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Pepco Group (PCO) investor relations material
Pepco Group Q1 2026 TU earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q1 FY26 group revenues rose 4.3% year-over-year at constant currency to €1.4 billion, driven by strong Pepco performance and partially offset by the planned exit from FMCG and softer Dealz results.
Like-for-like (LFL) group revenues excluding FMCG increased 3.3%, with Pepco LFL up 4.2% and Dealz LFL down 7.7%.
51 net new stores were opened in Q1, all under the Pepco brand, expanding the total store count to 4,410.
Financial highlights
Group gross margin improved by 360bps year-over-year, reaching 49.4%, despite continued price investments.
Pepco revenue grew 5.2% year-over-year at constant currency, while Dealz revenue declined 6.2%.
December trading was particularly strong, especially in Western Europe, which saw double-digit LFL revenue growth (excluding FMCG).
Outlook and guidance
FY26 revenue growth is expected at 6% to 8%, with the FMCG exit estimated to reduce full-year growth by about two percentage points.
Underlying EBITDA (IFRS 16) is projected to grow at least 9% year-over-year, despite €25m–€35m in transformation costs.
Underlying net earnings growth is expected to exceed 25% year-over-year, supported by higher EBITDA, lower interest costs, and an improved tax rate.
Guidance for FY26 remains unchanged.
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