Listed fashion retail company LPP sees no grounds for changes in its dividend policy in the aftermath of implementing a write-off related to its former Russian unit Re Trading, the company’s CFO Marcin Bojko said.
“The write-off is not cash-based, it does not entail any cash outflows from the company. The company’s situation is comfortable, which can be seen in today’s results. We have sufficient amounts of resources for development, investments, including logistics capex,” Bojko told a teleconference.
“It will result from the analysis of the current situation, but we see no grounds to change anything in our dividend policy. We currently simply focus on pure business,” he added.
After the first three quarters of financial year 2025/26, the LPP Group reported PLN 783 mln (EUR 185.4 mln) net profit, PLN 3.05 bln EBITDA on PLN 16.65 bln revenue. A year earlier, net result amounted to nearly PLN 1.3 bln, EBITDA stood at PLN 2.97 bln on sales of PLN 14.52 bln.
Adjusted for the impact of the write-offs - receivables from the sale of the Russian business (PLN 823 million in the nine-month period), EBITDA for that period amounted to PLN 3.872 bln and the adjusted net profit was PLN 1.655 bln.
LPP’s dividend policy stipulates for payout out to shareholders at least 50 percent of stand-alone net profits and up to 70 percent of consolidated net profits.
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