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29 September 2026 pepcoⓇ group Pepco Group N.V. FY26 Pre - Close Trading Update Strong finish to a transformational year ; new € 400m buyback programme Pepco Group N.V. ( “ Pepco Group ” ) , a leading pan - European variety discount retailer , today announces a pre- close trading update ahead of the publication of its FY26 full year preliminary results on 9 December 2026 . HIGHLIGHTS • Trading and outlook ○ Strong fourth quarter , with constant currency revenue growth of + 15.6 % and like - for - like ( “ LFL ” ) revenue growth excluding FMCG of + 9.5 % in the quarter to date to 20 September 2026 ( + 9.4 % including FMCG ) , representing the strongest quarterly LFL performance since the strategy reset o LFL revenue growth excluding FMCG was volume - led with positive transaction growth in every region : Western Europe up + 14.9 % , CEE North up + 8.8 % and CEE South up + 8.2 % ○ Strong underlying trading in the fourth quarter was boosted by planned clearance of older - season inventory , which correspondingly resulted in record stock freshness at year - end o For the 51 weeks to 20 September 2026 , LFL revenue growth excluding FMCG was + 5.9 % , ( + 3.8 % including FMCG ) o Full year revenues are expected to exceed € 4.5 billion , representing constant - currency growth of c . + 8 % , at the top of the 6-8 % guidance range . Both FY26 gross margin of c . 51 % and mid - teens underlying EBITDA ( IFRS 16 ) growth are expected to be in line with guidance ○ FY26 underlying net earnings growth is now expected to exceed 60 % , ahead of prior guidance of above 50 % ( FY25 restated base : € 234m ) , with underlying EPS growth higher again reflecting the significant reduction in share count 。 FY26 unlevered free cash flow now expected to exceed € 350m , ahead of guidance of c . € 300m , after capital expenditure of c . € 150m with c . 250 net new stores expected in FY26 • Capital returns o The Board has approved a new multi - year share buyback programme of up to € 400m , in line with the capital allocation framework set out in May 2026 。 € 400m tender buyback completed in August 2026 , with pre - IFRS 16 leverage expected to end the year at c . 0.7x , below the mid - point of the Group's 0.5x - 1.5x target range Commenting on the update , Stephan Borchert , Chief Executive Officer of Pepco Group , said : " FY26 has been a defining year for Pepco Group . We have completed the transformation of our portfolio into a pure - play Pepco business , and the momentum behind the brand has built steadily through the year . The fourth quarter has been our strongest since we reset the strategy , and marks eight consecutive quarters of positive like - for - like sales growth . We now expect to deliver full year revenue growth at the top of our guidance range , together with mid - teens EBITDA growth and a step - change in net earnings . " Much of what is driving this strong performance are the significant operational changes we have made over the last 18 months across the Group , as well as our relentless focus on the Pepco customer proposition . Price remains central to this . We will continue to selectively reinvest margin gains into product quality and attractive prices for customers , supporting our price leadership and driving volume growth . " We enter the new financial year as a more focused and effective business , with an accelerating store opening programme in Western Europe and resilient growth in our core Polish market . I am confident in our ability to keep converting that momentum into profitable growth in the years ahead . " Alongside the € 550 million of share buybacks completed during the financial year , we are today setting out the next stage of our capital return plans , with the establishment of a new multi - year share buyback 1