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AS Ekspress Grupp: Consolidated unaudited interim report for Q2 and 6 months of 2025

Teade

The revenue of Ekspress Grupp continued to grow in the 2(nd) quarter and the
first half of the year, driven by the Group's investments in the conference
business, ticket sales and digital outdoor screens. The digital subscriptions of
its media companies also grew strongly. Due to the weak economic environment in
the Baltic States, the advertising sales of media companies were under pressure,
which in turn had a negative impact on the Group's profitability indicators.

The revenue of AS Ekspress Grupp for the 2(nd) quarter of 2025 increased by EUR
1.8 million (+9%) year-over-year, totalling EUR 21.4 million. The revenue for
the first six months of 2025 increased by EUR 2.6 million (+7%) year-over-year,
to EUR 38.4 million. The top contributors to growth in the 2(nd) quarter were
the business activities of Eesti Koolitus- ja Konverentsikeskus (the Estonian
Training and Convention Centre), acquired by Delfi Meedia in July 2024, and the
conference company UAB Kenton Baltic, acquired by Delfi Lithuania in December
2024. In addition, growth was driven by Delfi Lithuania's AI project and
continued growth in digital subscription revenue, ticket sales platform revenue
and digital screen revenue. On the other hand, the Group's activities were
impacted by the general weakness of the business environment in the Baltic
States, which was reflected in an 8% decrease in advertising revenue. In the
first half of the year, sales revenue increased by 7% year-over-year, driven by
the same factors contributing to quarterly growth.

The digital revenue for the first six months of the year increased by 2% year-
over-year, but the acquisition of the training business lowered the share of
digital revenue in the Group's total revenue from 87% to 83% (on a comparable
basis, the share of digital revenue was 88% at the end of the 2(nd) quarter of
2025). At the same time, the digital subscription revenue of the Group's media
companies and the number of people with digital subscriptions increased in all
three countries. During the year, the Group received more than 22 000 new
digital subscriptions (+10%) in the Baltic States, reaching 245 000
subscriptions at the end of the 2(nd) quarter of 2025. The Group's digital
revenue is thus increasingly based on digital subscription revenue, and it makes
up an increasingly larger recurring revenue base without the need for additional
sales activity (and costs). We have enhanced the quality and volume of content
offered by the Group's media companies in order to be the leader in the digital
subscription field in all Baltic States. The Group is gradually moving towards
its financial strategic goals and wishes to offer paid digital content to at
least 340 000 subscribers by the year 2026.

In the 2(nd) quarter, the revenue from ticket sales platforms increased by 13%
year-over-year. The outdoor screen business also showed a 3% growth, supported
by both the expansion of the network to 156 screens and the increase in sales
revenue per screen. With this, the Group has increased its presence especially
in the Latvian market, where the number of screens increased from 105 to 110 in
the year, while in Estonia we have 46 screens. These two areas have proved
resilient also in the conditions of slower economic growth.

In the 2(nd) quarter, Ekspress Grupp's profit before interest, taxes,
depreciation and amortisation (EBITDA) totalled EUR 2.8 million, decreasing by
EUR 0.2 million year-over-year (-7%). The EBITDA for the first half of the year
totalled EUR 3.1 million, decreasing by EUR 0.4 million (-12%). The decline in
profitability is due to the contraction of the advertising market and the
increasing pressure on input costs due to the overall weak economic environment
in the Baltic States. The net profit for the 2(nd) quarter of 2025 was EUR 1.1
million, an increase of EUR 0.1 million (+6%). In the first half of the year,
however, the Group incurred a net loss of EUR -0.5 million, which is EUR 0.3
million higher as compared to the previous year. The increase in the net loss
for the first half of the year is mainly due to higher depreciation costs
related to the Group's investments. However, lower income tax on dividends had a
positive impact as compared to the previous year.

The Group's liquidity continues to be strong. The Management Board considers it
important to maintain liquidity reserves both for potential new acquisitions and
for situations related to further cooling of the economy. As of 30 June 2025,
the Group's available cash totalled EUR 7.2 million (30.06.2024: EUR 5.5
million). In June 2025, the Group paid a dividend of EUR 6 cents per share to
its shareholders, amounting to EUR 1.86 million.



Q2 AND 6 MONTHS RESULTS

REVENUE

In the 2(nd) quarter of 2025, the consolidated revenue totalled EUR 21.4 million
(Q2 2024: EUR 19.6 million). The revenue for the 2(nd) quarter increased by 9%
year-over-year. The consolidated revenue for the first 6 months of 2025 totalled
EUR 38.4 million (6 months 2024: EUR 35.9 million). The revenue for the first 6
months of the year increased by 7% as compared to the previous year.

The growth in both the 2(nd) quarter and the first 6 months is mainly driven by
the business operations of Eesti Koolitus- ja Konverentsikeskus (the Estonian
Training and Conference Centre), acquired by Delfi Meedia in July 2024 and the
conference company UAB Kenton Baltic, acquired by Delfi Lithuania in December
2024. In addition, the growth was contributed by Delfi Lithuania's AI project
and continued growth in digital subscription revenue, ticket sales platform
revenue, and digital outdoor screen revenue.

The AI module being developed by Delfi UAB is funded by the European Union and
aims to enable the automatic identification of false information. The project,
which began in the 1(st) quarter of 2025 and is scheduled to conclude in the
2(nd) quarter of 2026, is expected to generate revenue of 3 million euros. The
model will be publicly available to all artificial intelligence developers.

The share of the Group's digital revenue in total revenue was 83% at the end of
the 2(nd) quarter of 2025 (at the end of Q2 2024: 87% of total revenue). The
share of digital revenues in the Group's total revenue has decreased due to the
expansion of the training and conference business as a new revenue stream. In
July 2024, AS Delfi Meedia acquired the business of Eesti Koolitus- ja
Konverentsikeskus (the Estonian Training and Conference Centre), and in December
2024, the Lithuanian subsidiary UAB Delfi acquired the conference company UAB
Kenton Baltic. On a comparable basis, the share of digital revenues in the first
6 months of 2025 was 88%. Digital revenue for the first 6 months of 2025
increased by 2% as compared to the same period last year.

EXPENSES

In the 2(nd) quarter of 2025, the cost of goods sold, marketing, and general and
administrative costs, excluding depreciation and amortisation totalled EUR 18.7
million (Q2 2024: EUR 16.6 million). Operating expenses increased by EUR 2.1
million (+12%) as compared to the same period last year. In the first 6 months
of 2025, the cost of goods sold, marketing, and general and administrative
costs, excluding depreciation and amortisation totalled EUR 35.6 million (6
months 2024: EUR 32.6 million). Operating expenses increased by EUR 3.0 million
(+9%) as compared to the same period last year. The increase in expenses in both
the 2(nd) quarter and the first 6 months of the year is mainly due to operating
expenses related to newly acquired training and conference businesses and
expenses related to the Lithuanian AI project (Q2 2025: EUR 1.6 million; 6
months 2025: EUR 2.1 million).

PROFITABILITY

In the 2(nd) quarter of 2025, the consolidated EBITDA totalled EUR 2.8 million
(Q2 2024: EUR 3.0 million). EBITDA decreased by 7% as compared to last year and
the EBITDA margin was 13% (Q2 2024: 15%). In the first 6 months of 2025, the
consolidated EBITDA totalled EUR 3.1 million (6 months 2024: EUR 3.5 million).
EBITDA decreased by 12% as compared to last year and the EBITDA margin was 8% (6
months 2024: 10%). The decrease in profitability is impacted by the decline in
the advertising market due to the general weak economic environment in the
Baltic States and the increasing pressure of input costs.

The consolidated net profit for the 2(nd) quarter of 2025 totalled EUR 1.1
million (Q2 2024: EUR 1.0 million), an increase of 6%. The consolidated net loss
for the first 6 months of 2025 totalled EUR -0.5 million (6 months 2024: EUR
-0.2 million), an increase of EUR 0.3 million. In addition to the decrease in
EBITDA, higher net loss is also primarily related to higher depreciation
expenses arising from the Group's investments. However, a positive impact was
made by lower income tax expense (EUR +0.6 million in both the 2(nd) quarter and
the first 6 months of the year), which mainly came from income tax on dividends.

CASH POSITION

At the end of the reporting period, the Group had available cash in the amount
of EUR 7.2 million and equity in the amount of EUR 56.1 million (50% of total
assets). The comparable data as of 30 June 2024 were EUR 5.5 million and EUR
55.0 million (53% of total assets), respectively. As of 30 June 2025, the
Group's net debt was EUR 19.8 million (30 June 2024: EUR 19.4 million).

In the first 6 months of 2025, the Group's cash flows from operating activities
totalled EUR 3.9 million (6 months 2024: EUR 1.3 million), which was positively
affected by ticket sales platforms in both Estonia and Latvia.

In the first 6 months of 2025, the Group's cash flows from investing activities
totalled EUR -1.4 million (6 months 2024: EUR -1.7 million), of which EUR -2.0
million was related to development and acquisition of property, plant and
equipment and intangible assets, of which the largest investments were the
acquisition of LED outdoor screens and the investments in the development of
Delfi platform and Delfi TV.

In the first 6 months of 2025, the Group's cash flows from financing activities
totalled EUR -4.3 million (6 months 2024: EUR -3.6 million), of which EUR -1.86
million is the dividend payment to the shareholders of AS Ekspress Grupp (6
months 2024: EUR -1.85 million). In the first 6 months of 2025, there were no
proceeds from the sale of treasury shares within the framework of the exercise
of share options (6 months 2024: EUR 0.5 million). Financing activities include
a net change in borrowings in the amount of EUR -1.2 million (6 months 2024: EUR
-1.1 million) and lease liabilities in the amount of EUR -1.3 million (6 months
2024: EUR -1.1 million) due to the normal reduction of the remaining lease term.

DIVIDENDS

At the regular general meeting of shareholders of AS Ekspress Grupp held on 23
May 2025, it was decided to pay a dividend of 6 euro cents per share in the
total amount of EUR 1.86 million. Dividends were paid to shareholders on 12 June
2025.



SEGMENT OVERVIEW

 Key financial indicators for segments

 (EUR thousand)    Sales

                                                                     12 months
                   Q2 2025 Q2 2024 change % 6M 2025 6M 2024 change % 2024

 Media segment     21 410  19 607  9%       38 393  35 813  7%       76 071

  advertising
 revenue           10 658  11 579  -8%      19 147  20 379  -6%      42 234

 subscriptions
 (incl. single-
 copy sales)       5 202   5 034   3%       10 398  10 077  3%       20 457

 ticket sales
 platforms         851     754     13%      1 851   1 664   11%      4 157

 outdoor screens   1 311   1 269   3%       2 240   2 052   9%       4 445

 sale of other
 goods and
 services          3 388   971     249%     4 757   1 641   190%     4 778

 Corporate
 functions         195     184     6%       391     354     10%      752

 Inter-segment
 eliminations      (177)   (161)            (353)   (316)            (653)

 TOTAL GROUP       21 428  19 631  9%       38 431  35 851  7%       76 170

  incl. revenue
 from all digital
 channels          17 702  17 651  0%       32 037  31 319  2%       65 786

  % of revenue
 from all digital
 channels          83%*    90%              83%*    87%              86%


 (EUR thousand)    EBITDA

                                                                     12 months
                   Q2 2025 Q2 2024 change % 6M 2025 6M 2024 change % 2024

 Media segment     3 239   3 388   -4%      3 865   4 302   -10%     12 364

 Corporate
 functions         (406)   (363)   -12%     (789)   (841)   6%       (1 699)

 Inter-segment
 eliminations      1       18               3       22               11

 TOTAL GROUP       2 835   3 042   -7%      3 079   3 484   -12%     10 677


  EBITDA margin   Q2 2025   Q2 2024   6M 2025   6M 2024   12 months 2024

  Media segment   15%       17%       10%       12%       16%

  TOTAL GROUP     13%       15%       8%        10%       14%


* The share of digital revenues in the group's total revenue has decreased due
to the increase in the share of revenues related to the training and conference
business - in July 2024, Delfi Meedia acquired the business operations of Eesti
Koolitus- ja Konverentsikeskus (the Estonian Training and Conference Centre),
and in December 2024, Delfi Lithuania acquired the conference company UAB Kenton
Baltic (on a comparable basis, the share of digital revenues in the 2(nd)
quarter of 2025 was 90% and in the first 6 months of 2025 88%).



Consolidated statement of financial position (unaudited)

  (EUR thousand)                      30.06.2025   31.12.2024
--------------------------------------------------------------
  ASSETS
--------------------------------------------------------------
  Current assets
--------------------------------------------------------------
  Cash and cash equivalents                7 167        8 971
--------------------------------------------------------------
  Trade and other receivables             15 363       14 394
--------------------------------------------------------------
  Corporate income tax prepayment            222          170
--------------------------------------------------------------
  Inventories                                364          373
--------------------------------------------------------------
  Total current assets                    23 116       23 908
--------------------------------------------------------------
  Non-current assets
--------------------------------------------------------------
  Other receivables and investments        1 737        1 775
--------------------------------------------------------------
  Deferred tax asset                          71           71
--------------------------------------------------------------
  Investments in joint ventures              974          872
--------------------------------------------------------------
  Investments in associates                2 282        2 464
--------------------------------------------------------------
  Property, plant and equipment           10 185       10 834
--------------------------------------------------------------
  Intangible assets                       74 215       74 112
--------------------------------------------------------------
  Total non-current assets                89 463       90 128
--------------------------------------------------------------
  TOTAL ASSETS                           112 579      114 036
--------------------------------------------------------------
  LIABILITIES
--------------------------------------------------------------
  Current liabilities
--------------------------------------------------------------
  Borrowings                               3 934        5 309
--------------------------------------------------------------
  Trade and other payables                29 572       27 014
--------------------------------------------------------------
  Corporate income tax payable                 0           36
--------------------------------------------------------------
  Total current liabilities               33 506       32 359
--------------------------------------------------------------
  Non-current liabilities
--------------------------------------------------------------
  Long-term borrowings                    23 002       23 232
--------------------------------------------------------------
  Other long-term liabilities                  5            5
--------------------------------------------------------------
  Total non-current liabilities           23 007       23 237
--------------------------------------------------------------
  TOTAL LIABILITIES                       56 512       55 596
--------------------------------------------------------------
  EQUITY
--------------------------------------------------------------
  Share capital                           18 576       18 576
--------------------------------------------------------------
  Share premium                           14 295       14 295
--------------------------------------------------------------
  Treasury shares                            (5)          (5)
--------------------------------------------------------------
  Reserves                                 2 494        2 364
--------------------------------------------------------------
  Retained earnings                       20 707       23 210
--------------------------------------------------------------
  TOTAL EQUITY                            56 067       58 440
--------------------------------------------------------------
  TOTAL LIABILITIES AND EQUITY           112 579      114 036
--------------------------------------------------------------



Consolidated statement of comprehensive income (unaudited)

 (EUR thousand)             Q2 2025  Q2 2024   6M 2025   6M 2024 12 months 2024
-------------------------------------------------------------------------------
 Sales                       21 428   19 631    38 431    35 851         76 170
-------------------------------------------------------------------------------
 Cost of sales             (16 556) (14 689)  (31 403)  (28 258)       (58 209)
-------------------------------------------------------------------------------
 Gross profit                 4 873    4 941     7 028     7 593         17 961
-------------------------------------------------------------------------------
 Other income                   157      132       327       289            959
-------------------------------------------------------------------------------
 Marketing expenses         (1 124)    (823)   (2 032)   (1 680)        (3 369)
-------------------------------------------------------------------------------
 Administrative expenses    (2 716)  (2 561)   (5 486)   (5 396)       (10 530)
-------------------------------------------------------------------------------
 Other expenses                (32)     (73)      (80)      (95)          (164)
-------------------------------------------------------------------------------
 Operating profit /(loss)     1 158    1 617     (242)       711          4 857
-------------------------------------------------------------------------------
 Interest income                 27       25        56        61            117
-------------------------------------------------------------------------------
 Interest expenses            (403)    (451)     (815)     (908)        (1 836)
-------------------------------------------------------------------------------
 Other finance
 income/(costs)                (19)     (12)      (37)      (22)           (58)
-------------------------------------------------------------------------------
 Net finance cost             (395)    (439)     (796)     (870)        (1 777)
-------------------------------------------------------------------------------
 Profit/(loss) on shares
 of joint ventures               57       83       101       122            318
-------------------------------------------------------------------------------
 Profit/(loss) on shares
 of associates                  114      169       275       250            471
-------------------------------------------------------------------------------
 Profit /(loss) before
 income tax                     934    1 430     (662)       212          3 869
-------------------------------------------------------------------------------
 Income tax expense             149    (406)       145     (409)          (617)
-------------------------------------------------------------------------------
 Net profit /(loss) for
 the reporting period         1 083    1 025     (516)     (197)          3 252
-------------------------------------------------------------------------------
 Total comprehensive
 income /(loss)               1 083    1 025     (516)     (197)          3 252
-------------------------------------------------------------------------------
 Earnings per share (euro)
-------------------------------------------------------------------------------
 Basic earnings per share    0.0350   0.0332  (0.0167)  (0.0064)         0.1058
-------------------------------------------------------------------------------



Consolidated cash flow statement (unaudited)

 (EUR thousand)                                  6M 2025 6M 2024 12 months 2024
-------------------------------------------------------------------------------
 Cash flows from operating activities
-------------------------------------------------------------------------------
 Operating profit /(loss) for the reporting year   (242)     711          4 857
-------------------------------------------------------------------------------
 Adjustments for (non-cash):
-------------------------------------------------------------------------------
 Depreciation and amortisation                     3 317   2 773          5 823
-------------------------------------------------------------------------------
 (Gain)/loss on sale, write-down and impairment
 of property, plant and equipment                     19      10             33
-------------------------------------------------------------------------------
 Cash flows from operating activities:
-------------------------------------------------------------------------------
 Trade and other receivables                       (945) (1 882)        (1 281)
-------------------------------------------------------------------------------
 Inventories                                           8    (21)           (52)
-------------------------------------------------------------------------------
 Trade and other payables                          2 463     895          3 390
-------------------------------------------------------------------------------
 Income tax paid                                    (99)   (559)          (707)
-------------------------------------------------------------------------------
 Interest paid                                     (604)   (669)        (1 875)
-------------------------------------------------------------------------------
 Net cash generated from operating activities      3 917   1 258         10 188
-------------------------------------------------------------------------------
 Cash flows from investing activities
-------------------------------------------------------------------------------
 Acquisition of subsidiaries/ associates (less
 cash acquired) and other investments /sale/
 cash paid-in equity-accounted investees               0       0        (5 246)
-------------------------------------------------------------------------------
 Interest received                                    55      60            115
-------------------------------------------------------------------------------
 Purchase of property, plant and equipment and
 intangible assets                               (1 958) (2 008)        (4 619)
-------------------------------------------------------------------------------
 Proceeds from sale of property, plant and
 equipment and intangible assets                       4       5              3
-------------------------------------------------------------------------------
 Loans granted                                         0       0           (12)
-------------------------------------------------------------------------------
 Loan repayments received                             40       4              4
-------------------------------------------------------------------------------
 Dividends received                                  456     204            379
-------------------------------------------------------------------------------
 Net cash used in investing activities           (1 404) (1 735)        (9 376)
-------------------------------------------------------------------------------
 Cash flows from financing activities
-------------------------------------------------------------------------------
 Dividends paid                                  (1 857) (1 848)        (1 848)
-------------------------------------------------------------------------------
 Payment of lease liabilities                    (1 257) (1 142)        (2 315)
-------------------------------------------------------------------------------
 Change in overdraft                                 248       0              0
-------------------------------------------------------------------------------
 Proceeds from borrowings                              0       0          4 640
-------------------------------------------------------------------------------
 Repayments of bank loans                        (1 452) (1 122)        (2 419)
-------------------------------------------------------------------------------
 Proceeds from share issuance                          0      98             98
-------------------------------------------------------------------------------
 Proceeds from sale of treasury shares                 0     397            397
-------------------------------------------------------------------------------
 Net cash used in financing activities           (4 318) (3 617)        (1 447)
-------------------------------------------------------------------------------
 NET (DECREASE)/INCREASE IN CASH AND CASH
 EQUIVALENTS                                     (1 804) (4 094)          (635)
-------------------------------------------------------------------------------
 Cash and cash equivalents at the beginning of
 the period                                        8 971   9 606          9 606
-------------------------------------------------------------------------------
 Cash and cash equivalents at the end of the
 period                                            7 167   5 512          8 971
-------------------------------------------------------------------------------





Additional information
Lili Kirikal
CFO of the Group
[email protected] (mailto:[email protected])

AS Ekspress Grupp is the leading Baltic media group whose key activities include
web media content production, and publishing of newspapers, magazines and books.
The Group also operates an electronic ticket sales platform and ticket sales
offices in Latvia and Estonia, offers digital outdoor screen service in Estonia
and Latvia. In addition, the Group companies organize conferences, trainings and
events mainly in Estonia and Lithuania but also in Latvia. Ekspress Grupp
launched its operations in 1989 and employs about 1000 people.