LPP (LPP) Q3 25/26 earnings summary

Executive summary

• Q3 2025 revenue reached PLN 6.1 billion, up 22% year-over-year, with 4.3% like-for-like sales growth and Sinsay as the main growth engine.

• EBITDA rose 48%, EBIT 61%, and adjusted net profit 39% YoY, reflecting improved profitability and operational efficiency.

• 232 new stores opened in Q3, mainly Sinsay, bringing the total to nearly 3,500 stores and Sinsay stores to over 2,000.

• E-commerce sales grew 22% YoY in constant currency, now 27.4% of group revenues, with omnichannel up 32% during Black Week.

• Over PLN 1.2 billion in dividends paid, with a yield around 4% and a second tranche of PLN 330 per share in October.

Financial highlights

• Q3 sales reached PLN 6.1 billion, EBITDA PLN 1.7 billion, EBIT PLN 1.2 billion, and adjusted net profit PLN 800 million.

• Gross profit margin improved to 57.6%, aided by favorable FX rates and fewer promotions.

• SG&A costs rose 13.5% YoY, but per m² fell 9% YoY due to automation and lower marketing spend.

• Inventory per square meter dropped significantly, improving working capital.

• Online sales in Q3 2025 grew 20.7% YoY, representing 27.4% of total sales.

Outlook and guidance

• FY2025 guidance: at least PLN 23–23.5 billion in sales, 20% growth in both online and offline, gross margin 54.5–55%, OPEX 40.5–41% of sales, and net debt at 1.1x.

• FY2026 targets: at least PLN 28–29 billion in sales, EBITDA margin 22–23%, CapEx PLN 2.6 billion, and lower logistics spending.

• 350–400 new stores planned for Q4, mostly Sinsay, with floorspace to increase 25–30% in 2025.

• 2027 revenue target set at minimum PLN 33 billion, with continued dividend growth.