VRG (VRG) Q4 2025 earnings summary

Executive summary

• Revenue increased by 9.4% year-over-year to PLN 1,504.8m, with net profit up to PLN 98.2m from PLN 86.9m in 2024, driven by improved operational performance, especially in the apparel segment.

• EBIT rose 9.3% to PLN 137.6m, and EBITDA grew 5.2% to PLN 273.6m, reflecting higher sales and cost discipline.

• The Group completed the acquisition of Lilou, expanding the jewelry segment and diversifying its brand portfolio.

• The Group maintained a strong balance sheet, with net debt/EBITDA at 1.1 and significant liquidity improvement.

Financial highlights

• Apparel segment revenue rose 8.0% to PLN 652.5m, with gross margin up 1.3pp to 60.1%.

• Jewelry segment revenue increased 10.6% to PLN 852.3m, though gross margin declined 0.7pp to 52.2%.

• Net cash from operating activities reached PLN 252.4m, up from PLN 98.3m in 2024.

• Net profit per share was PLN 0.42, up from PLN 0.37 year-over-year.

• No dividend was paid for 2024; profit was allocated to reserves to support growth and investments.

Outlook and guidance

• The Group targets continued revenue and margin growth in 2026, focusing on operational efficiency, further development of omnichannel, and expansion of the jewelry segment, especially Lilou.

• Planned investments for 2026 are estimated at PLN 56.4m, mainly for store network development and digital infrastructure.

• The Group expects to operate on 53,735 m2 of retail space by end-2026, with a focus on selective expansion and optimization.