- Pepco’s third-quarter sales, excluding Poundland, reached €1.08 billion, marking a 7.7% year-on-year increase.
- The company’s like-for-like sales, excluding Poundland, grew by 2.6% in the third quarter.
- Overall 3Q revenue was €1.42 billion, slightly below the estimated €1.49 billion.
- Pepco added 50 new stores in the third quarter, which was below the estimated 63 new stores.
- The company plans to initiate a share buyback program of up to €50 million starting around July 17.
- Pepco’s gross margin improved by 180 basis points year-on-year in the third quarter.
- The business units, Pepco and Dealz, reported strong momentum, aligning with strategic objectives.
- The Pepco business is expected to achieve high single-digit year-on-year growth in revenues and underlying EBITDA for FY25.
- Dealz is estimated to report FY25 EBITDA of approximately €30 million.
- The group anticipates opening around 250 net new stores throughout FY25.
- Analyst recommendations for Pepco include 11 buys, 3 holds, and 2 sells.
A look at Pepco Group Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 2 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 2.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts are optimistic about the long-term outlook for Pepco Group as indicated by its Smart Scores. With a strong momentum score of 5, the company seems to be gaining traction in the market. While the value, dividend, growth, and resilience scores are all at a moderate 2, the high momentum score suggests that Pepco Group is catching the attention of investors and potentially poised for continued success.
Pepco Group N.V., a discount variety retailer operating across Europe, is showing signs of positive momentum in the eyes of analysts. Although its overall Smart Scores are mostly average, the high momentum score of 5 indicates that the company is experiencing notable growth and interest from the market. With a presence in various European countries, Pepco Group‘s ability to maintain this momentum will be key to its long-term success.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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