(Reuters) -Polish media and telecoms group Cyfrowy Polsat on Tuesday reported a 72% drop in third-quarter net profit to 69.6 million zlotys ($19.0 million), below a Reuters poll of analysts that
Cyfrowy Polsat Faces Profit Slump Due to Green Strategy
(Reuters) -Polish media and telecoms group Cyfrowy Polsat on Tuesday reported a 72% drop in third-quarter net profit to 69.6 million zlotys ($19.0 million), below a Reuters poll of analysts that forecast profit of 90 million zlotys.
A slump in energy and equipment sales overshadowed growth in its core retail business.
WHY IT'S IMPORTANT
Cyfrowy Polsat is the second-largest listed telecoms and media conglomerates in Poland by market capitalisation, valued at 7.92 billion zlotys, behind telecom operator Orange Polska, which has a market value of 11.85 billion zlotys.
The result highlights the challenges facing the media and telecoms group as it pushes ahead with a costly strategy to expand into green energy, while facing rising costs and weaker sales in its traditional segments.
CONTEXT
Cyfrowy Polsat's profits have been under pressure throughout 2025, with first-quarter net profit falling 53% and second-quarter profit falling 19%.
It has been expanding into renewable energy, which has brought challenges including a one-off charge related to photovoltaic modules in the second quarter.
The company entered the green energy sector in 2023 and plans to invest about 5 billion zlotys by 2026 to expand its clean energy production from photovoltaics, biomass, onshore wind farms, and thermal waste treatment.
BY THE NUMBERS
Adjusted core earnings fell by 13% to 765.8 million zlotys, while revenue fell by 4% to 3.43 billion zlotys.
($1 = 3.6629 zlotys)
(Reporting by Marta Maciag; Editing by Matt Scuffham)
