Warsaw stocks ended the week lower on Friday, with the WIG20 index down 1.85 percent and the broad WIG down 1.25 percent. Orlen shares fell 7.52 percent and DinoPolska shares dropped 6.15 percent as both companies released quarterly results. Modivo rose 5.25 percent.
Results disappoint in two names
Orlen reported third-quarter EBITDA LIFO of 14.78 billion zloty, against 8.9 billion a year earlier and a market consensus of 15.32 billion. DinoPolska posted net profit of 483 million zloty, close to 481.9 million a year earlier and slightly below the 484.5 million consensus.
Sobiesław Kozłowski, director of the investment advisory department at Ipopema Private Investments, said Orlen’s EBITDA LIFO was about 4 percent below expectations. He said that gap did not seem to explain such a sharp reaction. Orlen, in his view, is more closely tied to oil prices, and investors may be exiting liquid stocks, possibly partly taking profits.
Modivo gains on inventory pledge
Modivo rose despite a third-quarter EBITDA of 372 million zloty, below the 380.1 million consensus. Kozłowski said the shares were likely supported by management’s statement on releasing inventory worth about 1 billion zloty by the end of 2027. He questioned whether this would prove a lasting improvement.
Michał Krauze, a board member of DinoPolska, said the company aims to improve its gross margin in the fourth quarter. He added that the pace of improvement may slow, and that the priority remains winning sales volumes.
Wider markets weigh on sentiment
The session followed a sharp sell-off on Wall Street the previous day, when the Nasdaq fell 5.5 percent. Strong US non-farm payrolls data lifted expectations of a December Federal Reserve rate hike. The US 10-year yield moved below 5 percent. Investors also awaited an S&P rating review of Poland after the close, with concern about a possible cut to a negative outlook.
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