Fabryka Farb i Lakierów Sniezka (SKA) Q2 2025 earnings summary

Executive summary

• H1 2025 sales revenue was PLN 380.3 million, down 5.5% year-over-year, with EBITDA at PLN 66.5 million (-1.3% y/y), EBIT at PLN 47.4 million (-2.8% y/y), and net profit at PLN 31.3 million (-1.4% y/y).

• Market share increased slightly in Poland, remained stable in Ukraine, and decreased in Hungary; all markets saw revenue declines.

• Profitability was maintained across all levels despite a challenging macroeconomic environment, currency fluctuations, and geopolitical uncertainty, especially the ongoing war in Ukraine.

• Dividend of PLN 3.00 per share (PLN 37.85 million total) paid in June 2025 from 2024 earnings.

Financial highlights

• Gross margin improved to 49.9% (+1.5 p.p. y/y); EBITDA margin rose to 17.5% (+0.8 p.p. y/y); EBIT margin at 12.5% (+0.4 p.p. y/y); net profit margin at 8.2% (+0.3 p.p. y/y).

• Net debt/EBITDA ratio improved to 1.69 from 2.08 a year earlier.

• Q2 2025 revenue was PLN 208.1 million (-9.7% y/y), with net profit at PLN 20.5 million (-3.3% y/y).

• Cash and cash equivalents at period end were PLN 33.6 million.

• Total assets at PLN 816.9 million (-6.9% y/y); equity at PLN 387.2 million (+7.9% y/y); liabilities at PLN 429.7 million (-17.2% y/y).

Outlook and guidance

• Strategic goals for 2028 include net profit of PLN 1.1 billion, EBITDA margin of 18%, and market share above 20% in key markets.

• Dividend policy targets 50% payout of consolidated net profit until net debt/EBITDA falls to 1x.

• External factors such as GDP growth, inflation, consumer sentiment, exchange rates, raw material markets, and geopolitical risks will impact future performance.