Nordic Fibreboard AS unaudited financial report for the Q2 of 2026
MANAGEMENT REPORT
Nordic Fibreboard AS consolidated net revenue in Q2 2026 was €2.27 million, representing a 21.4% increase compared to the same period of the previous year (Q2 2025: €1.87 million), revenue increased by €397 thousand. The Group’s main business activity is the production and wholesale of fibreboard, which accounted for the vast majority of the Group’s revenue in Q2 2026. The second segment comprises the management of the property located on Suur-Jõe Street in Pärnu. However, following the termination of the lease agreements for the building in August 2024, the revenue generated by this segment is immaterial.
Nordic Fibreboard’s consolidated EBITDA in Q2 2026 was negative €225 thousand, with an EBITDA margin of negative 10% (Q2 2025 EBITDA: negative €94 thousand, EBITDA margin: negative 5%). The results for the Q2 2026 were significantly negatively impacted by the sharp increase in gas prices in February 2026. The negative impact is ongoing, and the company is not able to raise product prices to a level that would match the rise in gas prices. This is partly due to long-term contracts with fixed prices, and partly due to the competitive situation prevailing in the market.
Financial expenses in Q2 2026 were €44 thousand, consisting of loan interest costs and other financial costs (€46 thousand in Q2 2025).
The Group’s consolidated net loss for Q2 2026 was €414 thousand (Q2 2025 net loss: €268 thousand).
Fibreboard production and sales
Revenue from fibreboard sales amounted to €2.27 million in Q2 2026, compared with €1.87 million in the same period of 2025, representing an increase of €397 thousand, or 21.4%. The improvement in sales performance was primarily supported by sales to new customers.
Nordic Fibreboard Ltd OÜ’s EBITDA for the Q2 of 2026 was negative EUR 188 thousand (Q2 2025 negative EUR 67 thousand). Nordic Fibreboard Ltd OÜ’s net loss for the Q2 of 2026 amounted to EUR 377 thousand (Q2 2025 net loss of EUR 241 thousand). Q2 2026 EBITDA was negatively impacted by a sharp rise in energy prices (including gas prices nearly doubling), which resulted from the U.S. military strike on Iran at the end of February.
Fibreboard sales by geographical segments
| € thousand | € thousand | |||
| Region | Q2 2026 | Q2 2025 | 6m 2026 | 6m 2025 |
| European Union | 2,154 | 1,777 | 3,935 | 3,416 |
| Asia | 86 | 28 | 99 | 28 |
| Africa | 0 | 27 | 62 | 114 |
| Other regions | 23 | 35 | 28 | 43 |
| TOTAL | 2,263 | 1,867 | 4,124 | 3,601 |
Real estate management
As a secondary activity, the Group owns and manages the former furniture factory property located at Suur-Jõe 48 in the city of Pärnu, for which a detailed plan has been established for residential real estate development. Previously, the Suur-Jõe 48 property was owned and managed by Pärnu Riverside Development OÜ, a wholly owned subsidiary of Nordic Fibreboard AS, however on 30.07.2025 Nordic Fibreboard AS and Pärnu Riverside Development OÜ entered into a merger agreement, under which Nordic Fibreboard AS was the acquiring entity and Pärnu Riverside Development OÜ was the entity being absorbed. The merger date was 01.06.2025 and as a result of the merger, the Suur-Jõe 48 property is now directly owned by Nordic Fibreboard AS.
The design works for the Admirali Quarter development project at Suur-Jõe 48 have been completed. Building permits have been issued for the internal roads and utility networks within the quarter, for apartment buildings at Admirali 1/3, Admirali 5/7, and Admirali 9/11, as well as for the reconstruction of the existing office building at Suur-Jõe 48.
Consolidated statement of financial position and cash flow statement
As of 30.06.2026 the total assets of Nordic Fibreboard AS were € 9.4 million (30.06.2025: 8.85 million). The liabilities of the company as of 30.06.2026 were € 5.9 million (30.06.2025: € 5.73 million), of which the Group has trade payables of € 1.6 million as at 30.06.2026 (30.06.2025: € 0.97 million) and borrowings of € 3.5 million as at 30.06.2026 (30.06.2025: € 4.27 million).
Receivables and prepayments amounted to € 0.8 million as at 30.06.2026 (30.06.2025: € 1.07 million). Inventories were € 1.1 million as of 30.06.2026 (30.06.2025: € 1.02 million). Fixed assets were € 7.5 million as of 30.06.2026 (€ 6.72 million as of 30.06.2025).
The Group’s operating result during the 6 month of 2026 was negative cash flow of € 25 thousand (negative cash flow of €621 thousand in the 6 month of 2025). Cash outflows due to investment activities was € 259 thousand during 2026 6 months, mainly consisting of investments into production assets (2025 6 months: cash inflow € 63 thousand, which comprised sale of TPD shares, investments in production assets and in investment property). Financing activities resulted in cash inflows of € 282 thousand during 6 months of 2026 (6 months of 2025: cash inflow of € 542 thousand). Net cash flow during 6 months of 2026 was cash outflow of € 2 thousand, (6 months of 2025: cash outflow € 16 thousand).
People
On the 30th of June 2026, the Group employed 55 people (30.06.2025: 69 people). The average number of personnel was 56 people in Q2 2026 and 57 people in 6 months of 2026 (69 people in Q2 and 6 months of 2025).
Labour costs including taxes were € 0.48 million in Q2 2026 and € 0.89 million in 6 months 2026 (Q2 2025: € 0.47 million and 6 months 2025: € 0.95 million). Group remuneration to the members of the management boards of holding company and its subsidiaries, together with taxes, were € 45 thousand in Q2 2026 and € 72 thousand in 6M 2026 (Q2 2025: € 72 thousand and 6months 2025: € 137 thousand).
The Group`s definition of labour costs includes payroll expenses (incl. holiday pay) with additional remuneration fees, payroll taxes, special benefits and taxes calculated on special benefits.
Outlook
Fibreboard production and sales
Nordic Fibreboard Ltd OÜ expects demand for fibreboard to remain stable in the coming months and anticipates that sales volumes will hold at their current level. The company continues to focus on developing existing clients and markets, as well as creating new sales opportunities, with the aim of supporting sales volume growth. Greater emphasis is being placed on growing the Nordic market.
Gas prices continue to have a negative impact on the company’s operations and profitability due to the war in the Middle East. It is impossible for the company to raise product prices to a level that would match the increase in gas prices. This is partly due to long-term contracts with fixed prices, and partly due to the competitive situation prevailing in the market. We do not see a solution to this problem in the near future, not until gas prices decline significantly. There is even a risk that the situation will worsen further.
In recent months, increased focus has also been placed on product development for interior finishing panels and on expanding sales opportunities for this product group across various markets.
The Group has carried out an investment in modern energy solutions, aimed at improving the reliability and energy efficiency of production processes. As part of the project, the boiler system used for steam production was upgraded to a gas boiler, with completion taking place in January 2026.
Real estate management
The property management segment covers the management of the property located at Suur-Jõe 48 in Pärnu, as well as the planning and implementation of development activities.
The design works for the Admirali Quarter development project have been completed. Building permits have been issued for the internal roads and utility networks within the quarter, for apartment buildings at Admirali 1/3, Admirali 5/7, and Admirali 9/11, as well as for the reconstruction of the existing office building at Suur-Jõe 48.
Due to the Buyer’s failure to fulfil the conditions precedent set out in the preliminary sale-purchase agreement concluded on 08.01.2026 for the sale of ten real estate properties belonging to Nordic Fibreboard AS, located on Suur-Jõe tn 48 and Admirali tänav in Pärnu, the agreement was not completed, and the parties terminated the preliminary sale-purchase agreement.
Financial highlights
| € thousand | ||||
| Income statement | Q2 2026 | Q2 2025 | 6 m 2026 | 6 m 2025 |
| Revenue | 2,263 | 1,868 | 4,124 | 3,603 |
| EBITDA | (225) | (94) | (620) | (180) |
| EBITDA margin | (10%) | (5%) | (15%) | (5%) |
| Operating profit | (370) | (223) | (899) | (440) |
| Operating margin | (16%) | (12%) | (22%) | (12%) |
| Net profit/-loss | (414) | (268) | (984) | (497) |
| Net margin | (18%) | (14%) | (24%) | (14%) |
| Statement of financial position | 30.06.2026 | 31.12.2025 | 30.06.2025 | 31.12.2024 |
| Total assets | 9,387 | 9,323 | 8,852 | 8,252 |
| Return on assets | (10%) | (12%) | (3%) | (0%) |
| Equity | 3,478 | 4,462 | 3,119 | 3,616 |
| Return on equity | (28%) | (26%) | (9%) | (1%) |
| Debt-to-equity-ratio | 63% | 52% | 65% | 53% |
| Share | 30.06.2026 | 31.12.2025 | 30.06.2025 | 31.12.2024 |
| Last price (€)* | 0.61 | 0.77 | 1.00 | 0.90 |
| Earnings per share (€) | (0.19) | (0.14) | (0.26) | (0.17) |
| Price-earnings ratio | (3.24) | (5.67) | (3.79) | (5.15) |
| Book value of a share (€) | 0.41 | 0.53 | 0.69 | 0.80 |
| Market to book ratio | 1.49 | 1.47 | 1.44 | 1.12 |
| Market capitalization, (€ thousand) | 5,184 | 6,544 | 4,499 | 4,049 |
| Number of shares (piece) | 8,499,061 | 8,499,061 | 4,499,061 | 4,499,061 |
CONSOLIDATED STATEMENTS OF FINANCIAL POSITIONS
| € thousand | 30.06.2026 | 31.12.2025 | 30.06.2025 | 31.12.2024 |
| Cash and cash equivalents | 3 | 5 | 37 | 53 |
| Receivables and prepayments (Note 2) | 788 | 790 | 1,075 | 571 |
| Inventories (Note 3) | 1,123 | 1,034 | 1,020 | 624 |
| Total current assets | 1,914 | 1,829 | 2,132 | 1,248 |
| Investment property (Note 4) | 2,541 | 2,541 | 2,481 | 2,380 |
| Financial assets at fair value through profit or loss (Note 7) | 0 | 0 | 0 | 499 |
| Property, plant, equipment and right-of use assets (Note 5) | 4,771 | 4,952 | 4,237 | 4,122 |
| Intangible assets (Note 6) | 161 | 1 | 2 | 3 |
| Total non-current assets | 7,473 | 7,494 | 6,720 | 7,004 |
| TOTAL ASSETS | 9,387 | 9,323 | 8,852 | 8,252 |
| Borrowings (Note 8) | 2,641 | 2,963 | 748 | 1,111 |
| Payables and prepayments (Note 9) | 2,331 | 1,553 | 1,326 | 788 |
| Short-term provisions (Note 10) | 13 | 24 | 10 | 21 |
| Total current liabilities | 4,985 | 4,540 | 2,084 | 1,920 |
| Long-term borrowings (Note 8) | 809 | 205 | 3,518 | 2,613 |
| Long-term provisions (Note 10) | 71 | 72 | 94 | 94 |
| Other long-term liabilities | 44 | 44 | 37 | 9 |
| Total non-current liabilities | 924 | 321 | 3,649 | 2,716 |
| Total liabilities | 5,909 | 4,861 | 5,733 | 4,636 |
| Share capital (at nominal value) (Note 11) | 850 | 850 | 450 | 450 |
| Share premium | 1,600 | 1,600 | 0 | 0 |
| Statutory reserve capital | 45 | 45 | 45 | 45 |
| Retained earnings (loss) | 983 | 1,967 | 2,624 | 3,121 |
| Total equity | 3,478 | 4,462 | 3,119 | 3,616 |
| TOTAL LIABILITIES AND EQUITY | 9,387 | 9,323 | 8,852 | 8,252 |
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
| € thousand | Q2 2026 | Q2 2025 | 6 m 2026 | 6 m 2025 |
| Revenue (Note 13) | 2,263 | 1,868 | 4,124 | 3,603 |
| Cost of goods sold (Note 14) | 2,176 | 1,740 | 4,142 | 3,348 |
| Gross profit (loss) | 87 | 128 | (18) | 255 |
| Distribution costs (Note 15) | 301 | 245 | 563 | 473 |
| Administrative expenses (Note 16) | 144 | 115 | 297 | 226 |
| Other operating income (Note 18) | 0 | 13 | 8 | 13 |
| Other operating expenses (Note 18) | 11 | 3 | 29 | 9 |
| Operating loss | (370) | (222) | (899) | (440) |
| Finance income (Note 19) | 0 | 0 | 0 | 40 |
| Finance costs (Note 19) | 44 | 46 | 85 | 97 |
| LOSS BEFORE INCOME TAX | (414) | (268) | (984) | (497) |
| NET LOSS FOR THE PERIOD | (414) | (268) | (984) | (497) |
| Basic earnings per share (Note 12) | (0.05) | (0.06) | (0.12) | (0.11) |
| Diluted earnings per share (Note 12) | (0.05) | (0.06) | (0.12) | (0.11) |
CONSOLIDATED STATEMENT OF CASH FLOWS
| € thousand | 6M 2026 | 6M 2025 |
| Cash flow from operating activities | ||
| Operating profit (-loss) | (899) | (440) |
| Adjustments: | ||
| Depreciation charge (Note 5; 6) | 280 | 260 |
| Change in trade and other receivables (Note 2) | 2 | (504) |
| Change in inventories (Note 3) | (89) | (396) |
| Change in trade and other payables (Note 9) | 778 | 566 |
| Change in provisions (Note 10) | (12) | (11) |
| Cash generated from operations | 60 | (525) |
| Interest payments (Note 8; 19) | (80) | (89) |
| Net other financial income and expense (Note 19) | (5) | (8) |
| Net cash generated from operating activities | (25) | (621) |
| Cash flow from investing activities | ||
| Purchase of property, plant and equipment and intangible assets (Note 5; 6) | (259) | (375) |
| Purchase of real estate investment (Note 4) | 0 | (101) |
| Sales of financial assets (Note 7) | 0 | 539 |
| Net cash used in investing activities | (259) | 63 |
| Cash flow from financing activities | ||
| Repayment of loans received (Note 8) | (119) | (110) |
| Loans received from related parties (Note 8) | 493 | 705 |
| Finance lease payments (Note 8) | (11) | (12) |
| Change in overdraft (Note 8) | (81) | (41) |
| Net cash (used in)/from financing activities | 282 | 542 |
| NET CHANGE IN CASH | (2) | (16) |
| OPENING BALANCE OF CASH | 5 | 53 |
| CLOSING BALANCE OF CASH | 3 | 37 |
Attachment
