⚠ Wages Rise Whether Like-for-Like Does or NotHigh threat

Dino Polska (DNP) — threat to the moat

Selling costs grew 19,2% against revenue growth of 14,9%, and the gap is payroll in a labour-intensive format.

The cost of running a Dino store rose faster than the sales it generated.

EBITDA margin (%)8,7%20237,9%20247,6%20256,98%Q2 2026Wage inflation absorbed rather than passed on, three years running.
A retailer with pricing power puts wage inflation into shelf prices. Dino has been paying it instead.

Selling and marketing expenses increased 19,2% in 2025 to 5 576,3 million złoty while revenue rose 14,9%1. Some of that is the 345 new stores, which carry costs before they mature. The rest is wages: headcount rose 12% to 55,9 thousand2, and Dino has committed roughly 700 million złoty in 2026 to pay increases and new positions.

The scale of it is in the cost-by-nature note: employee benefits of 4 333,6 million złoty against 3 575,5 million, an increase of 758 million or 21,2%3 — the largest single cost increase in the business and larger, in absolute terms, than the year's growth in net profit several times over.

This is what compressed the margin. EBITDA margin fell from 7,9% in 2024 to 7,6% in 2025 and to 6,98% in the second quarter of 2026 from 7,54%45. A retailer with pricing power passes wage inflation into shelf prices; Dino, facing customers it describes as markedly more price-sensitive, largely absorbed it.

The exposure compounds with the roll-out, because each new store adds staff before it adds mature sales.

Watch selling costs as a percentage of revenue. Stabilising means the new stores have matured and wage growth has been absorbed. Continuing to climb while like-for-like stays near zero is the combination that takes the operating margin below 5%.

References
  1. ReportedSelling and marketing expenses increased 19,2% in 2025 to 5 576,3 million złoty while revenue rose 14,9%.
    Dino Polska Management Board's Activity Report for 2025 - Section 4,1-4,3, results of operations (sales revenue of 33 634,2m złoty up 14,9%, gross profit and the 23,5% gross margin, the cost lines including employee benefits up 21,2% and depreciation up 23,4%, EBITDA, and like-for-like growth of 4,4%) — FY2025 · publ. March 2026 · source ↗
  2. ReportedThe rest is wages: headcount rose 12% to 55,9 thousand, and Dino has committed roughly 700 million złoty in 2026 to pay increases and new positions.
    Dino Polska Management Board's Activity Report for 2025 - letter from the Management Board and financial highlights (the ten-year series of store counts, sales area rising from 238 to 1 200 thousand square metres, headcount, and the summary income statement and balance sheet) — FY2025 · publ. March 2026 · source ↗
  3. ReportedThe scale of it is in the cost-by-nature note: employee benefits of 4 333,6 million złoty against 3 575,5 million, an increase of 758 million or 21,2% — the largest single cost increase in the business and larger, in absolute terms, than...
    Dino Polska Management Board's Activity Report for 2025 - Section 4,1-4,3, results of operations (sales revenue of 33 634,2m złoty up 14,9%, gross profit and the 23,5% gross margin, the cost lines including employee benefits up 21,2% and depreciation up 23,4%, EBITDA, and like-for-like growth of 4,4%) — FY2025 · publ. March 2026 · source ↗
  4. ReportedEBITDA margin fell from 7,9% in 2024 to 7,6% in 2025 and to 6,98% in the second quarter of 2026 from 7,54%.
    Dino Polska Management Report for the first half of 2026 - 3 176 stores at 30 June 2026 (341 more than a year earlier), 86 openings in the second quarter, revenue of 9 531,4m złoty up 10,5%, like-for-like growth of 0,3% in the quarter and 2,2% for the half, and the EBITDA margin of 6,98% against 7,54% — H1 2026 · publ. August 2026 · source ↗
  5. ReportedEBITDA margin fell from 7,9% in 2024 to 7,6% in 2025 and to 6,98% in the second quarter of 2026 from 7,54%.
    Dino Polska Management Report for the first half of 2026 - 3 176 stores at 30 June 2026 (341 more than a year earlier), 86 openings in the second quarter, revenue of 9 531,4m złoty up 10,5%, like-for-like growth of 0,3% in the quarter and 2,2% for the half, and the EBITDA margin of 6,98% against 7,54% — H1 2026 · publ. August 2026 · source ↗
Sources
Generated September 24, 2026