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Arco Vara AS

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Juhtkonna vaheteadaanne või kvartaalne finantsaruanne

Teate ID

6236

Esitamise kuupäev ja aeg

10.08.2017 16:54:44

Teate sisu eesti keeles

Pealkiri

Arco Vara AS-i 2017. aasta II kvartali ja 6 kuu konsolideeritud auditeerimata vahearuanne

Teade

PÕHILISED NÄITAJAD


·                     Kontserni 2017. aasta II kvartali müügitulu oli 1,0
miljonit eurot, mis on 52% vähem võrrelduna 2016. aasta II kvartali müügituluga
2,1 miljonit eurot. Kontserni 2017. aasta 6 kuu müügitulu 2,6 miljonit eurot on
63,5% väiksem 2016. aasta 6 kuu müügitulust 7,2 miljonit eurot.
Arendusdivisjoni müügitulu oli II kvartalis 0,4 miljonit eurot ja 6 kuuga 1,5
miljonit eurot (2016. aastal vastavalt 1,4 miljonit eurot ja 5,8 miljonit
eurot) ja teenindusdivisjoni müügitulu oli II kvartalis 0,7 miljonit eurot ja 6
kuuga 1,4 miljonit eurot (2016. aastal vastavalt 0,8 miljonit eurot ja 1,6
miljonit eurot). 

·                     2017. aasta II kvartali ärikahjumiks (=EBIT) kujunes 0,2
miljonit eurot ja puhaskahjumiks 0,4 miljonit eurot (6 kuud 2017: ärikahjum 0,4
miljonit eurot ja puhaskahjum 0,6 miljonit eurot). 2016. aasta II kvartalis sai
kontsern ärikahjumit 0,1 miljonit eurot ja puhaskahjumit 0,2 miljonit eurot.
2016. aasta 6 kuu ärikasum oli 1,2 miljonit eurot ja puhaskasum 0,9 miljonit
eurot. Nii arendus- kui teenindusdivisjon said 2017. aasta II kvartalis ja ka 6
kuuga väikese ärikahjumi (alla 0,1 miljoni euro). Võrdluseks, 2016. aasta II
kvartalis ja 6 kuuga teenis arendusdivisjon ärikasumit vastavalt 0,1 miljonit
eurot ja 1,5 miljonit eurot. Teenindusdivisjoni ärikahjum oli 2016. aasta kuue
kuuga 0,1 miljonit eurot. 

·                     2017. aasta II kvartalis müüdi kontserni poolt
arendatavates projektides kokku 1 korter ja 3 hoonestamata kinnistut (6 kuuga
kokku 2 korterit ja 6 hoonestamata kinnistut). 2016. aasta II kvartalis müüdi 5
korterit, 3 äripinda ja 4 hoonestamata kinnistut ning 6 kuuga kokku 73
korterit, 5 äripinda ja 4 hoonestamata kinnistut. Suur erinevus müüdud varade
arvus selgitab ka suurt erinevust arendusdivisjoni müügitulu ja ärikasumi
näitajates. 2016. aasta esimesel poolel toimus aktiivne müük Manastirski
projektis Bulgaarias, kuid 2017. aastal ükski arendusprojekt seni valmimisjärku
veel ei ole jõudnud. 

·                     Kontserni laenukoormus (netolaenud) suurenes 2017. aasta
esimese 6 kuuga 5,1 miljoni euro võrra, tasemele 18,5 miljonit eurot 30.06.2017
seisuga. Kontserni intressikandvate kohustuste kaalutud keskmine intressimäär
oli 30.06.2017 seisuga 5,0%, mis on 0,3 protsendipunkti võrra madalam võrreldes
31.12.2016 seisuga. 



 Olulisemad finantsnäitajad

                                    6 kuud     6 kuud   II kvartal    II kvartal
                                      2017       2016         2017          2016
--------------------------------------------------------------------------------
EUR miljonites                                                                  
                                -----------           -------------             
Müügitulu                                                                       
--------------------------------------------------------------------------------
Arendus                                1,5        5,8          0,4           1,4
--------------------------------------------------------------------------------
Teenindus                              1,4        1,6          0,7           0,9
--------------------------------------------------------------------------------
Elimineerimine                        -0,3       -0,2         -0,1          -0,2
--------------------------------------------------------------------------------
Müügitulu  kokku                       2,6        7,2          1,0           2,1
--------------------------------------------------------------------------------
                                                                                
                                -----------           -------------             
Ärikasum                                                                        
--------------------------------------------------------------------------------
Arendus                                0,0        1,5          0,0           0,1
--------------------------------------------------------------------------------
Teenindus                             -0,1       -0,1          0,0           0,0
--------------------------------------------------------------------------------
Jagamatud tulud-kulud                 -0,3       -0,3         -0,2          -0,2
--------------------------------------------------------------------------------
Elimineerimine                         0,0        0,1          0,0           0,0
--------------------------------------------------------------------------------
Ärikasum kokku                        -0,4        1,2         -0,2          -0,1
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Finantstulud ja -kulud                -0,2       -0,3         -0,2          -0,1
--------------------------------------------------------------------------------
Puhaskasum                            -0,6        0,9         -0,4          -0,2
--------------------------------------------------------------------------------
                                                                                
Äritegevuse rahavood                  -3,0        3,6         -2,3           0,7
--------------------------------------------------------------------------------
Investeerimistegevuse rahavood        -0,4       -0,9         -0,1          -0,9
--------------------------------------------------------------------------------
Finantseerimistegevuse rahavood        3,3       -2,5          2,0          -0,8
--------------------------------------------------------------------------------
Perioodi rahavood kokku               -0,1        0,2         -0,4          -1,0
--------------------------------------------------------------------------------
Raha ja raja ekvivalendid              0,8        0,7          1,1           1,9
 perioodi alguses                                                               
--------------------------------------------------------------------------------
Raha ja raha ekvivalendid              0,7        0,9          0,7           0,9
 perioodi lõpus                                                                 
--------------------------------------------------------------------------------
                                                                                
--------------------------------           -----------                          
Varad kokku, perioodi lõpus           31,7       25,6                           
                                -----------                                     
Investeeritud kapital, perioodi       27,5       21,2                           
 lõpus                                                                          
------------------------------------------------------                          
Netolaenud, perioodi  lõpus           18,5        9,9                           
------------------------------------------------------                          
Omakapital, perioodi lõpus             8,3       10,4                           
------------------------------------------------------                          
                                                                                
Peamised suhtarvud                                                              
--------------------------------------------------------------------------------
--------------------------------           -----------             -------------
Puhaskasum aktsia kohta              -0,10       0,14        -0,05         -0,03
 (eurodes)                                                                      
                                -----------           -------------             
                                                                   -------------
Lahustatud puhaskasum aktsia         -0,09       0,13        -0,05         -0,03
 kohta (eurodes)                                                                
-------------------------------------------------------------------             
ROIC (jooksev 4 kvartalit)           -9,9%       6,3%                           
------------------------------------------------------                          
ROE (jooksev 4 kvartalit)           -25,3%      17,1%                           
------------------------------------------------------                          
ROA (jooksev 4 kvartalit)            -8,3%       5,7%                           
                                ----------------------                          
Lühiajaliste kohustuste               0,87       3,49                           
 kattekordaja                                                                   
------------------------------------------------------                          
Likviidsuskordaja                     0,06       0,36                           
------------------------------------------------------                          
Finantsvõimendus                      3,83       2,47                           
------------------------------------------------------                          
Laenude keskmine pikkus                0,7        1,5                           
 (aastates)                                                                     
------------------------------------------------------                          
Laenude keskmine intress              5,0%       5,7%                           
 (aastas)                                                                       
------------------------------------------------------                          
Töötajate arv perioodi lõpul           131        185                           
------------------------------------------------------                          



Jätkuvate tegevusvaldkondade müügitulu ja puhaskasum/-kahjum 
         I kv    II kv  III kv   IV kv   Kokku   I kv    II kv  III kv   IV kv 
 Kokku   I kv    II kv  III kv   IV kv   Kokku   I kv    II kv  6 kuud 
         2014    2014    2014    2014    2014    2015    2015    2015    2015  
 2015    2016    2016    2016    2016    2016    2017    2017    2017 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
EUR 
 miljo 
nites 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
Müügit     1,1     1,1     1,2     5,8     9,2     4,4     2,1     2,1     2,1 
  10,7     5,1     2,1     1,2     1,3     9,7     1,6     1,0     2,6 
ulu 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
Puhask     0,4    -0,3     0,4     0,6     1,1     0,7     0,0     0,2    -0,4 
   0,5     1,1    -0,2    -0,4    -1,3    -0,8    -0,3    -0,3    -0,6 
asum 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 



JUHATAJA KOMMENTAARID

Teine kvartal jääb viimaseks kehvade tulemustega kvartaliks. Sellega saab läbi
ka meie retk läbi kõrbe, mis nõudis väga täpset rahavoo juhtimist. Kahjuks me
ei suutnud ennast ületada ning ei alustanud Kodulahe valmiskorterite müüki II
kvartalis, kuna ehituse valmimisgraafik on Arco Varast mitteolenevatel
põhjustel veninud algse tähtaja suhtes veidi rohkem kui neli nädalat. 

Teenisime tulu üksnes kinnisvara vahendus- ja hindamisteenustega ja
rendileandjana, kolme kuu jooksul kokku 1 miljon eurot. Aitasime selle aja
vältel oma teenustega ligi 2200 inimest, neist 1500 klienti Eestis ja ülejäänud
Bulgaarias. Heaks märgiks on, et Eestis ja Bulgaarias teenitav vahendus- ja
hindamisteenuste tulu on viimased 24 kuud kasvanud (2016. aasta
teenindusdivisjoni võrdlusandmed on esitatud koos Läti tütarühingu tulemustega,
mille osaluse müüsime 2016. aasta sügisel) ning kasvamas on ka Madrid Blvd
hoone renditulu. Kahjuks ei ole see kasv piisav, et katta kontserni üldhaldus-
ja intressikulusid. 

Käimasolevas kolmandas kvartalis oleme alustanud Kodulahe 1. etapi korterite
klientidele üleandmise ja müügiga asjaõiguslepingute vormis. Esimese etapi kogu
oodatud müügitulu ületab 16 miljonit eurot. Oleme jätkuvalt sel kursil, et
2017. aasta lõpuks realiseerida kogu 1. etapp ja vabanev raha suunata uutesse
arendustesse. 

Iztok Parkside arenduses taotleme jätkuvalt ehitusluba. Mõningane edasiminek,
kuid mitte läbimurre, on loa saamise erinevates menetlustes toimunud. Kuni
ehituse ja eelmüügi alustamiseni on Iztok Parkside projekt meie kasumiaruandes
kahjuks kulude poolel. 

Samuti jätkuvad Tartus Oa tn arenduse ja Tallinnas Kodulahe 2. etapi
projekteerimistööd, mõlemas projektis kavatsusega alustada ehitust käesoleva
aasta lõpus. 

Jätkuvad jõupingutused Madrid Blvd viimastele üüritavatele kontoripindadele
uute rentnike leidmiseks ning Sofias uute arenduskõlbulike kruntide leidmiseks. 

Kokkuvõttes, olemasoleva töö pinnalt näeme, et aasta teine pool tuleb
uudisterohkem ja kasumlik. 

Arco Vara kasvuambitsioonid kõige inimesekesksema kinnisvaraettevõttena on aga
2017. aasta tulemustest oluliselt suuremad. 



TEENINDUSDIVISJON

Kontserni teenindusdivisjoni 2017. aasta II kvartali müügitulu oli 682 tuhat
eurot (II kvartal 2016: 850 tuhat eurot), sealhulgas kontsernisisene müügitulu
oli 56 tuhat eurot (II kvartal 2016: 126 tuhat eurot). 2017. aasta 6 kuu
müügitulu 1 362 tuhat eurot on 14,8% väiksem 2016. aasta 6 kuu müügitulust 1
598 tuhat eurot. Teenindusdivisjoni põhitegevuste (kinnisvara vahendus- ja
hindamisteenused) müügitulu on 2017. aasta 6 kuuga 18% väiksem võrreldes 2016.
aasta 6 kuuga. Teenindusdivisjoni langenud müügitulu põhjuseks on Läti
kinnisvarabüroo müük 2016 aasta IV kvartalis ehk 2016. aasta 6 kuu müügitulu
sisaldas veel Läti kinnisvarabüroo müügitulu summas 468 tuhat eurot. Allolevas
tabelis toodud kinnisvarabüroode müügikäibe näitajate puhul rõõmustab Eesti
büroo tublisti kasvanud müügitulu (kasv vastavalt 28% 6 kuu ja 23% II kvartali
võrdluses). 

Kinnisvarabüroode müügikäive vahendusest ja hindamisest

                 6 kuud     6 kuud   Muutus    II kvartal    II kvartal   Muutus
                   2017       2016        %          2017          2016        %
--------------------------------------------------------------------------------
EUR                                                                             
 tuhandetes                                                                     
Eesti               841        655      28%           435           355      23%
--------------------------------------------------------------------------------
Bulgaaria           354        329       8%           157           186     -16%
--------------------------------------------------------------------------------
Läti                  -        468        -             -           233        -
--------------------------------------------------------------------------------
Kokku             1 195      1 452     -18%           592           774     -24%
--------------------------------------------------------------------------------

2017. aasta II kvartalis sai Eesti kinnisvarabüroo puhaskahjumit 46 tuhat eurot
ja 6 kuuga 108 tuhat eurot (2016. aasta II kvartalis saadi puhaskahjumit 46
tuhat eurot ja 6 kuuga 119 tuhat eurot). Bulgaaria büroo teenis puhaskasumit II
kvartalis 6 tuhat eurot ja 6 kuuga 41 tuhat eurot (2016. aasta II kvartalis 7
tuhat eurot puhaskasumit ja 6 kuuga 2 tuhat eurot puhaskahjumit). 

Teenindusdivisjon osutab lisaks vahendus- ja hindamisteenusele ka kinnisvara
haldamise ja majutusteenust Bulgaarias. Haldustegevuse müügikäive oli 2017.
aasta 6 kuuga 63 tuhat eurot, sellest 52 tuhat eurot oli kontsernisisene (2016.
aasta 6 kuuga 56 tuhat eurot, sellest kontsernisisene 48 tuhat eurot).
Majutusteenuse müügitulu oli 2017. aasta 6 kuuga 86 tuhat eurot, sellest II
kvartalis 47 tuhat eurot (2016. aastal 64 tuhat eurot 6 kuuga ja 34 tuhat eurot
II kvartalis). 

Teenindusdivisjoni maakler- ja hindamisteenuste tehingute ja töötajate arvu
dünaamika viimasel kolmel aastal on toodud kahel järgmisel graafikul.
Võrreldavuse huvides on graafikutel toodud ainult Eesti ja Bulgaaria näitajad. 

Teenindusdivisjonis hõivatud inimeste arv oli 30.06.2017 seisuga 118 inimest
(31.12.2016: 97 inimest). 



ARENDUSDIVISJON

Arendusdivisjoni müügitulu oli 2017. aasta II kvartalis 406 tuhat eurot (II
kvartal 2016: 1 403 tuhat eurot) ja 6 kuuga kokku 1 469 tuhat eurot (2016.
aasta 6 kuud: 5 815 tuhat eurot), sealhulgas kinnisvara müük kontserni enda
arendusprojektides moodustas II kvartalis 248 tuhat eurot ja 6 kuuga 1 186
tuhat eurot (2016. aasta II kvartal: 1 277 tuhat eurot ja 6 kuud:  5 582 tuhat
eurot). 

Muust arendusdivisjoni müügitulust moodustab suurema osa kaubandus- ja
kontoripindade renditulu Madrid Blvd hoonest Sofias, mis 2017. aasta II
kvartalis oli 120 tuhat eurot ja 6 kuuga 212 tuhat eurot (2016. aasta II
kvartalis 88 tuhat eurot ja 6 kuuga 163 tuhat eurot). Vahearuande päevaks on
vabad veel kaks kontoripinda, mis loodetakse välja rentida III kvartali
jooksul. 

Arendusdivisjoni ärikahjumiks kujunes 2017. aasta II kvartalis 29 tuhat eurot
ja 6 kuuga 43 tuhat eurot, 2016. aasta II kvartalis oli arendusdivisjoni
ärikasum 105 tuhat eurot ja 6 kuuga 1 491 tuhat eurot. Kasumlikkuse ja
müügitulu näitajad olid 2016. aasta 6 kuu lõikes oluliselt kõrgemad, kuna
sellesse perioodi jäi Sofias Manastirski projektis suurema osa viimase etapi
korterite müügi vormistamine (maja valmis 2015. aasta detsembris). 

Kontserni suurimas arendusprojektis, Kodulahe elamukvartalis Tallinnas, jätkati
II kvartalis 125 korteri ja 5 äripinnaga I etapi kortermaja ehitust ja
korterite eelmüüki. Vahearuande avaldamise päevaks on sõlmitud eelmüügilepingud
kokku 100-le korterile ja kahele äripinnale. Kortermaja ehitustööd lõppevad
2017. aasta III kvartalis. 

2017. aasta II kvartalis jätkati ettevalmistustöid Kodulahe kvartali 2. etapis,
kuhu on kavandamisel ca 70 korteriga ja äripindadega hoone. Samuti jätkusid
ettevalmistustööd Oa tänava kinnistutel Tartus, kuhu on plaanis rajada 4
väiksemat kortermaja. Mõlemad projektid on plaanis realiseerida 2019. aasta
keskpaigaks. 

Madrid Blvd kompleksis Sofias müüdi II kvartalis üks korter, 30. juuni 2017
seisuga oli müümata veel 3 korterit. Lisaks on 15 korterit möbleeritud ja
teenivad kontsernile tulu majutusteenusega. Välja renditakse ka seni müümata
parkimiskohti. 

II kvartalis jätkusid I kvartalis tekkinud viivitused Iztok Parkside projektis
Sofias. Probleemiks on jätkuvalt ehitusloa saamine rajatavale
juurdepääsutänavale, mis asub riigi maal. Vahearuande avaldamise päevaks on
jõus eelmüügilepingud 15 korteri osas, kuid edasine eelmüük on kuni ehitusloa
osas selguse saamiseni peatatud. Projekt koosneb kolmest kortermajast kokku 68
korteriga (korterite müüdav pind 7 070 m2). 

Lätis oli 30.06.2017 seisuga müümata veel 6 Marsili elamukrunti. 2017. aasta II
kvartalis müüdi projektis kolm elamukrunti. 

30.06.2017 seisuga töötas arendusdivisjonis kokku 5 inimest, sama palju kui
2016. aasta lõpus. 



KONSOLIDEERITUD KOONDKASUMIARUANNE

                               Lisa    6 kuud    6 kuud  II kvartal   II kvartal
                                         2017      2016        2017         2016
--------------------------------------------------------------------------------
EUR tuhandetes                                                                  
                                    ----------          ------------            
Müügitulu enda kinnisvara               1 186     5 582         248        1 277
 müügist                                                                        
--------------------------------------------------------------------------------
Müügitulu teenuste müügist              1 422     1 569         760          817
--------------------------------------------------------------------------------
Müügitulu kokku                 2,3     2 608     7 151       1 008        2 094
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Müüdud kinnisvara ja teenuste   4      -1 933    -4 692        -682       -1 513
 kulu                                                                           
--------------------------------------------------------------------------------
Brutokasum                                675     2 459         326          581
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Muud äritulud                              19        28           9           27
--------------------------------------------------------------------------------
Turustuskulud                   5        -214      -280        -105         -138
--------------------------------------------------------------------------------
Üldhalduskulud                  6        -824    -1 021        -412         -522
--------------------------------------------------------------------------------
Muud ärikulud                             -26       -18         -18          -12
--------------------------------------------------------------------------------
Kasum tütarettevõtete müügist               0         1           0            1
--------------------------------------------------------------------------------
Ärikasum                                 -370     1 169        -200          -63
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Finantstulud- ja kulud          7        -272      -296        -157         -124
--------------------------------------------------------------------------------
Puhaskasum                               -642       873        -357         -187
------------------------------------          ----------            ------------
                                    ----------          ------------            
                                                                                
------------------------------------          ----------            ------------
Aruandeperioodi puhaskasum               -642       873        -357         -187
--------------------------------------------------------------------------------
Emaettevõtte omanike osa                 -642       878        -357         -182
 puhaskasumis                                                                   
                                    ----------          ------------            
Mitte-kontrolliva osaluse osa               0        -5           0           -5
 puhaskasumis                                                                   
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Aruandeperioodi koondkasum               -642       873        -357         -187
--------------------------------------------------------------------------------
Emaettevõtte omanike osa                 -642       878        -357         -182
 koondkasumis                                                                   
                                    ----------          ------------            
Mitte-kontrolliva osaluse osa               0        -5           0           -5
 koondkasumis                                                                   
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Aktsia puhaskasum               8                                               
                                    ----------          ------------            
- tava-                                 -0,10      0,14       -0,05        -0,03
--------------------------------------------------------------------------------
- lahustatud                            -0,09      0,13       -0,05        -0,03
--------------------------------------------------------------------------------



KONSOLIDEERITUD FINANTSSEISUNDI ARUANNE

                                          Lisa  30.06.2017  31.12.2016
----------------------------------------------------------------------
EUR tuhandetes                                                        
                                               ------------           
Raha ja raha ekvivalendid                              752         845
----------------------------------------------------------------------
Nõuded ja ettemaksed                       9           501         470
----------------------------------------------------------------------
Varud                                      10       18 296      14 593
----------------------------------------------------------------------
Käibevara kokku                                     19 549      15 908
----------------------------------------------------------------------
                                                                      
----------------------------------------------------------------------
Nõuded ja ettemaksed                       9            11          11
----------------------------------------------------------------------
Finantsinvesteeringud                                    8           0
----------------------------------------------------------------------
Kinnisvarainvesteeringud                   11       11 155      10 835
----------------------------------------------------------------------
Materiaalne põhivara                                   707         718
----------------------------------------------------------------------
Immateriaalne põhivara                                 265         248
----------------------------------------------------------------------
Põhivara kokku                                      12 146      11 812
----------------------------------------------------------------------
VARAD KOKKU                                         31 695      27 720
----------------------------------------------------------------------
                                                                      
----------------------------------------------------------------------
Laenukohustused                            12       17 044       9 372
----------------------------------------------------------------------
Võlad ja saadud ettemaksed                 13        5 279       4 369
----------------------------------------------------------------------
Eraldised                                               43         108
----------------------------------------------------------------------
Lühiajalised kohustused kokku                       22 366      13 849
----------------------------------------------------------------------
                                                                      
----------------------------------------------------------------------
Laenukohustused                            12        1 051       4 886
----------------------------------------------------------------------
Pikaajalised kohustused kokku                        1 051       4 886
----------------------------------------------------------------------
KOHUSTUSED KOKKU                                    23 417      18 735
----------------------------------------------------------------------
                                                                      
----------------------------------------------------------------------
Aktsiakapital                                        4 555       4 555
----------------------------------------------------------------------
Ülekurss                                               292         292
----------------------------------------------------------------------
Kohustuslik reservkapital                            2 011       2 011
----------------------------------------------------------------------
Muud reservid                              8            52          52
----------------------------------------------------------------------
Jaotamata kasum                                      1 368       2 075
----------------------------------------------------------------------
Emaettevõtte omanikele kuuluv omakapital             8 278       8 985
----------------------------------------------------------------------
Mittekontrolliv osalus                                   0           0
----------------------------------------------------------------------
OMAKAPITAL KOKKU                                     8 278       8 985
----------------------------------------------------------------------
KOHUSTUSED JA OMAKAPITAL KOKKU                      31 695      27 720
----------------------------------------------------------------------



KONSOLIDEERITUD RAHAVOOGUDE ARUANNE

                                    Lisa   6 kuud   6 kuud         II         II
                                             2017     2016    kvartal    kvartal
                                                                 2017       2016
--------------------------------------------------------------------------------
EUR tuhandetes                                                                  
                                         ---------         -----------          
Laekumised klientidelt                      3 641    9 635      1 602      3 809
--------------------------------------------------------------------------------
Tasumised tarnijatele                      -6 271   -4 156     -3 909     -2 392
--------------------------------------------------------------------------------
Maksude tasumine ja                           102   -1 149        181       -378
 maksutagastused (neto)                                                         
--------------------------------------------------------------------------------
Väljamaksed töötajatele                      -460     -636       -248       -312
--------------------------------------------------------------------------------
Muud tasumised ja laekumised                   12      -62         22        -15
 äritegevusest                                                                  
--------------------------------------------------------------------------------
RAHAVOOD ÄRITEGEVUSEST KOKKU               -2 976    3 632     -2 352        712
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Tasumised materiaalse ja                      -48      -74        -33        -35
 immateriaalse põhivara soetamisel                                              
--------------------------------------------------------------------------------
Tasumised                            11      -331      -29        -13        -11
 kinnisvarainvesteeringute                                                      
 soetamisel ja arendamisel                                                      
--------------------------------------------------------------------------------
Laekumine tütarettevõtete müügist               0        1          0          1
--------------------------------------------------------------------------------
Tasumised tütarettevõtte                        0     -840          0       -840
 soetamisel                                                                     
--------------------------------------------------------------------------------
Antud laenud                                   -7        0         -2          0
--------------------------------------------------------------------------------
Muud tasumised                                 -8       -3         -8          0
 investeerimistegevusest                                                        
--------------------------------------------------------------------------------
RAHAVOOD INVESTEERIMISTEGEVUSEST             -394     -945        -56       -885
 KOKKU                                                                          
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Saadud laenud                        12     4 176    1 071      2 522         51
--------------------------------------------------------------------------------
Laenukohustuste tagasimaksed         12      -339   -2 998       -168       -580
--------------------------------------------------------------------------------
Makstud intressid                            -451     -391       -218       -189
--------------------------------------------------------------------------------
Makstud dividendid                            -65      -61        -65        -61
--------------------------------------------------------------------------------
Muud tasumised                                -44     -128        -44          0
 finantseerimistegevusest                                                       
--------------------------------------------------------------------------------
RAHAVOOD FINANTSEERIMISEGEVUSEST            3 277   -2 507      2 027       -779
 KOKKU                                                                          
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
RAHAVOOD KOKKU                                -93      180       -381       -952
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Raha ja raha ekvivalendid perioodi            845      745      1 133      1 877
 alguses                                                                        
--------------------------------------------------------------------------------
Raha ja raha ekvivalentide muutus             -93      180       -381       -952
--------------------------------------------------------------------------------
Raha ja raha ekvivalendid perioodi            752      925        752        925
 lõpus                                                                          
--------------------------------------------------------------------------------



KONSOLIDEERITUD OMAKAPITALI MUUTUSE ARUANNE

------------                                                                    
                  Emaettevõtte omanikele kuuluv omakapital      Mitte-ko  Omakap
                                                                ntrolliv    ital
                                                                  osalus   kokku
            --------------------------------------------------------------------
             Aktsia  Ülekur  Kohustusl    Muud  Jaotam   Kokku            
             -kapit      ss         ik  reserv     ata                    
                 al          reservkap      id   kasum                    
                                  ital                                    
---------------------------------------------------------------          
EUR                                                                             
 tuhandetes                                                                     
                                                       --------                 
Saldo         4 282     292      2 011     298   2 656   9 539        91   9 630
 31.12.2015                                                                     
--------------------------------------------------------------------------------
Dividendide       0       0          0       0     -61     -61         0     -61
 maksmine                                                                       
--------------------------------------------------------------------------------
Muutus            0       0          0       0       0       0       -77     -77
 mitte-kont                                                                     
rollivas                                                                        
 osaluses                                                                       
--------------------------------------------------------------------------------
Aruandeperi       0       0          0       0     878     878        -5     873
oodi                                                                            
 koondkasum                                                                     
--------------------------------------------------------------------------------
Saldo         4 282     292      2 011     298   3 473  10 356         9  10 365
 30.06.2016                                                                     
--------------------------------------------------------------------------------
                                                                                
                                                       --------                 
Saldo         4 555     292      2 011      52   2 075   8 985         0   8 985
 31.12.2016                                                                     
--------------------------------------------------------------------------------
Dividendide       0       0          0       0     -65     -65         0     -65
 maksmine                                                                       
--------------------------------------------------------------------------------
Aruandeperi       0       0          0       0    -642    -642         0    -642
oodi                                                                            
 koondkasum                                                                     
--------------------------------------------------------------------------------
Saldo         4 555     292      2 011      52   1 368   8 278         0   8 278
 30.06.2017                                                                     
--------------------------------------------------------------------------------




         Kristel Tumm
         Finantsjuht
         Arco Vara AS
         Tel: +372 614 4662
         [email protected]
         www.arcorealestate.com

Teate sisu inglise keeles

Pealkiri

Arco Vara AS' unaudited consolidated interim report for II quarter and 6 months of 2017

Teade

KEY PERFORMANCE INDICATORS

·                     In Q2 2017, the group’s revenue was 1.0 million euros,
which is 52% less compared to the revenue of 2.1 million euros in Q2 2016. In 6
months 2017, the group’s revenue was 2.6 million euros, which is 63.5% less
compared to the revenue of 7.2 million euros in 6 months 2016. The revenue of
the Development Division amounted to 0.4 million euros in Q2 2017 and 1.5
million euros in 6 months 2017 (2016: 1.4 million euros in Q2 and 5.8 million
euros in 6 months) and revenue of the Service Division amounted to 0.7 million
euros in Q2 and 1.4 million euros in 6 months (in 2016: 0.8 million euros in Q2
and 1.6 million euros in 6 months). 

·                     In Q2 2017, the group’s operating loss (=EBIT) was 0.2
million euros and net loss 0.4 million euros (in 6 months 2017: operating loss
of 0.4 million euros and net loss of 0.6 million euros). In Q2 2016, the group
had operating loss of 0.1 million euros and net loss of 0.2 million euros. In 6
month 2016, the group earned operating profit of 1.2 million euros and net
profit of 0.9 million euros. In Q2 and 6 months 2017, both the Development
Division and the Service Division had a small loss (below 0.1 million euros).
In Q2 and 6 months 2016, the Development Division earned operating profit of
0.1 million euros and 1.5 million euros, respectively. The Service Division had
operating loss of 0.1 million euros in 6 months 2016. 

·                     In Q2 2017, 1 apartment and 3 land plots were sold in
projects developed by the group (in 6 months 2017: 2 apartments and 6 land
plots). In 2016, 5 apartments, 3 commercial spaces and 4 land plots in Q2 (73
apartments, 5 commercial spaces and 4 land plots in 6 months) were sold. The
number of sold properties explains the large differences in revenue and
operating profit figures of the Development Division. In the first half of
2016, active sale was ongoing in Manastirski project in Bulgaria, but no
development projects have been completed yet in 2017. 

·                     In the first 6 months of 2017, the group’s debt burden
(net loans) increased by 5.1 million euros up to the level of 18.5 million
euros as of 30 June 2017. As of 30 June 2017, the weighted average annual
interest rate of interest bearing liabilities was 5.0%. This is a decrease of
0.3 percentage points compared to 31 December 2016. 



Main financial figures

                                           6 months     6 months      Q2      Q2
                                               2017         2017    2017    2016
--------------------------------------------------------------------------------
In millions of euros                                                            
                                       -------------             --------       
Revenue                                                                         
--------------------------------------------------------------------------------
Development                                     1.5          5.8     0.4     1.4
--------------------------------------------------------------------------------
Service                                         1.4          1.6     0.7     0.9
--------------------------------------------------------------------------------
Eliminations                                   -0.3         -0.2    -0.1    -0.2
--------------------------------------------------------------------------------
Total revenue                                   2.6          7.2     1.0     2.1
--------------------------------------------------------------------------------
                                                                                
                                       -------------             --------       
Operating profit (EBIT)                                                         
--------------------------------------------------------------------------------
Development                                     0.0          1.5     0.0     0.1
--------------------------------------------------------------------------------
Service                                        -0.1         -0.1     0.0     0.0
--------------------------------------------------------------------------------
Unallocated income and expenses                -0.3         -0.3    -0.2    -0.2
--------------------------------------------------------------------------------
Eliminations                                    0.0          0.1     0.0     0.0
--------------------------------------------------------------------------------
Total operating profit/loss (EBIT)             -0.4          1.2    -0.2    -0.1
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Finance income and expense                     -0.2         -0.3    -0.2    -0.1
--------------------------------------------------------------------------------
Net profit/loss                                -0.6          0.9    -0.4    -0.2
--------------------------------------------------------------------------------
                                                                                
Cash flows from/used in operating              -3.0          3.6    -2.3     0.7
 activities                                                                     
--------------------------------------------------------------------------------
Cash flows used in investing                   -0.4         -0.9    -0.1    -0.9
 activities                                                                     
--------------------------------------------------------------------------------
Cash flows from/used in financing               3.3         -2.5     2.0    -0.8
 activities                                                                     
--------------------------------------------------------------------------------
Net cash flows                                 -0.1          0.2    -0.4    -1.0
--------------------------------------------------------------------------------
Cash and cash equivalents at beginning          0.8          0.7     1.1     1.9
 of period                                                                      
--------------------------------------------------------------------------------
Cash and cash equivalents at end of             0.7          0.9     0.7     0.9
 period                                                                         
--------------------------------------------------------------------------------
                                                                                
---------------------------------------             -------------               
Total assets, at period end                    31.7         25.6                
                                       -------------                            
Invested capital, at period end                27.5         21.2                
-----------------------------------------------------------------               
Net loans, at period end                       18.5          9.9                
-----------------------------------------------------------------               
Equity, at period end                           8.3         10.4                
-----------------------------------------------------------------               
                                                                                
Key ratios                                                                      
--------------------------------------------------------------------------------
---------------------------------------             -------------        -------
EPS (in euros)                                -0.10         0.14   -0.05   -0.03
                                       -------------             --------       
                                                                         -------
Diluted EPS (in euros)                        -0.09         0.13   -0.05   -0.03
-------------------------------------------------------------------------       
ROIC (rolling, four quarters)                 -9.9%         6.3%                
-----------------------------------------------------------------               
ROE (rolling, four quarters)                 -25.3%        17.1%                
---------------------------------------             -------------               
ROA (rolling, four quarters)                  -8.3%         5.7%                
                                       --------------------------               
Current ratio                                  0.87         3.49                
-----------------------------------------------------------------               
Quick ratio                                    0.06         0.36                
-----------------------------------------------------------------               
Financial leverage                             3.83         2.47                
-----------------------------------------------------------------               
Average loan term (in years)                    0.7          1.5                
-----------------------------------------------------------------               
Average annual interest rate of loans          5.0%         5.7%                
-----------------------------------------------------------------               
Number of staff, at period end                  131          185                
-----------------------------------------------------------------               



Revenue and net profit/loss from continuing operations 
          Q1      Q2      Q3      Q4     Total    Q1      Q2      Q3      Q4   
 Total    Q1      Q2      Q3      Q4     Total    Q1      Q1      6M 
         2014    2014    2014    2014    2014    2015    2015    2015    2015  
 2015    2016    2016    2016    2016    2016    2017    2017    2017 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
In 
 milli 
ons of 
 euros 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
Revenu     1.1     1.1     1.2     5.8     9.2     4.4     2.1     2.1     2.1 
  10.7     5.1     2.1     1.2     1.3     9.7     1.6     1.0     2.6 
e 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
Net        0.4    -0.3     0.4     0.6     1.1     0.7     0.0     0.2    -0.4 
   0.5     1.1    -0.2    -0.4    -1.3    -0.8    -0.3    -0.3    -0.6 
 profi 
t/loss 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 



GROUP CEO’S REVIEW

Q2 was the last quarter providing modest results. This was an end to our
journey through a desert, which required a strong cash management.
Unfortunately, we could not outperform ourselves and did not start the final
sales of Kodulahe apartments in Q2, because the construction period was
extended by more than four weeks due to circumstances not controlled by Arco
Vara. 

We made revenues only through brokerage, evaluations and renting out
properties, in a total amount of 1 mln euros in 3 months. During this period,
we helped nearly 2200 people, out of those 1500 in Estonia and the rest in
Bulgaria. A good sign is that brokerage and appraisal revenues have increased
both in Estonia and in Bulgaria in the last 24 months (2016 figures included
the Latvian subsidiary, which was sold in the autumn of 2016), and the rental
income from Madrid Blvd building has increased as well. Unfortunately, this
growth has not been sufficient to cover the overhead and interest costs of the
group. 

In the ongoing 3rd quarter, we have started the transfer and final sales of
Kodulahe 1. stage apartments. The expected revenue of the 1. stage exceeds 16
mln euros. We stick to our plan to complete the sale of the 1. stage by the end
of this year, after which we can allocate the cash into new developments. 

In the Iztok Parkside project, we are still applying for construction permit.
We have made some progress in various aspects of this procedure, but have not
achieved a breakthrough. Until the construction and presale of this project
will start, Iztok Parkside will remain a cost item in our P/L statement. 

In the Oa street development in Tartu, as well as in Kodulahe 2. stage, design
works are in progress. Our aim is to start construction of both projects in
this year. 

We continue our efforts to find tenants for the remaining rental areas in the
Madrid Blvd building, as well as to find new land plots suitable for
development in Sofia. 

To summarize, we can see from ongoing work that the second half of 2017 will
provide both more news and profits. 

The ambitions of Arco Vara as the most people-oriented real estate company
still remain higher than its 2017 results. 



SERVICE DIVISION

In Q2 2017, revenue of the Service Division amounted to 682 thousand euros (Q2
2016: 850 thousand euros), which included intra-group revenue of 56 thousand
euros (Q2 2016: 126 thousand euros). In 6 months 2017, the revenue of 1,362
thousand euros decreased by 14.8% compared to the revenue of 1,598 thousand
euros in 6 months 2016. In 6 months 2017, revenue of the Service Division from
main services (real estate brokerage and valuation services) decreased by 18%
compared to 6 months 2016. The main reason is the fact that the revenue in the
amount of 468 thousand euros from the Latvian agency (which was sold in Q4
2016) was included in the group revenue in 6 months 2016. It is good to see
from the table below that the revenue from main services increased
significantly in the Estonian agency (compared to the Q2 and 6 months 2016,
respective increases were 28% and 23%). 

Revenue of real estate agencies from brokerage and valuation                    
                     6 months     6 months   Change,  Q2 2017  Q2 2016   Change,
                         2017         2016         %                           %
--------------------------------------------------------------------------------
In thousands of                                                                 
 euros                                                                          
Estonia                   841          655       28%      435      355       23%
--------------------------------------------------------------------------------
Bulgaria                  354          329        8%      157      186      -16%
--------------------------------------------------------------------------------
Latvia                      -          468         -        -      233         -
--------------------------------------------------------------------------------
Total                   1,195        1,452      -18%      592      774      -24%
--------------------------------------------------------------------------------

In Q2 and 6 months 2017, Estonian agency had net loss of 46 thousand euros and
108 thousand euros, respectively (in 2016: net loss of 46 thousand euros in Q2
and 119 thousand euros in 6 months). Bulgarian agency earned net profit of 6
thousand euros in Q2 2017 and 41 thousand euros in 6 months 2017. (2016: net
profit of 7 thousand euros in Q2 and net loss of 2 thousand euros in 6 months). 

In addition to brokerage and valuation services, the Service Division also
provides real estate management and accommodation services in Bulgaria. The
revenue from real estate management was 63 thousand euros in 6 months 2017, 52
thousand euros of which was intra-group revenue (6 months 2016: 56 thousand and
47 thousand euros, respectively). Revenue from accommodation services amounted
to 86 thousand euros in 6 months 2017, of which 47 thousand euros was made in
Q2 (2016: 64 thousand euros in 6 months and 34 thousand euros in Q2). 

The numbers of brokerage deals and valuation reports of the Service Division,
together with the number of staff are shown in the following graphs. For better
comparability, only Bulgarian and Estonian figures are shown. 

On 30 June 2017, the number of staff in the Service Division was 118 (on
31.12.2016: 97). 



DEVELOPMENT DIVISION

The revenue of the Development Division totalled 406 thousand euros in Q2 2017
(in Q2 2016: 1,403 thousand euros) and 1,469 thousand euros in 6 months 2017
(in 6 months 2016: 5,815 thousand euros), including revenue from the sale of
properties in the group’s own development projects in the amount of 248
thousand euros in Q2 and 1,186 thousand euros in 6 months (2016: 1,277 thousand
euros in Q2 and 5,582 thousand euros in 6 months). 

Most of the other revenue of the Development Division consists of rental income
from commercial and office premises in Madrid Blvd building in Sofia, amounting
to 120 thousand euros in Q2 2017 and 212 thousand euros in 6 months 2017 (2016:
88 thousand euros in Q2 and 163 thousand euros in 6 months). By the publishing
date of the interim report, last two office spaces remained vacant. The group
expects to rent out all vacant spaces during Q3 2017. 

In Q2 and 6 months 2017, the Development Division had operating loss of 29
thousand euros and 43 thousand euros, respectively. In 2016, the Development
Division earned operating profit of 105 thousand euros in Q2 and 1,491 thousand
euros in 6 months. Revenue and profitability figures were significantly higher
in first half 2016 due to the conclusion of most of sale agreements in the last
stage of Manastirski project in Sofia in that period (the construction of
apartment building was finished in December 2015). 

The construction and presale of apartments of the first stage apartment
building (with 125 apartments and 5 commercial spaces) in the group’s largest
development project Kodulahe continued in Tallinn. By the publishing date of
the interim report, presale agreements for 100 apartments and two commercial
spaces have been concluded. The construction of the apartment building will be
finished in Q3 2017. 

In Q2 2017, preparatory works in the second stage of Kodulahe project
continued, where a building with ca 70 apartments and commercial spaces is
planned. Preparatory works also continued for Oa street properties in Tartu,
where 4 smaller apartment buildings are planned. Both of these projects are
expected to be finalised by mid-2019. 

In Q2 2017, one apartment was sold in Madrid Blvd complex in Sofia. As of 30
June 2017, 3 apartments remained unsold. Additional 15 apartments are furnished
and are being rented out as accommodation service. Unsold parking places are
also being rented out. 

In Q2 2017, the delay that had emerged during Q1 in the development of Iztok
Parkside project in Sofia continued. The problem lies in obtaining construction
permit for the construction of access road, which is located on state-owned
land. By the publication date of interim report, presale agreements for 15
apartments remained in force, but further presale has been stopped by now until
the construction permit issue will be cleared out. Iztok project consists of
three apartment buildings with 68 apartments (7,070 square meters of
apartments’ sellable area). 

As of 30 June 2017, 6 Marsili residential plots remained unsold in Latvia. In
Q2 2017, three plots were sold in the project. 

As of 30 June 2017, 5 people were employed in the Development Division, the
same number as at the end of 2016. 



CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

                                    Note    6 months    6 months      Q2      Q2
                                                2017        2016    2017    2016
--------------------------------------------------------------------------------
In thousands of euros                                                           
                                         ------------            --------       
Revenue from sale of own real                  1,186       5,582     248   1,277
 estate                                                                         
--------------------------------------------------------------------------------
Revenue from rendering of services             1,422       1,569     760     817
--------------------------------------------------------------------------------
Total revenue                       2, 3       2,608       7,151   1,008   2,094
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Cost of sales                        4        -1,933      -4,692    -682  -1,513
--------------------------------------------------------------------------------
Gross profit                                     675       2,459     326     581
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Other income                                      19          28       9      27
--------------------------------------------------------------------------------
Marketing and distribution           5          -214        -280    -105    -138
 expenses                                                                       
--------------------------------------------------------------------------------
Administrative expenses              6          -824      -1,021    -412    -522
--------------------------------------------------------------------------------
Other expenses                                   -26         -18     -18     -12
--------------------------------------------------------------------------------
Gain on sale of subsidiaries                       0           1       0       1
--------------------------------------------------------------------------------
Operating profit/loss                           -370       1,169    -200     -63
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Finance income and costs             7          -272        -296    -157    -124
--------------------------------------------------------------------------------
Net profit/loss                                 -642         873    -357    -187
-----------------------------------------            ------------        -------
                                         ------------            --------       
                                                                                
-----------------------------------------            ------------        -------
Net profit/loss for the period                  -642         873    -357    -187
--------------------------------------------------------------------------------
attributable to owners of the                   -642         878    -357    -182
 parent                                                                         
                                         ------------            --------       
attributable to non-controlling                    0          -5       0      -5
 interests                                                                      
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Total comprehensive income/expense              -642         873    -357    -187
 for the period                                                                 
--------------------------------------------------------------------------------
attributable to owners of the                   -642         878    -357    -182
 parent                                                                         
                                         ------------            --------       
attributable to non-controlling                    0          -5       0      -5
 interests                                                                      
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Earnings per share (in euros)        8                                          
                                         ------------            --------       
- basic                                        -0.10        0.14   -0.05   -0.03
--------------------------------------------------------------------------------
- diluted                                      -0.09        0.13   -0.05   -0.03
--------------------------------------------------------------------------------



 CONSOLIDATED STATEMENT OF FINANCIAL POSITION

                                              Note      30 June      31 December
                                                           2017             2016
--------------------------------------------------------------------------------
In thousands of euros                                                           
                                                   -------------                
Cash and cash equivalents                                   752              845
--------------------------------------------------------------------------------
Receivables and prepayments                    9            501              470
--------------------------------------------------------------------------------
Inventories                                    10        18,296           14,593
--------------------------------------------------------------------------------
Total current assets                                     19,549           15,908
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Receivables and prepayments                    9             11               11
--------------------------------------------------------------------------------
Investments                                                   8                0
--------------------------------------------------------------------------------
Investment property                            11        11,155           10,835
--------------------------------------------------------------------------------
Property, plant and equipment                               707              718
--------------------------------------------------------------------------------
Intangible assets                                           265              248
--------------------------------------------------------------------------------
Total non-current assets                                 12,146           11,812
--------------------------------------------------------------------------------
TOTAL ASSETS                                             31,695           27,720
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Loans and borrowings                           12        17,044            9,372
--------------------------------------------------------------------------------
Payables and deferred income                   13         5,279            4,369
--------------------------------------------------------------------------------
Provisions                                                   43              108
--------------------------------------------------------------------------------
Total current liabilities                                22,366           13,849
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Loans and borrowings                           12         1,051            4,886
--------------------------------------------------------------------------------
Total non-current liabilities                             1,051            4,886
--------------------------------------------------------------------------------
TOTAL LIABILITIES                                        23,417           18,735
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Share capital                                             4,555            4,555
--------------------------------------------------------------------------------
Share premium                                               292              292
--------------------------------------------------------------------------------
Statutory capital reserve                                 2,011            2,011
--------------------------------------------------------------------------------
Other reserves                                 8             52               52
--------------------------------------------------------------------------------
Retained earnings                                         1,368            2,075
--------------------------------------------------------------------------------
Total equity attributable to owners of the                8,278            8,985
 parent                                                                         
--------------------------------------------------------------------------------
Equity attributable to non-controlling                        0                0
 interests                                                                      
--------------------------------------------------------------------------------
TOTAL EQUITY                                              8,278            8,985
--------------------------------------------------------------------------------
TOTAL LIABILITIES AND EQUITY                             31,695           27,720
--------------------------------------------------------------------------------



 CONSOLIDATED STATEMENT OF CASH FLOWS

                                        Note  6 months  6 months      Q2      Q2
                                                  2017      2016    2017    2016
--------------------------------------------------------------------------------
In thousands of euros                                                           
                                             ----------          --------       
Cash receipts from customers                     3,641     9,635   1,602   3,809
--------------------------------------------------------------------------------
Cash paid to suppliers                          -6,272    -4,156  -3,909  -2,392
--------------------------------------------------------------------------------
Other taxes paid and recovered (net)               102    -1,149     181    -378
--------------------------------------------------------------------------------
Cash paid to employees                            -460      -636    -248    -312
--------------------------------------------------------------------------------
Other cash payments and receipts                    12       -62      22     -15
 related to operating activities (net)                                          
--------------------------------------------------------------------------------
NET CASH FROM/USED IN OPERATING                 -2,977     3,632  -2,352     712
 ACTIVITIES                                                                     
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Payments made on purchase of tangible              -48       -74     -33     -35
 and intangible assets                                                          
--------------------------------------------------------------------------------
Payments made on purchase and            11       -330       -29     -13     -11
 development of investment property                                             
--------------------------------------------------------------------------------
Proceeds from sale of a subsidiary                   0         1       0       1
--------------------------------------------------------------------------------
Payments made on purchase of a                       0      -840       0    -840
 subsidiary                                                                     
--------------------------------------------------------------------------------
Loans provided                                      -7         0      -2       0
--------------------------------------------------------------------------------
Other payments related to investing                 -8        -3      -8       0
 activities                                                                     
--------------------------------------------------------------------------------
NET CASH USED IN INVESTING ACTIVITIES             -393      -945     -56    -885
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Proceeds from loans received             12      4,176     1,071   2,522      51
--------------------------------------------------------------------------------
Settlement of loans and borrowings       12       -339    -2,998    -168    -580
--------------------------------------------------------------------------------
Interest paid                                     -451      -391    -218    -189
--------------------------------------------------------------------------------
Dividends paid                                     -65       -61     -65     -61
--------------------------------------------------------------------------------
Other payments related to financing                -44      -128     -44       0
 activities                                                                     
--------------------------------------------------------------------------------
NET CASH FROM/USED IN FINANCING                  3,277    -2,507   2,027    -779
 ACTIVITIES                                                                     
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
NET CASH FLOW                                      -93       180    -381    -952
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Cash and cash equivalents at beginning             845       745   1,133   1,877
 of period                                                                      
--------------------------------------------------------------------------------
Increase in cash and cash equivalents              -93       180    -381    -952
--------------------------------------------------------------------------------
Cash and cash equivalents at the end               752       925     752     925
 of period                                                                      
--------------------------------------------------------------------------------



 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY


------------                                                                    
                Equity attributable to owners of the parent     Non-cont   Total
                                                                 rolling  equity
                                                                interest        
                                                                       s        
            --------------------------------------------------------------------
              Share   Share  Statutory   Other  Retain   Total            
             capita  premiu    capital  reserv      ed                    
                  l       m    reserve      es  earnin                    
                                                    gs                    
---------------------------------------------------------------          
In                                                                              
 thousands                                                                      
 of euros                                                                       
                                                       --------                 
Balance as    4,282     292      2,011     298   2,656   9,539        91   9,630
 of 31                                                                          
 December                                                                       
 2015                                                                           
--------------------------------------------------------------------------------
Dividends         0       0          0       0     -61     -61         0     -61
 paid                                                                           
--------------------------------------------------------------------------------
Change in         0       0          0       0       0       0       -77     -77
 non-contro                                                                     
lling                                                                           
 interest                                                                       
--------------------------------------------------------------------------------
Total             0       0          0       0     878     878        -5     873
 comprehens                                                                     
ive income                                                                      
 for the                                                                        
 period                                                                         
--------------------------------------------------------------------------------
Balance as    4,282     292      2,011     298   3,473  10,356         9  10,365
 of 30 June                                                                     
 2016                                                                           
--------------------------------------------------------------------------------
                                                                                
--------------------------------------------------------------------------------
Balance as    4,555     292      2,011      52   2,075   8,985         0   8,985
 of 31                                                                          
 December                                                                       
 2016                                                                           
--------------------------------------------------------------------------------
Dividends         0       0          0       0     -65     -65         0     -65
 paid                                                                           
--------------------------------------------------------------------------------
Total             0       0          0       0    -642    -642         0    -642
 comprehens                                                                     
ive income                                                                      
 for the                                                                        
 period                                                                         
--------------------------------------------------------------------------------
Balance as    4,555     292      2,011      52   1,368   8,278         0   8,278
 of 30 June                                                                     
 2017                                                                           
--------------------------------------------------------------------------------




         Kristel Tumm
         CFO
         Arco Vara AS
         Tel: +372 614 4662
         www.arcorealestate.com