OREANDA-NEWS. November 18, 2013. Detskiy mir Group (hereinafter - the "Group" or the "Company"), the biggest children's product retail chain in Russia and Kazakhstan, announces its unaudited US GAAP results for the first nine months of 2013 ended on September 30, 2013.

KEY FINANCIAL HIGHLIGHTS

Revenue increased by 34% year-on-year and reached RUB 24,076 million.

Growth of LFL-sales within the corporate retail chain amounted to 15%.

Gross profit up 28% year-on-year to RUB 8,850 million.

S&A expenses to sales ratio reduced by 4.8 p.p. to 32.9%.

OIBDA increased by 6.7 times and reached RUB 945 million.

Net profit amounted to RUB 38 million, compared to net loss of RUB 510 million in the corresponding period of 2012.

As of September 30, 2013, the Group's net debt was RUB 6,128 million.

Retail space has expanded by 3% to 299,000 sq.m since the beginning of the year.

Vladimir Chirakhov, General Director of Detskiy mir Group,commented on the financial results for the nine months of 2013:

"This is the first time since 2008 that the Company finished the nine-month period with net profit, a 34% revenue growth and a substantial increase in OIBDA. These results were achieved through the Group's successful restructuring and business optimisation, the active implementation of our new product-line strategy, regional expansion and the management team's substantial contributions.

In the fourth quarter, the Company will continue strengthening its position with five new store openings lined up in Moscow, as well as further new store launches in Tyumen, Krasnoyarsk, Novokuznetsk, Murmansk, Abakan and Kazakhstan.One of this year's highlights will be the opening of the first flagship store in the "MEGA Belaya Dacha" Moscow shopping centre this December".