INVL Baltic Farmland announces operating forecasts and planned dividends

The board of INVL Baltic Farmland, a company that invests in agricultural land, approved the company’s operating forecasts for 2023 and proposals to the annual general meeting of shareholders.

This year INVL Baltic Farmland plans consolidated revenue of EUR 790,000 and a net profit of EUR 365,000. The forecasts assume that during 2023 the value of the company’s land holdings will not change, no new agreements on the purchase or sale of land will be signed, and there will be no change in the impairment of trade receivables and no impact of trade receivables on the size of the administration fee.

It is proposed that shareholders of INVL Baltic Farmland be paid dividends of EUR 484,000, or EUR 0.15 per share, for 2022.

“INVL Baltic Farmland’s good performance last year enables it to pay bigger dividends than the minimum of EUR 0.10 per share stipulated in the company’s dividend policy,” INVL Baltic Farmland Chairman of the Board Alvydas Banys says.

The meeting of the farmland investment company’s shareholders on 29 March this year is scheduled to vote not only on approving INVL Baltic Farmland’s 2022 financial statements and the distribution of profits, but also on new procedures for the acquisition of own shares.

To ensure that shareholders of INVL Baltic Farmland have the possibility of selling their shares, it is proposed that an existing reserve of EUR 3.08 million be used for own share purchases. The number of own shares acquired by the company would be limited to no more than 10% of its share capital, and purchases of own shares would be allowed for a period of 18 months from the date the decision is adopted at the shareholders’ meeting. The maximum purchase price per share would be EUR 5.00 and the minimum EUR 3.00.

It is also proposed that the shareholders’ meeting vote on updating the company’s Audit Committee regulations and the wording of its Articles of Association and remuneration policy with regard to amendments to the Law on Companies.

In 2022, INVL Baltic Farmland had consolidated revenue of EUR 722,000 and an audited consolidated net profit of EUR 1.97 million. Compared to 2021, revenue was up 8.6% and net profit grew 39.5%.

INVL Baltic Farmland is listed on the Nasdaq Vilnius stock exchange. Its subsidiaries own approximately 3,000 hectares of agricultural land in Lithuania which is rented out to agriculture companies and farmers.