AUGA GROUP, AB

Unaudited Consolidated Interim Results and Financial Information for 12 months ended 31 December 2017

I. GENERAL PROVISIONS 3
Accounting period covered by the Report 3
Key data on the issuer 3
Information on where and when the Report and the documents, on which the Report is based, are publicly
available and the name of the mass media means 12
II. INFORMATION ABOUT THE LARGEST SHAREHOLDERS AND ISSUERS MANAGEMENT 13
Share capital 13
Shareholders 13
The sales of the Issuer's securities on exchanges and other organized markets 13
Agreements with the mediators of securities public circulation 13
Procedure for amendments of the Articles of Association 13
Members of the managing bodies 14
III. FINANCIAL INFORMATION 15
Consolidated income statement 15
Consolidated statement of comprehensive income 15
Consolidated balance sheet 16
Consolidated statement of changes in equity 17
Consolidated statement of cash flows 18
Comments to the Financial Information 19
IV. THE NEWEST AND ESSENTIAL EVENTS IN THE ACTIVITY OF THE ISSUER 29
The newest events in the activity of the Issuer 29

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

I. GENERAL PROVISIONS

Acounting period covered by the Report

The report covers AUGA group, AB and it's subsidiaries (hereinafter – Group) consolidated unaudited financial information for 12 month period ended 31 December 2017.

Key data on the issuer

Name of the company:	Auga Group, AB (hereinafter – AG or the Company)
Share capital:	EUR 54,350,713.08
Address of headquarters:	Konstitucijos av. 21C, Quadrum North, LT-08130, Vilnius, Lithuania
Telephone:	(8~5) 233 53 40
Fax:	(8~5) 233 53 45
E-mail address:	[email protected]
Website:	www.auga.lt
Legal-organizational form:	Legal body, joint stock company
Place and date of registration:	25 June 2003, Vilnius
Register code:	1262 64360
Register number:	AB2003-926
Registrant of the Register of legal bodies:	State Enterprise Centre of registers

As at 31 December 2017 the Group was comprised of the Company and it's subsidiaries:

Name	Legal form	Date and place of registration	Company code	Address	Phone, fax and e-mail
UAB Baltic Champs	Joint stock company	27-12-2012, State Registrar	302942064	Poviliškės, Šiauliai distr.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB AVG Investment	Joint stock company	10-02-2005, State Registrar	300087691	Vilniaus m. sav. Vilniaus m. Konstitucijos pr. 21C	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB AWG Investment 1	Joint stock company	18-06-2008, State Registrar	301745765	Vilniaus m. sav. Vilniaus m. Konstitucijos pr. 21C	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB AWG Investment 2	Joint stock company	24-07-2008, State Register	301807590	Vilniaus m. sav. Vilniaus m. Konstitucijos pr. 21C	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB Agross	Joint stock company	24-07-2008, State Register	301807601	Jonavos r. sav. Bukonių k. Lankesos g. 1	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB Grain Lt	Joint stock company	17-03-2010, State Register	302489354	Vilniaus m. sav. Vilniaus m. Konstitucijos pr. 21C	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ARS ingenii*	Joint stock company	15-03-2011, State Register	302602713	Konstitucijos pr. 21C, Vilnius	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB Agro GIS	Joint stock company	18-01-2011, State Register	302583978	Vilniaus m. sav. Vilniaus m. Konstitucijos pr. 21C	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB Agro Management Team	Joint stock company	02-03-2011, State Register	302599498	Jonavos r. sav. Bukonių k. Lankesos g. 1	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

UAB Agrotechnikos	Joint stock	03-02-2011, State	302589187	Jonavos r. sav. Bukonių k.	(8~5) 233 53 40;
centras	company	Register		Lankesos g. 1	fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB AUGA Trade	Joint stock company	29-02-2012, State Registrar	302753875	Jonavos r. sav. Bukonių k. Lankesos g. 1	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Žemės fondas	Agricultural entity	07-04-2006, State Register	300558595	Vilniaus m. sav. Vilniaus m. Konstitucijos pr. 21C	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
UAB Žemės vystymo	Joint stock	10-08-2006, State	300589719	Jonavos r. sav. Bukonių k.	e-mail: [email protected] (8~5) 233 53 40;
fondas 6	company	Registrar		Lankesos g. 1
					fax: (8~5) 233 53 45, e-mail: [email protected]
UAB Žemės vystymo	Joint stock	09-03-2006, State	300547638	Jonavos r. sav. Bukonių k.	(8~5) 233 53 40;
fondas 9	company	Registrar		Lankesos g. 1
					fax: (8~5) 233 53 45, e-mail: [email protected]
UAB Žemės vystymo	Joint stock	10-01-2008, State	301522723	Jonavos r. sav. Bukonių k.	(8~5) 233 53 40;
fondas 10	company	Registrar		Lankesos g. 1	fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB Žemės vystymo	Joint stock	22-06-2007, State	300887726	Jonavos r. sav. Bukonių k.	(8~5) 233 53 40;
fondas 20	company	Registrar		Lankesos g. 1	fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB AUGA Spindulys	Agricultural entity	09-04-1993, Radviliškis district	171330414	Radviliškio r. sav. Vaitiekūnų k. Spindulio g. 13	(8~5) 233 53 40;
		municipality
					fax: (8~5) 233 53 45,
ŽŪB AUGA Smilgiai	Agricultural	16-09-1992,	168548972	Panevėžys st. 23, Smilgiai,	e-mail: [email protected] (8~5) 233 53 40;
	entity	Panevėžys district		Smilgiai mun., LT-38375
		municipality			fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB AUGA Skėmiai	Agricultural entity	01-10-1992, Radviliškis district	171306071	Radviliškio r. sav. Skėmių k. Kėdainių g. 36	(8~5) 233 53 40;
		municipality
					fax: (8~5) 233 53 45, e-mail: [email protected]
ŽŪB AUGA Nausodė	Agricultural	11-08-1992,	154179675	Anykščių r. sav. Kirmėlių k.	(8~5) 233 53 40;
	entity	Anykščiai district municipality
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB AUGA Dumšiškės	Agricultural entity	29-09-1992, LR Raseiniai district	172276179	Raseinių r. sav. Paraseinio k.	(8~5) 233 53 40;
		board
					fax: (8~5) 233 53 45, e-mail: [email protected]
ŽŪB AUGA Žadžiūnai	Agricultural	30-06-1992,	175706853	Šiaulių r. sav. Žadžiūnų k.	(8~5) 233 53 40;
	entity	Šiauliai district municipality		Gudelių g. 30-2
					fax: (8~5) 233 53 45,
					e-mail: [email protected]

ŽŪB AUGA Mantviliškis	Agricultural	06-11-1992,	161274230	Kėdainių r. sav. Mantviliškio k.	(8~5) 233 53 40;
	entity	Kėdainiai district
		board			fax: (8~5) 233 53 45,
					e-mail: [email protected]

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

ŽŪB AUGA Alanta	Agricultural entity	29-06-1992, Molėtai district municipality	167527719	Molėtų r. sav. Kazlų k. Skiemonių g. 2A	(8~5) 233 53 40;
					fax: (8~5) 233 53 45, e-mail: [email protected]
ŽŪB AUGA Eimučiai	Agricultural entity	29-06-1992, Šiauliai district municipality	175705032	Šiaulių r. sav. Žadžiūnų k. Gudelių g. 30-2	(8~5) 233 53 40;
ŽŪB AUGA Vėriškės	Agricultural entity	29-09-1992, Radviliškis district	171305165	Radviliškio r. sav. Vėriškių k.	fax: (8~5) 233 53 45, e-mail: [email protected] (8~5) 233 53 40;
		municipality			fax: (8~5) 233 53 45,
ŽŪB AUGA Želsvelė	Agricultural entity	03-07-1992, Marijampolė municipality	165666499	Marijampolės sav. Želsvos k.	e-mail: [email protected] (8~5) 233 53 40;
ŽŪB AUGA Lankesa	Agricultural entity	06-04-1999, Jonava district	156913032	Jonavos r. sav. Bukonių k.	fax: (8~5) 233 53 45, e-mail: [email protected] (8~5) 233 53 40;
		municipality			fax: (8~5) 233 53 45,
ŽŪB AUGA Kairėnai	Agricultural entity	02-03-1993, Radviliškis district municipality	171327432	Radviliškio r. sav. Kairėnų k.	e-mail: [email protected] (8~5) 233 53 40;
					fax: (8~5) 233 53 45, e-mail: [email protected]
ŽŪB AUGA Jurbarkai	Agricultural entity	31-07-1992, Jurbarkas district	158174818	Jurbarko r. sav. Klišių k. Vytauto Didžiojo g. 99	(8~5) 233 53 40;
		municipality			fax: (8~5) 233 53 45, e-mail: [email protected]
UAB Grūduva	Joing stock	24-02-1997,	174401546	Šakių r. sav. Gotlybiškių k.	(8~5) 233 53 40;
	company	Šakiai district municipality
Panevežio region ŽŪB	Agricultural	09-12-1992,	168565021	Panevėžio r. sav. Gustonių k.	fax: (8~5) 233 53 45, e-mail: [email protected] (8~5) 233 53 40;
Gustoniai	entity	Panevėžys district municipality		M. Kriaučiūno g. 15
					fax: (8~5) 233 53 45, e-mail: [email protected]
KB Siesartis	Cooperative entity	21-04-2010, Šakiai district municipality	302501098	Šakių r. sav. Gotlybiškių k. Mokyklos g. 18	(8~5) 233 53 40;
					fax: (8~5) 233 53 45, e-mail: [email protected]
KB Kašėta	Cooperative entity	21-04-2010, Jonavos district municipality	302501251	Jonavos r. sav. Bukonių k. Lankesos g. 1	(8~5) 233 53 40;
					fax: (8~5) 233 53 45, e-mail: [email protected]
ŽŪB Gustonys	Agricultural entity	08-06-2010, Vilniaus district municipality	302520102	Panevėžio r. sav. Gustonių k. M. Kriaučiūno g. 15	(8~5) 233 53 40;
					fax: (8~5) 233 53 45, e-mail: [email protected]

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)
ŽŪB Skėmių pienininkystės centras	Agricultural entity	05-03-2012 Radviliškis district municipality	302737554	Radviliškio r. sav. Skėmių k. Alyvų g. 1	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
Agrobokštai ŽŪK	Cooperative	02-03-2010,	302485217	Vilniaus m. sav. Vilniaus m.	e-mail: [email protected] (8~5) 233 53 40;
	entity	Marijampolė municipality		Smolensko g. 10
					fax: (8~5) 233 53 45, e-mail: [email protected]
KB Dotnuvėlės valdos	Cooperative entity	21-04-2011, Šiauliai district municipality	302618614	Šiaulių r. sav. Žadžiūnų k. Gudelių g. 30-2	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
KB Nevėžio lankos	Cooperative entity	21-04-2011, Radviliškis district municipality	302618596	Kėdainių r. sav. Mantviliškio k. Liepos 6-osios g. 60	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
KB Radviliškio kraštas	Cooperative entity	20-04-2011, Radviliškis district municipality	302618742	Radviliškio r. sav. Skėmių k. Kėdainių g. 13	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
KB Šventosios pievos	Cooperative entity	20-04-2011, Radviliškis district	302618201	Radviliškio r. sav. Vaitiekūnų k. Spindulio g. 13-2	e-mail: [email protected] (8~5) 233 53 40;
		municipality			fax: (8~5) 233 53 45,
					e-mail: [email protected]
KB Kairių ūkis	Cooperative entity	13-04-2011, Marijampolė municipality	302615194	Panevėžio r. sav. Gustonių k. M. Kriaučiūno g. 15	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
KB Šiaurinė valda	Cooperative entity	13-04-2011, Šakiai district municipality	302615187	Šiaulių r. sav. Poviliškių k.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
KB Šušvės žemė	Cooperative	21-04-2011,	302618767	Kelmės r. sav. Pašiaušės k.	e-mail: [email protected] (8~5) 233 53 40;
	entity	Radviliškis district municipality		Vilties g. 2
					fax: (8~5) 233 53 45,
ŽŪK Agromilk	Cooperative	23-04-2009,	302332698	Anykščių r. sav. Nausodės k.	e-mail: [email protected] (8~5) 233 53 40;
	entity	Radviliškis district		Nausodės g. 55
		municipality			fax: (8~5) 233 53 45,
					e-mail: [email protected]
KB Žalmargėlis	Cooperative entity	23-09-2013, State Registrar	303145954	Vilniaus m. sav. Vilniaus m. Smolensko g. 10	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
KB Juodmargėlis	Cooperative entity	03-10-2013, State Registrar	303159014	Raseinių r. sav. Paraseinio k. Paraseinio g. 2	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
UAB Agrosaulė 8	Joint stock	23-08-2012, State	302846105	Jonavos r. sav. Bukonių k.	e-mail: [email protected] (8~5) 233 53 40;
	company	Registrar		Lankesos g. 1
					fax: (8~5) 233 53 45, e-mail: [email protected]
Pušaloto melioracijos statinių naudotojų asociacija	Association	11-12-2009 Pasvalys district municipality	302465563	Pasvalio r. sav. Diliauskų k. Diliauskų g. 23	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

Grūduvos melioracija	Association	23-11-2010, State Registrar	302567116	Mokyklos st. 2, Gotlybiškės, Šakiai distr.	e-mail: [email protected] (8~5) 233 53 40;
Skėmių melioracijos statinių naudotojų asociacija	Association	22-10-2013, State Registrar	303170256	Vilniaus m. sav. Vilniaus m. Smolensko g. 10	fax: (8~5) 233 53 45, e-mail: [email protected] (8~5) 233 53 40;
Melioracijos sistemų naudotojų asociacijos "Nausodė"	Association	22-10-2013, State Registrar	304219592	Vilniaus m. sav. Vilniaus m. Konstitucijos pr. 21C	fax: (8~5) 233 53 45, e-mail: [email protected] (8~5) 233 53 40;
Vaitiekūnų melioracijos statinių naudotojų	Association	22-10-2013, State Registrar	303170306	Vilniaus m. sav. Vilniaus m. Smolensko g. 10	fax: (8~5) 233 53 45, e-mail: [email protected] (8~5) 233 53 40;
asociacija UAB Traktorių nuomos centras	Joint stock company	16-07-2012, State Registrar	302820808	Jonavos r. sav. Bukonių k. Lankesos g. 1	fax: (8~5) 233 53 45, e-mail: [email protected] (8~5) 233 53 40;
UAB Traktorių nuomos paslaugos	Joint stock company	16-07-2012, State Registrar	302820797	Jonavos r. sav. Bukonių k. Lankesos g. 1	fax: (8~5) 233 53 45, e-mail: [email protected] (8~5) 233 53 40;
UAB Arnega	Joint stock company	13-08-2011, State Registrar	302661957	Jonavos r. sav. Bukonių k. Lankesos g. 1	fax: (8~5) 233 53 45, e-mail: [email protected] (8~5) 233 53 40; fax: (8~5) 233 53 45,
UAB AUGA Ramučiai	Joint stock company	05-09-2012, State Registrar	302854479	Šiaulių r. sav. Poviliškių k.	e-mail: [email protected] (8~5) 233 53 40; fax: (8~5) 233 53 45,
UAB AUGA Luganta	Joint stock company	05-09-2012, State Registrar	300045023	Kelmės r. sav. Pašiaušės k.	e-mail: [email protected] (8~5) 233 53 40; fax: (8~5) 233 53 45,
UAB ŽVF projektai	Joint stock company	27-12-2012, State Registrar	300137062	Jonavos r. sav. Bukonių k. Lankesos g. 1	e-mail: [email protected] (8~5) 233 53 40; fax: (8~5) 233 53 45,
UAB Bukonių ekologinis ūkis	Joint stock company	23-08-2012, State Registrar	302846621	Vilniaus m. sav. Vilniaus m. Konstitucijos pr. 21C	e-mail: [email protected] (8~5) 233 53 40; fax: (8~5) 233 53 45,
ŽŪB Želsvelės ekologinis ūkis	Agricultural entity	09-06-2014, State Registrar	303325856	Marijampolės sav. Želsvos k. Želsvelės g. 1	e-mail: [email protected] (8~5) 233 53 40; fax: (8~5) 233 53 45,
ŽŪB Smilgių ekologinis ūkis	Agricultural entity	09-06-2014, State Registrar	303325824	Panevėžio r. sav. Smilgių mstl. Panevėžio g. 23-1	e-mail: [email protected] (8~5) 233 53 40; fax: (8~5) 233 53 45,
ŽŪB Skėmių ekologinis ūkis	Agricultural entity	09-06-2014, State Registrar	303325692	Radviliškio r. sav. Skėmių k. Kėdainių g. 13	e-mail: [email protected] (8~5) 233 53 40; fax: (8~5) 233 53 45,
ŽŪB Mantviliškio ekologinis ūkis	Agricultural entity	09-06-2014, State Registrar	303325703	Kėdainių r. sav. Mantviliškio k. Liepos 6-osios g. 60	e-mail: [email protected] (8~5) 233 53 40; fax: (8~5) 233 53 45,
					e-mail: [email protected]

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

ŽŪB Spindulio ekologinis ūkis	Agricultural entity	09-06-2014, State Registrar	303325817	Radviliškio r. sav. Vaitiekūnų k. Spindulio g. 13-2	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Lankesos ekologinis	Agricultural	09-06-2014, State	303325710	Jonavos r. sav. Bukonių k.	(8~5) 233 53 40;
ūkis	entity	Registrar		Lankesos g. 1
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Dumšiškių	Agricultural	09-06-2014, State	303324722	Raseinių r. sav. Paraseinio k.	(8~5) 233 53 40;
ekologinis ūkis	entity	Registrar		Paraseinio g. 2	fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Kairėnų ekologinis	Agricultural	09-06-2014, State	303325774	Radviliškio r. sav. Vaitiekūnų	(8~5) 233 53 40;
ūkis	entity	Registrar		k. Spindulio g. 13-2
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Žadžiūnų ekologinis	Agricultural	09-06-2014, State	303325870	Šiaulių r. sav. Žadžiūnų k.	(8~5) 233 53 40;
ūkis	entity	Registrar		Gudelių g. 30-2
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Vėriškių ekologinis ūkis	Agricultural entity	09-06-2014, State Registrar	303325849	Radviliškio r. sav. Skėmių k. Kėdainių g. 13	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Nausodės	Agricultural	09-06-2014, State	303325781	Anykščių r. sav. Nausodės k.	(8~5) 233 53 40;
ekologinis ūkis	entity	Registrar		Nausodės g. 55
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Jurbarkų ekologinis	Agricultural	09-06-2014, State	303325361	Jurbarko r. sav. Klišių k.	(8~5) 233 53 40;
ūkis	entity	Registrar		Vytauto Didžiojo g. 99
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Eimučių ekologinis ūkis	Agricultural entity	09-06-2014, State Registrar	303324715	Šiaulių r. sav. Žadžiūnų k. Gudelių g. 30-2	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Alantos ekologinis	Agricultural	09-06-2014, State	303324747	Molėtų r. sav. Kazlų k.	(8~5) 233 53 40;
ūkis	entity	Registrar		Skiemonių g. 2A
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
ŽŪB Grūduvos ekologinis	Agricultural	09-06-2014, State	303324804	Šakių r. sav. Gotlybiškių k.	(8~5) 233 53 40;
ūkis	entity	Registrar		Mokyklos g. 2
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB eTime invest	Joint stock company	09-06-2014, State Registrar	300578676	Vilniaus m. sav. Vilniaus m. Saltoniškių g. 29	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
OOO Karakash Agro	Joint stock	09-09-2010,	37171461	Adalet st. 18, Chechova,	(8~5) 233 53 40;
	company	Ukraine		Razdolnenskiy distr., Krym
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
OOO Karakash	Joint stock	09-09-2010,	32140884	Adalet st. 18, Chechova,	(8~5) 233 53 40;
	company	Ukraine		Razdolnenskiy distr., Krym
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
AgroSchool OU	Joint stock company	15-07-2013, Estonia	12491954	Lai 32-8 Tallinn 10133, Republic of Estonia	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
Public institution	Public	22-07-2013, State	303104797	Vilniaus m. sav. Vilniaus m.	(8~5) 233 53 40;
AgroSchool	institution	Registrar		Smolensko g. 10
					fax: (8~5) 233 53 45,
					e-mail: [email protected]

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

Turvaste partners OU	Private limited company	02-05-2014, Estonia	12655410	Lai 32-8 Tallinn 10133, Republic of Estonia	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
Nakamaa Agro OU	Private limited company	02-05-2014, Estonia	12655522	Lai 32-8 Tallinn 10133, Republic of Estonia	e-mail: [email protected] (8~5) 233 53 40;
					fax: (8~5) 233 53 45,
Hindaste Invest OU	Private limited	24-04-2014,	12655384	Lai 32-8 Tallinn 10133,	e-mail: [email protected] (8~5) 233 53 40;
	company	Estonia		Republic of Estonia
					fax: (8~5) 233 53 45, e-mail: [email protected]
Tuudi River OU	Private limited	02-05-2014,	12655384	Lai 32-8 Tallinn 10133,	(8~5) 233 53 40;
	company	Estonia		Republic of Estonia	fax: (8~5) 233 53 45,
					e-mail: [email protected]
Palderma Partners OU	Private limited company	02-05-2014, Estonia	12654959	Lai 32-8 Tallinn 10133, Republic of Estonia	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
Ave-Martna Capital OU	Private limited	02-05-2014,	12655155	Lai 32-8 Tallinn 10133,	e-mail: [email protected] (8~5) 233 53 40;
	company	Estonia		Republic of Estonia
					fax: (8~5) 233 53 45, e-mail: [email protected]
Hobring Invest OU	Private limited	02-05-2014,	12655427	Lai 32-8 Tallinn 10133,	(8~5) 233 53 40;
	company	Estonia		Republic of Estonia	fax: (8~5) 233 53 45,
					e-mail: [email protected]
Rukkirahhu Capital OU	Private limited company	02-05-2014, Estonia	12655232	Lai 32-8 Tallinn 10133, Republic of Estonia	(8~5) 233 53 40;
					fax: (8~5) 233 53 45, e-mail: [email protected]
Pahasoo OU	Private limited	02-05-2014,	12655367	Lai 32-8 Tallinn 10133,	(8~5) 233 53 40;
	company	Estonia		Republic of Estonia	fax: (8~5) 233 53 45,
					e-mail: [email protected]
KB Ganiklis	Cooperative entity	20-10-2014, State Registrar	303429417	Radviliškio r. sav. Skėmių k. Alyvų g. 1-3	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
KB Ganiavos gėrybės	Cooperative	20-10-2014, State	303429431	Radviliškio r. sav. Skėmių k.	e-mail: [email protected] (8~5) 233 53 40;
	entity	Registrar		Alyvų g. 1-3
					fax: (8~5) 233 53 45, e-mail: [email protected]
KB Žemėpačio pieno ūkis	Cooperative entity	22-10-2014, State Registrar	303432388	Radviliškio r. sav. Skėmių k. Alyvų g. 1-3	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
KB Žemynos pienelis	Cooperative	17-10-2014, State	303427989	Radviliškio r. sav. Skėmių k.	e-mail: [email protected] (8~5) 233 53 40;
	entity	Registrar		Alyvų g. 1-3
					fax: (8~5) 233 53 45, e-mail: [email protected]
KB Lygiadienio ūkis	Cooperative	17-10-2014, State	303428087	Radviliškio r. sav. Skėmių k.	(8~5) 233 53 40;
	entity	Registrar		Alyvų g. 1-3	fax: (8~5) 233 53 45,
					e-mail: [email protected]
KB Laumės pieno ūkis	Cooperative entity	17-10-2014, State Registrar	303427996	Radviliškio r. sav. Skėmių k. Alyvų g. 1-3	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
KB Medeinos pienas	Cooperative	17-10-2014, State	303428112	Radviliškio r. sav. Skėmių k.	e-mail: [email protected] (8~5) 233 53 40;
	entity	Registrar		Alyvų g. 1-3
					fax: (8~5) 233 53 45, e-mail: [email protected]

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

KB Gardaitis	Cooperative	20-10-2014, State	303429381	Radviliškio r. sav. Skėmių k.	(8~5) 233 53 40;
	entity	Registrar		Alyvų g. 1-3
					fax: (8~5) 233 53 45, e-mail: [email protected]
KB Dimstipatis	Cooperative	20-10-2014, State	303429424	Radviliškio r. sav. Skėmių k.	(8~5) 233 53 40;
	entity	Registrar		Alyvų g. 1-3	fax: (8~5) 233 53 45,
					e-mail: [email protected]
KB Aušlavis	Cooperative entity	20-10-2014, State Registrar	303429456	Radviliškio r. sav. Skėmių k. Alyvų g. 1-3	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
KB Austėjos pieno ūkis	Cooperative entity	17-10-2014, State Registrar	303428094	Radviliškio r. sav. Skėmių k. Alyvų g. 1-3	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
KB Aitvaro ūkis	Cooperative	20-10-2014, State	303429374	Radviliškio r. sav. Skėmių k.	e-mail: [email protected] (8~5) 233 53 40;
	entity	Registrar		Alyvų g. 1-3
					fax: (8~5) 233 53 45, e-mail: [email protected]
KB Giraičio pieno ūkis	Cooperative	20-10-2014, State	303429399	Radviliškio r. sav. Skėmių k.	(8~5) 233 53 40;
	entity	Registrar		Alyvų g. 1-3
					fax: (8~5) 233 53 45, e-mail: [email protected]
Fentus 10, GmbH	Private limited	02-05-2014,	HRB106477	Torstrasse 138, Berlin, DE-10119,	(8~5) 233 53 40;
	company	Germany		Germany	fax: (8~5) 233 53 45,
					e-mail: [email protected]
Norus , AG	Private limited company	02-05-2014, Germany	HRB109356B	Torstrasse 138, Berlin, DE-10119, Germany	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
LT Holding AG	Private limited company	02-05-2014, Germany	HRB109265B	Torstrasse 138, Berlin, DE-10119, Germany	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
,,KTG Agrar" UAB	Private limited	20-10-2014, State	300127919	Maironio g. 3, Raseiniai	e-mail: [email protected] (8~5) 233 53 40;
	company	Registrar
					fax: (8~5) 233 53 45, e-mail: [email protected]
UAB ,,Agrar Raseiniai"	Private limited	20-10-2014, State	300610316	Maironio g. 3, Raseiniai	(8~5) 233 53 40;
	company	Registrar
					fax: (8~5) 233 53 45, e-mail: [email protected]
UAB ,,Agrar Mažeikiai"	Private limited	20-10-2014, State	300610348	Dvaro g.30, Gėluvos k., Ariogalos	(8~5) 233 53 40;
	company	Registrar		sen., Raseinių r.	fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,PAE Agrar"	Private limited company	20-10-2014, State Registrar	300867691	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Delta Agrar"	Private limited company	20-10-2014, State Registrar	300868875	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,KTG Grūdai"	Private limited company	20-10-2014, State Registrar	302637486	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
UAB ,,KTG Eko Agrar"	Private limited	20-10-2014, State	300510650	Maironio g. 3, Raseiniai	e-mail: [email protected] (8~5) 233 53 40;
	company	Registrar
					fax: (8~5) 233 53 45, e-mail: [email protected]

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

UAB ,,Agronita"	Private limited company	20-10-2014, State Registrar	300132574	Maironio g. 3, Raseiniai	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agronuoma"	Private limited	20-10-2014, State	303204954	Dvaro g.30, Gėluvos k., Ariogalos	(8~5) 233 53 40;
	company	Registrar		sen., Raseinių r.	fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,VL Investment	Private limited	20-10-2014, State	303205611	Dvaro g.30, Gėluvos k., Ariogalos	(8~5) 233 53 40;
Vilnius 12"	company	Registrar		sen., Raseinių r.
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Ašva"	Private limited company	20-10-2014, State Registrar	301608542	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Varduva"	Private limited	20-10-2014, State	301608791	Dvaro g.30, Gėluvos k., Ariogalos	(8~5) 233 53 40;
	company	Registrar		sen., Raseinių r.
					fax: (8~5) 233 53 45, e-mail: [email protected]
UAB ,,Agrar Seda"	Private limited	20-10-2014, State	301608777	Dvaro g.30, Gėluvos k., Ariogalos	(8~5) 233 53 40;
	company	Registrar		sen., Raseinių r.
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Kvistė"	Private limited company	20-10-2014, State Registrar	302308067	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Luoba"	Private limited	20-10-2014, State	302308035	Dvaro g.30, Gėluvos k., Ariogalos	(8~5) 233 53 40;
	company	Registrar		sen., Raseinių r.
					fax: (8~5) 233 53 45,
			302594412	Dvaro g.30, Gėluvos k., Ariogalos	e-mail: [email protected]
UAB ,,Agrar Gaja"	Private limited company	20-10-2014, State Registrar		sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Ariogala"	Private limited	20-10-2014, State	301626540	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
	company	Registrar			fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Girdžiai"	Private limited	20-10-2014, State	301621568	Dvaro g.30, Gėluvos k., Ariogalos	(8~5) 233 53 40;
	company	Registrar		sen., Raseinių r.
					fax: (8~5) 233 53 45,
			301622531	Dvaro g.30, Gėluvos k., Ariogalos	e-mail: [email protected]
UAB ,,Agrar Vidauja"	Private limited company	20-10-2014, State Registrar		sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,, Agrar Raudonė"	Private limited	20-10-2014, State	302309532	Dvaro g.30, Gėluvos k., Ariogalos	(8~5) 233 53 40;
	company	Registrar		sen., Raseinių r.	fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Venta"	Private limited	20-10-2014, State	302307855	Dvaro g.30, Gėluvos k., Ariogalos	(8~5) 233 53 40;
	company	Registrar		sen., Raseinių r.
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Nerys"	Private limited company	20-10-2014, State Registrar	302594063	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Gėluva"	Private limited	20-10-2014, State	302312133	Dvaro g.30, Gėluvos k., Ariogalos	(8~5) 233 53 40;
	company	Registrar		sen., Raseinių r.	fax: (8~5) 233 53 45,
					e-mail: [email protected]

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

UAB ,,Agrar Betygala"	Private limited company	20-10-2014, State Registrar	302312222	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45, e-mail: [email protected]
UAB ,,Agrar Dubysa"	Private limited company	20-10-2014, State Registrar	302312215	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Pauliai"	Private limited company	20-10-2014, State Registrar	302312165	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]
UAB ,,Agrar Mituva"	Private limited company	20-10-2014, State Registrar	302312172	Dvaro g.30, Gėluvos k., Ariogalos sen., Raseinių r.	(8~5) 233 53 40;
					fax: (8~5) 233 53 45,
					e-mail: [email protected]

Information on where and when the Report and the documents, on which the Report is based, are publicly available and the name of the mass media means

The report is available during working days from 8.30 to 17.30 at the headquarters of Auga Group AB at the adress: Konstitucijos av. 21C, Quadrum office, Vilnius, or at the Company's internet website: www.auga.lt. The announcements of the Company, including the information and other documents related to the Annual General meeting, also the information and other documents related to liquidation or reorganisation of the Company, minutes of the shareholder and Board meetings, other announcements and documents, which according to the law of Republic of Lithuania, the Statutes of the Company and the decisions of the Management have to be announced publicly are announced in the state registrar electronic bulletin or delivered to each shareholder and other person personally – either by registered mail, or by signed delivery. Announcements of the Company are placed on the NASDAQ OMX Vilnius Stock exchange information system and on the ESPI information system which is operated by Polish FSA, as well as on Electronic Information Base which is operated by Warsaw Stock Exchange.

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

II. INFORMATION ABOUT THE LARGEST SHAREHOLDERS AND ISSUERS MANAGEMENT

Share capital

The share capital of AUGA Group AB as at 31 December 2017 was EUR 54,350,713.08. The share capital was divided into 187,416,252 ordinary shares. Each issued share has a EUR 0.29 nominal value and fully paid.

Shareholders

Total number of shareholders as at 31 December 2017 was 915 (nine hundred fifteen). The shareholders owning more than 5 per cent of all the company shares:

Name, surname / name of the company	Company / personal code	Address	Votes held by shareholder	Shares held by shareholder
UAB "Baltic Champs Group"	145798333	Poviliškių km., Šiaulių raj. sav.	165,167,939	88.13%
Multi Asset Selection Fund	I015	Antano Tumėno g. 4-B, Vilnius	10,920,736	5.83%

The sales of the Issuer's securities on exchanges and other organized markets

Over the accounting period, the Companies shares were traded on the NASDAQ OMX Vilnius (hereinafter – OMX Vilnius).

		Price, EUR			Total turnover
Reporting period	max	min	Last session	Date of last session	Units	EUR, million
2017 I quarter	0.490	0.431	0.470	2017.03.31	365.499	0.168
2017 II quarter	0.460	0.300	0.410	2017.06.30	311.059	0.132
2017 III quarter	0.432	0.376	0.425	2017.09.30	1.000.308	0.406
2017 IV quarter	0.575	0.421	0.548	2017.12.31	1.813.003	0.927

Agreements with the mediators of securities public circulation

The Company and FMĮ Orion Securities UAB (A. Tumėno st. 4, B korpusas, LT-01109, Vilnius) signed an agreement regarding handling of Shareholders accounts.

Procedure for amendments of the Articles of Association

The Articles of Association can be changed following Lithuanian Republic law on Stock companies with an appropriate approval of the Companies' shareholders.

INTERIM REPORT

(All amounts are in EUR thousand, unless otherwise stated)

Members of the managing bodies

The managing bodies of the company are general meeting of the shareholders, the Supervisory Council, the Board of Directors and Managing Director. The Supervisory Council (consisting of 3 members) is elected by the shareholder meeting. The Board of directors is formed from 5 members. The chairman is elected by the Board. The Board members are elected by the Supervisory Council. The Board of Directors elects and recalls the Director, decide upon remuneration and other working conditions, approves official rulebook, awards and handles penalties. The General director is the manager of the Company.

Information of Supervisory Board of the Company as at 31 December 2017:

		End of current term	Period of service
Name, Surname	Position	of office	as a member

	Chairman of	Until general meeting of	Chairman of Supervisory
Vladas Lašas	Supervisory Board	shareholders to be held in 2019	Board since 14-05-2015
	Member of	Until general meeting of	Member of Supervisory
Liudas Navickas	Supervisory Board	shareholders to be held in 2019	Board since 13-03-2014
	Member of	Until general meeting of	Member of Supervisory
Rimantas Rudzkis	Supervisory Board	shareholders to be held in 2019	Board since 13-03-2014

Information of Audit Committee of the Company as at 31 December 2017:

		End of current term	Period of service
Name, Surname	Position	of office	as a member

Liudas Navickas	Chairman of Audit Committee	Until 06-02-2019	Chairman of Audit Committee since 17-02- 2017
Vladas Lašas	Member of Audit Committee	Until 06-02-2019	Member of Audit Committee since 17-02-2017
Rimantas Rudzkis	Member of Audit Committee	Until 06-02-2019	Member of Audit Committee since 17-02-2017

The main functions of the Audit Committee are to monitor the process of preparing the Company's financial statements, monitor the audit process, analyze the effectiveness of internal audit and risk management systems.

Information of the Board of the Company as at 31 December 2017:

		End of current term	Period of service
Name, Surname	Position	of office	as a member

Kęstutis Juščius	Chairman of Board	Until general meeting of shareholders to be held in 2019	Chairman of Board since 14-05-2015
			Member of Board since 08-05-2014
	Member of Board,	Until general meeting of	General director since
Linas Bulzgys	General director	shareholders to be held in 2019	05-05-2015
Marijus Bakas	Member of Board	Until general meeting of shareholders to be held in 2019	Member of Board since 08-05-2014
Linas Strėlis	Member of Board	Until general meeting of shareholders to be held in 2019	Member of Board since 14-12-2007
Agnė Jonaitytė	Member of Board	Until general meeting of shareholders to be held in 2019	Member of Board since 07-02-2017

Information on the shares of the Company held by the members of the Supervisory Board, Audit Committee, the Board and the top management as of 31 December 2017:

Name, Surname	Position	Owned shares in the Company, units	Owned shares in the Company, %
Kęstutis Juščius	Chairman of the Board		1,392 0.00%
Marijus Bakas	Member of Board		39,062 0.02%

Kęstutis Juščius, Chairman of the Board, is the ultimate shareholder of Baltic Champs Group, UAB , controlling 88.13% of the Group shares.

(All amounts are in EUR thousand, unless otherwise stated)

III. FINANCIAL INFORMATION

CONSOLIDATED INCOME STATEMENT

		12 month period ended 31 December		3 month period ended 31 December
	2017 Unaudited	2016 Audited	2017 Unaudited	2016 Unaudited
Revenues Cost of sales Gain (loss) on changes in fair values of biological assets and on recognition at fair value of agricultural produce at point of	48,784 (38,012)	39,630 (27,985)	12,199 (9,897)	11,560 (6,452)
harvest	4,477	(868)	(1,915)	(1,140)
GROSS PROFIT	15,249	10,777	387	3,968
Operating expenses Revaluation of investment property	(8,989)	(7,014)	(2,092) -	(1,814) (435)
Other income	306	127	(121)	(137)
OPERATING PROFIT	6,566	3,890	(1,826)	2,017
Finance cost	(1,908)	(2,098)	(776)	(563)
PROFIT (LOSS) BEFORE INCOME TAX	4,658	1,792	(2,602)	1,454
Income tax expense	83	353	5	342
NET PROFIT / (LOSS) FOR THE YEAR	4,741	2,145	(2,597)	1,796
ATTRIBUTABLE TO: Equity holders of the Company Non-controlling interest	4,652 89	2,173 (28)	(2,667) 70	1,361 -
	4,741	2,145	(2,597)	1,361
STATEMENT OF OTHER COMPREHENSIVE INCOME
NET PROFIT/ (LOSS) FOR THE PERIOD	4,741	2,145	(2,597)	1,361
Other comprehensive income: Items that will not be reclassified to profit or loss:
Currency exchange differences Revaluation of land, gross of tax Deferred tax liability from revaluation	52 4,808 (240)	49 962 (48)	52 4,808 (240)	49 962 (48)
TOTAL COMPREHENSIVE INCOME FOR THE YEAR	9,361	3,108	2,023	2,324
ATTRIBUTABLE TO: Equity holders of the Company Non-controlling interest	9,272 89	3,136 (28)	1,953 70	2,324 -
	9,361	3,108	2,023	2,324

(All amounts are in EUR thousand, unless otherwise stated)

CONSOLIDATED BALANCE SHEET

	12 months ended 2017 December 31	12 months ended 2016 December 31
ASSETS	unaudited	audited
Non-current assets Property, plant and equipment Investment property	87,345 -	76,262 -
Intangible assets	871	19
Long term receivables	3,497	2,599
Investments in subsidiaries	686	286
Deferred tax asset	683	669
Biological assets	8,029	6,858
Total non-current assets	101,111	86,693
Current assets Biological assets	11,447	5,223
Inventory	26,369	15,157
Trade receivables, advance payments and other
receivables	11,560	13,367
Cash and cash equivalents	623	1,650
Total current assets	49,999	35,397
TOTAL ASSETS	151,110	122,090
EQUITY AND LIABILITIES Capital and reserves
Share capital	54,351	54,351
Share premium	738	7,890
Revaluation reserve	8,839	4,179
Legal reserve	579	579
Currency exchange differences	(165)	(217)
Retained earnings / (accumulated deficit)	16,967	5,163
Equity attributable to equity holders of the parent	81,309	71,945
Non-controlling interest	382	293
Total equity	81,691	72,238
Non-current liabilities Borrowings	15,655	16,938
Obligations under finance lease	7,319	3,427
Deferred grant income	2,708	3,286
Deferred tax liability	811	433
Total non-current liabilities	26,493	24,084
Current liabilities
Current portion of non-current borrowings Current portion of non-current obligations under	4,445	3,585
finance lease	2,503	2,690
Current portion deferred grant income	550	566
Current borrowings	13,633	5,350
Trade payables	15,494	8,796
Other payables and current liabilities Total current liabilities	6,301 42,926	4,781 25,768
Total liabilities	69,419	49,852
TOTAL EQUITY AND LIABILITIES	151,110	122,090

(All amounts are in EUR thousand, unless otherwise stated)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

							Equity
				Currency			attributable to	Non
	Share	Share	Revaluatio	exchange	Legal	Retained	the shareholders	controlling
	capital	premium	n reserve	differences	reserve	earnings	of the company	interest	Total
Audited balance as at
31 December 2015	54,351	7,890	7,689	(266)	579	(1,434)	68,809	321	69,130
Comprehensive income
Net profit (loss) for the period	-	-	-	-	-	2,173	2,173	(28)	2,145
Other comprehensive income	-	-	-	-	-	-	-	-	-
Disposal of subsidiaries	-	-	(4,424)	-	-	4,424	-	-	-
Revaluation of land, net of tax			914	-	-	-	914	-	914
Currency exchange differences	-	-	-	49	-	-	49	-	49
Total comprehensive income	-	-	(3,510)	49	-	6,597	3,136	(28)	3,108
Transactions with shareholders
Increase in share capital	-	-	-	-	-	-	-	-	-
Total transactions with
shareholders	-	-	-	-	-	-	-	-	-
Balance as at
31 December 2016	54,351	7,890	4,179	(217)	579	5,163	71,945	293	72,238

							Equity
				Currency			attributable to	Non
	Share	Share	Revaluatio	exchange	Legal	Retained	the shareholders	controlling
	capital	premium	n reserve	differences	reserve	earnings	of the company	interest	Total
Audited balance as at
31 December 2016	54,351	7,890	4 179	(217)	579	5,163	71,945	293	72,238
Comprehensive income
Net profit (loss) for the period	-	-	-	-	-	4,652	4,652	89	4,741
Coverage of losses with share
premium	-	(7,152)	-	-	-	7,152	-	-	-
Other comprehensive income
Revaluation of land, net of tax	-	-	4,660	-	-	-	4,660	-	4,660
Currency exchange differences	-	-	-	52	-	-	52	-	52
Total comprehensive income		- (7,152)	4,660	52	-	11,804	9,364	89	9,453
Transactions with shareholders
Increase in share capital	-	-	-	-	-	-	-	-	-
Total transactions with
shareholders	-	-	-	-	-	-	-	-	-
Balance as at
31 December 2017	54,351	738	8,839	(165)	579	16,967	81,309	382	81,691

(All amounts are in EUR thousand, unless otherwise stated)

CONSOLIDATED STATEMENT OF CASHFLOWS

Unaudited Audited 4,741 1,792 Net profit (loss) before income tax Adjustments for non-cash expenses (income) items and other adjustments 6,804 6,058 Depreciation expense - 50 Amortization expense - 559 Write offs and impairment of PPE (164) 227 (Profit) loss on sales of non-current assets - - (Gain) on sale of investment property - - Negative goodwill 1,102 1,266 Write-offs of inventory 1,908 2,098 Net finance cost - (184) Acquired own liabilities at discount - - (Profit) loss on sale of investments 83 - Negative revaluation of land (net of tax) - - Impairment of investments - 10 Impairment of accounts receivable (4,477) 868 Loss (gain) on changes in fair value of biological assets (392) (663) Grants related to assets, recognized as income Changes in working capital (2,004) (2,245) (Increase) decrease in biological assets 6,013 (1,289) (Increase) decrease in trade receivables and prepayments (11,273) (7,567) (Increase) decrease in inventory 3,649 1,723 (Decrease) increase in trade and other payables 5,991 2,703 - - Income tax paid - 48 Interest received, gross (1,908) (1,945) Interest paid, gross 4,083 806 Net cash flows from /(to) operating activities Cash flows from /(to) investing activities (9,027) (4,329) Purchase of property, plant and equipment (198) (14) Purchase of non-current intangible assets (478) - Purchase of Investments (KTG Group) (887) - Purchase of accounts receivables (KTG Group) 44 - Cash acquired with subsidiaries - - Purchase of investment property, investments 503 488 Proceeds from sales of investment property, PPE - 6,165 Proceeds from sales of investments (257) - Grants related to assets, received from NPA (880) (898) Loans repaid (granted) (11,199) 1,430 Net cash flows from/(to) investing activities Cash flows from /(to) financing activities - - Disposal (acquisition) of available for sale investments (7,381) (19,101) Loans repaid to banks 12,130 17,352 Loans received from banks (1,399) (851) Other borrowings obtained (paid) 2,740 (2,054) Finance lease obtained (repaid) 6,090 (4,654) Net cash flows from/(to) financing activities (1,027) (2,418) Net (decrease) / increase in cash and cash equivalents 1,650 4,068 Cash and cash equivalents at the beginning of the period 623 1,650 Cash and cash equivalents at the end of the period	12 months period ended 31 December
	2017	2016

(All amounts are in EUR thousand, unless otherwise stated)

Comments to the Financial Information

General information

Auga Group AB (hereinafter – "the Company") was founded and started its operations on 25 June 2003. The Company's head office is located in Konstitucijos av. 21C, Quadrum North, Vilnius, Lithuania.

In 2003 the Company's legal name Galuvė UAB was changed to Agrovaldymo grupė UAB. In February 2006, limited liability company Agrovaldymo grupė was reorganized to a public company Agrovaldymo grupė AB. In December 2007 the Company's name was changed to Agrowill Group AB.

In October, 2016 the Company's legal name Agrowill Group AB was changed to Auga Group AB.

In April 2014, AUGA Group AB group of companies were acquired by Baltic Champs Group UAB. Based on the requirements outlined in International Financial Reporting Standard 3 "Business Combinations" (IFRS 3) such transaction is treated and accounted for as a reverse acquisition, as former shareholders of BC obtained control of more than 50% of AUGA Group AB shares and received the majority of seats in the Board of Directors. For accounting purposes, the legal buyer AUGA Group AB is treated as an accounting acquiree, while legal acquiree Baltic Champs UAB is treated as an accounting acquirer. The new AUGA Group AB group of companies, hereinafter in the financial statements is referred to as the Group.

Due to this reverse acquisition transaction, the consolidated figures for the reporting period represent the Group's financial information, being those of Baltic Champs UAB (accounting acquirer) and its subsidiaries financial statements, although the legal name continues to be that of AUGA Group AB.

The Company's shareholders' meeting has the power to reject and request the management to reissue financial statements after issue. Starting since 1 April 2008 the Company was listed on Vilnius Stock Exchange Main list, since 30 April 2009, the Company was moved to the Secondary list of NASDAQ OMX Vilnius Stock Exchange. As of 8 July 2011, the Company's shares are also traded on the Warsaw Stock Exchange. The fiscal year of the Company and its subsidiaries corresponds with calendar year.

Group main activities are organic agriculture (crop and vegetable growing), diary cow husbandry, mushroom growing and end user products production. The Group consists of the Company and one hundred thirty three subsidiaries. The subsidiaries included in the Group's consolidated financial statements are indicated below:

			Group ownership interest, %
Subsidiary	Country	31 Dec 2017	31 Dec 2016	Activity
UAB Baltic Champs	Lithuania	100.00%	100.00%	Agricultural operations
AVG Investment UAB	Lithuania	100.00%	100.00%	Management company
AWG Investment 1 UAB	Lithuania	100.00%	100.00%	Management company
AWG Investment 2 UAB	Lithuania	100.00%	100.00%	Management company
UAB Agross	Lithuania	100.00%	100.00%	Trade and logistics
Grain Lt UAB	Lithuania	100.00%	100.00%	Trade and logistics
Ars ingenii, UAB*	Lithuania	100.00%	100.00%	Trade and logistics
Agro GIS UAB	Lithuania	95.00%	95.00%	Food products, agriculture
Agro Management Team UAB	Lithuania	100.00%	100.00%	Land management company
Agrotechnikos centras UAB	Lithuania	100.00%	100.00%	Lease of machinery
AUGA trade, UAB	Lithuania	100.00%	100.00%	Trade activities
Žemės fondas ŽŪB	Lithuania	100.00%	100.00%	Rent of land
UAB Žemės vystymo fondas 6	Lithuania	100.00%	100.00%	Land purchase and rent
UAB Žemės vystymo fondas 9	Lithuania	100.00%	100.00%	Land purchase and rent
UAB Žemės vystymo fondas 10	Lithuania	100.00%	100.00%	Land purchase and rent
UAB Žemės vystymo fondas 20	Lithuania	100.00%	100.00%	Land purchase and rent
Grūduva UAB	Lithuania	97.41%	97.41%	Agricultural operations
Agricultural company AUGA Spindulys	Lithuania	99.96%	99.96%	Agricultural operations
Agricultural company AUGA Smilgiai	Lithuania	99.95%	99.95%	Agricultural operations
Agricultural company AUGA Skėmiai	Lithuania	99.87%	99.87%	Agricultural operations
Agricultural company AUGA Nausodė	Lithuania	99.94%	99.94%	Agricultural operations
Agricultural company AUGA Dumšiškės	Lithuania	99.38%	99.38%	Agricultural operations
Agricultural company AUGA Žadžiūnai	Lithuania	99.81%	99.81%	Agricultural operations
Agricultural company AUGA Mantviliškis	Lithuania	98.79%	98.79%	Agricultural operations
Agricultural company AUGA Alanta	Lithuania	99.99%	99.99%	Agricultural operations
Agricultural company AUGA Eimučiai	Lithuania	99.25%	99.25%	Agricultural operations
Agricultural company AUGA Vėriškės	Lithuania	99.93%	99.93%	Agricultural operations
Agricultural company AUGA Želsvelė	Lithuania	97.17%	97.17%	Agricultural operations

(All amounts are in EUR thousand, unless otherwise stated)

Agricultural company AUGA Lankesa	Lithuania	96.24%	96.24%	Agricultural operations
Agricultural company AUGA Kairėnai	Lithuania	98.47%	98.47%	Agricultural operations
Agricultural company AUGA Jurbarkai	Lithuania	98.52%	98.52%	Agricultural operations

Panevėžys region Agricultural company
Gustoniai	Lithuania	99.00%	99.00%	Agricultural operations
ZAO Agroprom	Russia	0.00%	75.00%	Management of subsidiaries
Natur Agro Grup S.R.L.	Moldova	0.00%	100.00%	Acquisitions and rent of land
Cooperative entity Siesartis	Lithuania	100.00%	100.00%	Agricultural services

Cooperative entity Kašėta	Lithuania	100.00%	100.00%	Agricultural services
Agricultural company Gustonys	Lithuania	100.00%	100.00%	Rent of land
Agricultural company Skėmių pienininkystės
centras	Lithuania	50.00%	50.00%	Agricultural services
Cooperative entity Agrobokštai	Lithuania	100.00%	100.00%	Agricultural services

Cooperative entity Dotnuvėlės valdos	Lithuania	100.00%	100.00%	Agricultural services
Cooperative entity Nevėžio lankos	Lithuania	100.00%	100.00%	Agricultural services
Cooperative entity Radviliškio kraštas	Lithuania	100.00%	100.00%	Agricultural services
Cooperative entity Šventosios pievos	Lithuania	100.00%	100.00%	Agricultural services
Cooperative entity Kairių ūkis	Lithuania	100.00%	100.00%	Agricultural services

Cooperative entity Šiaurinė valda	Lithuania	100.00%	100.00%	Agricultural services
Cooperative entity Šušvės žemė	Lithuania	100.00%	100.00%	Agricultural services
Cooperative company Žalmargėlis	Lithuania	100.00%	100.00%	Agricultural services
Cooperative company Juodmargėlis	Lithuania	100.00%	100.00%	Agricultural services
Cooperative company AgroMilk	Lithuania	100.00%	100.00%	Agricultural services

Cooperative company Purpurėja	Lithuania	100.00%	100.00%	Agricultural services
UAB Agrosaulė 8	Lithuania	100.00%	100.00%	Management company
Association Grūduvos melioracija	Lithuania	100.00%	100.00%	Agricultural services
Biržai distr., Rinkuškiai reclamation
infrastructure users association	Lithuania	100.00%	100.00%	Agricultural services

Pasvalys distr., Pušalotas reclamation
infrastructure users association	Lithuania	100.00%	100.00%	Agricultural services
Skėmiai reclamation infrastructure users
association	Lithuania	100.00%	100.00%	Agricultural services

Vaitiekūnai reclamation infrastructure users
association	Lithuania	100.00%	100.00%	Agricultural services
UAB Traktorių nuomos centras	Lithuania	100.00%	100.00%	Agricultural services
UAB Traktorių nuomos paslaugos	Lithuania	100.00%	100.00%	Agricultural services
Arnega UAB	Lithuania	100.00%	100.00%	Agricultural services

AgroSchool OU	Estonia	100.00%	100.00%	Management of subsidiaries
Public institution AgroSchool	Lithuania	50.00%	50.00%	Human resource management
UAB Agro Ramučiai	Lithuania	100.00%	100.00%	Agricultural operations
UAB Luganta	Lithuania	100.00%	100.00%	Agricultural operations
UAB eTime invest	Lithuania	100.00%	100.00%	Management of subsidiaries

Karakash Agro, OOO	Ukraine	100.00%	100.00%	Agricultural operations
Karakash, OOO	Ukraine	100.00%	100.00%	Agricultural operations
UAB ŽVF projektai	Lithuania	100.00%	100.00%	Acquisitions and rent of land
UAB Bukonių ekologinis ūkis	Lithuania	100.00%	100.00%	Management of subsidiaries
UAB Alantos ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations

UAB Dumšiškių ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Eimučių ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Grūduvos ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Jurbarkai ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Kairėnų ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations

UAB Lankesos ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Mantviliškio ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Nausodės ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Skėmių ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Smilgių ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations

UAB Spindulio ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Vėriškės ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Žadžiūnų ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
UAB Želsvelės ekologinis ūkis	Lithuania	100.00%	100.00%	Agricultural operations
Turvaste partners OU	Estonia	100.00%	100.00%	Management of subsidiaries

Nakamaa Agro OU	Estonia	100.00%	100.00%	Management of subsidiaries
Hindaste Invest OU	Estonia	100.00%	100.00%	Management of subsidiaries
Tuudi River OU	Estonia	100.00%	100.00%	Management of subsidiaries
Palderma Partners OU	Estonia	100.00%	100.00%	Management of subsidiaries
Ave-Martna Capital OU	Estonia	100.00%	100.00%	Management of subsidiaries

(All amounts are in EUR thousand, unless otherwise stated)

Hobring Invest OU	Estonia	100.00%	100.00%	Management of subsidiaries
Rukkirahhu Capital OU	Estonia	100.00%	100.00%	Management of subsidiaries
Pahasoo OU	Estonia	100.00%	100.00%	Management of subsidiaries
KB Ganiklis	Lithuania	100.00%	100.00%	Agricultural operations
KB Ganiavos gėrybės	Lithuania	100.00%	100.00%	Agricultural operations
KB Žemėpačio pieno ūkis	Lithuania	100.00%	100.00%	Agricultural operations
KB Žemynos pienelis	Lithuania	100.00%	100.00%	Agricultural operations
KB Lygiadienio ūkis	Lithuania	100.00%	100.00%	Agricultural operations
KB Laumės pieno ūkis	Lithuania	100.00%	100.00%	Agricultural operations
KB Medeinos pienas	Lithuania	100.00%	100.00%	Agricultural operations
KB Gardaitis	Lithuania	100.00%	100.00%	Agricultural operations
KB Dimstipatis	Lithuania	100.00%	100.00%	Agricultural operations
KB Aušlavis	Lithuania	100.00%	100.00%	Agricultural operations
KB Austėjos pieno ūkis	Lithuania	100.00%	100.00%	Agricultural operations
KB Aitvaro ūkis	Lithuania	100.00%	100.00%	Agricultural operations
KB Giraičio pieno ūkis	Lithuania	100.00%	100.00%	Agricultural operations
Fentus 10, GmbH	Germany	100.00%	0.00%	Management of subsidiaries
Norus , AG	Germany	100.00%	0.00%	Management of subsidiaries
LT Holding AG	Germany	100.00%	0.00%	Management of subsidiaries
,,KTG Agrar" UAB	Germany	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Raseiniai"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Mažeikiai"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,PAE Agrar"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Delta Agrar"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,KTG Grūdai"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,KTG Eko Agrar"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agronita"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agronuoma"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,VL Investment Vilnius 12"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Ašva"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Varduva"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Seda"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Kvistė"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Luoba"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Gaja"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Ariogala"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Girdžiai"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Vidauja"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,, Agrar Raudonė"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Venta"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Nerys"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Gėluva"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Betygala"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Dubysa"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Pauliai"	Lithuania	100.00%	0.00%	Agricultural operations
UAB ,,Agrar Mituva"	Lithuania	100.00%	0.00%	Agricultural operations

* Ars ingenii, UAB – previously was named AMT Žemė, UAB.

As at 31 December 2017 the Group had 1,152 employees, 31 December 2016 – 1,099 employees. Main operations of the Group – cultural mushrooms growing and selling, production and sales of milk and different grain and rapeseed crops, as well as land management activities.

(All amounts are in EUR thousand, unless otherwise stated)

Basis of preparation

Except as described below, the accounting policies applied are consistent with those of the annual financial statements for the year ended 31 December 2016, as described in those annual financial statements. Taxes on income in the interim periods are accrued using the tax rate that would be applicable to expected total annual earnings.

The accompanying interim financial information for the period ended 31 December 2017 has been prepared in accordance with IAS 34, 'Interim financial reporting'. The consolidated financial information have been prepared on the historical cost basis, as modified by the revaluation of land, investment property and biological assets (livestock and crops). This financial information should be read in conjunction with the annual financial statements for the year ended 31 December 2016, which have been prepared in accordance with IFRS as adopted by the EU.

The preparation of financial information in conformity with IAS 34 requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the group's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the consolidated financial information, are disclosed below.

Critical accounting estimates and assumptions

The Group makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects both current and future periods. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities in future periods are addressed below.

Income taxes

Tax authorities have right to examine accounting records of the Company and its Lithuanian subsidiaries at anytime during the 5 year period after the current tax year and account for additional taxes and fines. In the opinion of the Group's management, currently there are no circumstances which would raise substantial liability in this respect to the Group.

The Group has created deferred tax liability on revaluation amounts of investment property and own assets. The applicable tax rate used was 15%, as it is planned that assets will be realized (if will be realized) after 2013 when the 15% corporate tax effect will be applicable to all Group's entities (except for the agricultural subsidiaries which are currently taxed at lower transition tax rate of 5%).

Biological assets

Biological assets are measured on initial recognition and at each balance sheet date at their fair value less estimated costs to sell, except for the case where the fair value cannot be measured reliably on initial recognition. Agricultural produce harvested from the Group's biological assets is measured at its fair value less estimated costs to sell at the point of harvest and subsequently recorded as inventories.

If an active market exists for a biological asset or agricultural produce, the quoted price in that market is the appropriate basis for determining the fair value of that asset. If an active market does not exist the most recent market transaction price, provided that there has not been a significant change in economic circumstances between the date of that transaction and the balance sheet date, is used in determining fair value. Cost is used as an approximation of fair value when little biological transformation has taken place since initial cost incurrence, e.g. within short time after seeding the crop.

A gain or loss arising on initial recognition of an agricultural produce at fair value less estimated costs to sell and from a change in fair value less estimated costs to sell of a biological asset is included in profit or loss for the period in which it arises as "Gain (loss) arising from changes in fair value of biological assets and on recognition at fair value of agricultural produce at point of harvest".

The Group's biological assets consist of livestock, crops, mycelium cultivation seedbed and perennial plantations.

Livestock is measured at fair value less estimated point-of-sale costs. The fair value of milking cows is determined based on discounted cash flow method by calculating the revenues generated by the cow herd over the remaining usefull life and discounting by weighted average cost of capital of the Group. On initial recognition births and weight gains are recognised at costs which are proportionally allocated from total related costs based on new births and weight gains and at each balance sheet date are measured at their fair value less estimated costs to sell. For valuation of other livestock the Group calculates the fair value by taking the average price of meat per kilo. For young bulls and heifers, the value of

(All amounts are in EUR thousand, unless otherwise stated)

livestock is determined by using the market values of meat (different for different groups of animals) and multiplying the price of 1 kg by the total weight of specific group of animals.

The Group has changed its accounting estimate for the valuation of milking cows. In prior year milking cows were valued based on expected sales price determined by the Group from market participants data. The updated model for milking cows fair value calculation was applied perspectively.

Crops are measured at their fair value less estimated costs to sell. At initial recognition the crops are measured at cost as the market-determined values are not available for such biological assets. The crops are measured at fair value once the fair value becomes reliably measurable. Usually the fair value of a crop can be reliably measured only at the point of harvest. This does not create a significant limitation in valuation of crop balances at year-end, as the main increase in fair value is attributable to the same accounting period when the crop is harvested.

Business combinations

In December 2016, the Group started acquisition procedues of KTG AGRAR SE subsidiary companies, operating in Lithuania (KTG group companies) and managing around 7,700 ha of agricultural land. The formal acceptance was received on 13 January 2017, and the Group finalized the acquisition procedues on 31 January 2017. Fair value estimation of acquired KTG group companies is provided below.

Business combination	KTG group companies
	Fair value of the group as at 31 January 2017
Non-current assets
Intangible assets (land rent contracts)	654
PPE	5,239
Biological assets (current)
Crops	915
Current assets
Trade receivables and other current assets	1,769
Inventory	193
Cash and cash equivalents	44
Long term liabilities
Grants	(55)
Deferred tax liability	(133)
Financial liabilities	(1,869)
Short term liabilities
Other financial liabilities	(3,206)
Trade payables and other current liabilities	(4,616)
Net assets at acquisition date	(1,066)
Accounts receivable acquired	2,431
Acquired share capital and receivables, %	100.0
Total value of acquired investment	1,365
Consideration paid for shares	- 478
Consideration paid for receivables	887
Total purchase consideration	1,365

Total (negative) goodwill	-

On 9 february 2018 the Group has sold two subsidiaries - Karakash, OOO and Karakash Agro, OOO which were operating in Crimea. Due to this the Group has reclassified all long-term assets and liabilities of these subsidiaries to short-term at 31 December 2017, as required per IFRS. On 26 february 2018 the Group has finalized acquisition of Raseinių Agra, UAB which operates around 5,200 hectares of land. Please see subsequent events note for more details of these transactions.

(All amounts are in EUR thousand, unless otherwise stated)

Revenues

Revenues breakdown by type was the following:	12 month period ended 31 December
	2017	2016
Mushrooms sales	25,479	25,753
Milk sales	8,205	6,223
Agricultural sales	14,203	6,825
Cattle sales	805	811
Other revenues	92	18
Total	48,784	39,630

In 2017 the Group revenues increased by 25% comparing to last year. Most of the increase is related to agricultural sales which increased by 206%. This occurred due to the transition to organic farming, as most of the sales of organic produce are quite evenly divided from the point of harvest until the next summer while conventional produce is mostly sold right after the harvest - only 40% of 2016 year's harvest were sold in 2016, while 80% of 2015 year's harvest were sold in 2015 which caused lower sales per 12 months of 2016 compared to the same period in 2017. Comparing year to year revenues from mushrooms and compost sales stayed approximately in the same level. However, in the first 3 months of 2017 mushroom farm suffered a loss due to temporary problems in production, but in the last 9 months the production of mushrooms increased and reached the the same level of turnover as last year. Revenues from sales of milk have increased due rise of market milk prices. Comparing to 12 months of 2016, milk price has increased by 36%, while the yield decreased by 2%.

Gain (loss) on changes in fair values of biological assets and on recognition at fair value of agricultural produce at point of harvest

Gain (loss) on changes in fair values of biological assets and on recognition at fair value of agricultural produce at point of harvest breakdown by type was the following: 12 month period

	ended 31 December
	2017	2016
Live stock	(911)	(629)
Agriculture	5,388	(239)
Total	4,477	(868)

Gain (loss) on changes in fair values of biological assets and on recognition at fair value of agricultural produce at point of harvest consists of 2 segments : livestock and agriculture. The Group has suffered a loss on change in fair value of biological assets due to high cost of livestock sold for meat. Gain on recognition at fair value of agricultural produce has increased significantly due to transition to organic farming and increased sales prices. In addition to this, in 2017 yields of most cultures were higher comparing to the yields of 2016. However, in the last quarter of 2017 the Group has suffered significant losses due to extreme weather conditions, as quality of grain harvested in the last quarter of 2017 was poor and part of the crops was not harvested at all.

In 2017 most of the harvest is evaluated based on signed future contracts. Milk, mushrooms and compost are not recognized at fair value at point of harvest, as it is harvested and sold on daily basis.

Cost of sales

Cost of sales breakdown by type was the following:	12 month period ended 31 December
	2017	2016
Mushrooms cost of sales	24,499	23,065
Milk cost of sales	7,607	6,453
Agricultural cost of sales	14,073	5,865
Cattle cost of sales	805	1,282
Other cost of sales	-	-
Less: State subsidies	(8,972)	(8,680)
Total	38,012	27,985

The Group cost of sales increased mainly due to increased cost of agricultural sales. Cost of agricultural sales increased inline with sales increase. Cost of mushrooms increased due to mushroom production problems in first quarter of 2017 and increased labor costs.

(All amounts are in EUR thousand, unless otherwise stated)

Cost of sales (continued)

Total State subsidies increased due to purchased KTG Agrar group, however in general it has decreased due to the fact that in 2017 the Group has fully finished the convertion to organic agriculture and the harvest of 2017 is fully organic for which ecological subsidies are lower.

Operating expenses

Operating expenses breakdown by type of expenses was the following: 12 months period

	ended 31 December
	2017	2016
Payroll expenses	3,089	2,337
Depreciation of property, plant and equipment	774	647
Selling expenses	585	367
Social security expenses	958	724
Insurance and tax expense	526	472
PPE impairment	12	-
Consultations and business plan preparations	689	693
Rent and utilities	273	168
Fuel costs	173	137
Real estate registration and notaries	180	124
Impairment of accounts receivable	-	15
Transportation costs	198	86
Fines and late payments	94	128
Office administration	453	374
Other expenses	985	742
Total	8,989	7,014

Operational expenditures grew due to increased number of employees as a result of business expansion, as well as other expenses related to new acquisitions. Additional expenses included AUGA brand and end-consumer product development, marketing investments and export initiatives.

Other income

Other income breakdown by type was the following:

	12 months period ended 31 December
	2017	2016
Gain (loss) on sale of investment property	-	(227)
Gain (loss) on sale of property, plant and equipment	164	-
Write-down of liabilities	81	184
Interest and fines income	93	48
Insurance benefits	100	32
Other income (expenses)	(132)	90
Total	306	127

Interest and fines income has increased due to the sale of Fixed yield investment fund in December, 2016 which still had an outstanding loan balance. The Group has sold a part of property, plant and equipment acquired with the purchase of KTG Agrar group, and recognized a profit of EUR 164 thousand these sales.

Financial expenses

Financial expenses breakdown by type was the following:

		12 months period ended 31 December
	2017	2016
Bank interest expenses	1,207	1,283
Other interest expenses	456	596
Currency fluctuation effect	(13)	-
Other financial expenses	258	220
Total	1,908	2,098

(All amounts are in EUR thousand, unless otherwise stated)

Financial expenses (continued)

In 2017 bank interest expenses were lower due decreased financial liabilities to banks after the sale of Fixed yield investment fund in December, 2016. However it also increased as the Group inherited financial liabilities with acquisition of KTG Group companies, additions of property plant and equipment financed by financial leasing and increased credit lines to finance working capital.

Fixed assets

	Land	Buildings	Constructions and machinery	Vehicles, equipment and other property, plant and equipment	Construction in progress	Total
Carrying amount As at 31 December 2015	27,021	45,004	15,098	2,005	506	89,634
- additions	1,122	149	4,848	1,203	673	7,995
- disposals and write-offs - revaluation	( 242) 822	( 66) -	( 362) -	( 285) -	(1) -	( 956) 822
- depreciation	-	( 2,072)	( 3,506)	( 480)	-	( 6,058)
- reclassifications	9,636	( 635)	635	( 28)	28	9,636
- sale of FYIF As at 31 December 2016	( 24,811) 13,548	42,380	- - 16,713	- 2,415	- 1,206	( 24,811) 76,262
- acquired with KTG group companies	1,948	710	1,508	489	-	4,654
- additions	1,612	253	6,578	971	99	9,513
- disposals and write-offs	(45)		- ( 176)	( 20)	-	( 241)
- revaluation	4,807		- -	-	-	4,807
- depreciation	-	( 2,137)	( 3,931)	( 760)	-	( 6,828)
- reclassifications As at 31 December 2017	- 21,870	377 41,583	90 20,782	( 426) 2,669	( 864) 441	( 823) 87,345

Acquisition cost as at
31 December 2015	27,021	49,768	20,784	2,881	506	100,960
31 December 2016	13,548	49,216	25,905	3,771	1,206	93,646
31 December 2017	21,870	50,556	33,905	4,785	441	111,557
Accumulated depreciation and impairment losses as at
31 December 2015	-	(4,764)	(5,686)	(876)	-	(11,326)
31 December 2016	-	(6,836)	(9,192)	(1,356)	-	(17,384)
31 December 2017	-	( 8,973)	(13,123)	(2,116)	-	(24,212)
Carrying amount as at 31 December 2015	27,021	45,004	15,098	2,005	506	89,634
Carrying amount as at 31 December 2016	13,548	42,380	16,713	2,415	1,206	76,262
Carrying amount as at 31 December 2017	21,870	41,583	20,782	2,669	441	87,345

(All amounts are in EUR thousand, unless otherwise stated)

Equity

The share capital of AUGA Group, AB as at 31 December 2017 was EUR 54,351 thousand. The share capital is divided into 187,416,252 ordinary shares. Each issued share has a EUR 0.29 nominal value and fully paid. Each share had usual material and intangible rights as per Law on Companies of the Republic of Lithuania and the Company's statutes.

A legal reserve is a compulsory reserve under Lithuanian legislation. Annual transfer of 5% of net profit, calculated in accordance with Lithuanian regulatory legislation on accounting, is compulsory until the reserve including share premium reaches 10% of the share capital. The legal reserve can be used to cover the accumulated losses. The legal reserve of the Company equalled EUR 579 thousand as at 31 December 2017 and 31 December 2016.

During the Annual General Meetings of Shareholders of AUGA Group, AB subsidiaries: AUGA Želsvelė, ŽŪB, AUGA Dumšiškės, ŽŪB, AUGA Mantviliškis, ŽŪB, AUGA Skėmiai, ŽŪB, AUGA Smilgiai, ŽŪB, AUGA Spindulys, ŽŪB, AUGA Grūduva, UAB, AWG Investment 1, UAB, Baltic Champs, UAB, Agroschool, OU held in 2017, a decision was made to pay out dividends to shareholders. Due to this the Company has received EUR 20,803 thousand dividend income. In the table below the distribution of dividends of each subsidiary is provided. By 31 December 2017 there were no other subsidiaries which made a decision to pay out the dividends.

			Share-owners share of dividends (%)						Share-owners share of dividends (Eur)
	AUGA Group, AB	AWG investment 1, UAB	AVG investment, UAB	AUGA Eimučiai, ŽŪB	Third parties	Dividends (EUR)	AUGA Group, AB	AVG investment (Subsidiary)	AWG investment 1 (Subsidiary)	AUGA Eimučiai, ŽŪB (Subsidiary)	Third parties
AUGA Želsvelė, ŽŪB AUGA Dumšiškės,	98.64%	- -	0.31%	-	1.05%	2,560,000	2,525,178	7,873	- -	-	26,949
ŽŪB	99.25%		0.13%	-	0.62%	980,000	972,625	1,251		-	6,124
AUGA Mantviliškis, ŽŪB	98.77%	-	0.02%	-	1.21%	1,600,000	1,580,270	397	-	-	19,333
AUGA Skėmiai, ŽŪB	99.75%	-	0.12%	-	0.12%	1,200,000	1,197,047	1,477	-	-	1,477
AUGA Smilgiai, ŽŪB	97.84%	-	-	2.16%	-	3,100,000	3,033,083	-	-	66,917	-
AUGA Spindulys, ŽŪB	99.96%	-	-	-	0.04%	3,600,000	3,598,507	-	-	-	1,493
AUGA Grūduva, UAB	-	98.58%	-	-	1.42%	4,967,845	-	-	4,987,079	-	70,786
AWG Investment 1, UAB	100.00%	-	-	-	-	3,000,000	3,000,000	-	-	-	-
Baltic champs, UAB	100.00%	-	-	-	-	4,800,000	4,800,000	-	-	-	-
Agroschool, OU	100.00%	-	-	-	-	3,096,000	3,096,000	-	-	-	-
						28,903,485	20,802,710	10,998	4,987,079	66,917	55,375

Liabilities

The Group's long term borrowings consisted of the following:

	As at 31 December 2017	As at 31 December 2016
Borrowings from banks
Mushroom growing companies	5,927	7 905
Land management entities	-	-
Agricultural entities	10,809	6 558
Agricultural cooperatives	600	840
Long-term payment to 3rd parties
Long-term payable to the State	1,535	1 687
Long-term payable to creditors	187	2 345
Long-term payable to investment fund for purchased land	1,042	1 188
Total	20,100	20,523
Less: amounts, payable within one year (according to agreements)	(4,445)	(3,585)
Total long term borrowings	15,655	16,938

(All amounts are in EUR thousand, unless otherwise stated)

Liabilities (continued)

The Group owes payable amount to the State of EUR 1,535 thousand for land acquisition made by Group in 2008 - 2014. The payable amount to State is over 15 year period.

The long-term borrowings and payables are repayable as follows:	As at 31 December 2017	As at 31 December 2016
Borrowings from banks
Within second year	5,106	5,147
Within third and fourth year	9,422	10,708
After fifth year and later	1,127	1,083
Total	15,655	16,938

The Group's short term borrowings were the following:

	As at 31 December 2017	As at 31 December 2016
Borrowings from banks
Mushroom growing companies	2,400	2,317
Agricultural entities	997	-
Parent company	3,210	-
Grain selling entity	7,026	3,033
-Total short term borrowings	13,633	5,350

Short-term loans from banks include EUR 13,633 thousand (In 2016: EUR 5,350 thousand) credit-line facilities.

Information on audit

Consolidated Interim Financial Information of the Group for the 12 months period ended 31 December 2017 was not audited.

(All amounts are in EUR thousand, unless otherwise stated)

IV. THE NEWEST AND ESSENTIAL EVENTS IN THE ACTIVITY OF THE ISSUER

The newest events in the activity of the Issuer

Acquisition of shares of Raseinių Agra, UAB

On 26 February, 2018 AUGA group, AB has completed the purchase of 100% share of UAB Raseinių agra for EUR 2.4 million. Share sale and purchase agreement was signed on 10 November 2017, as per released notification on material event. UAB Raseinių agra was established in October 2017 as a result of spin-off procedure from UAB Agra Corporation, shareholders of which decided to withdraw from agricultural business and to focus in the area of investment property management. UAB Raseinių agra manages around 5,200 ha of agricultural land. The preliminary fair value estimation of UAB Raseinių arga is as follows:

Business combination	Raseinių Agra, UAB
	Fair value as at 31 January 2018
Non-current assets Intangible assets (land rent contracts) PPE	2,091 2,997
Current assets Inventory Trade receivables and other current assets Cash and cash equivalents	629 572 365
Long term liabilities Financial liabilities Borrowings from AGRA companies Deferred tax liability Short term liabilities	(2,178) (1,273) (19)
Other financial liabilities Trade payables and other current liabilities	(314) (435)
Net assets at acquisition date	2,435
Acquired share capital and receivables, %	100.0
Total value of the acquired investment	2,435
Cash paid for shares at the time of the purchase Outstanding amount payable on August, 2018	2,000 435
Total purchase consideration	2,435
Total (negative) goodwill	-

Acquisition of shares of Arginta Engineering, UAB

On January 22, 2018 AUGA group, AB signed the share sale and purchase agreement to acquire 100% share capital of UAB Arginta Engineering for EUR 6.4 million. UAB Arginta Engineering specializes in the design and production of customized metal constructions: prototype equipment, transformer components, conveyer and lifting equipment, machinery for paper processing, energy production, agriculture and other industries. The company's main customers are multinational engineering companies abroad; 98% of its production is exported. The acquired production base, know-how, experience and team of professionals will allow AUGA group, AB to develop innovative equipment, machinery and unique technological solutions for a clean and sustainable food supply chain.

(All amounts are in EUR thousand, unless otherwise stated)

Sale of shares of Karakash Agro OOO

On 9 february 2018 the Group has sold two subsidiaries - Karakash, OOO and Karakash Agro, OOO which were operating in Crimea. The details of the result of the Group's subsidiaries disposal is as follows:

Disposal of subsidiaries Karakash Agro OOO

	Carrying value of the investment
Non-current assets
Property plant and equipment (as at 31 December, 2017 in Group's financial statements reclassified to current assets)	824
Current assets
Biological assets (Current)	512
Inventory	442
Trade receivables and other current assets	593
Cash and cash equivalents	3
Long term liabilities
Financial liability to eTime Invest, UAB	(2,568)
Short term liabilities
Trade payables and other current liabilities	(1,307)
Net assets at disposal date	(1,501)
Sold share capital, %	100.00
Price for shares	500
Total (loss) gain from sale of shares	2,001

Sold eTime Invest, UAB claim rights to Karakash Agro, OOO	(2,568)
Account receivable outstanding for sold claim rights	2,568
Total (loss) gain from sale of claim rights	-

Total (loss) gain on transaction	2,001

Regarding the decision of the Supervision Service of the Bank of Lithuania

Under the Decision No. 241-59 of 3 April 2017 of the Supervision Service of the Bank of Lithuania (herein – Decision) AUGA group, AB, was obliged to ensure that no later than before 1 October 2017 the fair value of 100% block of shares of UAB eTime Invest (herein – Assets), which was used as the payment for a part of the authorised capital of AUGA group, AB, is re-evaluated. Should it be established that the shares of AUGA group, AB, are not fully paid up, to ensure that this situation is rectified retrospectively according to the requirements of the law.

In order to perform the instructions provided in the Decision, the Company ordered evaluation of the Assets. Company received Assets valuation report from UAB "Newsec Valuations" 2017.10.02, whereunder the true / market value of the Assets on the date of their acquisition (15.04.2017) is 16,900,000 litas. Given that the value of the Assets under the latter evaluation is not less than the value of 12.03.2014 valuation report of UAB "Oberhaus Nekilnojamasis turtas", on the basis of which part of the Company's authorised capital was paid up in 15.04.2014 (value of the Assets under Oberhaus valuation – 16,700,000 litas), it is deemed that the shares of the Company are duly and fully paid up in accordance with the requirements of the applicable laws.

Completion of transition to organic farming

In August 2017, agricultural companies of AUGA group, AB have successfully completed transition to organic farming, which commenced in 2015, and have received European organic farming certificates. Henceforth, crops and milk produced by the companies are certified as organic and will be used to produce new organic food products.

Acquisition of KTG AGRAR Lithuanian operations

As it was discussed earlier the Group finalized the acquisition procedures of KTG AGRAR SE subsidiary companies on 31 January 2017 managing around 7,700 ha of agricultural land.

(All amounts are in EUR thousand, unless otherwise stated)

Changes in the governing bodies of the Group

On 31 January 2017, the Group's shareholders changed the statutes of the Company and reduced the number of Supervisory Board members from 5 to 3 (electing former members Vladas Lašas, Rimantas Rudzkis and Liudas Navickas as new Supervisory Board members) and decreasing number of Board of Directors members from 7 to 5. On 8 February 2017, the Supervisory Board elected Kęstutis Juščius, Agnė Jonaitytė, Linas Bulzgys, Marijus Bakas, and Linas Strėlis as new members of Board of Directors.

Material events over January 2017 – February 2018:

The Company informs of all material events over the CNS system of NASDAQ OMX VILNIUS stock Exchange and on the ESPI information system which is operated by Polish FSA, as well as on Electronic Information Base which is operated by Warsaw Stock Exchange.

Announce

ment date Announcement header

09.02.2018	Subsidiary of AUGA group, AB sells shares of OOO Karakash Agro
23.01.2018	AUGA group, AB seeks to raise up to EUR 20 million of additional share capital through a public offering by the middle of 2018
23.01.2018	AUGA group, AB acquires shares of UAB Arginta Engineering
11.01.2018	Dates of periodic information disclosure of AUGA Group, AB for the year 2018 (investor calendar)
12.12.2017	AUGA group extends assortment – organic chicken, flour and oil are introduced to market
30.11.2017	During the first three quarters AUGA group's gross profit increased more thant two times
30.11.2017	Interim information AUGA group, AB for the 9 months period ended 30 September 2017
20.11.2017	AUGA group, AB meets with the Investors Association
10.11.2017	AUGA group, AB acquires shares of UAB Raseinių Agra
06.11.2017	Decisions of extraordinary shareholders meeting of AUGA group, AB which took place 6 November 2017
13.10.2017	Notice on Convocation of the extraordinary General Meeting of Shareholders of AUGA group, AB on 06 November 2017
09.10.2017	Regarding the decision of the Supervision Service of the Bank of Lithuania
31.08.2017	Interim information AUGA group, AB for the period of 6 months ended 30 June 2017
28.08.2017	Completion of transition to organic farming
11.08.2017	AUGA group, AB has signed a Market Maker Agreement with UAB FMĮ "Orion Securities"
08.06.2017	Regarding the Decision by the Supervision Service of the Bank of Lithuania
31.05.2017	Interim information AUGA group, AB for the 3 months period ended 31 March 2017
05.05.2017	Bank of Lithuania imposes penalty on the general manager
28.04.2017	AUGA group, AB Annual information for the year 2016
28.04.2017	Decisions of ordinary shareholders meeting of AUGA group, AB which took place on 28 April, 2017
27.04.2017	Draft decisions of ordinary shareholders meeting of AUGA group, AB which will take place on 28 April, 2017 (AMENDED)
07.04.2017	Regarding the decision of the Supervision Service of the Bank of Lithuania
06.04.2017	Draft decisions of ordinary shareholders meeting of AUGA group, AB which will take place on 28 April, 2017
06.04.2017	Notice on Convocation of the ordinary General Meeting of Shareholders of AUGA group, AB on 28 April, 2017
04.04.2017	Notification on the acquisition of voting rights, AUGA group, AB
28.02.2017	AUGA group, AB interim unaudited financial information for 12 months ended 31 December 2016
08.02.2017	Appointment of new management board of AUGA group
	Resolutions of AUGA group, AB, with regard election of Chairman of Supervisory Board, election of members of
08.02.2017	Management Board and Chairman of Management Board
31.01.2017	AUGA group, AB has completed acquisition of KTG AGRAR SE subsidiary companies
31.01.2017	Decisions of extraordinary shareholder's meeting of AUGA group, AB which took place on 31st January , 2017
	AUGA group, AB has received a permission of the Competition Council of the Republic of Lithuania to execute a
13.01.2017	concentration and acquire KTG AGRAR SE companies
09.01.2017	Notice on Convocation of the extraordinary General Meeting of Shareholders of AUGA group, AB on 31 January, 2017

09.01.2017 Draft decisions of extraordinary shareholder's meeting of AUGA group, AB which will take place on 31st January, 2017

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AUGA group

2259_10-k_2018-02-28_cb687ac9-3441-4b7d-be6a-c57b5016435d.pdf

AUGA GROUP, AB

INTERIM REPORT

I. GENERAL PROVISIONS

Acounting period covered by the Report

Key data on the issuer

INTERIM REPORT

INTERIM REPORT

INTERIM REPORT

INTERIM REPORT

INTERIM REPORT

INTERIM REPORT

INTERIM REPORT

INTERIM REPORT

INTERIM REPORT

Information on where and when the Report and the documents, on which the Report is based, are publicly available and the name of the mass media means

INTERIM REPORT

II. INFORMATION ABOUT THE LARGEST SHAREHOLDERS AND ISSUERS MANAGEMENT

Share capital

Shareholders

The sales of the Issuer's securities on exchanges and other organized markets

Agreements with the mediators of securities public circulation

Procedure for amendments of the Articles of Association

INTERIM REPORT

Members of the managing bodies

Information of Supervisory Board of the Company as at 31 December 2017:

Information of Audit Committee of the Company as at 31 December 2017:

Information of the Board of the Company as at 31 December 2017:

III. FINANCIAL INFORMATION

CONSOLIDATED INCOME STATEMENT

CONSOLIDATED BALANCE SHEET

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

CONSOLIDATED STATEMENT OF CASHFLOWS

Comments to the Financial Information

General information

Basis of preparation

Critical accounting estimates and assumptions

Income taxes

Biological assets

Business combinations

Revenues

Gain (loss) on changes in fair values of biological assets and on recognition at fair value of agricultural produce at point of harvest

Cost of sales

Cost of sales (continued)

Operating expenses

Other income

Financial expenses

Financial expenses (continued)

Fixed assets

Equity

Liabilities

Liabilities (continued)

Information on audit

IV. THE NEWEST AND ESSENTIAL EVENTS IN THE ACTIVITY OF THE ISSUER

The newest events in the activity of the Issuer

Acquisition of shares of Raseinių Agra, UAB

Acquisition of shares of Arginta Engineering, UAB

Sale of shares of Karakash Agro OOO

Disposal of subsidiaries Karakash Agro OOO

Regarding the decision of the Supervision Service of the Bank of Lithuania

Completion of transition to organic farming

Acquisition of KTG AGRAR Lithuanian operations

Changes in the governing bodies of the Group

Material events over January 2017 – February 2018:

Announce

ment date Announcement header

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