Q2 2026 Operating Results: Focus on Liquidity, 3x Growth in Premium Segment

Cash collections rose 10% thanks to an increase in the share of transactions paid in full and selective asset monetisation; the high-price segment remains resilient

IPJSC Etalon Group (“Etalon Group” or the “Company”), one of Russia’s largest development and construction companies, announces its unaudited operating results for the second quarter and first half of 2026, based on management accounts.

• Etalon Group continues to focus on increasing cash collections. Collections rose by 10% year-on-year in 2Q 2026 and by 27% year-on-year in 1H 2026 thanks to the prioritisation of fully paid transactions, collections under previously signed contracts, sales of commercial properties and selective monetisation of the land bank.

• The Company is adjusting the volume of new project launches in response to shifts in market demand, enabling it to manage the pace of investment more effectively and preserve liquidity.

• The focus is shifting to the capital regions and segments with the most resilient demand:

  • Sales of residential and commercial property in the Moscow metropolitan area, a key market for the Company, demonstrated strong momentum in 2Q 2026, rising by 39% year-on-year in terms of floor space and by 13% year-on-year in monetary terms

  • Etalon Group continues to expand its premium offering, where demand remains stable despite market volatility. This focus supported an 7% increase in the average selling price of residential property across the entire portfolio in 1H 2026.

2Q 2026 operating highlights:

• The Company sold 118 ths sqm (+14% year-on-year) for RUB 23.2 billion (-7% year-on-year due to the substantial volume of commercial properties and non-core assets in the 2Q 2026 sales mix). Excluding non-core assets, sales declined by 11% in terms of floor space and by 13% in monetary terms.

• Cash collections reached RUB 23.7 billion (+10% year-on-year), outpacing sales in both absolute and relative terms. Excluding non-core assets, cash collections from sales of residential and commercial property amounted to RUB 22.0 billion (+2% year-on-year). The increase in collections was driven by a rise in the combined share of transactions involving 100% upfront payment or a mortgage to 70% of sales (+18 p.p. year-on-year), as well as collections under previously signed contracts.

• The premium segment accounted for 8% of the value of new contract sales, up from 2% in 2Q 2025. Sales at Etalon Group’s premium projects increased 3.4x in monetary terms.

• Sales in the capital region recorded double-digit growth, increasing by 39% year-on-year in terms of floor space and by 13% year-on-year in monetary terms. The stronger growth in terms of floor space was attributable to the sale of 18 ths sqm of standalone commercial properties, which have a lower market price per sqm than residential property; steady demand at the flagship Shagal project also provided considerable support.

• Sales in other regions remained flat year-on-year, as a decrease in the number of new launches was offset by a temporary uptick in mortgage-backed sales at several projects. Sales in St Petersburg declined by 60% as available supply gradually contracted, with completed inventory sold down and limited floor space available in the high-price segment.

• The average selling price of residential property increased by 6% to RUB 305 ths per sqm.

• The Company delivered 90.3 ths sqm of real estate, 73% of which was in Moscow.

Quarterly operating results:

1H 2026 operating highlights:

• Total sales amounted to 208 ths sqm and RUB 47.9 billion, including non-core assets.

• The premium segment accounted for 9.6% of the value of new contract sales, up from 3% a year earlier. Sales of premium property increased by 117% in terms of floor space and by 141% in monetary terms.

• Cash collections rose by 27% to RUB 50.3 billion, including proceeds from sales of non-core assets, while collections from sales of residential and commercial property increased by 23% to RUB 48.6 billion.

• The average selling price of residential property increased by 7% to RUB 321 ths per sqm.

• Delivery volumes doubled to 326.8 ths sqm.

1H 2026 operating results:

[1] Land plot area, sqm

[2] Land plot area, sqm

This and other recent announcements are available on the Etalon Group website:
https://www.etalongroup.com/en/news/.

About Etalon Group

Founded in 1987, today Etalon Group is one of the leading nationwide players in Russia’s development and housing construction sector. The Company develops real estate projects for the middle class in Moscow, the Moscow region and St Petersburg. The Company has been actively developing in eight regions across Russia since 2021, with large-scale projects under way in Omsk, the Novosibirsk region, Ekaterinburg, Tyumen and Kazan. With 38 years of successful operations and ongoing regional expansion, the Company remains one of the largest players in the Russian real estate market. Since its foundation, Etalon Group has delivered 9.7 mln sqm of real estate.

Thanks to its integrated business model, Etalon Group creates added value for customers and shareholders at every stage of development, from land plot analysis and acquisition to the operation and maintenance of existing properties. Etalon Group employs more than 6,000 people.

Etalon Group’s total assets comprise 42 projects under development, unsold inventory at completed residential complexes and commercial properties, with total unsold NSA of 5.5 million sqm, as well as a construction and maintenance division. According to Nikoliers, the value of Etalon Group assets as of 31 December 2025 was RUB 318 billion.

In 2025, Etalon Group’s new contract sales totalled 671 ths sqm, or RUB 153.5 billion.

The Company’s revenue in 2025 amounted to RUB 154 billion, with EBITDA of RUB 31 billion.

Etalon Group shares are traded on the Moscow Exchange (ticker ETLN) and have been included in the Level 2 quotation list since September 2025.