OREANDA-NEWS. December 5, 2011. X5 Retail Group N.V., Russia's largest retailer in terms of sales (LSE ticker: “FIVE”), today published its IFRS results for the quarter and nine months ended 30 September 2011, reviewed by auditors.

Q3 2011 Highlights

9M 2011 Highlights

Net sales increased 32% year-on-year in RUR terms to RUR 105,340 mln or 39% in USD terms to USD 3,623 mln;

Gross profit totaled USD 838 mln, for a gross margin of 23.1%;

EBITDA amounted to USD 220 mln, for an EBITDA margin of 6.1%;

Non-cash USD 52.5 mln FX loss due to sharp RUR/USD movement;

Net loss of USD 2.1 mln.

 

Net sales increased 40% year-on-year in RUR terms to RUR 330,520 mln or 47% in USD terms to USD 11,490 mln;

Gross profit totaled USD 2,698 mln, for a gross margin of 23.5%;

EBITDA amounted to USD 786 mln, for an EBITDA margin of 6.8%;

Net profit decreased 8% year-on-year to USD 168 mln for a net margin of 1.5%.

 

X5 Retail Group CEO Andrei Gusev commented:

“X5 delivered solid margins in the third quarter of 2011 although this was the peak quarter for Kopeyka’s fast-tracked integration in the Moscow region and we incurred the majority of integration costs as well as costs related to inventory liquidation and promo activity in Kopeyka stores. I am pleased to report we have now completed the integration of all acquired stores, and those converted to Pyaterochkas in the initial part of the year are now delivering solid double-digit sales growth.

In the first nine months of 2011 we doubled the CapEx compared to the same period last year. We remain on track to deliver on our organic expansion plans of 540 new store openings in 2011.
We also made substantial progress in generating cash through working capital improvements, a major priority for X5 this year. Net cash from operating activities increased more than three-fold compared to Q3 2010 (the first quarter after the implementation of the New Retail Law), supported by more efficient administration of supplier payables terms.”