Management Board of Baltic Horizon Capital AS has approved the unaudited financial results of Baltic Horizon Fund (the Fund) for the nine months of 2026.
Net profit for the nine months to 30 September 2026 was EUR 6,903 thousand, compared with a loss of EUR 959 thousand a year earlier. Excluding revaluations, nine-month net profit was EUR 2,151 thousand (2025: loss of EUR 946 thousand). Quarterly net rental income rose by about a third to EUR 3,478 thousand (Q3 2025: EUR 2,631 thousand). The revaluation of the Postimaja and Apollo Plaza complex and Pirita SC added EUR 5,075 thousand. Nine-month financial expenses fell to EUR 5,951 thousand from EUR 7,126 thousand, following the March equity raise and the EUR 7.5 million bond prepayment.
On a like-for-like basis, excluding Meraki (sold in March 2025), nine-month net operating income rose 12% to EUR 9,564 thousand from EUR 8,512 thousand. Q3 2026 was the first quarter to show the full effect of the new property management set-up, and management expects the improvement to continue. Repair and maintenance, property management and marketing costs were all below last year. Lower tenant arrears allowed EUR 68 thousand of the bad-debt provision to be released, after a EUR 335 thousand charge in the first half. Trade receivables fell to EUR 1,198 thousand from EUR 1,760 thousand at the start of the year.
Fund overheads excluding the management fee were EUR 96 thousand in the quarter. This was the first quarter within the EUR 100 thousand run rate that management targeted in the spring. Nine-month administrative expenses were EUR 1,436 thousand (2025: EUR 1,519 thousand).
Equity rose to EUR 97.9 million, or EUR 0.4323 per unit (30 June 2026: EUR 0.4039), giving an equity ratio of 43.4% and LTV of 57.0%. Cash was EUR 8.3 million, of which EUR 4.9 million was unrestricted. Net cash flow after interest and capital expenditure was EUR 778 thousand, against an outflow of EUR 665 thousand a year earlier. The units closed the quarter at EUR 0.197, a 54% discount to NAV.
EUR 11.5 million of bonds remain outstanding. Management still aims to redeem them before their May 2028 maturity. Early redemption fees expire by May 2027, so management will time the required liquidity for then. In October the Fund launched refinancing tenders for the loans secured on the Postimaja and Apollo Plaza complex, Pirita SC and Galerija Centrs. Any loan top-ups obtained on acceptable terms will go towards the bond redemption, together with proceeds from selected non-core disposals.
On 5 November 2026, the Fund signed a preliminary sale and purchase agreement for one of the two connected office blocks of North Star in Vilnius. The price of around EUR 5.3 million is above the block's latest valuation, with closing expected in H1 2027. The smaller block (approx. 3,057 sqm) is fully let to the Lithuanian Tax Inspectorate (VMI). In late October VMI informed about intentions to relocate by Q1 2028 at the latest. Rather than carry the re-letting risk on a single-tenant block, the Fund is selling that block only. The main block (approx. 7,630 sqm) is fully let and operates independently, and it stays in the portfolio. Net proceeds, after partial repayment of the bank loan, will be used to redeem bonds.
The valuations of the Postimaja and Apollo Plaza complex and Pirita SC were brought forward from year-end in preparation for their refinancing. The Postimaja and Apollo Plaza complex rose to EUR 39.0 million on unchanged yields. The uplift comes mainly from improved income projections, driven by the 10-year renewal and expansion of the MyFitness lease and full occupancy on long-term leases. The value now includes EUR 1.7 million for the planned extension linking the two buildings. Pirita SC rose slightly to EUR 10.7 million. It is about 93% occupied and anchored by Rimi and MyFitness. The valuer tightened its exit yield from 8.5% to 8.0%, in line with recent Baltic retail transaction evidence.
These early revaluations do not imply further uplifts across the rest of the portfolio. All properties are valued by independent appraisers at least once a year, and valuations can move up or down.
Overview of the Fund’s investment properties as of 30 September 2026
| Property | Sector | Fair value1 | NLA | Net initial yield | Occupancy rate |
| (EUR ‘000) | (sq. m) | Q1-Q3 20262 | |||
| Galerija Centrs | Retail | 58,383 | 19,959 | 5.2% | 84.5% |
| Postimaja and Apollo Plaza complex | Retail | 39,030 | 17,109 | 6.5% | 99.9% |
| Europa SC | Retail | 32,429 | 17,446 | 5.5% | 82.8% |
| North Star | Office | 18,986 | 10,686 | 7.6% | 93.4% |
| Upmalas Biroji | Office | 14,632 | 11,129 | 6.5% | 57.4% |
| Vainodes I | Office | 12,504 | 8,128 | 6.6% | 90.9% |
| S27 | Office | 12,511 | 7,348 | 3.7% | 67.0% |
| L/NK | Office | 11,473 | 10,767 | 5.3% | 63.2% |
| Pirita SC | Retail | 10,680 | 5,425 | 8.0% | 92.8% |
| Hipokrata SC | Retail | 4,701 | 3,260 | 5.6% | 89.4% |
| Total portfolio | 215,329 | 111,257 | 5.9% | 82.5% |
- Based on the latest valuations as of 30 September 2026 for Postimaja and Apollo Plaza complex and Pirita SC and as of 31 December 2025 for the remaining properties, recognized right-of-use assets and subsequent capital expenditure.
- The net initial yield (NIY) is calculated by dividing annualized NOI by the market value of the property.
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
| EUR ‘000 | ||||||||
| 01.07.2026 - 30.09.2026 | 01.07.2025 - 30.09.2025 | 01.01.2026 - 30.09.2026 | 01.01.2025 - 30.09.2025 | |||||
| Rental income | 3,836 | 3,833 | 11,382 | 11,361 | ||||
| Service charge income | 1,347 | 1,233 | 3,860 | 3,782 | ||||
| Cost of rental activities | (1,705) | (2,435) | (5,678) | (6,434) | ||||
| Net rental income | 3,478 | 2,631 | 9,564 | 8,709 | ||||
| Administrative expenses | (410) | (450) | (1,436) | (1,519) | ||||
| Other operating income | 2 | 13 | 24 | 39 | ||||
| Losses on disposal of investment properties | - | (254) | - | (1,350) | ||||
| Valuation gains (losses) on investment properties | 5,072 | (4) | 4,752 | (13) | ||||
| Operating profit (loss) | 8,142 | 1,936 | 12,904 | 5,866 | ||||
| Financial income | 23 | 5 | 54 | 65 | ||||
| Financial expenses | (1,902) | (2,058) | (5,951) | (7,126) | ||||
| Net financial expenses | (1,879) | (2,053) | (5,897) | (7,061) | ||||
| Profit (loss) before tax | 6,263 | (117) | 7,007 | (1,195) | ||||
| Income tax charge | (58) | 49 | (104) | 236 | ||||
| Profit (loss) for the period | 6,205 | (68) | 6,903 | (959) | ||||
| Other comprehensive income that is or may be reclassified to profit or loss in subsequent periods | ||||||||
| Net gains (losses) on cash flow hedges | 226 | 159 | 519 | 101 | ||||
| Income tax relating to net gains (losses) on cash flow hedges | - | (1) | - | (8) | ||||
| Other comprehensive profit (loss), net of tax, that is or may be reclassified to profit or loss in subsequent periods | 226 | 158 | 519 | 93 | ||||
| Total comprehensive profit (loss) for the period, net of tax | 6,431 | 90 | 7,422 | (866) | ||||
| Basic earnings per unit (EUR) | 0.03 | (0.00) | 0.03 | (0.01) | ||||
| Diluted earnings per unit (EUR) | 0.03 | (0.00) | 0.03 | (0.01) | ||||
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
| EUR ‘000 | 30.09.2026 | 31.12.2025 |
| Non-current assets | ||
| Investment properties | 215,329 | 208,940 |
| Property, plant and equipment | 6 | 7 |
| Derivative financial instruments | 333 | - |
| Other non-current assets | - | 242 |
| Total non-current assets | 215,668 | 209,189 |
| Current assets | ||
| Trade and other receivables | 1,198 | 1,760 |
| Prepayments | 300 | 294 |
| Cash and cash equivalents | 8,310 | 5,377 |
| Total current assets | 9,808 | 7,431 |
| Total assets | 225,476 | 216,620 |
| Equity | ||
| Paid in capital | 163,765 | 151,495 |
| Cash flow hedge reserve | 333 | (186) |
| Retained earnings | (66,156) | (73,059) |
| Total equity | 97,942 | 78,250 |
| Non-current liabilities | ||
| Interest-bearing loans and borrowings | 90,452 | 77,443 |
| Deferred tax liabilities | 741 | 644 |
| Derivative financial instruments | - | 186 |
| Other non-current liabilities | 1,383 | 1,110 |
| Total non-current liabilities | 92,576 | 79,383 |
| Current liabilities | ||
| Interest-bearing loans and borrowings | 32,043 | 55,842 |
| Trade and other payables | 2,572 | 2,729 |
| Income tax payable | - | 14 |
| Other current liabilities | 343 | 402 |
| Total current liabilities | 34,958 | 58,987 |
| Total liabilities | 127,534 | 138,370 |
| Total equity and liabilities | 225,476 | 216,620 |
For more information, please contact:
Edvinas Karbauskas
Baltic Horizon Fund Manager
E-mail: edvinas.karbauskas@baltichorizon.com
www.baltichorizon.com
The Fund is a registered contractual public closed-end real estate fund that is managed by Alternative Investment Fund Manager license holder Baltic Horizon Capital AS.
Distribution: GlobeNewswire, Nasdaq Tallinn, www.baltichorizon.com
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This announcement contains information that the Management Company is obliged to disclose pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the above distributors, at 17:30 EET on 5 November 2026.
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