TKM Group Completes Acquisition of Rohe Auto AS and SKO Motors OÜ

Why It Matters

The strong car‑segment performance offsets weakness in food retail, positioning the company as a leading automotive dealer in the Baltics and signaling a shift in revenue mix toward higher‑margin vehicle sales.

Key Takeaways

• Car segment sales rose 49.6% to €55.8 m ($61 m).
• Supermarket revenue fell 4% to €142.4 m ($155 m).
• Net loss narrowed to €4.7 m ($5.1 m) YoY.
• Acquired Rohe Auto and SKO Motors, expanding Baltic Škoda footprint.
• Security segment returned to profit, earning €0.01 m ($0.01 m).

Pulse Analysis

The first‑quarter results reflect a Baltic retail landscape still feeling the strain of higher utility bills, a chilly winter and geopolitical uncertainty in the Middle East. Consumer discretionary spending has softened, which hit Selver supermarkets hard – sales slipped 4% and the segment posted a pre‑tax loss. Yet the Group’s focus on operational efficiency, such as the rollout of the Relex inventory system and CO₂‑based refrigeration, helped contain costs despite rising energy prices.

The standout driver was the car trade division, where revenue surged 49.6% to €55.8 million (≈$61 million) and pre‑tax profit more than tripled. The March consolidation of Rohe Auto AS and SKO Motors OÜ added 1,499 new vehicle sales and made the Group the largest Škoda dealer across the Baltics. A broader market rebound, aggressive discounting and a push toward electric‑vehicle models, especially KIA‑Škoda hybrids, amplified margins even as pricing pressure persisted. This rapid expansion positions the company to capture a larger share of the region’s accelerating automotive demand.

Looking ahead, the Group’s strategic investments – a new body‑shop in Peetri, additional Selver store openings, and sustainability initiatives like paper‑less administration – aim to diversify growth beyond automotive. However, lingering macro risks, including energy cost volatility and cautious consumer sentiment, could temper future retail performance. Investors will watch whether the higher‑margin car segment can sustainably offset the slower‑growing supermarket business and improve the overall profitability trajectory.

Deal Summary

In March 2026, TKM Group completed a strategic investment, acquiring the Estonian car dealer Rohe Auto AS and its subsidiaries SKO Motors OÜ and SKO Motors Kinnisvara OÜ. The acquisition expands the Group’s car segment in Estonia and the Baltics, making it the largest Škoda dealer in the region. The deal was disclosed in the Group’s Q1 2026 interim financial results.