Baltic Horizon publishes consolidated un-audited financial results for Q3 2016.
As at 30 September 2016 the GAV of the Fund increased to EUR 133.7 million (EUR 118.3 million as at 30 June 2016). The increase is mainly related to G4S Headquarters and Upmalas Biroji properties acquisitions during the quarter.
As of 30 September 2016, the Fund NAV was EUR 57.2 million, compared to EUR 53.5 million as at 30 June 2016. The increase in NAV is mainly related to the performance of the Fund (net result EUR 3.7 million during Q3 2016).
During Q3 2016, the Fund recorded a net profit of EUR 3.7 million (EUR 1.1 million during Q3 2015) which had a positive effect on the Fund NAV. The net result was positively affected by the quarter-end valuations and the operational performance of the properties.
In Q3 2016, the net rental operating income (NOI) earned by the Group amounted to EUR 1.9 million (EUR 4.8 million during nine months ended September 2016) and was higher as compared to the Q3 2015 when the Group earned EUR 1.4 million (EUR 3.8 million during nine months ended September 2015). Compared to 2015, the increase in NOI is mainly related to rental income earned by new acquisitions G4S Headquarters and Upmalas Biroji acquired in July and August respectively.
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
| Euro ‘000 | 01.07.2016-30.09.2016 | 01.07.2015-30.09.2015 | 01.01.2016-30.09.2016 | 01.01.2015-30.09.2015 |
| Rental income | 2,058 | 1,621 | 5,334 | 4,325 |
| Expenses reimbursement revenue | 617 | 582 | 1,810 | 1,468 |
| Cost of rental activities | (747) | (784) | (2,301) | (2,004) |
| Net rental income | 1,928 | 1,419 | 4,843 | 3,789 |
| Administrative expenses | (482) | (186) | (1,462) | (621) |
| Other operating income / (expenses) | 17 | 266 | 95 | 266 |
| Net loss on disposal of investment property | – | – | – | (10) |
| Valuation gains / (loss) on investment properties | 2,802 | – | 2,361 | – |
| Operating profit | 4,265 | 1,499 | 5,837 | 3,424 |
| Financial income | 3 | 6 | 11 | 14 |
| Financial expenses | (307) | (281) | (840) | (814) |
| Net financing costs | (304) | (275) | (829) | (800) |
| Profit before tax | 3,961 | 1,224 | 5,008 | 2,624 |
| Income tax charge | (253) | (120) | (428) | (288) |
| Profit for the period | 3,708 | 1,104 | 4,580 | 2,336 |
| Other comprehensive income to be reclassified to profit or loss in subsequent periods | ||||
| Net gains (losses) on cash flow hedges | (36) | (79) | (65) | 14 |
| Income tax relating to net gains (losses) on cash flow hedges | (7) | 14 | (1) | 11 |
| Other comprehensive income/ (expense), net of tax, to be reclassified to profit or loss in subsequent periods | (43) | (65) | (66) | 25 |
| Total comprehensive income/ (expense) for the period, net of tax | 3,665 | 1,039 | 4,514 | 2,361 |
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
| Euro ‘000 | 30.09.2016 | 31.12.2015 |
| Non-current assets | ||
| Investment properties | 129,200 | 86,810 |
| Other non-current assets | 376 | 263 |
| Total non-current assets | 129,576 | 87,073 |
| Current assets | ||
| Trade and other receivables | 722 | 840 |
| Prepayments | 154 | 81 |
| Cash and cash equivalents | 3,245 | 1,677 |
| Total current assets | 4,121 | 2,598 |
| Total assets | 133,697 | 89,671 |
| Equity | ||
| Paid in capital | 46,636 | 25,674 |
| Cash flow hedge reserve | (265) | (199) |
| Retained earnings | 10,798 | 6,218 |
| Total equity | 57,169 | 31,693 |
| Non-current liabilities | ||
| Interest bearing loans and borrowings | 67,745 | 39,586 |
| Deferred tax liabilities | 4,050 | 3,673 |
| Derivative financial instruments | 297 | 215 |
| Other non-current liabilities | 714 | 451 |
| Total non-current liabilities | 72,806 | 43,925 |
| Current liabilities | ||
| Interest bearing loans and borrowings | 1,958 | 11,608 |
| Trade and other payables | 1,183 | 2,036 |
| Income tax payable | 212 | 112 |
| Derivative financial instruments | – | 17 |
| Other current liabilities | 369 | 280 |
| Total current liabilities | 3,722 | 14,053 |
| Total liabilities | 76,528 | 57,978 |
| Total equity and liabilities | 133,697 | 89,671 |
Baltic Horizon Fund is a registered public closed-end real estate fund and Baltic Horizon units began trading on the Nasdaq Baltic Fund list of July 6, 2016. The company’s stock symbol (ticker) is NHCBHFFT.
The fund is managed by Northern Horizon Capital AS under an Alternative Investment Fund Manager license granted by the Estonian Financial Supervision Authority.
Additional information:
Tarmo Karotam
Baltic Horizon Fund manager
E-mail tarmo.karotam@nh-cap.com
www.baltichorizon.com
