Audited financial report of year 2016 of JSC “To

As a result of the audits were corrected accrued revenue and according to corrections in 2016 a total net turnover of JSC "Tosmares kuģubūvētava" was EUR 5 111 539, but gross profit in the amount of EUR 502 882.

JSC “Tosmares kuģubūvētava” draws attention that was corrected also company income tax and correspondingly a net profit of JSC “Tosmares kuģubūvētava” in the report period was in the amount of EUR 21 899.

In 2016 JSC “Tosmares kuģubūvētava” performed the repair of 35 vessels (in comparison with 2015 – the repair of 44 vessels) and were built 3 steel hulls of catamarans (in comparison with 2015 – 3 steel hulls of catamarans).

The achieved results are based on the active marketing work to attract new customers, rational use of manpower and material resources, increase of labour productivity, as well as an active and closer cooperation with customers in implementing the obligations entered into.

A one of the main reasons for decrease of turnover in 2016 was shipment decline in Baltic region.

In 2016 Company’s products, services and raw material suppliers did not change.

The productions processes of the JSC “Tosmares kuģubūvētava” are carried out in accordance with international standards EN ISO 9001:2008, and the quality system constantly has been improved.

The Company was included on the European ship–recycling list according to the European Parliament and Council regulation (EU) No.1257/2013.

Evaluating the current situation of the market and abilities of the Company, the Board of Directors in 2017 will continue the work of increasing the amount of the ship repair and build. To ensure the above mentioned, the Company continues to perform a general overhaul of the industrial buildings, floating dock, gantry cranes, tugboats, and other fixed assets. Additionally, other investments for different equipment are being planned.

JSC “Tosmares kuģubūvētava” proposes the net profit of 2016 in the amount of EUR 21 899 to direct for further development of the Company.

Find hereby enclosed the audited Financial Report of year 2016, auditor's report and Corporative Governance Report on 2016.

         AS “Tosmares kuģubūvētava”          Acting Chief Accountant          I.Bērtule          Phone: +371 63401945