AS MERKO EHITUS

ANNOUNCEMENT

12.11.98

 

 

COMMENTS TO THE 1998 9 MONTHS CONSOLIDATED ECONOMIC RESULTS OF MERKO EHITUS

 

The 1998 9 months unaudited net sales of AS Merko Ehitus affiliated group 

were 628.9 million EEK (including sales 577.6 million EEK and construction 

works as investments 51.3 million EEK (of which the most important ones are 

Electrolux Eesti business center 44.1 million EEK and Vilmsi 44 office and 

apartment building 6.2 million EEK)), and net profit was 28.7 million EEK. 

The 1997 first 9 months net sales were 355.0 million EEK and net profit 16.3 

million EEK.

 

AS Merko Ehitus affiliated group has met 89% of the annual net sales forecast 

(700 million) and 82% of the annual net profit forecast (35 million EEK).

 

In the economic results of AS Merko Ehitus affiliated group were consolidated 

the results of AS Merko Ehitus and the following subsidiaries:

 AS Gustaf (field of activity: construction; Merko owns 100% of the shares) with 

its subsidiaries Gustaf-Vilnius and Rigus,

 AS E.L.L.Kinnisvara (previous name AS Merko Kinnisvara; field of activity: 

real estate development; Merko owns 100% of the shares),

 AS  Merko Insenerehitus (field of activity: enginerial construction; Merko owns 

100% of the shares),

 SIA MERKS (located in the Republic of Latvia; field of activity: project management

and construction; Merko owns 100% of the shares);

 AS Merko Tartu (field of activity: construction; Merko owns 66% of the shares), and

 OÜ Matek (field of activity: production of small houses and wooden constructions; 

Merko owns 73% of the shares).

 

In addition to the subsidiaries, also the following associate enterprises were 

considered in calculating the profit of AS Merko Ehitus affiliated group:

 Normanni Linnagrupi AS (field of activity: project management; Merko owns 

50% of the shares), 

 Vesimer Investeeringute AS (field of activities: investments, project management 

and real estate development; Merko owns 50% of the shares),

 AS Merko Insenervõrgud (field of activity: enginerial construction; 

Merko owns 49% of the shares),

 AS Stik Elekter (field of activity: electrical works; Merko owns 34% of the shares)

 ESS Kinnisvarahoolduse AS (field of activity: real estate administration; 

Merko owns 30% of the shares), and

 Eesti Ehitusekspordi AS (100% owner of AS Tartu Maja Betoontooted; 

Merko owns 25% of the shares).

 

Among the subsidiaries and associated enterprises, remarkable results were achieved 

by AS Gustaf (consolidated net sales 74.7 million EEK and net profit 3.6 million EEK).

 

1998 9 months consolidated income statement and balance sheet are concluded in 

accordance with the principles of International Accounting Standards (IAS) and 

with the accounting regulations valid in the Republic of Estonia.

 

 

Ülo Metsaots

Financial manager, member of the Management Board

+372 6 105 110