Wawel (WWL) Q1 2026 earnings summary

Executive summary

• Net sales revenue for Q1 2026 was PLN 163.4 million, down 11% year-over-year, mainly due to lower sales volumes, especially in the discount segment.

• Operating profit rose 39% to PLN 25.5 million, and profit before tax increased 42% to PLN 31.8 million compared to Q1 2025.

• Net profit for Q1 2026 was PLN 21.0 million, up from PLN 17.8 million in Q1 2025.

• The company sold its shares in PSA "Lasoszczi" and received notice of termination of a major sales agreement with Jeronimo Martins Polska S.A., which accounted for nearly 20% of 2025 revenues.

Financial highlights

• Gross profit on sales increased 14% year-over-year to PLN 62.9 million.

• EBITDA rose to PLN 32.4 million (19.8% margin), EBIT to PLN 25.5 million (15.6% margin).

• Net cash flow from operating activities was PLN 69.2 million, up from PLN 42.9 million in Q1 2025.

• Cash at period end was PLN 193.3 million, up from PLN 131.1 million at the start of the quarter.

• Dividend of PLN 35.00 per share (PLN 45.2 million total) declared for payment in June 2026.

Outlook and guidance

• Cocoa bean prices declined 43% in Q1 2026, expected to remain favorable, potentially lowering production costs.

• The company is hedging about 50% of its 2027 cocoa needs via commodity swaps.

• Termination of the JMP agreement may negatively impact future sales; negotiations for new terms are ongoing.

• No public forecast for 2026 financial results has been issued.