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City Service SE Interim / Quarterly Report 2026
5564_rns_2026-06-01_b9754129-6471-4bc9-b813-133243617b6d.pdf
Interim / Quarterly Report
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CITYSERVICE
In service of your property
CONSOLIDATED INTERIM FINANCIAL STATEMENTS FOR THE THREE MONTHS PERIOD ENDED 31 MARCH 2026 (UNAUDITED)
CITYSERVICE
In service of your property
Consolidated interim financial statements for the three months period ended
31 March, 2026 (unaudited), thousand euros
City Service SE
CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR THE THREE MONTHS PERIOD ENDED 31 MARCH 2026
(UNAUDITED)
Beginning of the reporting period
End of the reporting period
1 January 2026
31 March 2026
Business name
Registration number
Legal address
Telephone
E-mail
Website
Auditor
City Service SE
12827710
Narva mnt. 5, 10117 Tallinn, the Republic of Estonia
+370 5 239 49 00
[email protected]
http://www.cityservice.eu
Ernst & Young Baltic AS
2
CITYSERVICE
Consolidated interim financial statements for the three months period ended
31 March, 2026 (unaudited), thousand euros
CONTENTS
DECLARATION OF THE MANAGEMENT...4
CONSOLIDATED STATEMENT OF FINANCIAL POSITION...5
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME...7
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY...9
CONSOLIDATED STATEMENT OF CASH FLOWS...10
GENERAL INFORMATION...11
1.1. ACTIVITY...11
1.2. SHARE CAPITAL OF THE COMPANY...12
1.3. SHAREHOLDERS OF THE COMPANY...12
1.4. CITY SERVICE GROUP...13
1.5. COMPANY'S SUPERVISORY BOARD...15
1.6. COMPANY'S MANAGEMENT BOARD...16
1.7. ACTIVITY AND SEGMENT INFORMATION...18
ACCOUNTING POLICIES...20
GOODWILL...20
SIGNIFICANT EVENTS...22
OTHER INTANGIBLE ASSETS...23
PROPERTY, PLANT AND EQUIPMENT...24
RIGHT OF USE ASSETS AND LEASE...25
TRADE RECEIVABLES...26
BORROWINGS...26
COST OF SALES...27
GENERAL AND ADMINISTRATIVE EXPENSES...27
OTHER OPERATING INCOME (EXPENSES)...28
INTEREST AND OTHER FINANCE INCOME AND (EXPENSES)...28
DIVIDENDS PER SHARE...28
RELATED PARTY TRANSACTIONS...29
SUBSEQUENT EVENTS...30
3
Declaration of the management
According to Management Board Regulations of City Service SE, Chairman of the Management Board hereby declares and confirms that according to his best knowledge, the financial statements, prepared according to the accounting standards in force, present a correct and fair view of the assets, liabilities, financial situation and loss or profit of the issuer and the undertakings involved in the consolidation as a whole, and the management report gives a correct and fair view of the development and results of the business activities and financial status of the issuer and the undertakings involved in the consolidation as a whole and contains a description of the main risks and doubts.
Chairman of the Management Board
Artūras Gudelis
29 May 2026
4
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
| Notes | As of 31 March 2026 | As of 31 December 2025 | |
|---|---|---|---|
| Assets | |||
| NON-CURRENT ASSETS | |||
| Goodwill | 3 | 10 068 | 10 068 |
| Other intangible assets | 5 | 22 668 | 22 595 |
| Property, plant and equipment | 6 | 914 | 935 |
| Right of use assets | 8 | 2 763 | 2 948 |
| Receivables from related parties (including loans granted) | 16 | 7 711 | 7 711 |
| Non-current receivables | 9 | 4 973 | 5 182 |
| Deferred income tax asset | 2 034 | 1 762 | |
| TOTAL NON-CURRENT ASSETS | 51 131 | 51 201 | |
| CURRENT ASSETS | |||
| Inventories | 590 | 501 | |
| Prepayments | 1 943 | 1 965 | |
| Trade receivables | 9 | 27 006 | 27 204 |
| Receivables from related parties (including loans granted) | 16 | 4 984 | 3 569 |
| Other receivables | 6 559 | 6 035 | |
| Prepaid income tax | 173 | 224 | |
| Accrued income and other current assets | 1 365 | 1 143 | |
| Cash and cash equivalents | 9 239 | 7 459 | |
| TOTAL CURRENT ASSETS | 51 859 | 48 100 | |
| Total assets | 102 990 | 99 301 |
5
CONSOLIDATED STATEMENT OF FINANCIAL POSITION (cont'd)
| Notes | As of 31 March 2026 | As of 31 December 2025 | |
|---|---|---|---|
| Equity and liabilities | |||
| EQUITY | |||
| Share capital | 9 483 | 9 483 | |
| Share premium | 8 490 | 8 490 | |
| Reserves | 948 | 948 | |
| Retained earnings | 15 363 | 13 805 | |
| 34 284 | 32 726 | ||
| Non-controlling interests | 250 | 238 | |
| TOTAL EQUITY | 34 534 | 32 964 | |
| Liabilities | |||
| NON-CURRENT LIABILITIES | |||
| Non-current borrowings | 10 | 16 683 | 1 777 |
| Lease liabilities | 8 | 2 189 | 2 233 |
| Non-current provisions for employee benefits | 105 | 100 | |
| Deferred income tax liabilities | 1 206 | 1 203 | |
| Contract liabilities | 3 255 | 3 285 | |
| Trade and other payables | 665 | 806 | |
| TOTAL NON-CURRENT LIABILITIES | 24 103 | 9 404 | |
| CURRENT LIABILITIES | |||
| Current portion of non-current borrowings | 10 | 2 118 | 17 629 |
| Current portion of lease liabilities | 8 | 646 | 805 |
| Current loans | 10 | 10 031 | 7 729 |
| Trade payables and payables to related parties | 16 | 20 072 | 19 355 |
| Current provisions for employee benefits | 117 | 122 | |
| Income tax payable | 2 160 | 1 477 | |
| Current contract liabilities | 9 209 | 9 816 | |
| TOTAL CURRENT LIABILITIES | 44 353 | 56 933 | |
| Total liabilities | 68 456 | 66 337 | |
| Total equity and liabilities | 102 990 | 99 301 |
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
(for the period 1 January – 31 March)
| Notes | 2026 Q1 | 2025 Q1 | |
|---|---|---|---|
| Revenue from contracts with customers | 1.7 | 27 964 | 26 858 |
| Cost of sales | 11 | (20 250) | (19 104) |
| Gross profit (loss) | 7 714 | 7 754 | |
| General and administrative expenses | 12 | (5 206) | (5 796) |
| Impairment of goodwill, other intangibles and other non-current assets | 11 | - | |
| Credit loss expenses on financial assets | (62) | 78 | |
| Other operating income | 13 | 62 | 45 |
| Other operating expenses | 13 | (90) | 2 |
| Profit (loss) from operations | 2 429 | 2 083 | |
| Finance income | 14 | 134 | 419 |
| Finance costs | 14 | (349) | (500) |
| Profit (loss) before tax | 2 214 | 2 002 | |
| Income tax | (644) | (352) | |
| Profit (loss) from continued operations | 1 570 | 1 650 | |
| Discontinued operations | |||
| Net profit (loss) from discontinued operations | 7 | - | - |
| Net profit (loss) | 1 570 | 1 650 | |
| Other comprehensive income | |||
| Exchange differences on translation of foreign operations | - | - | |
| Total comprehensive income | - | - | |
| Attributable to: | |||
| The shareholders of the Company | 1 558 | 1 640 | |
| Non-controlling interests | 12 | 10 | |
| 1 570 | 1 650 | ||
| Total comprehensive income attributable to: | |||
| The shareholders of the Company | 1 558 | 1 640 | |
| Non-controlling interests | 12 | 10 | |
| 1 570 | 1 650 | ||
| Basic and diluted earnings per share (EUR) | 0,05 | 0,05 |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
| Notes | Share capital | Share premium | Foreign currency translation reserve | Other reserves | Retained earnings | Assets held for sale | Total | Non-controlling interest | Total | |
|---|---|---|---|---|---|---|---|---|---|---|
| Balance as of 1 January 2025 | 9 483 | 8 490 | - | 420 | 10 285 | - | 28 678 | 220 | 28 898 | |
| Net profit (loss) | - | - | - | - | 1 640 | - | 1 640 | 10 | 1 650 | |
| Transfers to reserves | - | - | - | - | - | - | - | - | - | |
| Other comprehensive Income | - | - | - | - | - | - | - | - | - | |
| Total comprehensive Income | - | - | - | - | 1 640 | - | 1 640 | 10 | 1 650 | |
| Disposal of subsidiaries | - | - | - | - | - | - | - | - | - | |
| Balance as of 31 March 2025 | 9 483 | 8 490 | - | 420 | 11 925 | - | 30 318 | 230 | 30 548 | |
| Balance as of 1 January 2026 | 9 483 | 8 490 | - | 948 | 13 805 | - | 32 726 | 238 | 32 964 | |
| Net profit (loss) | - | - | - | - | 1 558 | - | 1 558 | 12 | 1 570 | |
| Other comprehensive Income | - | - | - | - | - | - | - | - | - | |
| Total comprehensive Income | - | - | - | - | 1 558 | - | 1 558 | 12 | 1 570 | |
| Transfers | - | - | - | - | - | - | - | - | - | |
| Dividends paid | - | - | - | - | - | - | - | - | - | |
| Balance as of 31 March 2026 | 9 483 | 8 490 | - | 948 | 15 363 | - | 34 284 | 250 | 34 534 |
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CONSOLIDATED STATEMENT OF CASH FLOWS
| Notes | 2026 Q1 | 2025 Q1 | |
|---|---|---|---|
| Cash flows from (to) operating activities | |||
| Net profit (loss) from continued operations | 1 570 | 1 650 | |
| Net profit (loss) from discontinued operations | - | - | |
| Adjustments for non-cash items: | |||
| Income tax expenses | 644 | 352 | |
| Depreciation and amortization | 5,6,8 | 730 | 530 |
| Impairment and write-off of accounts receivable | (351) | 129 | |
| Gain (loss) on disposal of property, plant and equipment | 13 | (1) | (3) |
| Gain (loss) from sale of investments | - | - | |
| Finance income | (130) | (203) | |
| Finance costs | 342 | 500 | |
| Impairment of goodwill | - | - | |
| Other financial activity result, net | 7 | - | |
| 2 811 | 2 955 | ||
| Changes in working capital: | |||
| (Increase) decrease in inventories | (89) | (67) | |
| (Increase) decrease in receivables, contract assets and other current assets | (1 361) | (1 090) | |
| (Increase) decrease in prepayments | (18) | 23 | |
| Increase (decrease) in trade payables and payables to related parties | 120 | 149 | |
| Income tax (paid) | (179) | (221) | |
| Increase (decrease) in advances received, contract liabilities and other current liabilities | (238) | 83 | |
| Net cash flows from (to) operating activities | 1 046 | 1 832 | |
| Cash flows from (to) investing activities | |||
| (Acquisition) of non-current assets (except investments) | 5,6 | (601) | (560) |
| Proceeds from sale of non-current assets | 19 | 38 | |
| (Acquisition) of investments in subsidiaries (net of cash acquired in the Group) | 43 | - | |
| Disposal of investments in subsidiaries | (1) | - | |
| Interest received | 130 | 203 | |
| Loans (granted) | (12) | (230) | |
| Loans (repaid) | - | 242 | |
| Net cash flows from (to) investing activities | (422) | (307) | |
| Cash flows from (to) financing activities | |||
| Proceeds from loans | 2 302 | 2 208 | |
| (Repayment) of financial lease liabilities | (203) | (181) | |
| Dividends paid | - | - | |
| Loans (repaid) | (604) | (377) | |
| Interest (paid) | (342) | (500) | |
| Net cash flows from (to) financing activities | 1 153 | 1 150 | |
| Net increase (decrease) in cash and cash equivalents | 1 777 | 2 675 | |
| Foreign exchange difference | 3 | - | |
| Cash and cash equivalents at the beginning of the period* | 7 459 | 4 826 | |
| Cash and cash equivalents at the end of the period | 9 239 | 7 501 |
-
Includes non-current assets and non-investments.
-
GENERAL INFORMATION
City Service SE (hereinafter – “the Company”) is a public limited liability company registered in the Republic of Estonia on 2 April 2015, which in the course of reorganization has taken over a public limited liability company City Service AS rights and liabilities.
The Company controls corporate group, engaged in provision of facility management and integrated utility services in Eastern Europe. The City Service group is the market leader in facility management and integrated utility services in the Baltic States. It provides services in whole Lithuania and Latvia.
1.1. ACTIVITY
City Service group provides facility management; maintenance and repair of engineering systems; management and renovation of energy resources; technical and energy audit of buildings; maintenance and cleaning of territories and premises; maintenance and construction of gas stations.
The most important buildings segments, administered by the City Service group are: residential apartment buildings; commercial buildings; public buildings; industrial buildings. The total area of buildings under the management of the Group is 16.3 million sq. m. at present.
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1.2. SHARE CAPITAL OF THE COMPANY
The share capital of the Company is EUR 9,483 thousand as of 31 March 2026. It is divided into 31,610 thousand ordinary shares with the nominal value of EUR 0.30 each. All shares of the Company are paid up.
The Company does not have any other classes of shares than ordinary shares mentioned above, there are no any restrictions of share rights or special control rights for the shareholders settled in the Articles of Association of the Company. No shares of the Company are held by itself or its subsidiaries. No convertible securities, exchangeable securities or securities with warrants are outstanding; likewise, there are no outstanding acquisition rights or undertakings to increase share capital.
As of 31 March 2026 all 31,610 thousand ordinary shares of the Company are included into the Parallel Market of Warsaw Stock Exchange and Baltic First North Foreign Shares trading list of NASDAQ Baltic Market (ISIN Code of the shares is EE3100126368). Trading Code of the shares on Warsaw Stock Exchange is CTS, on NASDAQ Baltic Market - CTS1L.
1.3. SHAREHOLDERS OF THE COMPANY
As of 31 March 2026 the total number of shareholders of the Company was 71.
COMPANY'S SHARES DISTRIBUTION AMONG SHAREHOLDERS WHO HAVE MORE THAN 5% SHARES OF THE COMPANY AS OF 31 MARCH 2026 WAS THE FOLLOWING:
| Number of shares held | Owned percentage of the share capital and votes, % | |
|---|---|---|
| UAB Unit Invest, legal entity code 305873584, address: Ozo str. 12A-1, Vilnius, Lithuania | 26,813,293 | 84.83% |
| Other private and institutional shareholders | 4,796,707 | 15.17% |
| TOTAL | 31,610,000 | 100 % |
1.4. CITY SERVICE GROUP
AS OF 31 MARCH 2026 THE CITY SERVICE GROUP CONSISTS OF CITY SERVICE SE AND THE FOLLOWING SUBSIDIARIES (HEREINAFTER REFERRED TO AS „THE GROUP“):
| Company | Region | Share of the stock held by the Group as of 31 March 2026 | Share of the stock held by the Group as of 31 December 2025 | Main activities |
|---|---|---|---|---|
| UAB Alytaus namų valda | Lithuania | 76% | 76% | Dormant |
| UAB Baltijos NT valdymas | Lithuania | 100% | 100% | Real estate management |
| UAB Baltijos transporto valdymas | Lithuania | 100% | 100% | Asset management |
| UAB Biržų butų ūkis | Lithuania | 57.71% | 57.71% | Administration of dwelling-houses |
| UAB BonoDomo | Lithuania | 100% | 100% | IT services |
| UAB BonoDomo Pay | Lithuania | 100% | 100% | Intermediary activities of an electronic money institution |
| UAB Žemaitijos būstas | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Būsto aplinka | Lithuania | 100% | 100% | Maintenance and cleaning of dwelling-houses territories and premises |
| UAB Mano būstas | Lithuania | 100% | 100% | Holding company |
| UAB City Service Cleaning | Lithuania | 100% | 100% | Maintenance and cleaning of commercial real estate, territories and premises |
| UAB City Service Engineering | Lithuania | 100% | 100% | Commercial real estate management and building maintenance |
| UAB Energijos taupymo paslaugos | Lithuania | 100% | 100% | Energy saving solution services |
| UAB Kapitalo Sprendimai | Lithuania | 100% | 100% | PPP project company |
| UAB EPC projektai | Lithuania | 100% | 100% | Dormant |
| UAB Mano aplinka | Lithuania | 100% | 100% | Maintenance and cleaning of public territories and premises |
| UAB Mano bendrabutis | Lithuania | 100% | 100% | Administration of buildings |
| UAB Mano Būsto klientų patirčių centras | Lithuania | 100% | 100% | Client service center services |
| UAB Mano Būstas Alytus | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Aukštaitija | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Baltija | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Dainava | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Neris | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas NPC | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Kaunas | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Klaipėda | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Radviliškis | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Sostinė | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Šiauliai | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Ukmergė | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būstas Vakarai | Lithuania | 99.97% | 99.97% | Administration of dwelling-houses |
| UAB Mano Būstas Vilnius | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Mano Būsto priežiūra | Lithuania | 100% | 100% | Building maintenance |
| UAB Merlangas | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Nacionalinis renovacijos fondas | Lithuania | 100% | 100% | Administration of dwelling-houses renovation projects |
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| UAB Pastatų priežiūra | Lithuania | 100% | 100% | Building maintenance |
|---|---|---|---|---|
| UAB Pastatų valdymas | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Rinkų vystymas | Lithuania | 100% | 100% | Dormant |
| UAB Skolos LT | Lithuania | 100% | 100% | Debt collection services |
| UAB Šiaulių NT valdymas | Lithuania | 100% | 100% | Dormant |
| UAB Unitechna | Lithuania | 100% | 100% | Maintenance and construction of gasstations |
| UAB Monto EU | Lithuania | 100% | 100% | Administrator for rented properties |
| UAB Namų priežiūros tarnyba | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB Naujininkų ūkis | Lithuania | 100% | 100% | Administration of dwelling-houses |
| UAB GS-Servisas | Lithuania | 100% | 100% | Automated gates maintenance and installation |
| SIA BILANCE | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA BonoDomo | Latvia | 100% | 100% | Dormant |
| SIA Manas MĀJAS | Latvia | 100% | 100% | Holding company |
| SIA City Service Engineering | Latvia | 100% | 100% | Commercial real estate management and building maintenance |
| SIA Manas MĀJAS serviss | Latvia | 100% | 100% | Building maintenance |
| SIA Latvijas Namsaimnieks | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA Livonijas Nami | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA Namu serviss APSE | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA Manas MĀJAS 1 | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA Manas MĀJAS 2 | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA Manas Mājas Salnas 21 | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA Manas MĀJAS 3 | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA Manas MĀJAS Ventspils | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA Manas MĀJAS Tukums | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA Manas MĀJAS Jelgava | Latvia | 100% | 100% | Administration of dwelling-houses |
| SIA Nia Nami | Latvia | 100% | 100% | Administration of dwelling-houses |
| MONTO Sp. z o.o | Poland | 100% | - | Administrator for rented properties |
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1.5.
COMPANY'S SUPERVISORY BOARD
AS OF 31 MARCH 2026, THE SUPERVISORY BOARD OF THE COMPANY COMPRISES OF THE FOLLOWING PERSONS:
| Name and surname | Position | Start of term | End of term |
|---|---|---|---|
| Andrius Janukonis | Chairman of the Supervisory Board | June 21, 2023 | June 21, 2027 |
| Gintautas Jaugielavičius | Member of the Supervisory Board | June 21, 2023 | June 21, 2027 |
The Supervisory Board members do not own any shares of the Company.
Andrius Janukonis
Andrius Janukonis is the Chairman of the Supervisory Board of City Service SE. In 2004, he worked as a consultant to UAB "ICOR" and has since served as Chairman of the Board of the company. From 2009 to 2015, he was Chairman of the Board of AB "City Service".
Mr. Janukonis holds a Master's degree in Law.
Gintautas Jaugielavičius
Gintautas Jaugielavičius is a Member of the Supervisory Board of City Service SE. In 2004, he worked as a consultant to UAB "ICOR" and has since been a Member of the Board of the company. From 2009 to 2015, he served as a Member of the Board of AB "City Service".
Mr. Jaugielavičius holds a Bachelor's degree in Economics.
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1.6.
COMPANY'S MANAGEMENT BOARD
AS OF 31 MARCH 2026 AND AS OF DATE OF SUBMISSION OF THIS REPORT, THE MANAGEMENT BOARD OF THE COMPANY COMPRISES OF THE FOLLOWING PERSONS:
| Name and surname | Position within the Group | Start of term | End of term |
|---|---|---|---|
| Artūras Gudelis | Chairman of the Management Board | June 26, 2021 | June 26, 2029 |
| Vytautas Turonis | Member of the Management Board | June 26, 2021 | June 26, 2029 |
| Mindaugas Genys | Member of the Management Board | December 03, 2025 | December 03, 2029 |
| Aistė Cikanaitė-Jankauskė | Member of the Management Board | December 03, 2025 | December 03, 2029 |
| Giedrius Jakubauskas | Member of the Management Board | December 03, 2025 | December 03, 2029 |
| Tomas Sujeta | Member of the Management Board | December 03, 2025 | December 03, 2029 |
They do not own any shares of the Company.
Artūras Gudelis
Artūras Gudelis has been working within the ICOR group of companies since 2006 and has served as Chairman of the Management Board of City Service SE since 2017. From 2015 to 2017, he was a Member of the Supervisory Board of the Company.
Mr. Gudelis is responsible for performing the functions of the Chairman of the Management Board, ensuring the efficient organization of the Board's activities, and overseeing the implementation of strategic decisions. He ensures proper corporate governance of the Company, coordinates the activities of the Management Board, and contributes to the development and execution of the Company's long-term strategy.
His professional experience enables him to ensure the Company's sustainable development, transparency, and responsible management in the interests of shareholders and investors.
Mr. Gudelis holds a Bachelor's degree in Economics and a Master's degree in Business Administration.
Vytautas Turonis
Vytautas Turonis has been working within the Group since 2004, initially as Head of the Market Development Department, and subsequently held various managerial positions. Since 2017, he has been a Member of the Board of City Service SE and is currently responsible for the Baltic countries.
Mr. Turonis oversees the strategic and operational management of the Group's activities in Lithuania and Latvia. His responsibilities include operational planning and execution, supervision of financial performance, budget control, enhancement of operational efficiency, risk management, and ensuring compliance and sustainability.
Mr. Turonis holds a Bachelor's degree in International Business.
15
Mindaugas Genys
Mindaugas Genys has been working within the Group since 2007. He began his career as a Project Manager, later served as Head of the Klaipėda Region, and also led the Multi-Apartment Building Administration Department. Since 2023, he has been the CEO of the "Mano BÜSTAS" group of companies, and since 2025 – a Member of the Board of City Service SE.
Mr. Genys is responsible for the strategic and operational management of "Mano BÜSTAS." His responsibilities include operational planning and implementation, ensuring service quality and efficiency, supervision of financial results, budget control, improvement of organizational processes, coordination of team performance, and creation of long-term business value.
Mr. Genys has completed studies in history, theology, and business.
Aistė Cikanaitė-Jankauskė
Aistė Cikanaitė-Jankauskė has been working within the Group for 21 years and currently serves as Chief Executive Officer of City Service SE. During this period, she has gained significant experience in legal affairs, operational management, and the building maintenance services sector. Since 2025, she has been a Member of the Board of City Service SE.
Ms. Cikanaitė-Jankauskė is responsible for the legal, human resources, procurement, real estate, and fleet management functions across the Group. Her responsibilities include strengthening internal processes, increasing organizational maturity, and ensuring sustainable growth of the Group.
Ms. Cikanaitė-Jankauskė is an experienced executive with competencies in data analytics, strategic planning, business development, legal affairs, and sales management.
She holds a Master's degree in Law.
Giedrius Jakubauskas
Giedrius Jakubauskas joined the City Service SE group of companies in 2025 as Group Chief Financial Officer. He has extensive experience in financial management and has worked in companies operating in the building maintenance sector, as well as in corporate groups such as AB "Achema Group," "KIKA Group," and others. Since 2025, he has been a Member of the Board of City Service SE.
Mr. Jakubauskas is responsible for the overall financial management of the Group. His responsibilities include financial planning and control, budgeting and budget supervision, organization of accounting, and ensuring the efficiency of financial processes across all jurisdictions in which the Group operates.
Mr. Jakubauskas holds a Master's degree in Finance.
Tomas Sujeta
Tomas Sujeta has been working within the group of companies since 2006. He started his career as a Manager and later became Director of City Service Engineering. Since 2025, he has been a Member of the Management Board of City Service SE.
Within the Group, Mr Sujeta is responsible for commercial segment buildings. He oversees engineering operations management, ensuring the quality of technical solutions, service efficiency, and technological advancement across commercial real estate properties. His responsibilities include operational planning and implementation, coordination of engineering teams, process improvement, and the creation of long-term value for clients.
Mr Sujeta holds a Bachelor's degree in Law.
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1.7. ACTIVITY AND SEGMENT INFORMATION
INFORMATION ON MAIN GROUP'S OPERATING SEGMENTS (CONTINUED OPERATIONS):
| 2026 Q1 | Lithuania | Latvia | All other segments | Total |
|---|---|---|---|---|
| Revenue from contracts with customers: | 26 390 | 1 556 | 18 | 27 964 |
| Total revenue from contracts with customers | 27 964 | |||
| Segment results | 3 093 | (83) | 11 | 3 021 |
| Unallocated expenses | (592) | |||
| Cost of good sold | (19 414) | (1 062) | (15) | (20 491) |
| General and administrative expenses | (3 883) | (577) | 8 | (4 452) |
| Profit (loss) from operations | 2 429 | |||
| Net financial income (expenses) | (215) | |||
| Profit (loss) before income tax | 2 214 | |||
| Income tax expenses | (644) | |||
| Net profit (loss) for the year | 1 570 |
OTHER SEGMENT INFORMATION
| Capital expenditure | 585 | 16 | - | 601 |
|---|---|---|---|---|
| Non-current assets | 48 257 | 3 183 | (309) | 51 131 |
| 2025 Q1 | Lithuania | Latvia | All other segments | Total |
| --- | --- | --- | --- | --- |
| Revenue from contracts with customers: | 25 209 | 1 649 | - | 26 858 |
| Total revenue from contracts with customers | 26 858 | |||
| Cost of good sold | (18 164) | (944) | (19 108) | |
| General and administrative expenses | (4 354) | (582) | (4 936) | |
| Segment results | 2 691 | 123 | - | 2 814 |
| Unallocated expenses | (731) | |||
| Profit (loss) from operations | 2 083 | |||
| Net financial income (expenses) | (81) | |||
| Profit (loss) before income tax | 2 002 | |||
| Income tax expenses | (352) | |||
| Net profit (loss) for the year | 1 650 |
OTHER SEGMENT INFORMATION
| Capital expenditure | 2 225 | 2 | - | 2 227 |
|---|---|---|---|---|
| Non-current assets | 38 524 | 3 571 | 42 095 |
1.7. ACTIVITY AND SEGMENT INFORMATION (cont'd)
INFORMATION ON MAIN GROUP'S OPERATING SEGMENTS:
| Lithuania | Latvia | All other segments | Total | |
|---|---|---|---|---|
| Revenue from contracts from external customers | ||||
| 2026 Q1 | 26 390 | 1 556 | 18 | 27 964 |
| 2025 Q1 | 25 209 | 1 649 | - | 26 858 |
MAIN ACTIVITY INDICATORS FOR THE GROUP:
| 2026 Q1 | 2025 Q1 | Change | |
|---|---|---|---|
| Area of residential apartment buildings under administration (million square meters) | 10,5 | 10,2 | 3,4% |
| Area of public, commercial building and atypical properties under administration (million square meters) | 5,8 | 5,0 | 15,9% |
| Number of employees | 1 338 | 1 485 | (9,9%) |
| Sales for the period | 27 964 | 26 858 | 4,1 p.p. |
| Gross margin | 26,7% | 28,9% | (2,2) p.p. |
| EBITDA margin | 11,3% | 9,7% | 1,6 p.p. |
| EBIT margin | 8,7% | 7,8% | 0,9 p.p. |
| Net margin | 5,6% | 6,1% | (0,5) p.p. |
| Number of shares (thousand) | 31 610 | 31 610 | - |
| Return on equity | 4,5% | 5,4% | (0,9) p.p. |
| Return on assets | 1,5% | 1,7% | (0,2) p.p. |
| Financial Net Debt to equity* | 56,7% | 69,1% | (12,4) p.p. |
- Interest bearing debt (net of cash balance) to Shareholders' equity.
18
2. ACCOUNTING POLICIES
These financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS), as adopted by the European Union.
In the Interim Financial Statements same accounting policies and methods of computation are followed as compared with the most recent annual financial statements.
Interim Financial Statements are prepared in compliance with International Accounting Standard (IAS) 34 Interim financial reporting.
These Interim Financial Statements were authorized for issue on 29 May 2026 by responsible persons listed in the confirmation, which is attached to the Interim Financial Statements.
3. GOODWILL
| COST: | |
|---|---|
| Balance as of 1 January 2025 | 10 805 |
| Additions | 939 |
| Balance as of 31 December 2025 | 11 744 |
| Acquisitions of subsidiaries | - |
| Other movements | |
| Balance as of 31 March 2026 | 11 744 |
| IMPAIRMENT: | |
| Balance as of 1 January 2025 | 1 676 |
| Balance as of 31 December 2025 | 1 676 |
| Balance as of 31 March 2026 | 1 676 |
| Net book value as of 31 December 2025 | 10 068 |
| Net book value as of 31 March 2026 | 10 068 |
19
3. GOODWILL (cont'd)
During reporting period the Company through its subsidiary acquired MONTO Sp. z o.o.
| Fair value of assets, liabilities and contingent liabilities of acquired subsidiaries | MONTO Sp. z o.o. |
|---|---|
| At the date of acquisition | 28 January 2026 |
| --- | --- |
| Intangible assets | - |
| Property, plant and equipment | - |
| Trade receivables | 15 |
| Other non-current assets | - |
| Deferred tax asset | - |
| Other current assets | 352 |
| Total assets | 367 |
| Long term liabilities | - |
| Deferred tax liability | - |
| Trade payables | 12 |
| Other current liabilities | 36 |
| Total liabilities | 48 |
| Total identifiable net assets at fair value | 319 |
| --- | --- |
| Goodwill | 0 |
| Total purchase consideration | 309 |
| Cash acquired | 352 |
| Total purchase consideration, net of cash acquired | (43) |
20
4. SIGNIFICANT EVENTS
Investments and other changes during the three months of the year 2026
On 28 January 2026 the Group's subsidiary UAB "Monto EU" acquired "Santer SP. Z o.o" (acquisition price EUR 309 thousand), from unrelated party. "Santer SP. Z o.o" is engaged in rental properties management activities in Poland. At the moment of issuance of these financial statements Group's management was not able to obtain reliable financial information of the newly acquired company and evaluate fair value of net assets as at the acquisition. After the acquisition "Santer SP. Z o.o". is renamed to "MONTO Sp. z o.o".
On 30 January 2026 the Group signed an amendment to the cash pool loan agreement with Swedbank, AB in connection with the refinancing of the loan.
On 05 February 2026 the Group's subsidiary SIA "Multihouse" was merged with SIA "Livonijas Nami". Following the completion of the reorganization, SIA "Multihouse" ceased to exist as a separate legal entity, and all its rights and obligations were assumed by SIA "Livonijas Nami".
On 26 February 2026 the Group changed Latvian subsidiary company name SIA “Ēku pārvaldīšanas serviss” to SIA “Manas MĀJAS serviss”. Other contact details did not change.
21
5.
OTHER INTANGIBLE ASSETS
Movement of other intangible assets in 2026 Q1 and 2025 is presented below:
| Customer related intangibles | Computer software and other intangibles | Total | |
|---|---|---|---|
| COST: | |||
| Balance as of 1 January 2025 | 19 892 | 7 745 | 27 637 |
| Additions arising from acquisitions of subsidiaries | 1 518 | - | 1 518 |
| Additions | - | 1 992 | 1 992 |
| Disposals of subsidiaries | - | - | - |
| Disposals and retirements | - | (759) | (759) |
| Reclassifications | - | 2 | 2 |
| Balance as of 31 December 2025 | 21 410 | 8 980 | 30 390 |
| Additions arising from acquisitions of subsidiaries | - | - | - |
| Additions | - | 489 | 489 |
| Disposals and retirements | - | (3) | (3) |
| Disposals of subsidiaries | - | - | - |
| Reclassifications | - | (3) | (3) |
| Balance as of 31 March 2026 | 21 410 | 9 463 | 30 873 |
| ACCUMULATED AMORTIZATION AND IMPAIRMENT: | |||
| Balance as of 1 January 2025 | 6 716 | 765 | 7 481 |
| Charge for the period | 686 | 387 | 1 073 |
| Disposals and retirements | - | (759) | (759) |
| Discontinued operations | - | - | - |
| Balance as of 31 December 2025 | 7 402 | 393 | 7 795 |
| Charge for the period | 172 | 243 | 415 |
| Disposals of subsidiaries | - | - | - |
| Disposals and retirements | - | (3) | (3) |
| Reclassifications | - | (2) | (2) |
| Balance as of 31 March 2026 | 7 574 | 631 | 8 205 |
| Net book value as of 31 December 2025 | 14 008 | 8 818 | 22 654 |
| Net book value as of 31 March 2026 | 13 836 | 8 832 | 22 668 |
22
6. PROPERTY, PLANT AND EQUIPMENT
Movement of fixed assets in 2026 Q1 and 2025 is presented below:
| Buildings | Vehicles | Other property, plant and equipment | Total | |
|---|---|---|---|---|
| COST: | ||||
| Balance as of 1 January 2025 | 94 | 961 | 2 350 | 3 405 |
| Additions arising from acquisitions of subsidiaries | - | 22 | 19 | 41 |
| Additions | - | - | 550 | 550 |
| Disposals and retirements | - | (102) | (789) | (891) |
| Reclassifications | - | (55) | (2) | (57) |
| Balance as of 31 December 2025 | 94 | 826 | 2 128 | 3 048 |
| Additions arising from acquisitions of subsidiaries | - | - | - | - |
| Additions | - | - | 112 | 112 |
| Disposals and retirements | - | (31) | (186) | (217) |
| Reclassifications | - | - | 3 | 3 |
| Balance as of 31 March 2026 | 94 | 795 | 2 057 | 2 946 |
| ACCUMULATED DEPRECIATION: | ||||
| Balance as of 1 January 2025 | 94 | 867 | 1 584 | 2 545 |
| Charge for the year | - | (3) | 376 | 373 |
| Disposals and retirements | - | (78) | (727) | (805) |
| Additions arising from acquisitions of subsidiaries | - | - | - | - |
| Reclassifications | - | 2 | (2) | - |
| Balance as of 31 December 2025 | 94 | 788 | 1 231 | 2 113 |
| Additions arising from acquisitions of subsidiaries | - | - | - | - |
| Charge for the year | - | 21 | 104 | 125 |
| Disposals and retirements | - | (26) | (171) | (197) |
| Disposals of subsidiaries | - | - | - | - |
| Reclassifications | - | - | (9) | (9) |
| Balance as of 31 March 2026 | 94 | 783 | 1 155 | 2 032 |
| Net book value as of 31 December 2025 | - | 38 | 897 | 935 |
| Net book value as of 31 March 2026 | - | 12 | 902 | 914 |
8. RIGHT OF USE ASSETS AND LEASE
Effect to the consolidated statement of financial position as at 31 March 2026 and 2025:
| Buildings | Vehicles | Total | |
|---|---|---|---|
| ASSETS | |||
| Cost | |||
| Balance as of 1 January 2025 | 3 076 | 2 733 | 5 809 |
| Additions | 1 271 | 206 | 1 477 |
| Decrease related to lease modifications | (945) | (78) | (1 023) |
| Reclassification | - | 56 | 56 |
| Balance as of 31 December 2025 | 3 402 | 2 917 | 6 319 |
| Additions | - | - | - |
| Decrease related to lease modifications | - | - | - |
| Reclassification | - | - | - |
| Balance as of 31 March 2026 | 3 402 | 2 917 | 6 319 |
| Accumulated depreciation | |||
| Balance as of 1 January 2025 | 1 164 | 2 393 | 3 557 |
| Charge for the year | 698 | 137 | 800 |
| Decrease related to lease termination | (943) | (78) | (1 021) |
| Balance as of 31 December 2025 | 919 | 2 452 | 3 371 |
| Charge for the year | 181 | 4 | 185 |
| Decrease related to lease modifications | - | - | - |
| Balance as of 31 March 2026 | 1 100 | 2 456 | 3 556 |
| Right of use assets as of 31 December 2025 | 2 483 | 465 | 2 948 |
| Right of use assets as of 31 March 2026 | 2 302 | 461 | 2 763 |
Set out below are IFRS 16 impact to profit (loss) statement:
| 2026 Q1 | 2025 Q1 | |
|---|---|---|
| Depreciation expense of right-of-use assets | 185 | 193 |
| Interest expense on lease liabilities | 23 | 22 |
| Expense relating to leases of low-value assets (included in administrative expenses) | 108 | 94 |
| Other expenses relating to right-of-use assets | - | - |
| Profit (loss) from operations | 316 | 309 |
Group has no variable lease payments.
The Group had total cash outflows for leases of EUR 226 thousand as at 31 March 2026 (203 thousand as at 31 March 2025). The Group had EUR 0 thousand non-cash additions to right-of-use assets and lease liabilities as at 31 March 2026 (EUR 33 thousand as at 31 March 2025).
24
9.
TRADE RECEIVABLES
TRADE RECEIVABLES OF THE GROUP AS OF 31 March 2026 AND 31 DECEMBER 2025 WERE AS FOLLOWS:
| Balance as of 31 March 2026 | Balance as of 31 December 2025 | |
|---|---|---|
| Trade receivables, gross | 31 829 | 32 424 |
| Less: allowance for doubtful trade receivables | (4 823) | (5 220) |
| Trade receivables, net | 27 006 | 27 204 |
Trade receivables and other receivables generally have 30 - 90 days payment terms.
Non-current receivables mainly comprise of long-term part of receivables for residential buildings' repair works performed.
10.
BORROWINGS
BORROWINGS OF THE GROUP AND THE COMPANY AS OF 31 MARCH 2026 AND 31 DECEMBER 2025 WERE AS FOLLOWS:
| Currency | Balance as of 31 March 2026 | Balance as of 31 December 2025* | |
|---|---|---|---|
| CURRENT LOANS | |||
| Bank loans | EUR | 10 031 | 7 729 |
| CURRENT LOANS BALANCE | 10 031 | 7 729 | |
| NON-CURRENT LOANS | |||
| Bank loans | EUR | 18 801 | 19 406 |
| Less: current portion of non-current loans | (2 118) | (17 629) | |
| NON-CURRENT LOANS BALANCE | 16 683 | 1 777 |
For the loans and overdraft the Company has pledged to the bank the shares of UAB Mano büstas. Under credit agreement SIA City Service and UAB Mano büstas have provided surety for City Service SE.
- As of 31 December 2025 the Group exceeded amount of allowed investments stated in the loan agreement with the bank. As a result, bank borrowings in amount of EUR 15,508 previously classified as long-term have been reclassified to short-term. The breach and reclassification did not affect the Group's and the Company's cash flows or its ability to meet obligations, because subsequently to the reporting date, the Group received a waiver from the bank, dated as of 10 February 2026. As of 31 March 2026 the Group was in compliance with bank's covenants.
25
11. COST OF SALES
| 2026 Q1 | 2025 Q1 | |
|---|---|---|
| Services of subcontractors and materials used | 12 958 | 12 218 |
| Wages and salaries and social security | 7 255 | 6 883 |
| Cost of goods sold | 36 | 6 |
| Depreciation | 1 | - |
| Other | - | (3) |
| Total cost of sales | 20 250 | 19 104 |
12. GENERAL AND ADMINISTRATIVE EXPENSES
| 2026 Q1 | 2025 Q1 | |
|---|---|---|
| Wages and salaries and social security | 2 646 | 2 921 |
| Depreciation and amortization | 729 | 530 |
| Consulting and similar expenses | 371 | 395 |
| Advertising | 119 | 110 |
| Rent of premises and other assets | 108 | 94 |
| Commissions for collection of payments | 98 | 96 |
| Insurance | 79 | 119 |
| Representational costs | 66 | 54 |
| Office expenses | 66 | - |
| Computer software maintenance | 57 | 300 |
| Transportation | 55 | 69 |
| Taxes other than income tax | 39 | 94 |
| Bank payments | 33 | 29 |
| Business trips and training | 28 | 34 |
| Communication expenses | 25 | 26 |
| Utilities | 23 | 22 |
| Other personnel related expenses | 14 | - |
| Charity and support | 7 | 16 |
| Administrative costs | - | 5 |
| Other | 643 | 882 |
| Total general and administrative expenses | 5 206 | 5 796 |
26
13. OTHER OPERATING INCOME (EXPENSES)
| 2026 Q1 | 2025 Q1 | |
|---|---|---|
| Gain on disposal of property, plant and equipment | 2 | 3 |
| Income from rent | 5 | - |
| Fines and penalties | 32 | 28 |
| Other income | 23 | 14 |
| Total other operating income | 62 | 45 |
| 2026 Q1 | 2025 Q1 | |
| --- | --- | --- |
| Fines and penalties | (74) | - |
| Loss on disposal of property, plant and equipment | (1) | - |
| Other expenses | (15) | 2 |
| Total other operating expenses | (90) | 2 |
14. INTEREST AND OTHER FINANCE INCOME AND (EXPENSES)
| 2026 Q1 | 2025 Q1 | |
|---|---|---|
| Interest income | 130 | 203 |
| Foreign currency exchange gain (loss) | - | - |
| Gain (loss) on sale of investments | - | - |
| Other financial income | 4 | 216 |
| Total finance income | 134 | 419 |
| Interest (expenses) | (322) | (375) |
| Loss on sale of investments | - | - |
| Other financial (expense) | (20) | (125) |
| Foreign currency exchange gain (loss) | (7) | - |
| Total finance expenses | (349) | (500) |
| Financial activity, net | (215) | (81) |
15. DIVIDENDS PER SHARE
| 2026 Q1 | 2025 Q1 | |
|---|---|---|
| Number of shares (in thousand) | 31 610 | 31 610 |
| Approved dividends | - | - |
| Approved dividends per share | - | - |
16. RELATED PARTY TRANSACTIONS
The parties are considered related when one party has the possibility to control the other one or have significant influence over the other party in making financial and operating decisions. The related parties of the Group and the Company are considered the following:
- UAB Unit Invest – the ultimate parent of the Company;
- Subsidiaries and associates of UAB Unit Invest (same ultimate controlling shareholder);
- Associates of City Service SE subsidiaries (for the list of the associates, see also Note 1.4);
- A. Gudelis, V. Turonis (Company’s management board);
Transactions with related parties include sales and purchases of goods and services in the ordinary course of business and acquisitions and disposals of property, plant and equipment.
UAB Mano büstas and SIA City Service have provided surety for City Service SE to AB Swedbank under credit agreement. Companies are liable to the extent of all its assets to the Bank with respect to the same amount as the City Service SE. Shares of UAB Mano büstas are pledged to AB Swedbank well.
Payables and receivables between related parties are non-interest bearing. Receivables and payables payment terms between the related parties are up to 15-30 days, except for the dividends and loans, which are repaid in accordance to the legal and contractual requirements, respectively.
| 2026 Q1 | Purchases | Sales | Receivables and prepayments | Loans granted | Payables and advances received |
|---|---|---|---|---|---|
| UAB Medžiagų tiekimo centras | 34 | - | - | - | 18 |
| UAB Verslo finansavimo sprendimai | - | - | 2 318 | - | 1 628 |
| UAB ICOR | 149 | 62 | 78 | - | 93 |
| UAB Vandens parkas | - | 160 | 65 | - | - |
| Associates and other related parties | 203 | 309 | 2 523 | 7 711 | 112 |
| Total | 386 | 531 | 4 984 | 7 711 | 1 851 |
17. SUBSEQUENT EVENTS
On 07 April 2026 the Group's subsidiary UAB "Unitechna" was merged with UAB "City Service Engineering". Following the completion of the reorganization, UAB "Unitechna" ceased to exist as a separate legal entity, and all its rights and obligations were assumed by UAB "City Service Engineering".
On 05 May 2026 the Group's subsidiary UAB "Mano Būsto klientų patirčių centras" was merged with UAB "Mano Būstas". Following the completion of the reorganization, UAB "Mano Būsto klientų patirčių centras" ceased to exist as a separate legal entity, and all its rights and obligations were assumed by UAB "Mano Būstas".
On 05 May 2026 the Group's subsidiary UAB "Namų priežiūros tarnyba" was merged with UAB "Mano Būstas Kaunas". Following the completion of the reorganization, UAB "Namų priežiūros tarnyba" ceased to exist as a separate legal entity, and all its rights and obligations were assumed by UAB "Mano Būstas Kaunas".
On 06 May 2026 the Group's subsidiary UAB "Baltijos NT valdymas" was merged with UAB "Baltijos Transporto valdymas". Following the completion of the reorganization, UAB "Baltijos NT valdymas" ceased to exist as a separate legal entity, and all its rights and obligations were assumed by UAB "Baltijos Transporto valdymas".
On 06 May 2026 the Group changed Lithuanian subsidiary company name UAB "Baltijos Transporto valdymas" to UAB "Baltijos turto sprendimai". Other contact details did not change.
On 06 May 2026 UAB "Mano Būstas" sold UAB "Mano Bendrabutis" to UAB "Monto EU" (acquisition price EUR 30 thousand).
On 11 May 2026 the Group changed Latvian subsidiary company name SIA "Manas MĀJAS Salnas 21" to SIA "Manas MĀJAS Rīga". Other contact details did not change.
On 19 May 2026 the Group's subsidiary SIA "Manas MĀJAS 1", SIA "Manas MĀJAS 2" and SIA "Manas MĀJAS 3" was merged with SIA "Manas MĀJAS Rīga". Following the completion of the reorganization, SIA "Manas MĀJAS 1", SIA "Manas MĀJAS 2" and SIA "Manas MĀJAS 3" ceased to exist as separate legal entities, and all its rights and obligations were assumed by SIA "Manas MĀJAS Rīga".
29
City Service SE
Narea mmr. 5, 10117,
Talliny, the Republic of Estonia,
address in Lithuania:
Oso 40, 12A, LT – 05200 Vilnius,
Phone (+370 5) 2394900,
E-mail [email protected]
www.cityservice.eu