Major businessman Margus Linnamäe's MM Grupp turnover falls abruptly in 2024
The turnover of Margus Linnamäe's MM Grupp fell from €938 million to €379 million in a year, due to structural changes including the separation of drug wholesaler Magnum.
MM Grupp's most recent financial year, which began on May 1, 2024 and ended this April, was marked by overall economic stagnation, interest rate cuts by the European Central Bank and ongoing geopolitical uncertainty, according to the group's annual report.
Key transactions during the year included investments in forest and farmland, the sale of shares in Skypark SIA and Theatrical Film Distribution OÜ and the acquisition of additional stakes in Apollo Grupp OÜ and Lido AS.
While the group's turnover in the previous financial year stood at nearly €938.5 million, it dropped to about €377.5 million this past year — a decline of roughly 2.5 times. The group attributed this steep fall to structural changes.
Specifically, as of January 1 last year, Magnum AS and Happytheka Oy were separated from MM Grupp. In the process, a portion of MM Grupp's assets was transferred to MM Pharma OÜ, which is not part of the group but is also owned by Margus Linnamäe.
As a result of the split, the group's assets, liabilities and equity all decreased. MM Grupp reported total assets of €665 million and liabilities of €325 million.
Looking at turnover by sector, revenue grew in areas such as food services, sales of medical and laboratory equipment, journalism subscriptions, intellectual property services, social care services and green energy.
However, revenue declined in catering, broadcast production and advertising services, film exhibition and the production of newspapers and other printed materials.
Revenue from retail and wholesale of veterinary supplies, as well as veterinary clinics, totaled €43.8 million in the previous financial year but dropped to zero last year. This is due to Linnamäe's sale of the Petcity pet supply chain to Musti Group, the largest pet services corporation in the Nordics.
Turnover in the retail and wholesale of computers and electronics also fell sharply — from €87.8 million to €4.3 million. This was the result of the group's sale of iDeal Group AS in February of last year.
MM Grupp reported a net profit of approximately €5.4 million, down from nearly €7.9 million the year before.
The group generated the majority of its revenue in Estonia, followed by Latvia, Lithuania and Finland.
In the 2024–2025 period, MM Grupp acquired the operations of the Viljandi cinema and took minority stakes in Apollo Grupp, Apollo Film Productions, KM Properties SIA and Lido AS. Following these transactions, the group became the full owner of Apollo Grupp, Apollo Film Productions and KM Properties SIA, while its stake in Lido rose to 96 percent.
In the same financial year, the group sold the companies Hallistemaa OÜ, Alex-Agro OÜ, SIA APL Skypark, Theatrical Film Distribution OÜ and Vao Põldur OÜ. It also sold a 50 percent stake in Target Master OÜ, which is now classified as an associate company.
The group also established a new company, PoCo Experience OÜ, in which it holds a 50 percent stake.
MM Grupp employed a total of 3,820 people: 2,072 in Estonia and 1,323 in Latvia. The group's total labor costs amounted to €118.2 million.
The group opted not to distribute dividends and instead retained its net profit for the year. As of the end of April, MM Grupp's retained earnings totaled €30 million.
During the past financial year, MM Grupp operated in sectors including real estate investment, media and advertising, solar energy, software development, film distribution, food service, entertainment, food production, agriculture, retail and the sale and servicing of used Apple devices.
--
Editor: Karin Koppel, Marcus Turovski
