Transcript

Mažvydas Šileika — Deputy CEO for Finance and Investments

Good morning, everyone. Thank you for joining, and thank you Olga for the introduction. Welcome to the full-year financial results presentation by Akola Group. We closed another successful financial year, which I am going to present. Please ask any questions which you are interested in, and I will try to go through them. We will start, of course, with a disclaimer, as always. The presentation may contain some forward-looking statements, but please bear in mind that is only an opinion or the best guess of the management. My name is Mažvydas Šileika, and I will take you through the presentation today. I will start with some strategic numbers as this is our full-year result presentation. I would like to reflect how we are doing on our main strategic targets, which we have declared and have been following for a while. You would probably remember very well that one of our main aims, targets is to have our operating margin more than 3%. For the last two years, we have it more than 4%. A year before, it was close to 5%, and last financial year it was 4.1%, so we are doing much better than our target for the last two years. A more challenging task for us is Return on Capital Employed, which we are aiming to have more than 12%. This year we ended up at 8.5%, which is short of the target, but it is still a good number. Last year, our 2024/2025 was the year when we were closer to our long-term target. This is one of our main challenges to achieve this one. We are quite well doing on our debt level, so we have an aim to have less than 4x. This year we have 3. almost 4. A year before we have 3.3. So two years in a row, it is a very conservative number from our perspective. We are managing well this long-term target. In terms of our EBITDA target, which is EUR 70 million to EUR 90 million, you can see that this year we successfully closed EUR 96 million in EBITDA. Last year was our second-best year in group's history, and that gave us EUR 110 million in EBITDA. So we have a lower number this year. However, we deem this year really very successful as we have more than EUR 90 million in EBITDA, which is the upper bound of our target. Our dividend policy is to pay not less than 20% from our consolidated net profit, and you can see that a year before we paid 25%. This year, the best guidance for the shareholders, it is expected to follow our