Published: 2020-02-14 15:45:00 CET
Linda Nektar
Company Announcement

The Interim Report for the 12 months of 2019 (unaudited)

Management Report

In 2019 AS Linda Nektar’s (the ‘Company’) turnover amounted to EUR 2,097,789 marking a decrease of 3.61% year-on-year (12 months 2018: EUR 2,176,363), while initial guidance was EUR 2.2m. The second half of 2019 reflected a marked change in the product portfolio, where around half of the products were introduced during this period. This is as a result of clients’ requests, with direct impacts of European-wide classification changes in beverages during the past year. The overriding trend over the past decade shows a shift in consumption from higher alcohol and sugar levels towards lighter, more specialized, products made in a variety of ways: incorporating lower alcohol levels and natural ingredients. Linda Nektar is well equipped to meet this growing demand as multiple recipes (including exotic fruit bases) can be developed for clients using highly specialised ferments.

12 months 2019 ended in a net loss of EUR 44,598 (12 months 2018 came in with a loss of EUR 76,537).

Operating cash flow in 12 months 2019 was a positive EUR 155,150 (12 months 2018: EUR 313,123). The largest difference can be attributed to higher levels of inventory held at the close of the reporting period.

As of 31 December 2019, the Company’s total assets came to EUR 3,844,886 (31.12.2018: EUR 3,986,785) marking a decrease of 3.56 % year-on-year. Current assets amounted to EUR 1,708,799 (31.12.2018: EUR 1,634,529) or 44.44 % of total assets. Fixed assets amounted to EUR 2,136,087 (31.12.2018: EUR 2,352,256) or 55.56 % of the balance sheet total. The liabilities of AS Linda Nektar totalled EUR 113,447 (31.12.2018: EUR 87,346) and equity capital amounted to EUR 3,731,439 (31.12.2018: EUR 3,899,439).

As of 31 December 2019, there were no loan commitments.

A total of EUR 177,290 was invested in fixed assets (12 months 2018: EUR 197,787).

Depreciation costs in 12 months 2019 amounted to EUR 370,257 (12 months 2018: EUR 452,156).

In 2019, the Company paid EUR 126,009 euros in dividends (12 months 2018: EUR 126,009). The income tax cost on dividends was EUR 27,839 (12 months 2018: EUR 31,502).

Development costs in 12 months 2019 amounted to EUR 25,405 (12 months 2018: EUR 18,436).

As of 31 December 2019, the Company had 12 employees, one Management Board Member, and four Supervisory Board Members. Labour costs for the 12 months of 2019 (including taxes) amounted to EUR 346,269 (12 months 2018: EUR 322,266).

Management’s guidance is for revenues in 2020 to reach EUR 2.5m. This reflects the shift towards a greater variety of higher value-added products being requested from clients. Capacity utilisation remains sufficient to expand further should market conditions allow for it.

 

Financial Ratios:

  2019 2018
Current Ratio = Current Assets/ Current Liabilities x 15.06 18.71
Quick ratio = (Current Assets – Inventories) / Current Liabilities x 11.13 14.98
Working Capital = Current Assets - Current Liabilities   1,595,352 1,547,183
Equity Ratio = Total Equity / Total Assets*100 % 97.05 97.81
Net Profit Margin= Net Profit / Sales Revenue*100 % -2.13 -3.52
Debt to Assets= Total Liabilities / Total Assets x 0.03 0.02

 

Financial Statements

 

Statement of financial position

(In Euros)

  31.12.2019 30.06.2019 31.12.2018 30.06.2018
Assets        
Current assets        
Cash and cash equivalents 883 944 859 878 1 012 339 848 124
Receivables and prepayments 378 175 466 949 296 462 404 787
Inventories 446 680 367 292 325 728 385 246
Total current assets 1 708 799 1 694 119 1 634 529 1 638 157
Non-current assets        
Receivables and prepayments 42 48 25 25
Property, plant and equipment 2 129 820 2 264 271 2 343 123 2 481 242
Intangible assets 6 225 7 634 9 108 45 322
Total non-current assets 2 136 087 2 271 953 2 352 256 2 526 589
Total assets 3 844 886 3 966 072 3 986 785 4 164 746
Liabilities and equity        
Liabilities        
Current liabilities        
Payables and prepayments 113 447 214 152 87 346 246 788
Total current liabilities 113 447 214 152 87 346 246 788
Total liabilities 113 447 214 152 87 346 246 788
Equity        
Issued capital 1 575 109 1 575 109 1 575 109 1 575 109
Share premium 617 517 617 517 617 517 617 517
Statutory reserve capital 70 672 70 672 70 672 70 672
Other reserves 11 416 8 809 8 809 1 804
Retained earnings (loss) 1 501 323 1 501 323 1 703 869 1 703 869
Reporting period profit (loss) -44 598 -21 510 -76 537 -51 013
Total equity 3 731 439 3 751 920 3 899 439 3 917 958
Total liabilities and equity 3 844 886 3 966 072 3 986 785 4 164 746

 

Income statement

(In Euros)

  2019 2019 H2 2018 2018 H2
Revenue 2 097 789 1 049 220 2 176 363 1 084 259
Other income 27 074 19 466 15 740 9 777
Changes in inventories of finished goods
and work in progress
54 543 45 200 4 886 -38 435
Raw materials and consumables used -1 297 803 -673 097 -1 268 696 -594 136
Other operating expense -181 825 -96 503 -198 903 -99 473
Employee expense -346 269 -182 923 -322 266 -165 894
Depreciation and impairment loss (reversal) -370 257 -184 457 -452 156 -221 618
Other expense -107 -42 -99 -56
Operating profit (loss) -16 855 -23 136 -45 131 -25 576
Interest income 96 48 96 52
Profit (loss) before tax -16 759 -23 088 -45 035 -25 524
Income tax expense -27 839 0 -31 502 0
Reporting period profit (loss) -44 598 -23 088 -76 537 -25 524

 

Statement of cash flows

 (In Euros)

  2019 2019  H2 2018 2018  H2
Cash flows from operating activities        
Operating profit (loss) -16 855 -23 136 -45 131 -25 576
Adjustments        
Depreciation and impairment loss (reversal) 370 257 184 457 452 156 221 618
Profit (loss) from sale of non-current assets -861 0 0 0
Other adjustments 2 606 2 606 7 805 7 805
Total adjustments 372 002 187 063 459 961 229 423
Changes in receivables and prepayments related to operating activities -81 730 88 780 -94 032 108 325
Changes in inventories -118 121 -76 558 21 536 59 518
Changes in payables and prepayments related to operating activities 27 693 -97 527 2 291 -156 459
Income tax refund (paid) -27 839 0 -31 502 0
Total cash flows from operating activities 155 150 78 622 313 123 215 231
Cash flows from investing activities        
Purchase of property, plant and equipment and intangible assets -178 882 -54 604 -212 745 -51 068
Proceeds from sales of property, plant and equipment and intangible assets 21 250 0 0 0
Proceeds from government grants 0 0 313 580 0
Interest received 96 48 96 52
Other cash inflows from investing activities 0 0 3 800 0
Total cash flows from investing activities -157 536 -54 556 104 731 -51 016
Cash flows from financing activities        
Dividends paid -126 009 0 -126 009 0
Total cash flows from financing activities -126 009 0 -126 009 0
Total cash flows -128 395 24 066 291 845 164 215
Cash and cash equivalents at beginning of period 1 012 339 859 878 720 494 848 124
Change in cash and cash equivalents -128 395 24 066 291 845 164 215
Cash and cash equivalents at end of period 883 944 883 944 1 012 339 1 012 339

     

Statement of changes in equity

(In Euros)

  Issued capital Share premium Statutory reserve capital Other reserves Retained earnings (loss) Total
31.12.2017 1 575 109 617 517 66 402 1 804 1 834 147 4 094 979
Reporting period profit (loss) 0 0 0 0 -51 013 -51 013
Declared dividends 0 0 0 0 -126 009 -126 009
             
30.06.2018 1 575 109 617 517 70 672 1 804 1 652 856 3 917 958
Reporting period profit (loss) 0 0 0 0 -25 524 -25 524
Declared dividends 0 0 0 0 0 0
Changes in reserves 0 0 0 7 005 0 7 005
31.12.2018 1 575 109 617 517 70 672 8 809 1 627 332 3 899 439
Reporting period profit (loss) 0 0 0 0 -21 510 -21 510
Declared dividends 0 0 0 0 -126 009 -126 009
Changes in reserves 0 0 0 0 0 0
30.06.2019 1 575 109 617 517 70 672 8 809 1 479 813 3 751 920
Reporting period profit (loss) 0 0 0 0 -23 088 -23 088
Declared dividends 0 0 0 0 0 0
Changes in reserves 0 0 0 2 607 0 2 607
31.12.2019 1 575 109 617 517 70 672 11 416 1 456 725 3 731 439

 

         Additional information:
         
         Kadri Rauba
         Member of Management Board
         
         AS Linda Nektar
         Address: Kobela, Antsla parish
         66407 Võrumaa, Estonia
         Telephone: +372 785 5768
         E-mail: info@lindanektar.ee


2019_H2_en_eur.pdf