Infortar (INF1T) Q2 2024 earnings summary

Executive summary

• Operates across energy, shipping/maritime transport, real estate, and agriculture, with 103 companies and 1,344 employees as of June 30, 2024, and Finland as the largest market.

• H1 2024 revenue reached €576.1 million, up from €560.4 million year-over-year; net profit was €73 million, down from €83.7 million in H1 2023.

• Major investments included €41 million in H1 2024, increasing Tallink shareholding by 4.5%, acquiring Halinga dairy farm, and commissioning solar parks in Latvia and Estonia.

• Strong liquidity position and moderate leverage support ongoing growth and expansion into new markets, including Poland, Germany, and Western Europe.

• Exited pharmaceuticals segment with the sale of Farmatar OÜ.

Financial highlights

• EBITDA for H1 2024 was €75.5 million (13.1% margin), down from €86.6 million (15.4%) in H1 2023.

• Equity rose to €840 million, with an equity ratio of 56.2%.

• Total assets increased to €1,495 million from €1,026 million year-over-year.

• Net debt stood at €263 million, up from €164 million in H1 2023; net debt/EBITDA ratio was 1.8x.

• Cash and cash equivalents increased to €185 million from €136 million at the end of H1 2023.

Outlook and guidance

• Focus on international expansion, especially in energy infrastructure and real estate, with continued investments and entry into agriculture.

• Ongoing voluntary takeover offer for Tallink, with results to be announced soon.

• Stable cash flow and strong liquidity expected to support regular dividend payments and further growth.