Latvian Forest Company (LATF) Q4 2025 earnings summary

Executive summary

• Net sales for 2025 were €1,012.0k, down from €1,218.7k year-over-year, mainly from timber sales.

• Operating profit was -€445.2k, a significant decline from €1,323.1k in 2024, due to absence of large property sales.

• Net income after tax was €53.5k, compared to €1,787.2k in the previous year.

• Strategic land swap improved portfolio quality, increasing productive forest area.

• Total land holdings reached 8,281 hectares with an estimated 1,088,000 m³ standing timber.

Financial highlights

• Net sales decreased 17% year-over-year to €1,012.0k.

• Operating profit dropped to -€445.2k from €1,323.1k, mainly due to lack of major asset sales.

• Value change in forest assets was €836.8k, down from €1,063.7k.

• Earnings per share were €0.001, compared to €0.049 last year.

• Book value of fixed assets increased to €42,619.6k from €40,797.6k.

Outlook and guidance

• Market conditions in the Baltic region remain structurally attractive, with stable short-term outlook and long-term demand expected to rise due to green transition and carbon credits.

• Uncertainty remains due to macroeconomic trends, currency fluctuations, and geopolitical risks.