Estonia, Good for Business, Investments, Real Estate

Pro Kapital told Tallinn Stock Exchange that the results of 2014 were significantly influenced by the management decision to reclassify part of inventories as investment property. Due to reclassification, the company recorded extra income in the amount close to 30 million euros which comes from difference between former inventories in cost value and investment properties in fair value. Fair value is based on valuations provided by an independent valuator Newsec Valuations.

The company’s audited and consolidated revenue for financial year 2014 amounted to 10.335 million euros. Compared to the 2013 revenue of 12.287 million euro the revenue decreased by 15.9%.

In 2014, the Company started with construction works of new buildings in Tondi Elukvartal, Tallinn and Saltiniu Namai residential complex in Vilnius. By the present moment in total over 50 apartments and business units have been sold in those projects, the first new apartment building in Tondi Elukvartal is finished and the company is planning to continue with construction works of following buildings provided the market sentiment remains positive. The excavation works for the building foundation of the shopping and entertainment centre in Tallinn, Peterburi 2, were also completed and the Company has started the tender process for choosing the main contractor.