Utenos Trikotazas (UTR1L) investor relations material

Executive summary

• Revenue for the first half of 2026 was EUR 8.0 million, down 17% year-over-year, mainly due to an 8.1% decline in sales and a 13% drop in contract-manufactured knitwear, impacted by geopolitical tensions and reduced tender-based orders.

• Own-brand product sales grew by 26.6% year-over-year, driven by product range expansion, collaborations, and marketing initiatives.

• Export sales accounted for 79.8% of total sales, with key markets in Germany, Austria, Switzerland, and Scandinavia.

• The company continued efficiency improvements, including cost management and subcontracting production.

Financial highlights

• Group revenue for H1 2026: EUR 8,012,000 (down 17% year-over-year).

• Operating loss for H1 2026: EUR -488,000 (vs. EUR -187,000 in H1 2025); EBITDA: EUR -210,000 (vs. EUR 115,000 in H1 2025).

• Net loss for H1 2026: EUR -470,000 (vs. EUR -508,000 in H1 2025).

• Operating margin: -6.1% (down from -1.9%); EBITDA margin: -2.6% (down from 1.2%).

• Return on capital employed: -17.1%; debt ratio: 99.9%.

Outlook and guidance

• Focus remains on higher value-added, sustainable products and strengthening the materials and product development center.

• B2B exports will continue to dominate sales, but B2C retail is growing.

• The company is pursuing a zero-waste strategy and environmental certifications.

• Management notes concerns about the German economic slowdown potentially impacting future demand.