24,261 | -15,022 | -------------------------------------------------------------------------------- | Administrative and general | -892 | -805 | -2,513 | -2,345 | | expenses | | | | | -------------------------------------------------------------------------------- | Other operating income | 382 | 476 | 1,441 | 486 | -------------------------------------------------------------------------------- | Other operating expenses | -343 | -28 | -469 | -269 | -------------------------------------------------------------------------------- | Operating profit | 900 | 1,381 | 3,475 | 3,895 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Financial income (expenses) | -232 | -36 | -507 | -82 | -------------------------------------------------------------------------------- | Share of joint venture results | 0 | 0 | 0 | -15 | -------------------------------------------------------------------------------- | Gains from other investments, | 0 | 19 | 0 | 121 | | net | | | | | -------------------------------------------------------------------------------- | Interest expenses, net | -147 | -104 | -414 | -248 | -------------------------------------------------------------------------------- | Foreign exchange gains, net | -85 | 13 | -89 | 31 | -------------------------------------------------------------------------------- | Other financial expenses, net | 0 | 37 | -5 | 29 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Profit before income tax | 668 | 1,345 | 2,967 | 3,813 | -------------------------------------------------------------------------------- | Income tax | -1 | -20 | -314 | -185 | -------------------------------------------------------------------------------- | Net profit | 667 | 1,325 | 2,653 | 3,628 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net profit attributable to | 560 | 1,281 | 2,501 | 3,599 | | equity holders of the parent | | | | | | company | | | | | -------------------------------------------------------------------------------- | Net profit (loss) attributable | 107 | 44 | 153 | 29 | | to minority shareholders | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Basic earnings per share, EUR | 0.03 | 0.07 | 0.13 | 0.20 | -------------------------------------------------------------------------------- | Diluted earnings per share, | 0.03 | 0.07 | 0.13 | 0.20 | | EUR | | | | | -------------------------------------------------------------------------------- CONSOLIDATED BALANCE SHEET (unaudited, in EEK thousand) -------------------------------------------------------------------------------- | | 30.09.2007 | 31.12.2006 | -------------------------------------------------------------------------------- | ASSETS | | | -------------------------------------------------------------------------------- | Current assets | | | -------------------------------------------------------------------------------- | Cash and bank | 12,547 | 12,584 | -------------------------------------------------------------------------------- | Trade receivables | 100,103 | 86,402 | -------------------------------------------------------------------------------- | Other receivables and prepaid expenses | 44,040 | 42,069 | -------------------------------------------------------------------------------- | Inventories | 222,473 | 200,702 | -------------------------------------------------------------------------------- | Total current assets | 379,163 | 341,757 | -------------------------------------------------------------------------------- | Non-current assets | | | -------------------------------------------------------------------------------- | Investment property | 30,520 | 23,572 | -------------------------------------------------------------------------------- | Deferred income tax asset | 4,462 | 4,462 | -------------------------------------------------------------------------------- | Other non-current assets | 11,128 | 11,077 | -------------------------------------------------------------------------------- | Property, plant and equipment | 175,083 | 166,448 | -------------------------------------------------------------------------------- | Intangible assets | 54,883 | 49,074 | -------------------------------------------------------------------------------- | Total non-current assets | 276,076 | 254,633 | -------------------------------------------------------------------------------- | TOTAL ASSETS | 655,239 | 596,390 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | LIABILITIES AND EQUITY | | | -------------------------------------------------------------------------------- | Current liabilities | | | -------------------------------------------------------------------------------- | Borrowings | 80,641 | 88,179 | -------------------------------------------------------------------------------- | Supplier payables | 87,043 | 96,535 | -------------------------------------------------------------------------------- | Tax liabilities | 24,589 | 23,006 | -------------------------------------------------------------------------------- | Accrued expenses | 20,965 | 18,174 | -------------------------------------------------------------------------------- | Other short-term liabilities | 2,918 | 7,022 | -------------------------------------------------------------------------------- | Total current liabilities | 216,156 | 232,916 | -------------------------------------------------------------------------------- | Non-current liabilities | | | -------------------------------------------------------------------------------- | Long-term borrowings | 107,567 | 59,234 | -------------------------------------------------------------------------------- | Total non-current liabilities | 107,567 | 59,234 | -------------------------------------------------------------------------------- | TOTAL LIABILITIES | 323,723 | 292,150 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | EQUITY | | | -------------------------------------------------------------------------------- | Share capital at par value | 186,449 | 62,150 | -------------------------------------------------------------------------------- | Share premium | 0 | 59,088 | -------------------------------------------------------------------------------- | Reserves | 22,543 | 9,721 | -------------------------------------------------------------------------------- | Retained earnings | 67,949 | 73,521 | -------------------------------------------------------------------------------- | Net profit for the period | 39,130 | 87,376 | -------------------------------------------------------------------------------- | Currency translation reserve | 6,255 | 4,319 | -------------------------------------------------------------------------------- | Total equity attributable to equity | 322,326 | 296,175 | | holders of the parent | | | -------------------------------------------------------------------------------- | Minority interest | 9,190 | 8,065 | -------------------------------------------------------------------------------- | TOTAL EQUITY | 331,516 | 304,240 | -------------------------------------------------------------------------------- | TOTAL LIABILITIES AND EQUITY | 655,239 | 596,390 | -------------------------------------------------------------------------------- CONSOLIDATED BALANCE SHEET (unaudited, in EUR thousand) -------------------------------------------------------------------------------- | | 30.09.2007 | 31.12.2006 | -------------------------------------------------------------------------------- | ASSETS | | | -------------------------------------------------------------------------------- | Current assets | | | -------------------------------------------------------------------------------- | Cash and bank | 802 | 804 | -------------------------------------------------------------------------------- | Trade receivables | 6,398 | 5,522 | -------------------------------------------------------------------------------- | Other receivables and prepaid expenses | 2,815 | 2,689 | -------------------------------------------------------------------------------- | Inventories | 14,219 | 12,827 | -------------------------------------------------------------------------------- | Total current assets | 24,233 | 21,843 | -------------------------------------------------------------------------------- | Non-current assets | | | -------------------------------------------------------------------------------- | Investment property | 1,951 | 1,507 | -------------------------------------------------------------------------------- | Deferred income tax asset | 285 | 285 | -------------------------------------------------------------------------------- | Other non-current assets | 711 | 708 | -------------------------------------------------------------------------------- | Property, plant and equipment | 11,190 | 10,638 | -------------------------------------------------------------------------------- | Intangible assets | 3,508 | 3,136 | -------------------------------------------------------------------------------- | Total non-current assets | 17,644 | 16,274 | -------------------------------------------------------------------------------- | TOTAL ASSETS | 41,877 | 38,117 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | LIABILITIES AND EQUITY | | | -------------------------------------------------------------------------------- | Current liabilities | | | -------------------------------------------------------------------------------- | Borrowings | 5,154 | 5,636 | -------------------------------------------------------------------------------- | Supplier payables | 5,563 | 6,170 | -------------------------------------------------------------------------------- | Tax liabilities | 1,572 | 1,470 | -------------------------------------------------------------------------------- | Accrued expenses | 1,340 | 1,162 | -------------------------------------------------------------------------------- | Other short-term liabilities | 186 | 449 | -------------------------------------------------------------------------------- | Total current liabilities | 13,815 | 14,886 | -------------------------------------------------------------------------------- | Non-current liabilities | | | -------------------------------------------------------------------------------- | Long-term borrowings | 6,875 | 3,786 | -------------------------------------------------------------------------------- | Total non-current liabilities | 6,875 | 3,786 | -------------------------------------------------------------------------------- | TOTAL LIABILITIES | 20,690 | 18,672 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | EQUITY | | | -------------------------------------------------------------------------------- | Share capital at par value | 11,916 | 3,972 | -------------------------------------------------------------------------------- | Share premium | 0 | 3,776 | -------------------------------------------------------------------------------- | Reserves | 1,441 | 621 | -------------------------------------------------------------------------------- | Retained earnings | 4,343 | 4,699 | -------------------------------------------------------------------------------- | Net profit for the period | 2,501 | 5,584 | -------------------------------------------------------------------------------- | Currency translation reserve | 400 | 276 | -------------------------------------------------------------------------------- | Total equity attributable to equity | 20,600 | 18,930 | | holders of the parent | | | -------------------------------------------------------------------------------- | Minority interest | 587 | 515 | -------------------------------------------------------------------------------- | TOTAL EQUITY | 21,188 | 19,445 | -------------------------------------------------------------------------------- | TOTAL LIABILITIES AND EQUITY | 41,877 | 38,117 | -------------------------------------------------------------------------------- Ülle Järv CFO, Member of the Management Board +372 630 2741 Further information: Triin Palge Head of investor relations +372 630 2886 triin.palge@baltikagroup.com