Interim consolidated report of Grigeo AB covering twelve months of 2018 and endorsement of the responsible persons

Vilnius, Lithuania

In the year 2018 profit before taxes of the Group of Grigeo AB increased by 70.2%, compared to 2017.

During the twelve months of 2018, the Group consisting of Grigeo AB, Grigeo Klaipėda AB, Grigeo Baltwood UAB, Grigeo Recycling UAB and Mena Pak PAT achieved the consolidate sales turnover of EUR 142.5 million. It is by 9.7% more than during the same period of 2017, when consolidated Group’s turnover was EUR 129.9 million.

During the same period in question, Grigeo AB (the Company) sales amounted to EUR 82.5 million, which is by EUR 11.5 million or 16.2% more than during the twelve months of 2017.

During the reporting period, the Group earned EUR 14.3 million profit before taxes, which is by EUR 5.9 million more than in the same period last year.

The forecast of the Company, regarding profit before taxes in 2018 has proved to be reliable. With the rising prices of the raw materials used for the production of tissue paper and increased energy costs, compared it to 2017, pre-tax earnings decreased by 41.4%, i.e. EUR 1.7 million. EBITDA was recorded at EUR 9.3 million and decreased by EUR 0.9 million, compared to 2017.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) of the Group, if compared with the twelve months of 2017, increased by 22.7% and reached a little more than had been forecasted – EUR 28.1 million.

More information is provided in the interim consolidated report of Grigeo AB covering the twelve months of 2018 with endorsement of the responsible persons (see attachments).

Gintautas Pangonis

President of Grigeo AB

(+370-5) 243 58 01

Attachments