Grupa Pracuj, the parent company of a number of Eastern European job board brands, issued a profit warning today after it estimated that the fair value of shares in Beamery, which it holds a stake, decreased by approximately PLN 29.5 million (€6.8 million) against the valuation as of 31 December 2022.

In an announcement on Friday, the group said that in the course of preparation of the standalone and consolidated financial statements of the company (and its capital group) for the year ended on 31 December 2023, it determined that it is necessary to update the valuation of one of financial assets measured at fair value through profit or loss, i.e. shares in Beamery Inc.

Taking into the account the impact of the deferred income tax, the company estimates that the group's and company’s net financial result for year ended on 31 December 2023 will be decreased by approximately PLN 23.9 million (€5.5 million).

The value of the decrease in fair value of shares in Beamery will be recognised in financial costs for the year ending on 31 December 2023. Grupa Pracuj added that it will not affect the company's and group's ongoing operations, financial results from operations of the company and the group, as well as company's and group’s cash flows.

The decrease of fair value of shares in Beamery results from the reference of the valuation to the current multipliers used for valuing companies similar to Beamery and transactions on shares of such companies, as well as an appreciation of the exchange rate of Polish zloty to US dollar. The company added that it measures unlisted shares based on level 3 of the fair value hierarchy (based on International Financial Reporting Standards), consequently, valuation inputs are not based on observable market data. 

The values presented above are of an estimated nature and in connection with the audit of the Financial Statements for 2023 conducted by the audit firm, may be subject to change.

Grupa Pracuj said the final value of the net financial result of the company and the group for year 2023, as well as the value of the assets of the company and the Group as of 31 December 2023 will be presented in the financial statements for 2023, which are planned to be published on 4 April 2024.

Grupa Pracuj shares closed on Friday at PLN 70.00 (€16.24), up 6.38% on the day. The company has a market cap of PLN 4.60 billion (€1.06 billion).