AS Ekspress Grupp Reports Positive Growth Amid Economic Pressures
Positive Revenue Growth for AS Ekspress Grupp
The revenue of Ekspress Grupp exhibited robust growth in the recent quarter and the first half of the year. This growth can be attributed to strategic investments in various segments, particularly the conference business, ticket sales, and digital outdoor screens. Moreover, the group's media companies saw a significant uptick in digital subscriptions. However, despite these positive trends, the overall economic environment in the Baltic States exerted pressure on advertising sales, which negatively influenced profitability.
Q2 Performance Highlights
During the second quarter of 2025, AS Ekspress Grupp reported a revenue increase of EUR 1.8 million, demonstrating a 9% rise compared to the same period in the previous year, totaling EUR 21.4 million. Similarly, for the first six months of 2025, revenue rose by EUR 2.6 million, reflecting a 7% year-over-year increase, reaching EUR 38.4 million. The primary drivers of this growth included the impressive performance of the Estonian Training and Convention Centre and the conference company acquired by Delfi Lithuania.
Digital Revenue Trends
Digital revenue saw a modest increase of 2% in the first half of the year. However, the acquisition of the training sector did result in a decline in the proportion of digital revenue from 87% to 83% of the Group's total revenue. This adjustment is on a comparable basis with a record of 88% at the end of Q2 2025. The inflow of over 22,000 new digital subscriptions signifies a growing interest in paid content, ultimately reaching a total of 245,000 subscriptions by the end of Q2 2025.
Profitability Insights
In Q2 2025, AS Ekspress Grupp reported an EBITDA of EUR 2.8 million—a decline of 7% compared to the previous year. For the first half, the EBITDA totaled EUR 3.1 million, reflecting a 12% drop. This reduction in profitability can largely be traced back to the ongoing challenges in the advertising market and rising operational costs. However, the net profit increased to EUR 1.1 million in Q2, an uptick of 6%. Despite this, the first half showed a net loss of EUR -0.5 million, attributed to increased depreciation costs and other operational pressures.
Strong Liquid Position
The Group's liquidity position remains sound, with available cash amounting to EUR 7.2 million as of the end of June 2025, up from EUR 5.5 million this time last year. In June 2025, the Group distributed a dividend of EUR 0.06 per share, resulting in a payment of EUR 1.86 million to shareholders. This reflects the company's commitment to maintaining shareholder value amid fluctuating market conditions.
Future Direction and Goals
AS Ekspress Grupp is strategically enhancing its media offerings by boosting content quality and volume. This approach aims to solidify its position as a leader in the digital subscription arena across the Baltic States. The Group is keen on meeting its objectives, aspiring to provide premium digital content for at least 340,000 subscribers by 2026.
Frequently Asked Questions
What contributed to the revenue growth of AS Ekspress Grupp in Q2 2025?
The revenue growth in Q2 2025 was driven by strong performance in the conference businesses, ticket sales, and increased digital subscriptions.
How did the digital revenue perform in the first half of 2025?
The digital revenue increased by 2%, although its overall share of total revenue decreased due to the acquisition of the training business.
What was the EBITDA for AS Ekspress Grupp in Q2 2025?
The EBITDA for the second quarter of 2025 was EUR 2.8 million, marking a 7% decrease from the previous year.
How is AS Ekspress Grupp maintaining its liquidity?
The Group is maintaining a robust liquidity position with available cash amounting to EUR 7.2 million, alongside prudent management of its operational expenses.
What are AS Ekspress Grupp’s future goals?
The Group aims to enhance its digital content offerings and serve at least 340,000 digital subscriptions by 2026, showcasing its commitment to growth in the digital arena.
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