NewPrinces shares slip despite 135% revenue growth in 2026
- NewPrinces revenue rose 135% to EUR 4.5 billion for the first nine months of 2026.
- Adjusted EBITDA increased 66% to EUR 265 million during the same period.
- Shares fell 2.74% to $25.58 following the release of financial results.
- Energy and fuel costs created a EUR 19.1 million headwind, resulting in a net loss of EUR 5.5 million.
NewPrinces shares declined by 2.74% on Tuesday, 10 November 2026, following the release of its nine-month financial results. The stock price fell to $25.58 from a previous close of $26.30.
This price level is 5.0% below the 52-week high of $26.90 and 83.6% above the 52-week low of $13.92. Investing.com, a privately held company based in Nicosia, Cyprus, established in 2007, reported these figures.
The market reaction follows the company's disclosure of a 135% revenue increase for the first nine months of 2026.
Revenue and adjusted EBITDA show strong growth
NewPrinces reported consolidated revenue of EUR 4.5 billion for the first nine months of 2026, a 135% increase compared to the previous year. This revenue figure was impacted by acquisitions made in the fourth quarter of 2025.
Adjusted EBITDA for the nine-month period rose by 66% to EUR 265 million. The company reported an EBITDA margin of 5.8% for the same period.
Management noted a progressive increase in EBITDA and margins throughout 2026, particularly within the newly acquired retail business.
These results were supported by acquisitions including the Princes Group and GS/Carrefour Italia.
Energy costs and headwinds impact net profit
Energy and fuel costs created a EUR 19.1 million headwind during the third quarter. This pressure reduced EBIT to EUR 13.2 million.
The company was near breakeven in the third quarter despite a positive second quarter. Management stated that excluding these energy and fuel headwinds, the third quarter EBIT would have been very positive.
Volatility in the prices of milk and durum wheat also affected company margins and pricing.
Management reaffirms full-year 2026 guidance
Leadership stated, "We are very confident to reach the EBITDA guidance of EUR 330 million-EUR 350 million by the end of 2026".
The company expects the fourth quarter to outperform the third quarter. Management said they are "very optimistic because we have the normal increased business in this particular November, and also in December".
Strategic restructuring through the Tosano transaction
NewPrinces is exiting a hypermarket business that management identified as one of its weakest units. The company is pursuing this restructuring through the Tosano transaction.
This deal is expected to avoid EUR 180 million in EBITDA losses and EUR 120 million in future capital spending over 12 years. Stores are scheduled to begin transferring in May or June 2027.
The transaction is projected to deliver at least EUR 30 million in EBITDA benefit next year. Management estimates current annual retail rent at EUR 102 million to EUR 103 million.
Cash generation and retail division improvements
This represents a 41% cash conversion rate of adjusted EBITDA.
Management stated that the business remains highly cash generative, citing strong free cash flow from operations even after accounting for buybacks and real estate investments.
The retail division's EBITDA improved from a negative EUR 23 million in Q1 to EUR 85.4 million in Q3. Management noted that summer performance is seasonally softer due to the concentration of stores in Northern Italy.
Expansion plans for 2027 and beyond
NewPrinces expects 100% volume growth for its Foggia tomato production in 2027. New private-label contracts and a German ready-to-drink business are scheduled to begin in Q1 2027.
Production for this business currently operates seven days a week.
Analyst focus and leadership team
The conference call included Executive Chairman Angelo Mastrolia, CEO Giuseppe Mastrolia, CFO Rocco Sergi, and Group Financial Director Fabio Fazzari.
Benedetta Mastrolia is the Investor Relations Director at NewPrinces.
Frequently Asked Questions
- Earnings call transcript: NewPrinces posts strong Q3 2026 growth, stock slips (ca.investing.com)
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