Poland’s leading e-commerce platform, Allegro, announced on Thursday its anticipation of a substantial 20%-23% year-on-year increase in earnings for the crucial holiday quarter. This optimistic outlook follows the platform’s impressive third-quarter performance, where core profits surpassed expectations.
In the Polish market, Allegro’s adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) experienced a notable 32.4% rise, reaching 778 million zlotys ($191.7 million), exceeding the company-compiled consensus of 760 million zlotys.
Allegro’s CEO, Roy Perticucci, highlighted the shift in consumer spending patterns, noting a decrease in big-ticket item purchases but an overall increase in spending on the platform compared to the previous year.
Looking ahead, Allegro has strategic plans for market expansion, with launches scheduled in Slovakia, Hungary, Slovenia, and Croatia for the coming year, building on the successful marketplace introduction in the Czech Republic earlier this year.
In the reported quarter, Gross Merchandise Value (GMV), a key industry metric measuring transaction volumes, saw a significant 10.5% rise in Poland, reaching 13.3 billion zlotys. Allegro projects a continued growth in GMV, expecting a 9%-11% increase in the fourth quarter.
The platform also reported a consistent growth in the number of active buyers in Poland, reaching 14.5 million, marking the sixth consecutive quarter of expansion.
Allegro noted that its home operations in Poland have returned to low double-digit growth in the initial weeks of the fourth quarter, rebounding from a dip at the end of the previous quarter. Additionally, the company reported a promising start to its Black Week campaign.
This positive momentum underscores Allegro’s position as the go-to online shopping platform in Poland and sets an optimistic tone for its performance in the upcoming holiday season.
