MANAGEMENT REPORT
Consolidated net sales for Q3 2025 were € 1.99 million, which was a 2.5% increase compared to the same period last year (Q3 2024: € 1.94 million). Nordic Fibreboard`s sales revenue Q3 2025 was generated from the Group`s main activity, which is the production and wholesale of fibreboard.
The consolidated EBITDA of Nordic Fibreboard for Q3 2025 was positive € 94 thousand, the EBITDA margin was positive 5% (Q3 2024: EBITDA was negative € 19 thousand, and the EBITDA margin was negative 1%). Compared to the Q3 2024 the Group`s gross margin increased from 16% to 24% in the Q3 2025, which indicates that the Group`s profitability in the Q3 2025 has increased compared to the same period last year.
Financial expenses, which consisted of interest expenses, amounted to € 43 thousand in Q3 2025 (2024 Q3: € 113 thousand, consisting of interest expenses in the amount of € 53 thousand and revaluation of Trigon Property Development AS shares in the amount of € 60 thousand).
Group`s consolidated net loss for Q3 2025 was € 77 thousand (Q3 2024: net loss € 263 thousand).
The Management Board assesses the performance of operating segments based on operating profit and EBITDA as a primary measure. As a secondary measure, the Management Board also reviews net revenue. The Group defines EBITDA as profit before extraordinary other operating costs and net finance costs and tax, depreciation and impairment charges. As extraordinary other business expenses, the Group has treated one-time expenses that have not arisen in the course of normal business activities but have arisen from some extraordinary circumstances. EBITDA is not a performance measure defined in IFRS. The Group`s definition of EBITDA may not be comparable to similarly titled operating profit measures and disclosures by other entities.
Financial highlights
Income statement | ||||
€ thousand | Q3 2025 | Q3 2024 | 9M 2025 | 9M 2024 |
Revenue | 1,988 | 1,938 | 5,592 | 6,078 |
EBITDA | 94 | (19) | (84) | 251 |
EBITDA margin | 5% | (1%) | (2%) | 4% |
Operating profit | (34) | (150) | (473) | (139) |
Operating margin | (2%) | (8%) | (8%) | (2%) |
Net profit/-loss | (77) | (263) | (574) | (358) |
Net margin | (4%) | (14%) | (10%) | (6%) |
Statement of financial position | ||||
€ thousand | 30.09.2025 | 31.12.2024 | 30.09.2024 | 31.12.2023 |
Total assets | 9,188 | 8,252 | 8,780 | 8,505 |
Return on assets | (6%) | (10%) | (4%) | (8%) |
Equity | 3,042 | 3,616 | 4,044 | 4,402 |
Return on equity | (19%) | (22%) | (9%) | (16%) |
Debt-to-equity-ratio | 67% | 56% | 54% | 48% |
Share | 30.09.2025 | 31.12.2024 | 30.09.2024 | 31.12.2023 |
Last price (€)* | 0.70 | 0.90 | 0.93 | 0.90 |
Earnings per share (€) | (0.22) | (0.17) | (0.11) | (0.15) |
Price-earnings ratio | (3.15) | (5.15) | (8.84) | (5.93) |
Book value of a share (€) | 0.68 | 0.80 | 0.90 | 0.98 |
Market to book ratio | 1.04 | 1.12 | 1.03 | 0.92 |
Market capitalization, (th €) | 3,149 | 4,049 | 4,184 | 4,049 |
Number of shares (piece) | 4,499,061 | 4,499,061 | 4,499,061 | 4,499,061 |
Fibreboard production and sales
The production and sale of fibreboards is carried out by Nordic Fibreboard Ltd OÜ, a subsidiary of Nordic Fibreboard AS. Fibreboard sales in Q3 2025 were € 1.99 million (Q3 2024: € 1.94 million). Sales revenue has remained mainly at the same level as last year. The low growth was mainly due to the marginal growth of the Finnish market in the third quarter and an increase in activity in distant markets compared to last year. New customers have been added from countries where there were no sales in the Q3 2024.
The EBITDA of the fibreboard for the Q3 2025 was a positive € 112 thousand, (Q3 2024: negative € 19 thousand). The net loss of the fibreboard for the Q3 2025 was € 48 thousand (Q3 2024: net loss € 262 thousand).
Fibreboard sales by geographical segments
€ thousand | Q3 2025 | Q3 2024 | 9M 2025 | 9M 2024 |
European Union | 1,847 | 1,789 | 5,263 | 5,588 |
Africa | 50 | 89 | 149 | 255 |
Asia | 44 | 17 | 73 | 102 |
Middle East | 27 | 41 | 41 | 96 |
Other regions | 20 | 0 | 63 | 14 |
TOTAL | 1,988 | 1,936 | 5,589 | 6,055 |
Real estate management
As a secondary activity, the Group owns and manages a property located at Suur-Jõe tn 48 in the city of Pärnu, for which a detailed plan has been established for the development of residential real estate. Previously, the Suur-Jõe 48 property was owned and managed by Nordic Fibreboard AS's 100% subsidiary Pärnu Riverside Development OÜ, but on 30.07.2025, Nordic Fibreboard AS and Pärnu Riverside Development OÜ entered into a merger agreement, according to which Nordic Fibreboard AS was the acquiring company and Pärnu Riverside Development OÜ was the acquired company. The merger date was 01.06.2025, and as a result of the merger, the direct owner and manager of the Suur-Jõe 48 property is Nordic Fibreboard AS.
In Q3 2025, no sales revenue was generated from real estate management (Q3 2024, € 2 thousand), in the 9M 2025, sales revenue from real estate management was € 2 thousand (9M 2024: € 23 thousand).
The design work of the Admirali area development project has been completed. Building permits have been issued for the roads and utility networks within the area and for the apartment buildings at Admirali 1/3. Preliminary designs for the new apartment buildings at Admirali 5/7 and Admirali 9/11 and the reconstruction project for the existing office building at Suur-Jõe 48 are in the process of obtaining a building permit.
Consolidated statement of financial position and cash flow statement
As of 30.09.2025 the total assets of Nordic Fibreboard AS were € 9.19million (30.09.2024: 8.78 million). Receivables and prepayments amounted to € 1.04 million as at 30.09.2025 (30 .09.2024: € 0.92 million). Inventories were € 1.33 million as of 30.09.2025 (30.09.2024: also € 0.87 million) and the Group´s total fixed assets were € 6.81 million as of 30.09.2025 (€ 6.98 million as of 30.09.2024).
The liabilities of the Group as of 30.09.2025 were € 6.15 million (30.09.2024: € 4.74 million). Payables and prepayments amounted to € 1.62 million (30.09.2024: € 1.11 million), of which the Group has payables of € 1.25 million as at 30.09.2025 (30.09.2024: € 0.77 million). Borrowings amounted to € 4.39 million as at 30.09.2025 (30.09.2024: € 3.51 million), provision for former employees and other liabilities amounted to € 0.14 million (30.09.2024: € 0.12 million).
Nordic Fibreboard`s consolidated cash flow from operating activities for the first nine months of 2025 was negative in the amount of € 553 thousand (first nine months of 2024: negative cash flow of € 102 thousand). Cash outflow due to investment activities during the first nine months 2025 was € 156 thousand, which consisted of the sale of TPD shares and investments in production assets and real estate investment objects (first nine months of 2024: cash outflow € 193 thousand). Cash inflows due to financing activities was € 666 thousand for the first nine months of 2025, (first nine months of 2024: cash inflow € 296 thousand). The net cash flow for the first nine months of 2025 resulted in a cash outflow of € 43 thousand (first nine months of 2024: cash inflow € 1 thousand).
CONSOLIDATED STATEMENTS OF FINANCIAL POSITIONS
€ thousand | 30.09.2025 | 31.12.2024 | 30.09.2024 |
Cash and cash equivalents | 10 | 53 | 8 |
Receivables and prepayments (Note 2) | 1,041 | 571 | 921 |
Inventories (Note 3) | 1,326 | 624 | 872 |
Total current assets | 2,377 | 1,248 | 1,801 |
Investment property (Note 4) | 2,516 | 2,380 | 2,309 |
Financial assets at fair value through profit or loss (Note 7) | 0 | 499 | 431 |
Property, plant, equipment and right-of use assets (Note 5) | 4,293 | 4,122 | 4,236 |
Intangible assets (Note 6) | 2 | 3 | 3 |
Total non-current assets | 6,811 | 7,004 | 6,979 |
TOTAL ASSETS | 9,188 | 8,252 | 8,780 |
Borrowings (Note 8) | 747 | 1,111 | 652 |
Payables and prepayments (Note 9) | 1,620 | 788 | 1,109 |
Short-term provisions (Note 10) | 5 | 21 | 5 |
Total current liabilities | 2,372 | 1,920 | 1,766 |
Long-term borrowings (Note 8) | 3,643 | 2,613 | 2,859 |
Long-term provisions (Note 10) | 94 | 94 | 111 |
Other long-term liabilities | 37 | 9 | 0 |
Total non-current liabilities | 3,774 | 2,716 | 2,970 |
Total liabilities | 6,146 | 4,636 | 4,736 |
Share capital (at nominal value) (Note 11) | 450 | 450 | 450 |
Statutory reserve capital | 45 | 45 | 45 |
Retained earnings | 2,547 | 3,121 | 3,549 |
Total equity | 3,042 | 3,616 | 4,044 |
TOTAL LIABILITIES AND EQUITY | 9,188 | 8,252 | 8,780 |
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
€ thousand | Q3 2025 | Q3 2024 | 9M 2025 | 9M 2024 |
Revenue (Note 13) | 1,988 | 1,938 | 5,592 | 6,078 |
Cost of goods sold (Note 14) | (1,635) | (1,766) | (4,983) | (5,235) |
Gross profit (loss) | 353 | 172 | 609 | 843 |
Distribution costs (Note 15) | (268) | (249) | (741) | (725) |
Administrative expenses (Note 16) | (115) | (69) | (341) | (260) |
Other operating income (Note 18) | 0 | 0 | 13 | 8 |
Other operating expenses (Note 18) | (4) | (4) | (13) | (5) |
Operating profit (loss) | (34) | (150) | (473) | (139) |
Finance income (Note 19) | 0 | 0 | 40 | 0 |
Finance costs (Note 19) | (43) | (113) | (141) | (219) |
PROFIT (LOSS) BEFORE INCOME TAX | (77) | (263) | (574) | (358) |
NET PROFIT (LOSS) FOR THE PERIOD | (77) | (263) | (574) | (358) |
Basic earnings per share (Note 12) | (0.02) | (0.06) | (0.13) | (0.08) |
Diluted earnings per share (Note 12) | (0.02) | (0.06) | (0.13) | (0.08) |
CONSOLIDATED STATEMENT OF CASH FLOWS
€ thousand | 9M 2025 | 9M 2024 |
Cash flow from operating activities | ||
Operating profit (-loss) | (473) | (139) |
Adjustments: | ||
Depreciation charge (Note 5; 6) | 389 | 390 |
Change in trade and other receivables (Note 2) | (470) | (387) |
Change in inventories (Note 3) | (702) | (144) |
Change in trade and other payables (Note 9) | 860 | 353 |
Change of provisions (Note 10) | (16) | (16) |
Cash generated from operations | (412) | 57 |
Interest payments (Note 8; 19) | (131) | (153) |
Net other financial income and expense | (10) | (6) |
Net cash generated from operating activities | (553) | (102) |
Cash flow from investing activities | ||
Purchase of property, plant and equipment and intangible assets (Note 5; 6) | (559) | (153) |
Capitalized cost of real estate investment (Note 4) | (136) | (40) |
Sales of financial assets (Note 7) | 539 | 0 |
Net cash used in investing activities | (156) | (193) |
Cash flow from financing activities | ||
Repayment of loans received (Note 8) | (166) | (157) |
Loans received from related parties (Note 8) | 830 | 200 |
Finance lease payments (Note 8) | (18) | (17) |
Change in overdraft (Note 8) | 20 | 270 |
Net cash (used in)/from financing activities | 666 | 296 |
NET CHANGE IN CASH | (43) | 1 |
OPENING BALANCE OF CASH | 53 | 7 |
CLOSING BALANCE OF CASH | 10 | 8 |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
€ thousand | Share capital | Statutory reserve capital | Retained earnings | Total |
Balance at 31.12.2023 | 450 | 45 | 3,907 | 4,402 |
Net loss for 9M 2024 | 0 | 0 | (358) | (358) |
Total comprehensive income for 9M 2024 | 0 | 0 | (358) | (358) |
Balance at 30.09.2024 | 450 | 45 | 3,549 | 4,044 |
Balance at 31.12.2024 | 450 | 45 | 3,121 | 3,616 |
Net loss for 9M 2025 | 0 | 0 | (574) | (574) |
Total comprehensive income for 9M 2025 | 0 | 0 | (574) | (574) |
Balance at 30.09.2025 | 450 | 45 | 2,547 | 3,042 |
Enel Äkke
Member of Management Board
+372 55525550
group@nordicfibreboard.com
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