1st Apr 2009 07:00
Press-release
Krasnodar
April 1, 2009
OJSC "Magnit" announces audited FY2008 operating and financial results for the year ended December 31, 2008
KRASNODAR, April 1, 2009: OJSC «Magnit» (the "Company"; RTS, MICEX and LSE: MGNT) is pleased to release its FY2008 financial results prepared in accordance with IFRS and audited by Deloitte and Touche.
During 2008 the Company added 385 stores (374 convenience store and 11 hypermarkets) and increased its selling space by 26.37% relative to FY2007 from 651.57 thousand sq. m. to 823.51 thousand sq. m. at the end of 2008. Total number of stores at the end of 2008 amounted to 2,582 (2,568 convenience stores and 14 hypermarkets).
Net revenue of the Company increased by 45.46% (41.35% in ruble terms) YoY from 3,676.56 million USD (94,035.35 million rubles) in 2007 to 5,347.81 million USD (132,921.22 million rubles) in 2008. Net revenue increase was due to increase in selling space as well as 22.29% (18.84% in ruble terms) increase of like-for-like sales (excl. VAT).
Gross margin improved from 19.9% in 2007 to 21.7% in 2008 primarily due to better purchasing terms as well as an in-house logistics function improvement.
EBITDA increased by 83.21% (78.04% in ruble terms) from 219.24 million USD (5,607.58 million rubles) in 2007 to 401.67 million USD (9,983.50 million rubles) in 2008. Net debt/EBITDA ratio for 2008 amounted to 0.86.
Net income for 2008 increased by 92.95% (87.51% in ruble terms) and amounted to 187.92 million USD (4,670.68 million rubles) vs. 97.39 million USD (2,490.94 million rubles) in 2007.
Sergey Galitsky, the Company's CEO, provided the following comments on the published 2008 results:
"We have ended this year better than the previous which is logical due to an increased number of stores. We became more experienced on the market and our results are evident. Next year we will continue our work to improve the efficiency of our business keeping in mind expansion rate".
Please follow the link below to view FY2008 financial report in full: http://www.magnit-info.ru/lib_files/665_168a3.pdf
2008 Key Operating and Financial Highlights:
|
|
2008 |
2007 |
Growth rate |
|
|
Stores opened, NET |
385 |
304 |
n/a |
|
|
Total number of stores |
2,582 |
2,197 |
n/a |
|
|
Selling space, sq. m. |
823,507 |
651,568 |
26.39% |
|
|
Number of customers, mn |
860.34 |
765.16 |
12.44% |
|
|
Net sales, mn RUR |
132,921.22 |
94,035.35 |
41.35% |
|
|
Net sales, mn US$ |
5,347.81 |
3,676.56 |
45.46% |
|
|
Gross profit, mn RUR |
28,820.57 |
18,672.32 |
54.35% |
|
|
Gross profit, mn US$ |
1,159.54 |
730.04 |
58.83% |
|
|
Gross margin, % |
21,7% |
19,9% |
n/a |
|
|
EBITDAR1, mn RUR |
13,393.34 |
8,176.58 |
63.80% |
|
|
EBITDAR1, mn US$ |
538.85 |
319.69 |
68.56% |
|
|
EBITDAR margin1, % |
10.1% |
8.7% |
n/a |
|
|
EBITDA, mn RUR |
9,983.50 |
5,607.58 |
78.04% |
|
|
EBITDA, mn US$ |
401.67 |
219.24 |
83.21% |
|
|
EBITDA margin, % |
7.5% |
6.0% |
n/a |
|
|
EBIT, mn RUR |
7,776.45 |
4,234.96 |
83.62% |
|
|
EBIT, mn US$ |
312.87 |
165.58 |
88.96% |
|
|
EBIT margin, % |
5.9% |
4.5% |
n/a |
|
|
Net profit, mn RUR |
4,670.68 |
2,490.94 |
87.51% |
|
|
Net profit, mn US$ |
187.92 |
97.39 |
92.95% |
|
|
Net profit margin, % |
3.5% |
2.6% |
n/a |
|
|
LFL growth |
4Кв 2008 к 4Кв 20072 |
2008 to 20073 |
|
|
|
|
Number of tickets |
0.17% |
(2.32)% |
|
|
|
Average ticket (excl. VAT), RUR |
19.09% |
21.66% |
|
|
|
Average ticket (excl. VAT), USD |
- |
25.19% |
|
|
|
Revenue, RUR |
19.30% |
18.84% |
|
|
|
Revenue, USD |
- |
22.29% |
|
Note: net revenue in US$ terms is calculated using the daily exchange rate.
1 Management accounts
2 Applicable to 1,455 stores opened by March 31, 2007. Thus, LFL analysis is based on the stores that have been operating not less than six months, i.e. achieved the mature level of sales.
3 Applicable to 1,375 stores opened by July 01, 2006. Thus, LFL analysis is based on the stores that have been operating not less than six months, i.e. achieved the mature level of sales.
4 Due to the growth of the US dollar rate to ruble from 01.10.2008 to 31.12.2008 by more than 14%, LFL analysis in dollar terms is incorrect.
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, 2008 the chain consisted of 2,568 convenience stores and 14 hypermarkets in 856 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, 2008 the Company operated an in-house logistics system consisting of 9 distribution centers, employing automated stock replenishment systems and a fleet of 1,165 vehicles.
In accordance with the audited IFRS consolidated financial statements for 2008, the Company posted consolidated revenues of approximately US$ 5,348 million and a consolidated EBITDA of around US$ 402 million.
Related Shares:
MGNT.L