Hotel and Tourism Company Primorje AD Tivat reported net profit of 88,485 euros for the first nine months of 2026, down 88.6% from the same period a year earlier, as operating expenses rose to 3.14 million euros. The figures, covering January through the end of September, come from the company’s financial report and show profit falling despite higher operating revenue.
Operating revenue increased by about 5.8% to 3.35 million euros from 3.16 million euros in the first nine months of 2025. Expenses rose faster, climbing by about 33.5% to 3.14 million euros from 2.35 million euros. The resulting operating profit fell to 207,800 euros from 811,000 euros, according to the report.
The company’s net profit in the comparable 2025 period was 776,278 euros. Its financial expenses increased to 122,700 euros from 81,200 euros, while financial income declined to 3,400 euros from 46,400 euros. The report identified higher operating costs, particularly personnel expenses and depreciation, alongside the weaker financial result, as factors that significantly affected profitability.
Costs and balance sheet
Personnel expenses, including salaries, salary compensation and other personal costs, rose by about 38% to 1.54 million euros from 1.11 million euros. Depreciation and provisions increased by about 42% to 1.05 million euros from 743,300 euros. The cost of goods sold was 514,100 euros, compared with 477,600 euros in the corresponding period of 2025.
Primorje’s total assets stood at 31.67 million euros at the end of September, up about 5.4% from 30.05 million euros a year earlier. Fixed assets increased to 26.76 million euros from 23.33 million euros, including property, plant and equipment valued at 17.44 million euros. Securities rose in value to 9.22 million euros from 6.06 million euros, while current assets declined to 4.90 million euros from 6.72 million euros.
Cash and cash equivalents reached 1.19 million euros at the end of September 2026, compared with 328,600 euros at the same date in 2025. Total liabilities increased by about 59% to 5.98 million euros from 3.77 million euros. Long-term loans, the largest component of liabilities, rose to 4.60 million euros from 2.40 million euros.
Equity and reserves were 25.68 million euros, down from 26.28 million euros in September 2025. Net debt increased to 3.51 million euros from 2.23 million euros, and the net debt-to-equity ratio rose to 13.68% from 8.5%. Primorje had 64 employees at the end of September 2026.
The company operates Hotel Palma in Tivat and is the majority owner of Centar Igalo, whose business includes the Palmon Bay & Spa hotel in Igalo. Its management said it was committed to continuing operations and investment activity, planning financial indicators and maintaining business continuity. The report listed price, credit, interest-rate and liquidity risks as the company’s most important financial risks.
