WIG20 and WIG were the best indices in Europe on Thursday. The price of dinosaurs has reached a new historical high.
Warsaw Stock Exchange indices started the new month with strong growth. The shares of Dino (6.22%) and LPP (3.92%) grew the most. The price of Dino today set a new all-time high of PLN 443.50 per share, as a result of which the company is already worth more than PLN 43 billion on the stock exchange. Only PKN Orlen is worth more in WIG20 (over PLN 72 billion).
Will Dino take over the smaller players?
Dino can still surprise its investors. The Wiadomości Handlowe website quoted a company management statement that “in exceptional cases, the company may consider acquiring small businesses with an additional area of activity in relation to Dino Polska.” They added that “the purpose of such acquisitions, on a small scale, could be, in particular, to accelerate the development of the Dino Group by expanding the product offering, improving commercial conditions or launching new sales channels, including e-commerce.”
The company’s authorities do not specify which smaller companies may be the target of the acquisition.
How is the Dino brand growing?
WH also determined that Dino is moving closer to making a decision to launch a mobile app and loyalty program that would allow the company to get more consumer data.
The company opened 123 stores in 2016, 147 in 2017, 202 in 2018, 243 in 2019, 255 in 2020, 343 in 2021 and 344 in 2022. A few months ago, the group’s authorities signaled that the organic growth of the physical store chain in 2023 could slow down a bit. “Therefore, possible acquisitions, if they really took place, could allow the company to maintain the current pace of development,” believes VKh.
On May 8, the Dino Polska chain published its quarterly financial report. In the first three months of this year, the company nearly doubled its product sales and significantly increased profits. It was possible, for example. thanks to the systematic opening of new stores.
“In terms of volumes, we clearly see that the client is now more cautious. He makes very thoughtful purchases,” said Michal Krause from the board of Dino Polska in an interview with ISB News. “In our case, we see a constant increase in the volume and cost of the basket, mainly due to traffic,” he added.
Dino invests in a new distribution center
The Dino Polska retail chain will build a distribution center with an area of 45,000 sq. m in Wielkopolska. square meters. The company plans to allocate PLN 130 million for investments.
“In connection with the Investment, the company will enter into a number of agreements with organizations independent of the company that specialize in the implementation of such an investment, including with an organization that will act as a general contractor. The investment will consist in the complex construction and equipment of, among other things, freezers, cold stores, temperature-controlled warehouses, a dry warehouse and a social-office part with associated technical infrastructure, internal roads and parking spaces. The planned total storage area of the distribution center will be about 45,000 sq.m. m2,” we read in the company’s communiqué, we read in the message.
Source: Wprost
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