The Estonian economy continued to recover during the period, but the economic environment remained affected by geopolitical uncertainty, as well as high energy and fuel prices. There are also signs of a moderate recovery in the construction market, although progress varies across segments. The market is primarily supported by investment in national defence and infrastructure, while investment activity in residential construction remains subdued.
Both of our main operating segments increased their revenue compared to the same period last year. Revenue generated by the Buildings segment grew by 34%, driven mainly by revenue from the construction of public buildings. Revenue generated by the Infrastructure segment nearly doubled due to the performance of construction work on the Rail Baltica project and a national road. The Infrastructure segment's contribution to the group's overall revenue rose to 26% (9M 2025: 20%).
The group's profitability continued to be affected by rising input prices and lower average profit margins on ongoing projects. However, supported by revenue growth, both gross profit and operating profit increased year on year in absolute terms. Administrative expenses remained at the level of the previous year.
Compared to 30 September 2025, the group's order book increased by 3%. While the order books of both the Buildings and Infrastructure segments increased, their respective proportions of the group's total order book remained stable. A significant share of the group's order book consists of work scheduled for 2027.
Condensed consolidated interim statement of financial position
| €'000 | 30 September 2026 | 31 December 2025 |
| ASSETS | ||
| Current assets | ||
| Cash and cash equivalents | 4,328 | 5,266 |
| Other financial assets | 1,140 | 1,088 |
| Trade and other receivables | 58,753 | 46,348 |
| Prepayments | 12,128 | 3,274 |
| Inventories | 42,493 | 26,022 |
| Total current assets | 118,842 | 81,998 |
| Non-current assets | ||
| Other investments | 77 | 77 |
| Other financial assets | 2,710 | 1,810 |
| Trade and other receivables | 10,474 | 10,142 |
| Investment property | 3,704 | 5,517 |
| Property, plant and equipment | 14,518 | 12,234 |
| Intangible assets | 14,978 | 14,922 |
| Total non-current assets | 46,461 | 44,702 |
| TOTAL ASSETS | 165,303 | 126,700 |
| LIABILITIES | ||
| Current liabilities | ||
| Borrowings | 11,108 | 12,049 |
| Trade payables | 75,908 | 49,569 |
| Other payables | 12,228 | 9,971 |
| Deferred income | 17,206 | 15,249 |
| Provisions | 790 | 3,863 |
| Total current liabilities | 117,240 | 90,701 |
| Non-current liabilities | ||
| Borrowings | 13,488 | 5,708 |
| Trade payables | 5,302 | 1,605 |
| Other non-current payables | 1,292 | 0 |
| Provisions | 2,349 | 5,730 |
| Total non-current liabilities | 22,431 | 13,043 |
| TOTAL LIABILITIES | 139,671 | 103,744 |
| EQUITY | ||
| Share capital | 14,379 | 14,379 |
| Own (treasury) shares | (660) | (660) |
| Share premium | 635 | 635 |
| Statutory capital reserve | 2,554 | 2,554 |
| Translation reserve | 4,708 | 4,522 |
| Retained earnings | 2,323 | 141 |
| Total equity attributable to owners of the parent | 23,939 | 21,571 |
| Non-controlling interests | 1,693 | 1,385 |
| TOTAL EQUITY | 25,632 | 22,956 |
| TOTAL LIABILITIES AND EQUITY | 165,303 | 126,700 |
Condensed consolidated interim statement of comprehensive income
| €'000 | 9M 2026 | Q3 2026 | 9M 2025 | Q3 2025 | 2025 |
| Revenue | 216,089 | 89,176 | 147,666 | 55,028 | 208,281 |
| Cost of sales | (205,954) | (84,961) | (137,747) | (50,559) | (194,746) |
| Gross profit | 10,135 | 4,215 | 9,919 | 4,469 | 13,535 |
| Marketing and distribution expenses | (277) | (65) | (279) | (110) | (433) |
| Administrative expenses | (4,811) | (1,452) | (4,758) | (1,686) | (6,814) |
| Other operating income | 461 | 279 | 70 | 2 | 154 |
| Other operating expenses | (296) | (237) | (196) | (36) | (6,835) |
| Operating profit (loss) | 5,212 | 2,740 | 4,756 | 2,639 | (393) |
| Finance income | 325 | 109 | 349 | 91 | 499 |
| Finance costs | (3,046) | (1,058) | (2,517) | (613) | (3,464) |
| Net finance costs | (2,721) | (949) | (2,168) | (522) | (2,965) |
| Profit (loss) before tax | 2,491 | 1,791 | 2,588 | 2,117 | (3,358) |
| Income tax expense | (1) | 0 | 0 | 0 | (141) |
| Profit (loss) for the period | 2,490 | 1,791 | 2,588 | 2,117 | (3,499) |
| Other comprehensive income (loss) | |||||
| Exchange differences on translating foreign operations | 186 | (10) | 395 | (78) | 488 |
| Total other comprehensive income (loss) | 186 | (10) | 395 | (78) | 488 |
| TOTAL COMPREHENSIVE INCOME (LOSS) | 2,676 | 1,781 | 2,983 | 2,039 | (3,011) |
| Profit (loss) attributable to: | |||||
| - Owners of the parent | 2,182 | 1,747 | 1,738 | 1,872 | (4,605) |
| - Non-controlling interests | 308 | 44 | 850 | 245 | 1,106 |
| Profit (loss) for the period | 2,490 | 1,791 | 2,588 | 2,117 | (3,499) |
| Comprehensive income (loss) attributable to: | |||||
| - Owners of the parent | 2,368 | 1,737 | 2,133 | 1,794 | (4,117) |
| - Non-controlling interests | 308 | 44 | 850 | 245 | 1,106 |
| Comprehensive income (loss) for the period | 2,676 | 1,781 | 2,983 | 2,039 | (3,011) |
| Earnings per share attributable to owners of the parent: | |||||
| Basic earnings per share | 11.4 | 8.5 | 11.0 | 9.8 | |
| Change against the comparative period, % | 33.8% | (22.4)% | 5.0% | 5.4% |
The group's labour productivity and labour cost efficiency increased year on year, as revenue growth exceeded the increase in the number of employees and the staff costs incurred.
Andri Hõbemägi
Nordecon AS
Head of Investor Relations
Tel: +372 6272 022
Email: andri.hobemagi@nordecon.com
www.nordecon.com
