11th Mar 2011 07:00
Press-release
Krasnodar
March 11, 2011
OJSC "Magnit" announces unaudited February 2011 results
Krasnodar, March 11, 2011: OJSC «Magnit» (the "Company"; RTS, MICEX and LSE: MGNT) is pleased to announce its unaudited February 2011 results[1].
During 2M 2011 the Company opened (net) 81 stores. The total store base reached 4,136 stores (4,080 convenience stores, 53 hypermarkets and 3 drogerie stores). Preliminary consolidated unaudited net retail revenue (excl. VAT) in 2M 2011 increased by 53% in ruble terms (compared to 2M 2010) and stood at 47,726.54 million rubles. Net retail sales in February 2011 increased by 54% vs. February 2010 and amounted to 24,216.89 million rubles.
Presenting 2M2011 operating results management announces that the Company takes the strategy of more aggressive expansion and customer acquisition which upgrades forecast of sales growth to 49% in ruble terms and changes expected range of EBITDA margin to 7.5% - 8.0% for 2011 in part due to increase of rates of compulsory pension, health and social insurance.
February 2011 Key Operating and Financial Highlights:
February 2011 | February 2010 | Growth Rate | 2M2011 | 2M2010 | Growth Rate | |
Number of opened stores, NET | 51 | 24 | n/a | 81 | 43 | n/a |
convenience stores* | 49 | 24 | n/a | 79 | 43 | n/a |
hypermarkets | 2 | 0 | n/a | 2 | 0 | n/a |
Total number of stores | 4,136 | 3,271 | n/a | 4,136 | 3,271 | n/a |
convenience stores* | 4,083 | 3,247 | n/a | 4,083 | 3,247 | n/a |
hypermarkets | 53 | 24 | n/a | 53 | 24 | n/a |
Selling space, sq. m. | 1,461,565 | 1,073,768 | 36.12% | 1,461,565 | 1,073,768 | 36.12% |
convenience stores* | 1,291,126 | 992,365 | 30.11% | 1,291,126 | 992,365 | 30.11% |
hypermarkets | 170,439 | 81,403 | 109.38% | 170,439 | 81,403 | 109.38% |
Net retail sales, million RUR | 24,216.89 | 15,687.06 | 54.37% | 47,726.54 | 31,233.01 | 52.81% |
convenience stores* | 21,428.35 | 14,355.43 | 49.27% | 42,352.26 | 28,637.84 | 47.89% |
hypermarkets | 2,788.53 | 1,331.63 | 109.41% | 5,374.28 | 2,595.16 | 107.09% |
Net retail sales, million US$[2] | 826.66 | 519.63 | 59.09% | 1,606.40 | 1,038.98 | 54.61% |
convenience stores* | 731.48 | 475.52 | 53.83% | 1,425.51 | 952.65 | 49.64% |
hypermarkets | 95.19 | 44.11 | 115.80% | 180.89 | 86.33 | 109.53% |
* including cosmetics stores (drogerie)
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, 2010 the chain consisted of 4,002 convenience stores, 51 hypermarkets and 2 cosmetics stores (drogerie) in 1,216 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, 2010 the Company operated an in-house logistics system consisting of 11 distribution centers, employing automated stock replenishment systems and a fleet of 2,642 vehicles.
In accordance with the unaudited IFRS consolidated financial statements for 1H 2010, the Company recorded consolidated revenue of approximately US$3,448 million and consolidated EBITDA of around US$252 million
[1] According to management accounts.
[2] Based on the average exchange rate for February 2011 of 29.2947 RUB per 1 USD, February 2010 - 30.1889 RUB per 1 USD, 2М 2011 - 29.7102 RUB per 1 USD, 2М 2010 - 30.0611 RUB per 1 USD
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