Dino Polska, a prominent grocery retailer in Poland, has reported impressive revenue growth and strong like-for-like sales for the first quarter of 2026, outpacing its European competitors. The company's aggressive store expansion strategy remains a key driver of growth, with management aiming for a significant increase in new openings, targeting a percentage growth in the teens for the year. However, profitability is facing challenges, as both gross margins and EBITDA margins have experienced declines of 33 basis points and 54 basis points, respectively. This margin pressure has tempered earnings growth despite the operational momentum. Following a 40% decline in share price, Dino Polska now trades at multiples that are in line with its sector peers. Analysts are cautious, maintaining a hold rating on the stock until there are signs of margin recovery. The outlook for Dino Polska remains positive in terms of growth, but the pressure on profitability raises concerns for investors.