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Highlights

  • Panmure issued a Buy rating on Baltic Classifieds Group PLC.
  • Berenberg also maintained a Buy rating on the company.
  • BCG reported 15% revenue growth to €82.8 million in FY25.
  • The Group returned €29.4 million to shareholders through dividends and buybacks.

Baltic Classifieds Group PLC (LSE:BCG), a leading online classifieds operator in the Baltics, has received positive coverage from multiple brokers. Panmure has issued a Buy rating, while Berenberg has also maintained a Buy rating on the stock.

The average target price assigned by analysts stands at AUD 7.47 (GBp 366.2), which represents a 24.77% potential upside from the latest share price of GBp 293.5 (AUD 5.96).

Financial Performance

For the year ended 30 April 2025, Baltic Classifieds reported revenue of €82.8 million, up 15% from €72.1 million in 2024. Growth was driven by the company’s two core revenue streams—B2C and C2C classifieds—which together accounted for 90% of total revenue, increasing 17% and 13% respectively.

EBITDA rose 17% to €64.4 million (2024: €55.3 million), with margins expanding to 78%. Operating profit increased 40% to €53.5 million, compared to €38.3 million in the prior year. Net profit for FY25 climbed 40% to €44.8 million, supported by revenue growth and operational efficiency.

Basic EPS rose 42% to 9.3 € cents, while adjusted basic EPS grew 23% to 11.3 € cents.

Balance Sheet and Capital Management

The Group voluntarily repaid €25 million of debt, reducing gross loans to €25.0 million from €50.0 million in 2024. Net debt was reduced to €3.6 million, compared with €27.5 million a year earlier, resulting in a Net debt/EBITDA ratio of just 0.1x.

Cash generated from operations rose 13% to €66.8 million, maintaining a 99% conversion rate.

In terms of capital returns, the company distributed €29.4 million to shareholders in FY25 through dividends (€15.9 million) and share buybacks (€13.5 million). The Board has proposed a final dividend of 2.6 € cents per share, up from 2.1 € cents in 2024, bringing the full-year dividend to 3.8 € cents per share.

Strategic Developments

BCG enhanced its product offering with the acquisition of Untu.lt, an automated property valuation tool and lead generation platform for agents. This acquisition, completed at the end of FY25, is aimed at improving data-driven services and increasing transparency in the real estate market.

The company also reported broad-based growth in customer numbers and advertisement volumes, supported by a favorable macroeconomic environment in the Baltic region.