AS Tallinna Vesi’s net profit has decreased by 12.5% in the third quarter of 2015


The net profit for the 3rd quarter of 2015 was 5.10 million euros, decreasing by 0.73 million euros. The 12.5% drop compared to the 3rd quarter of 2014 is mainly caused by the increase in legal expenses and the negative change in the fair value of SWAP contracts.

Within the 3rd quarter, the sales revenues have increased by 6.3% to 14.08 million euros, compared to the same period in 2014. The sales of water and wastewater services was rather stable and the increase was mostly driven by higher pipeline construction and asphalting sales.

On 12th of October 2015, the Tallinn Administrative Court released the reasoning of the dismissal of AS Tallinna Vesi’s complaints on 5th of June 2015. Tallinn Administrative Court formed an opinion that the tariffs part of the Services Agreement, which has been deemed to be as a public law contract by the Estonian Courts in 2012, is not binding on the Competition Authority. AS Tallinna Vesi finds the opinion formed by the Court to be unfounded. AS Tallinna Vesi will prepare and file the appeal to the next court instance latest by 11th of November 2015. In parallel to and separate from the local tariff dispute an International Arbitration Proceedings are being held.