Polish grocery chain Dino Polska reported second-quarter 2026 earnings per share of $0.41, beating analyst estimates of $0.3909 by 4.9%, while revenue of $9.53 billion fell short of the $9.60 billion forecast by 0.7%.
The Warsaw-listed retailer’s shares rose 5.8% to $34.16 following the results, extending gains from the prior session. The company’s market capitalization stands at $4.15 billion, with a trailing price-to-earnings ratio of 5.93 and a dividend yield of 7.09%.
Like-for-like sales growth decelerated to 0.3% in the quarter, down from 2.2% in the first half of 2026, as food price deflation weighed on performance. Fresh product prices declined by around 6 percentage points, while regular grocery items saw deflation of approximately 4.5%, compounding the impact of a shift in the Easter holiday calendar, which fell earlier in 2026 compared to 2025.
EBITDA for the quarter totaled 665 million zlotys, a 2.2% year-over-year increase, though the EBITDA margin contracted to 7.0% from a higher prior-year level. Operating cash flow remained flat at 770 million zlotys, while capital expenditures reached 980 million zlotys in the first half of the year.
Dino Polska opened 86 new stores in the second quarter, bringing its total network to 3,176 locations, a 12% increase from a year earlier. The company plans to accelerate store openings in 2026, targeting a low- to mid-teens percentage increase over the 340 stores added in 2025.
Management highlighted labor cost pressures, noting wage increases of 300 zlotys implemented in April and ongoing staffing challenges in distribution centers. CFO Michał Krauze emphasized a focus on volume growth to drive sales, while acknowledging that improving supplier terms could support profitability in the longer term. He also projected a recovery in like-for-like sales in the second half of the year.
The company’s financial health score, as rated by InvestingPro, stands at 3.09 out of 5, described as "great."
