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's activity report 2022

OÜ E-Betoonelement is engaged in providing construction solutions from reinforced concrete elements - designing solutions, manufacturing elements, transportation and installation at the construction site. The company is part of Consolis, the largest reinforced concrete product manufacturing group in Europe. Production takes place in Estonia in two factories, located in Harku and Tamsalu. OÜ E-Betoonelement has two subsidiaries, one in Latvia (Consolis Latvia SIA) and the other in Russia (OOO

Betonelement SPB), where business operations have been terminated and which is in liquidation.

Developments in the construction market and the concrete element industry in Estonia in 2022.

year

According to Statistics Estonia, construction companies built a total of 4.2 billion euros in 2022, of which buildings 2.8 billion and facilities 1.4 billion euros. Compared to 2021, 6% fewer buildings and 9% more facilities were built.

According to the Building Register, 6521 new living spaces were allowed for use, which is 3% less than a year earlier. The majority (65%) of new living spaces are in apartment buildings.

The majority of completed living spaces are located in Tallinn, followed by the municipalities around Tallinn and Tartu County. Last year, a building permit was issued for the construction of 6763 living spaces, which is about a quarter less than a year earlier.

977 non-residential buildings with a useful area of 666,800 square meters were allowed for use. Most of the new area was added to warehouse, industrial and commercial buildings. Compared to a year earlier, both the area and volume of non-residential buildings allowed for use increased.

Last year, a building permit was issued for the construction of 955,000 square meters of non-residential buildings, which is 22% less than in 2021.

According to Statistics Estonia, 282 thousand m³ of reinforced concrete products were produced in 2022.

This is 2 thousand m³ less than in 2021. According to the data of the Estonian Association of Building Materials Producers (based on the statistics of the association's members), the volume of wall element production decreased by 3%, the volume of floor panel production decreased by 0.3%, the volume of frame element production increased by 8% and the volume of other reinforced concrete product production decreased by 13%. The export of reinforced concrete products continues to play an important role, especially in terms of wall elements.

The market developments were strongly influenced by the war that broke out in Ukraine, as a result of which several raw material supply chains no longer worked and new ones had to be found. This caused a temporary deficit, which led to a sharp increase in input prices for production.

In the second half of the year, prices changed in different directions. The prices of most raw materials continued to rise due to the rapid increase in energy prices. The exception was the price of steel, which