Core Insights - OÜ HHL Rühm has increased its stake in AS Ekspress Grupp to 73.57% following a recent transaction, acquiring 7,963,307 shares from Hans Luik [1][2] Company Overview - AS Ekspress Grupp is a leading Baltic media group involved in web media content production, publishing newspapers, magazines, and books, as well as operating an electronic ticket sales platform in Latvia and Estonia [2] - The company also provides digital outdoor screen services in Estonia and Latvia and organizes conferences, training, and events primarily in Estonia and Lithuania, with operations commencing in 1989 and employing around 1,000 people [2]

Core Insights - Ekspress Grupp's revenue continued to grow in Q3 2025 and the first nine months, driven by investments in conference business, ticket sales, and digital outdoor screens [1][9] - Digital subscriptions for media companies within the Group saw strong growth, contributing significantly to overall revenue [2][11] Revenue Performance - Q3 2025 revenue increased by EUR 1.1 million (+6%) year-over-year, totaling EUR 17.9 million [1][7] - Revenue for the first nine months of 2025 rose by EUR 3.6 million (+7%) year-over-year, reaching EUR 56.3 million [1][8] - Key growth contributors included the Estonian Training and Conference Centre and UAB Kenton Baltic, along with Delfi Lithuania's AI project [1][9] Digital Revenue - Digital revenue for the first nine months increased by 5% year-over-year, with a total of 245 thousand digital subscriptions by the end of Q3 2025, reflecting a 10% increase in new subscriptions [2][11] - Digital revenue accounted for 85% of total revenue at the end of Q3 2025, slightly down from 86% in the previous year [11][20] Ticket Sales and Outdoor Screens - Revenue from ticket sales platforms grew by 6% in Q3 2025, while outdoor screen revenue increased by 1% [3][20] - The number of outdoor screens expanded to 159, with notable growth in the Latvian market [3] Profitability Metrics - EBITDA for Q3 2025 was EUR 2.4 million, a 21% increase year-over-year, with an EBITDA margin of 13% [4][13] - EBITDA for the first nine months remained stable at EUR 5.5 million, with a margin of 10% [4][13] Net Profit - Consolidated net profit for Q3 2025 was EUR 2.4 million, up from EUR 0.3 million in Q3 2024 [5][14] - The first nine months of 2025 saw a net profit of EUR 1.9 million, significantly higher than EUR 0.1 million in the same period last year [5][14] Cash Position and Liquidity - As of September 30, 2025, the Group had available cash of EUR 9.0 million, up from EUR 5.4 million a year earlier [6][15] - The Group's liquidity remains strong, with a focus on maintaining reserves for potential acquisitions and economic uncertainties [6] Expenses Overview - Operating expenses for Q3 2025 totaled EUR 15.5 million, a 2% increase year-over-year, driven by costs associated with newly acquired businesses [12][20] - For the first nine months, operating expenses rose by 7% to EUR 51.1 million [12][20] Segment Performance - The media segment's revenue for Q3 2025 was EUR 17.8 million, a 6% increase from the previous year, while the first nine months saw a 7% increase to EUR 56.2 million [20][23] - Advertising revenue faced a decline of 2% in Q3 and 5% in the first nine months, indicating pressure on media companies' advertising sales [20][24]

Core Points - AS Ekspress Grupp's Latvian subsidiary AS Delfi is facing an insolvency application filed by SIA Ekis & Co-Positioning and Consulting over a contractual dispute related to advertising services [1] - The dispute is characterized as a standard commercial issue regarding contested invoices, which should be resolved through legal channels rather than insolvency proceedings [2] - The claim amount in question is 200,000 euros, and the dispute does not affect Delfi Latvia's daily operations or its financial position [3] Company Overview - AS Delfi is a significant component of the Baltic region's largest media group, with a revenue of 5.5 million euros and a profit of 594,281 euros in 2024 [4] - The company meets all contractual obligations, including those related to state-funded media projects [4] - AS Ekspress Grupp, established in 1989, is the leading Baltic media group, involved in web media content production, publishing, electronic ticket sales, and organizing events, employing around 1,000 people [4]

Group 1 - AS Ekspress Grupp's Latvian subsidiary AS Delfi had a plan to reduce share capital, which was cancelled on September 19, 2025, as part of regular financial structure planning related to the sale of a stake in SIA Altero [1] - The cancelled share capital reduction has no impact on the daily operations or financial position of AS Delfi or AS Ekspress Grupp [1] - The share capital reduction plan is unrelated to a business dispute with SIA Ekis & Co-Positioning and Consulting, which involves advertising sales management for the news portal LA.lv [2] Group 2 - AS Delfi generated revenue of 5.5 million euros and a profit of 594,281 euros in 2024, fulfilling all contractual obligations including state-funded media projects [3] - AS Ekspress Grupp is the leading media group in the Baltic region, involved in web media content production, publishing, electronic ticket sales, and organizing events [3] - The Group employs approximately 1,000 people and has been operational since 1989 [3]

Group 1 - AS Ekspress Grupp and AS SEB Pank signed a loan contract to refinance EUR 5 million bonds from LHV pension funds, with a new loan deadline of 2 July 2030 [1] - The refinancing will reduce Ekspress Grupp's annual interest expenses by approximately EUR 150 thousand, while annual loan service will increase by around EUR 340 thousand [1] - The refinancing will lower the average interest rate of Ekspress Grupp's financial liabilities, allowing the company to decrease overall indebtedness and prepare for potential acquisitions and economic challenges [2] Group 2 - AS Ekspress Grupp is the leading Baltic media group, involved in web media content production, publishing newspapers, magazines, and books [2] - The Group operates an electronic ticket sales platform and ticket sales offices in Latvia and Estonia, and provides digital outdoor screen services in both countries [2] - Established in 1989, Ekspress Grupp employs about 1,000 people [2]

Core Viewpoint - AS Ekspress Grupp experienced a 5% year-over-year increase in revenue for Q1 2025, reaching EUR 17.0 million, but faced a significant decline in EBITDA and net profit due to a challenging economic environment in the Baltic States [1][2][5]. Revenue - The revenue for Q1 2025 was EUR 17.0 million, up 5% from EUR 16.2 million in Q1 2024, primarily driven by digital subscription revenue and increased volumes in ticket platforms and digital outdoor screens [2][7]. - Digital revenue accounted for 84% of total revenue, maintaining the same percentage as the previous year, with a 5% increase in digital revenue [8][17]. - Ticket sales platforms saw a 10% increase in revenue, while outdoor screen revenue grew by 19% due to network expansion and higher average prices [4][17]. Profitability - EBITDA for Q1 2025 was EUR 0.2 million, a decrease of 45% from EUR 0.4 million in Q1 2024, resulting in an EBITDA margin of 1.4% [10][11]. - The net loss for Q1 2025 was EUR 1.6 million, a 31% increase compared to EUR 1.2 million in the same period last year, influenced by higher depreciation costs and a decline in advertising revenue [5][11]. Expenses - Operating expenses rose to EUR 16.9 million in Q1 2025, a 6% increase from EUR 15.9 million in Q1 2024, with labor costs being the largest contributor, increasing by 3% [9][10]. Cash Position - As of March 31, 2025, the Group had EUR 8.4 million in cash, slightly down from EUR 8.8 million a year earlier, and a net debt of EUR 20.0 million, up from EUR 16.8 million [6][12]. - The Management Board proposed a dividend of 6 euro cents per share, totaling EUR 1.86 million, to be voted on at the upcoming shareholders' meeting [16]. Strategic Goals - The Group aims to increase its digital subscriptions to at least 340,000 by 2026, having added over 25,000 new digital subscriptions in the past year, marking a 12% increase [3].