The fourth quarter of the Storent group was at a stable level, reaching 11.6 million euros in total turnover, 3.8 million euros in EBITDA and 1.5 million euros in net profit. Compared to the fourth quarter of last year, the net turnover increased by 13%, while the net profit was higher by one million euros.

2023 was the first year for the Storent group with the new ownership structure and the main emphasis was on the further growth of the rental business. Although there was a rather significant decline in the construction of residential buildings, Storent made significant investments in the fleet by investing 13 million euros in new equipment and continued to invest in the improvement of ERP systems, digitization and automation of processes. Net turnover for the reporting year increased by 2%, EBITDA by 5%, and profit before taxes doubled, reaching 4.8 million euros.

The management of the Group decided to introduce changes in the accounting policy of fixed assets, introducing scrap value, as its necessity was confirmed by the sale of equipment on the secondary market. The depreciation of fixed assets by month was recalculated for the whole year 2023, as a result of which the results of the quarters changed.

In addition, in the consolidated statement, the Storent Group switched to measuring fixed assets at their fair value. The fair value of the assets was determined by engaging certified independent appraisers. As of December 31, 2023, the revaluation of rental fixed assets created a revaluation reserve of 46.4 million euros, which is reflected in companies’ equity.

The management of the Storent group predicts that in 2024, as a result of system improvements, structural changes and investments in the fleet worth 10-20 million euros, the turnover will continue to grow. After careful evaluation of the market trends and its strategies, the company plans to launch its next bond issue in the first quarter of the year 2024. The goal of this issue is to accelerate the company's expansion, continue enlarging the equipment park, and open new rental points.

Baiba Onkele

Storent Holdings CFO

Mobile: + 371 29340012

E-mail: baiba.onkele@storent.com

www.storentholding.com