11th Jan 2012 07:00
Press-release
Krasnodar
January 11, 2012
OJSC "Magnit" announces unaudited December 2011 results
Krasnodar, January 11, 2012: OJSC "Magnit" (the "Company"; MICEX and LSE: MGNT) is pleased to announce its unaudited December 2011 results[1]
During 12M 2011 the Company opened (net) 1,254 stores. The total store base reached 5,309 stores (5,006 convenience stores, 93 hypermarkets and 210 cosmetics stores). Preliminary consolidated unaudited net retail revenue (excl. VAT) in 12M 2011 increased by 42.12% in ruble terms (compared to 12M 2010) and stood at 335,607.39 million rubles.
In order to evaluate the growth rate of sales of 12M 2011 to 12M 2010 objectively it is useful to take into account the level of food inflation which directly affects the growth rates in the comparison periods. Thus, food inflation in 2011 amounted to 3.9% vs. 12.9% in 2010[2].
December 2011 Key Operating and Financial Highlights:
December 2011 | December 2010 | Growth Rate | 12M 2011 | 12M 2010 | Growth Rate | |
Number of opened stores, NET | 286 | 189 | n/a | 1,254 | 827 | n/a |
convenience stores | 223 | 175 | n/a | 1,004 | 798 | n/a |
hypermarkets | 13 | 12 | n/a | 42 | 27 | n/a |
cosmetics stores | 50 | 2 | n/a | 208 | 2 | n/a |
Total number of stores | 5,309 | 4,055 | n/a | 5,309 | 4,055 | n/a |
convenience stores | 5,006 | 4,002 | n/a | 5,006 | 4,002 | n/a |
hypermarkets | 93 | 51 | n/a | 93 | 51 | n/a |
cosmetics stores | 210 | 2 | n/a | 210 | 2 | n/a |
Selling space, thousand sq. m. | 1,970.16 | 1,422.38 | 38.51% | 1,970.16 | 1,422.38 | 38.51% |
convenience stores | 1,637.83 | 1,256.85 | 30.31% | 1,637.83 | 1,256.85 | 30.31% |
hypermarkets | 282.24 | 165.08 | 70.97% | 282.24 | 165.08 | 70.97% |
cosmetics stores | 50.09 | 0.45 | n/a | 50.09 | 0.45 | n/a |
Number of customers, million | 162.30 | 130.62 | 24.25% | 1,644.43 | 1,301.90 | 26.31% |
convenience stores | 149.90 | 124.66 | 20.25% | 1,550.27 | 1,256.66 | 23.36% |
hypermarkets | 11.02 | 5.95 | 85.18% | 90.17 | 45.24 | 99.33% |
cosmetics stores | 1.37 | 0.01 | n/a | 3.98 | 0,01 | n/a |
Net retail sales, million RUR | 38,472.95 | 28,685.25 | 34.12% | 335,607.39 | 236,137.90 | 42.12% |
convenience stores | 31,254.32 | 24,973.07 | 25.15% | 287,731.79 | 212,311.59 | 35.52% |
hypermarkets | 6,872.08 | 3,710.75 | 85.19% | 46,982.78 | 23,824.88 | 97.20% |
cosmetics stores | 346.55 | 1.43 | n/a | 892.82 | 1.43 | n/a |
Net retail sales, million US$[3] | 1,223.11 | 929.72 | 31.56% | 11,420.11 | 7,775.57 | 46.87% |
convenience stores | 993.62 | 809.40 | 22.76% | 9,790.99 | 6,991.02 | 40.05% |
hypermarkets | 218.47 | 120.27 | 81.65% | 1,598.74 | 784.51 | 103.79% |
cosmetics stores | 11.02 | 0.05 | n/a | 30.38 | 0.05 | n/a |
LFL Results
LFL growth 12М 2011 - 12М 2010[4] | Convenience stores | Hypermarkets | Total |
Average ticket (excluding VAT), RUR | 10.17% | 5.26% | 9.67% |
Traffic | 1.29% | 1.32% | 1.29% |
Revenue, RUR | 11.59% | 6.65% | 11.09% |
LFL growth 4Q 2011 - 4Q 2010[5] | Convenience stores | Hypermarkets | Total |
Average ticket (excluding VAT), RUR | 5.00% | 4.14% | 5.14% |
Traffic | (2.03)% | 1.25% | (1.93)% |
Revenue, RUR | 2.87% | 5.45% | 3.12% |
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 Svishcheva | 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 the holding company for a group of entities that operate in the retail trade under the "Magnit" brand. The chain of "Magnit" stores is one of the leading food retail networks in Russia. As of December 31, 2011 the chain consisted of 5,006 convenience stores, 93 hypermarkets and 210 cosmetics stores (drogerie) in 1,389 locations in the Russian Federation.
Approximately two-thirds of the Company's stores are located in cities with a population of less than 500,000 inhabitants. Most of its stores are located in the Southern, North-Caucasian, Central and Volga regions. The Company also operates stores in the North-Western, Urals and Siberian regions.
As of December 31, 2011 the Company operated an in-house logistics system consisting of 14 distribution centers, employing automated stock replenishment systems and a fleet of 3,906 vehicles.
In accordance with the unaudited IFRS consolidated financial statements for 1H 2011, the Company recorded consolidated revenue of approximately US$5,471 million and consolidated EBITDA of around US$359 million.
[1] According to management accounts
[2] Rosstat www.gks.ru
[3] Based on the average exchange rate for December 2011 of 31.4551 RUB per 1 USD, December 2010 - 30.8538 RUB per 1 USD, 12М 2011 - 29.3874 RUB per 1 USD, 12M 2010 - 30.3692 RUB per 1 USD
[4] Based on 1,956 convenience stores which were opened by July 1, 2009, and 14 hypermarkets which were opened by May 1, 2009, i.e. based on the result of the convenience stores that had been operating for not less than six months and hypermarkets that had been operating for not less than eight months and have achieved a mature level of sales
[5] Based on 3,080 convenience stores which were opened by April 1, 2010, and 24 hypermarkets which were opened by February 1, 2010, i.e. based on the result of the convenience stores that had been operating for not less than six months and hypermarkets that had been operating for not less than eight months and have achieved a mature level of sales
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