Consolidated Unaudited Interim Report Of AS Prfoods For The 3Rd Quarter And 9 Months Of 2024/2025 Financial Year

2025-05-30 02:45:51

(MENAFN- GlobeNewsWire - Nasdaq) MANAGEMENT COMMENTARY

PRFoods' third quarter of the 2024/2025 financial year has come to an end. We can conclude that it has been a challenging period due to market volatility and Estonia's poor economic climate. However, we have still managed to increase the Group's profitability and reduce expenses. At this point, we must commend our teams both in Estonia and the United Kingdom, where the goals are clear and the focus is steady in moving towards the set objectives.

The approval of PRFoods' bond restructuring plan has also been finalized, which will allow our production units to better focus on business development going forward.

In the third quarter, the Group's unaudited consolidated revenue was 3.7 million euros, representing a 3% decrease compared to the previous financial year. EBITDA from operating activities improved from -0.2 million euros in the 2023/2024 financial year to -0.1 million euros, and the net loss decreased from -0.7 million euros to -0.5 million euros. The third quarter of the financial year is one of the most challenging, and we can acknowledge that we are moving in the right direction.

When comparing the results of the first nine months of the 2023/2024 and 2024/2025 financial years, we can be pleased. The unaudited consolidated revenue was 15.1 million euros, representing a 20% increase compared to the same period last year. EBITDA from operating activities increased to 0.6 million euros. Operating profit was 0.1 million euros, whereas in the previous year, it was an operating loss of -0.9 million euros. The net loss for the nine months was -0.9 million euros, compared to a net loss of -2.1 million euros in the previous financial year.

Our UK production unit, John Ross Jr., continues to operate profitably and with growth. Our Estonian production unit has also seen improvement. However, it must be noted that due to the economic downturn in Estonia and general consumer behavior, demand for fish products in Estonia has significantly decreased overall. While Saare Kala is able to maintain its position, in today's volatile market and with the tax hikes that are shaking the economic environment, food producers and retail businesses in Estonia are among those hit hardest. In addition to the domestic market, we also see declining consumption in the Baltic countries and Finland. Predicted tariffs on the US market are also causing various shifts in fish and fish product exports. Both input prices and export capacity are being squeezed. In these difficult and changing times, we must acknowledge that every increase in efficiency indicators is a significant achievement for us.

The preparation of the restructuring plan for PRFoods AS bonds has also been completed. The restructuring plan was approved by the bondholders on April 17, 2025. In addition, an additional loan from the majority shareholder Amber Trust II S.C.A., SICAR (in liquidation) has been confirmed to provide working capital, which will enable the operating companies to grow better than before. We would like to thank all shareholders, bondholders, and the company's supervisory board for their support and trust.

KEY RATIOS
INCOME STATEMENT

mln EUR, unless indicated otherwise	3Q 2024/2025	2023/2024	3Q 2023/2024	2022/2023
Sales	3.7	17.1	3.8	19.6
Gross profit	0.7	3.2	0.5	3.6
EBITDA	-0.1	-0.3	-0.2	0.3
EBIT	-0.3	-3.3	-0.5	-1.0
EBT	-0.5	-4.6	-0.7	0.4
Net profit (-loss)	-0.5	-4.7	-0.7	0.3
Gross margin	18.1%	18.7%	13.2%	18.3%
EBITDA margin	-3.5%	-2.0%	-5.5%	1.5%
EBIT margin	-7.2%	-19.4%	-13.2%	-5.1%
EBT margin	-14.3%	-26.9%	-18.3%	2.0%
Net margin	-14.5%	-27.3%	-18.4%	1.5%
Operating expense ratio	-24.6%	-27.1%	-27.2%	24.0%

BALANCE SHEET

mln EUR, unless indicated otherwise	31.03.2025	30.06.2024	31.03.2024	30.06.2023
Net debt	13.3	14.3	13.6	16.7
Equity	2.2	3.2	5.8	8.3
Working capital	-12.3	-9.2	-8.5	0.0
Assets	21.0	21.9	24.3	30.2
Liquidity ratio	0.3	0.3x	0.4x	1.0x
Equity ratio	10.4%	14.6%	24.0%	27.4%
Gearing ratio	85.9%	81.8%	70.0%	66.9%
Debt to total assets	0.9x	0.9x	0.8x	0.7x
Net debt to operating EBITDA	25x	-42.5x	36.2x	55.8x
ROE	-61.6%	-81.4%	-9.8%	4.1%
ROA	-7.7%	-17.9%	-2.5%	1.0%

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

EUR '000	31.03.2025	30.06.2024
ASSETS
Cash and cash equivalents	669	203
Trade and other receivables	1,599	2,212
Prepayments	192	173
Inventories	1 663	1,644
Total current assets	4,124	4,232

Long-term financial investments	0	418
Tangible assets	3,763	4,164
Intangible assets	13,084	13,102
Total non-current assets	16,848	17,684
TOTAL ASSETS	20,971	21,916

EQUITY AND LIABILITIES
Interest-bearing liabilities	13,182	10,899
Trade and other payables	3,197	2,559
Total current liabilities	16,379	13,458

Interest-bearing liabilities	801	3,600
Deferred tax liabilities	1,422	1,420
Government grants	186	247
Total non-current liabilities	2,408	5,267
TOTAL LIABILITIES	18,787	18,725

Share capital	7,737	7,737
Share premium	14,007	14,007
Treasury shares	-390	-390
Statutory capital reserve	51	51
Currency translation differences	383	439
Retained profit (loss)	-19,601	-18,653
Equity attributable to parent	2,186	3,191
Non-controlling interest	0	0
TOTAL EQUITY	2,186	3,191
TOTAL EQUITY AND LIABILITIES	20,971	21,916

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

EUR '000	3Q 2024/2025	3Q 2023/2024	9m 2024/2025	9m 2023/2024
Revenue	3,684	3,768	15,098	12,625
Cost of goods sold	-3,018	-3,226	-11,901	-9,985
Gross profit	665	542	3,197	2,640

Operating expenses	-906	-1,024	-3,056	-3,533
Selling and distribution expenses	-580	-598	-1,982	-1,946
Administrative expenses	-327	-426	-1,073	-1,587
Other income / expense	-24	26	-24	6
Fair value adjustment on biological assets	0	0	0	0
Operating profit (loss)	-265	-456	118	-887
Financial income / expenses	-261	-240	-886	-1,082
Profit (Loss) before tax	-526	-696	-769	-1,969
Income tax	-9	2	-179	-109
Net profit (loss) for the period	-535	-694	-948	-2,078

Net profit (loss) attributable to:
Owners of the Parent Company	-535	-694	-948	-2,075
Non-controlling interests	0	0	0	-4
Total net profit (loss) for the period	-535	-694	-948	-2,079

Other comprehensive income (loss) that may subsequently be classified to profit or loss:
Foreign currency translation differences	-4	138	-56	-101
Total comprehensive income (expense)	-539	-556	-1,004	-2,180

Total comprehensive income (expense) attributable to:
Owners of the Parent Company	-539	-556	-1,004	-2,176
Non-controlling interests	0	0	0	-4
Total comprehensive income (expense) for the period	-539	-556	-1,004	-2,180

Profit (Loss) per share (EUR)	-0.01	-0.02	-0.02	-0.05

Diluted profit (loss) per share (EUR)	-0.01	-0.02	-0.02	-0.05

Kristjan Kotkas Timo Pärn
Member of the Management Board Member of the Management Board
...

Attachment

PRF 2024_2025_q3_en_eur_con

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