Audited annual report 2016 AS Pro Kapital Grupp

AS Pro Kapital Grupp Council has on 20.04.2017 approved the audited annual report for the financial year 2016.

Company’s audited and consolidated revenue for financial year 2016 amounted to 20,652 million euros. Compared to 18,322 million euros in 2015 the revenue increased by 12,7%. Company’s gross profit was 6,054 million euros that was 36,1% higher than 4,448 million euros in 2015. Company’s audited net loss amounted to 4,025 million euros, in 2015 the Company´s net loss amounted to 2,010 million euro. The net result in 2015 was positively influenced by the effect of real estate revaluation in amount 3,041 million euros, the net result in 2016 was negatively influenced by the effect of real estate revaluation in amount 0,599 million euros.  

The audited net result for the period and net result in disclosed interim report for the fourth quarter in 2016 (4,025 and 2,605 million euros net loss respectively) differ by 1,420 million euros. This difference is caused by the fact that fair value of investment properties of subsidiaries were recorded as per initial valuation reports. The final valuation reports were approved after disclosure of the interim report and investment properties were recorded accordingly in the audited financial report. Adjustments in fair value of investment properties influenced the statement of income by 1,420 million euros, assets decreased by 1,670 million euros and liabilities decreased by 0,250 million euros in the statement financial position.

In 2016 Pro Kapital continued to focus on the development of the new T1 Mall of Tallinn shopping and entertainment centre in Tallinn, which is the Company´s largest single-object development project. The construction works were carried on and in November the financing agreement was signed with TSSP, a leading global credit platform of TPG, with approximately $19 billion in assets under management. The total volume of the financing agreement is 65 million euros enabling to fully fund T1 shopping and entertainment centre project to be opened in autumn 2018.

In Tallinn Tondi quarter under the Kristiine City brand name the Company has completed three apartment buildings with construction works going on for the fourth building and with intention to start with following buildings during 2017. The presales were successfully launched also for historical building at Marsi 6 that will be renovated into a 45 special design loft apartments. The construction works were completed for converting a historical barrack on Tondi 53 land plot into an office building where starting from 1 September the head office of the Company is located. In 2016 the urban detail plan was finally approved for Kalaranna 1 land plot and in 2017 the Company intends to initiate the projecting works of the area.

In Riga construction works for the residential building with 47 exclusive apartments in Kliversala project  started and projecting works were continued for Tallinas Residential Complex.  In Vilnius the new residential building K4-1 was completed in the Šaltinių Namai district and apartments were handed over to the clients. The presales were launched successfully for the second stage residential buildings and the construction works started just in the beginning of 2017.

The consolidated and audited annual report of AS Pro Kapital Grupp for financial year 2016 is also available at the office of the Company located at Sõjakooli 11 Tallinn and also on the company's webpage  www.prokapital.com .

         Allan Remmelkoor          Member of the Board          Tel.: +372 6144 920          Email: prokapital@prokapital.ee