Polish fashion group LPP shines as Q1 earnings beat expectations

LPP SA

12/06/2025 08:38

** Shares in LPP LPPP.WA rise more than 5% after Poland's biggest fashion retailer reported Q1 results above market expectations

** The company's net profit in the first quarter came in at 334 million zlotys ($90.37 million) versus analyst forecasts of 246 million zlotys

** "EBITDA and EBIT were 7% and 20% above consensus, respectively, with net profit 33% above expectations," says Grzegorz Kujawski, analyst from Trigon DM

** "Revenues were comparable to our estimates (...) but unlike Q4, the positive surprise came from cost discipline," Kujawski adds, noting that selling, general and administrative expenses (SG&A) were 340 basis points lower than expected

** Analyst Piotr Bogusz from Erste Group flags that despite a weak start to Q2'25/26, sales momentum accelerated significantly after June 4, and views potential share price declines as a buying opportunity

** LPP shares sit at the top of Warsaw blue chip index  WIG20 .WIG20 and are among best STOXX .STOXX performers

** The stock is on track for its best day in four months

($1 = 3.6961 zlotys)

 (Reporting by Marta Maciag)

 ((Marta.Maciag@thomsonreuters.com))