13th May 2008 06:00
Press-release
Krasnodar
May 13, 2008
OJSC "Magnit" announces unaudited 1Q2008 operating and financial results
KRASNODAR, May 13, 2008: OJSC «Magnit» (the "Company"; RTS, MICEX and LSE: MGNT) is pleased to release its 1Q2008 unaudited operating and financial results prepared in accordance with IFRS.
During 1Q2008 the Company added 41 stores (39 convenience stores and 2 hypermarkets) and increased its selling space by 23.5% relative to 1Q2007 from 546.5 thousand sq. m. to 674.9 thousand sq. m. at the end of 1Q2008.
Net revenue of the Company increased by 48.6% YoY from 781.2 million US$ in 1Q07 to 1,161.2 million US$ in 1Q08. Net revenue increase was due to increase in selling space as well as 27.87% increase of like-for-like sales (excl. VAT).
Gross margin improved from 18.8% in 1Q07 to 20.8% in 1Q08 primarily due to better purchasing terms as well as an in-house logistics function improvement.
EBITDA increased by 93.6% from 36.6 million US$ in 1Q07 to 70.8 million US$ in 1Q08.
Net income for 1Q08 increased by 71.4% and amounted to 28.5 million US$ vs. 16.6 million US$ in 1Q08.
Sergey Galitsky, the Company's CEO, provided the following comments on the published 2007 results:
"In first quarter we achieved positive results. Compared to 1Q2007 we managed to improve the efficiency of our business. The figures fit in with our business plan and we hope that this trend will continue".
Key Operating and Financial Highlights for 1Q2008:
|
|
1Q 2008 |
1Q 2007 |
Growth rate |
|
|
Stores opened, NET |
41 |
37 |
n/a |
|
|
Total number of stores |
2,238 |
1,930 |
n/a |
|
|
Selling space, sq. m. |
674,935 |
546,489 |
23.5% |
|
|
Number of customers, mn |
197.8 |
176.9 |
11.8% |
|
|
Net sales, mn RUR |
28,170.7 |
20,551.4 |
37.1% |
|
|
Net sales, mn US$ |
1,161.2 |
781.2 |
48.6% |
|
|
Gross profit, mn RUR |
5,868.8 |
3,872.3 |
51.6% |
|
|
Gross profit, mn US$ |
241.9 |
147.2 |
64.3% |
|
|
Gross margin, % |
20.8% |
18.8% |
n/a |
|
|
EBITDAR*, mn RUR |
2,547.9 |
1,541.3 |
65.3% |
|
|
EBITDAR*, mn US$ |
105.0 |
58.6 |
79.3% |
|
|
EBITDAR margin*, % |
9.0% |
7.5% |
n/a |
|
|
EBITDA, mn RUR |
1,718.4% |
962.5 |
78.5% |
|
|
EBITDA, mn US$ |
70.8 |
36.6 |
93.6% |
|
|
EBITDA margin, % |
6.1% |
4.7% |
n/a |
|
|
EBIT, mn RUR |
1,270.1 |
666.3 |
90.6% |
|
|
EBIT, mn US$ |
52.4 |
25.3% |
106.7% |
|
|
EBIT margin, % |
4.5% |
3.2% |
n/a |
|
|
Net profit, mn RUR |
691.5 |
437.5 |
58.0% |
|
|
Net profit, mn US$ |
28.5 |
16.6 |
71.4% |
|
|
Net profit margin, % |
2.5% |
2.1% |
n/a |
|
|
LFL growth 1Q08 to 1Q07** |
|
|
|
|
|
|
Number of tickets |
(2.64%) |
|
|
|
|
Average ticket (excl. VAT), RUR |
21.11% |
|
|
|
|
Average ticket (excl. VAT), USD |
31.33% |
|
|
|
|
Revenue, RUR |
17.92% |
|
|
|
|
Revenue, USD |
27.87% |
|
|
Note: net revenue in US$ terms is calculated using the daily exchange rate.
For further information, please contact:
Oleg Goncharov Director, Investor Relations
e-mail: [email protected]
tel. in Krasnodar +7 (861) 277-45-54, 210-98-10 ext. 5100
Mob.: +7 (903) 411-40 -35
Direct line for investors only: +7 (861) 277-45-62
Dina Chistyak Manager, Investor Relations
e-mail: [email protected]
tel. in Krasnodar +7 (861) 277-45-54, 210-98-10 ext. 5101
Mob.: +7-961-511-02-02
Direct line for investors only: +7 (861) 277-45-62
Company description:
Based in Krasnodar, in the Southern region of Russia, Open Joint Stock Company "Magnit" is a holding company for a group of entities that operate in the retail trade under the "Magnit" name. The chain of "Magnit" stores is one of the leading operators in the Russian food retail market. As of December 31, 2007 the chain consisted of 2,194 convenience stores and 3 hypermarkets in more than 700 locations in the Russian Federation.
Approximately two-thirds of the Company's stores are located in cities with a population of less than 500 thousand. Most of its stores are located within the Southern, Central and Volga regions. The Company also operates stores in the North-Western and Urals regions.
As of December 31, 2007 the Company operated an in-house logistics system consisting of 8 distribution centers, employing automated stock replenishment systems and a fleet of 802 vehicles.
In accordance with the audited IFRS consolidated financial statements for 2007, the Company posted consolidated revenues of approximately US$ 3,677 million and a consolidated EBITDA of around US$ 219 million.
Related Shares:
MGNT.L