Allegro Aims for 5.7% GMV Margin in Coming Years

Allegro anticipates an uptick in consumer confidence in Poland, particularly noticeable in the first quarter, according to CFO Jonathan Eastick. The e-commerce giant aims to maintain its Gross Merchandise Volume (GMV) to adjusted EBITDA margin at 5.4%, with a long-term goal of reaching 5.7%. Forecasts include a 9-10% increase in GMV and 18-20% revenue growth in Poland year-on-year for Q1. The company also plans to progressively enhance its GMV margin by a low double-digit percentage annually, targeting a sustainable growth trajectory.

Recent figures show Allegro's adjusted EBITDA for Poland operations in Q4 2023 rose by 28% year-on-year to PLN 905.7 million, accompanied by an 8.5% GMV increase. The firm's strategic focus remains on bolstering its position as Poland's leading trading platform, facilitated by a surge in advertising revenues and robust sales commission rates.

Source: stockwatch.pl