Despite a challenging 4th quarter in 2022 Summus Capital OÜ continued to show solid growth

Baltic real estate investment holding Summus Capital OÜ announced solid growth in Q4 2022, with total sales revenue increasing by 36.6% year on year, reaching 40 million euros. The company’s interest rate hedging instruments also provided positive results for the first time.

The company reported a balance sheet of 428.7 million EUR at the end of Q4 2022, up from 425.0 million EUR in Q3 2022 and 406.7 million EUR at the end of 2021, representing a 5.4% annual increase in total assets.

Summus Capital OÜ’s cash increased by 8.5 million EUR in Q4 2022 to reach 16.4 million EUR, driven by the sale of Hanza Mechanics property and the refinancing of loans in Latvia and Lithuania. The company also recorded positive results from interest hedging instruments for the first time, with receivables from derivative instruments related to interest rate hedges gaining positive value and being recorded under non-current assets at 6.6 million EUR.

Despite a decrease in sales revenue to 10.6 million EUR (-5.5% Q/Q) in Q4 2022, rental income and related activities continued to grow at 5.2% Q/Q and the company’s total sales revenue for 2022 reached 40.0 million EUR, a 36.6% increase compared to 2021.

Summus Capital OÜ reported an operating loss, including revaluation, provision and goodwill write-down, of -4 million EUR in Q4 2022, while net profit was 3.5 million EUR, out of which 2.9 million EUR was attributable to Summus Capital OÜ equity holders. The annual unaudited operating profit was 13.6 million EUR and net profit was 15.7 million EUR.

“The results for Q4 2022 demonstrate steady situation in assets and cash flow, with positive results from interest hedging instruments contributing to the company’s overall financial performance,” commented Aavo Koppel, member of the Management Board of Summus Capital. “The income from operations continued to grow and led to solid quarterly profit from regular operations.”