Estonia's Merko Ehitus Q1 revenue falls 33%, order book hits record

Merko Ehitus AS

07/05/2026 06:15

Overview

Estonia-based construction and real estate developer's Q1 revenue fell 33% yr/yr to EUR 57 mln

Net profit for Q1 declined to EUR 4.3 mln from EUR 10.5 mln a year ago

Secured order book hit record EUR 826 mln after signing large public sector contracts

Outlook

Merko Ehitus aims to exceed 2025 sales revenue in 2026

Company expects revenue volatility due to large-scale projects, impact visible toward end-2026

Merko Ehitus sees increased apartment demand, plans to complete over 800 units in 2026

Result Drivers

HIGH BASE EFFECT - Co said Q1 revenue and profit were lower yr/yr due to a high comparison base from large projects completed by mid-2025

FEWER APARTMENT HANDOVERS - Co reported significantly fewer apartment handovers and lower real estate development revenue due to fewer new projects launched during previous market downturn

PUBLIC SECTOR DRIVES MARKET - Co said market continues to be driven primarily by public sector tenders in defence and infrastructure, with private sector remaining cautious

Company press release: ID:nGNE7XrGJG

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
EUR 57.22 mln
Q1 Net Income
EUR 4.34 mln
Q1 Gross Profit
EUR 5.48 mln
Q1 Operating Income
EUR 1.32 mln
Q1 Pretax Profit
EUR 1.70 mln


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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)