INVL Technology, a company that invests in IT businesses, had equity of EUR 28.8 million at the end of the first quarter of this year, or EUR 2.37 per share. The latter figure decreased by 0.4% from the end of 2019. The value of the company’s financial assets at the end of the reporting period was EUR 25.9 million and was unchanged from the start of the year. INVL Technology’s net loss for the first quarter this year was EUR 0.1 million and decreased compared to the same period last year, when the net loss was EUR 0.3 million.

The aggregated revenues of the business holdings increased 0.3% in the first quarter this year compared to the same period of 2019, and was EUR 7.8 million, while the EBITDA increased 2.4 times to EUR 0.4 million.

“In the first quarter this year, most clients of INVL Technology’s businesses –governments, central banks, tax authorities– continued implementing projects that were begun. The activities of small and medium companies and trading companies in the non-food sector shrank due to the coronavirus pandemic, and that had an impact on a minor part of first-quarter revenues,” said Kazimieras Tonkūnas, INVL Technology’s managing partner. According to him, INVL Technology’s profitability in the first quarter was also reduced due to the ongoing development of proprietary products by one of the businesses, NRD CS. “INVL Technologyexpects a significant return starting in 2021,” Tonkūnas said.

During the first quarter, the businesses broadened the range of projects they are implementing. NRD CS, which works in the area of cybersecurity, signed contracts on a state cybersecurity capacity building project in Serbia as well as on a project of the European Investment Bank which aims to identify what investment projects or initiatives can be categorized as being in the field of cybersecurity.

In early April, NRD CS signed a contract with the European Union Agency for Cybersecurity (ENISA) on a project that aims to model an updated methodology for Computer Security Incident Response Team (CSIRT) and Security Operations Centre (SOC) creation. At Egypt’s central bank, NRD CS continued implementing a project to establish a cybersecurity team.

BAIP’s new projects should also be mentioned: a contract on maintenance services for critical IT infrastructure at the central bank of Burundi was renewed and a tender was won for the development of critical IT infrastructure at Burundi’s tax inspectorate. The company continued a project in Botswana involving scientific research on climate change monitoring and modelling as well as projects at Zanzibar’s tax authority and Rwanda’s central bank.

Andmevara AS, which together with Andmevara SRL is implementing a project for the digitization of Moldova’s real estate cadastre, began that project’s final phase. In April, Baltic International Bank announced the completion of a project to deploy a new internet banking system using Etronika’s ‘Banktron’ digital banking platform.

The activities of the businesses that are owned were also impacted early this year by limited possibilities of travelling. “After reorganizing their operating principles, the companies continue to perform international consulting projects remotely. Still, flight restrictions mean that new sales in foreign countries take longer. Considering these circumstances, we think that in the second quarter these changes may have a slightly negative influence, and if flight restrictions continue for a long time, that will have a bigger impact on the companies’ sales,” Tonkūnas said.

INVL Technology’s companies operate in three directions. Operating in the area of business climate improvement and e-governance is the Norwegian company NRD Companies AS with its subsidiaries: Norway Registers Development AS of Norway with a Lithuanian subsidiary, NRD Systems UAB and Etronika UAB of Lithuania, Norway Registers Development East Africa Ltd in Tanzania, Norway Registers Development Rwanda Ltd in Rwanda, NRD Bangladesh Ltd in Bangladesh, and the associate company Infobank Uganda Ltd in Uganda.

Working in the area of IT services and software is the Lithuanian company Novian UAB with its subsidiaries Zissor AS of Norway, BAIP UAB of Lithuania with its subsidiaries Andmevara Services OU in Estonia and Andmevara SRL in Moldova, and Algoritmu Sistemos UAB of Lithuania with its controlled companies Acena UAB in Lithuania and Andmevara AS in Estonia. Operating in the area of cybersecurity is NRD CS UAB.

In July 2016, INVL Technology began to operate as a closed-end investment company. Its management was assumed by INVL Asset Management – a part of Invalda INVL, one of the leading asset management groups in the Baltics. INVL Technology will operate as a closed-end investment company until 14 July 2026.