Baltic States – CIS, Estonia, Markets and Companies, Textile

Together with the discontinued operations the yearly net loss was 1.263 million euros, which includes the loss from allowance for assets in Ukraine of 1.095 million euros. Continued operations net profit for the year was 66,000 euros. Prior year comparative result from continued operations was net profit 443,000 thousand euros.

Before last year's loss, Baltika managed to remain profitable for two years – in 2013 with 0.1 million and in 2012 with 0.8 million euros. Before that, Baltika posted losses for four years.

Baltika said that its fourth-quarter profit before income tax was 0.521 million euros and net profit was 0.420 million. The result of last year comparative period continued operations profit before income tax was 1.003 million euros and net profit was 0.852 million euros.

Baltika’s continued operations fourth quarter sales increased by 6% and it was with 15.807 million euros. Sales for the year in total amounted to 55.596 million euros, growing 7% compared to prior year.

Baltika said that Russian unstable economy, weaker rouble (rouble has weakened by ca 37% to euro during 2014) and rising prices have significantly decreased consumer confidence and hindered developments in fashion industry. Due to the unstable economic and political situation in Russia, the group continues optimising its retail network in the country and focuses on operating stores in St. Petersburg, Kaliningrad and Kazan.