Management report
Financial review
In H1 2026 AS Linda Nektar (The Company's) unaudited turnover was EUR 973,207 (H1 2025: EUR 1,780,165). This marked a decrease of 45.3% year-on-year and a 0.10% decrease from H2 2025. The first 6 months of 2026 ended in a net loss of EUR 213,377 (H1 2025: net profit EUR 25,898). Sales during the period decreased to Baltic customers (Estonia and Latvia), while at the same time notable increases were recorded to those in Finland and Sweden, albeit off a lower base number. It is important to note that increases are tightly linked to new product developments by customers of the Company. As has been previously commented, new recipes and product testing generally take over a year prior to a customer making a final decision on launching a new product.
As of 30 June 2026, the Company's total assets came to EUR 2,905,116 (30.06.2025: EUR 3,483,296), marking a decrease of 16.6% year-on-year. Current assets amounted to EUR 888,214 (30.06.2025: EUR 1,288,456) or 30.6% of total assets and represented the largest proportional decrease as order activity decreased and invoices were collected. Fixed assets amounted to EUR 2,016,902 (30.06.2025: EUR 2,194,840) or 69.4% of the balance sheet total. Cash and cash equivalents came to EUR 114,505 (30.06.2025: EUR 229,286). Operating cash flow for the first 6 months of 2026 was a negative EUR 2,578 (H1 2025: EUR 220,489).
As of 30.06.2026 the liabilities of AS Linda Nektar totalled EUR 274,497 (30.06.2025: EUR 345,298) and equity amounted to EUR 2,630,619 (30.06.2025: EUR 3,137,998). As of 30 June 2026, there were no loan commitments.
A total of EUR 120,637 was invested into fixed assets (6 months 2025: EUR 74,193). Depreciation costs for the first 6 months of 2026 amounted to EUR 158,335 (6 months 2025: EUR 170,257). During the period from 15 May 2025 to 31 May 2026, the project "Implementation of Linda Nektar's Digitalisation Roadmap" was carried out with the support from the Estonian Business and Innovation Agency (EIS). The primary aim of the project was to digitalise Linda Nektar's core and support processes. As a result of the project, customised ERP software was developed and implemented. In the long-term, the use of Company resources and the quality of production data analysis will improve. The project was financed through NextGenerationEU funds under the European Union Recovery Instrument. A grant in the total amount of EUR 165,241 was received in the first half of 2026.
As of 30 June 2026, the Company had 15 employees, one Management Board Member, and three Supervisory Board Members. Labour costs for the 6 months of 2026 (including taxes) amounted to EUR 298,292 (6 months 2025: EUR 283,169).
The Company did not pay any dividends during the reporting period.
The remainder of the financial year's revenues will still be significantly dependent on the decisions of a number of third parties with respect to their product launch-related decisions in the coming months. In order to reflect a more conservative approach, management's updated guidance for full year 2026 revenues is adjusted to EUR 2.0m (previously EUR 2.7m), which represents a 26% decrease.
Additional information:Kadri Rauba
Member of Management Board
AS Linda Nektar
Address: Valga mnt 4, Kobela, Antsla parish,
66407 Võrumaa, Estonia
Telephone: +372 785 5768
E-mail: info@lindanektar.ee
