Press-release-Sep15-9 Oct15-eng



Press-release Krasnodar October 9, 2015


PJSC 'Magnit' Announces 19.31% Retail Sales Growth in Rubles for September 20151


Krasnodar, October 9, 2015: PJSC 'Magnit', Russia's largest food retailer (the 'Company'; MOEX and LSE: MGNT) announces 19.31% retail sales growth in rubles for September 2015.


During September 2015 the Company opened (net) 218 stores. The total store base reached 11,388 stores (9,246 convenience stores, 208 hypermarkets, 127 'Magnit Family' stores and 1,807 drogerie stores).


Preliminary consolidated unaudited net retail revenue (excl. VAT) in 9M 2015 increased by 26.99% in ruble terms (compared to 9M 2014) and stood at 688,648.23 million rubles.


According to Rosstat, food inflation in September 2015 amounted to 0.4%, which is 60 b. p. lower than in September 2014 (1.0%). Food inflation in 9M2015 stood at 10.2% compared to 8.4% in 9M2014.


General inflation in September 2015 amounted to 0.6% compared to 0.7% in September 2014, in 9M2015 10.4% compared to 6.3% in 9M2014.

September 2015 Key Operating and Financial Highlights:


September 2015

September 2014

Growth Rate

Number of opened stores, NET

218

121

n/a

convenience stores

119

79

n/a

hypermarkets

1

3

n/a

magnit family

5

6

n/a

drogerie stores

93

33

n/a


Total number of stores

11,388

9,020

n/a

convenience stores

9,246

7,891

n/a

hypermarkets

208

175

n/a

magnit family

127

68

n/a

drogerie stores

1,807

886

n/a


Selling space, eop, th. sq. m.

4,154.99

3,327.00

24.89%

convenience stores

2,997.30

2,519.71

18.95%

hypermarkets

604.96

521.98

15.90%

magnit family

139.82

78.83

77.36%

drogerie stores

412.92

206.48

99.98%


Selling space growth, th. sq.m.

73.90

48.88

n/a

convenience stores

46.01

25.05

n/a

hypermarkets

1.84

9.75

n/a

magnit family

4.91

7.12

n/a

drogerie stores

21.15

6.97

n/a


Number of customers, million

279.58

245.11

14.06%

convenience stores

237.62

213.55

11.27%

hypermarkets

20.71

19.01

8.95%

magnit family

8.47

5.25

61.19%

drogerie stores

12.78

7.30

75.16%


Net retail sales, million RUR

74,098.54

62,106.39

19.31%

convenience stores

55,151.39

47,440.04

16.25%

hypermarkets

11,762.88

10,743.74

9.49%

magnit family

3,510.84

2,125.71

65.16%

drogerie stores

3,673.43

1,796.90

104.43%


Net retail sales, million US$2

1,109.68

1,639.70

(32.32)%

convenience stores

825.93

1,252.49

(34.06)%

hypermarkets

176.16

283.65

(37.90)%

magnit family

52.58

56.12

(6.32)%

drogerie stores

55.01

47.44

15.96%

3Q and 9M 2015 Key Operating and Financial Highlights:


3Q 2015

3Q 2014

Growth Rate

9М 2015

9М 2014

Growth Rate

Number of opened stores, NET

660

402

n/a

1,677

927

n/a

convenience stores

356

277

n/a

902

691

n/a

hypermarkets

7

6

n/a

18

14

n/a

magnit family

17

11

n/a

30

22

n/a

drogerie stores

280

108

n/a

727

200

n/a


Total number of stores

11,388

9,020

n/a

11,388

9,020

n/a

convenience stores

9,246

7,891

n/a

9,246

7,891

n/a

hypermarkets

208

175

n/a

208

175

n/a

magnit family

127

68

n/a

127

68

n/a

drogerie stores

1,807

886

n/a

1,807

886

n/a


Selling space, eop. th. sq. m.

4,154.99

3,327.00

24.89%

4,154.99

3,327.00

24.89%

convenience stores

2,997.30

2,519.71

18.95%

2,997.30

2,519.71

18.95%

hypermarkets

604.96

521.98

15.90%

604.96

521.98

15.90%

magnit family

139.82

78.83

77.36%

139.82

78.83

77.36%

drogerie stores

412.92

206.48

99.98%

412.92

206.48

99.98%


Selling space growth, th. sq.m.

226.99

137.79

n/a

564.35

315.62

n/a

convenience stores

131.05

86.05

n/a

323.99

207.51

n/a

hypermarkets

15.15

17.44

n/a

45.87

39.10

n/a

magnit family

17.09

11.80

n/a

30.75

25.57

n/a

drogerie stores

63.71

22.49

n/a

163.75

43.44

n/a


Number of customers, million

863.42

758.35

13.86%

2,481.04

2,158.82

14.93%

convenience stores

732.07

661.02

10.75%

2,119.29

1,890.94

12.08%

hypermarkets

66.38

60.13

10.38%

194.29

173.08

12.25%

magnit family

25.89

15.85

63.36%

71.22

41.26

72.61%

drogerie stores

39.08

21.35

83.08%

96.24

53.54

79.77%


Net retail sales, million RUR

234,950.17

193,384.54

21.49%

688,648.23

542,288.27

26.99%

convenience stores

173,911.85

147,390.87

17.99%

512,345.61

414,372.92

23.64%

hypermarkets

38,897.03

34,341.49

13.27%

118,268.16

98,349.79

20.25%

magnit family

10,979.38

6,428.94

70.78%

31,316.20

16,510.65

89.67%

drogerie stores

11,161.91

5,223.24

113.70%

26,718.26

13,054.92

104.66%


Net retail sales, million US$3

3,730.65

5,343.46

(30.18)%

11,617.32

15,324.16

(24.19)%

convenience stores

2,761.45

4,072.59

(32.19)%

8,643.14

11,709.49

(26.19)%

hypermarkets

617.62

948.90

(34.91)%

1,995.15

2,779.20

(28.21)%

magnit family

174.34

177.64

(1.86)%

528.30

466.56

13.23%

drogerie stores

177.23

144.32

22.80%

450.73

368.91

22.18%

LFL results



Formats

3Q 2015 - 3Q 20144

# of Stores

Average Ticket

Traffic

Sales

Convenience Stores

7,359

6.40%

(2.10)%

4.16%

Hypermarkets

171

4.01%

(4.63)%

(0.81)%

Magnit Family

60

2.98%

(4.38)%

(1.53)%

Drogeries

812

15.20%

5.79%

21.88%

Total

8,402

5.80%

(2.14)%

3.54%



Formats

9M 2015 - 9M 20144

# of Stores

Average Ticket

Traffic

Sales

Convenience Stores

7,087

10.06%

(0.74)%

9.24%

Hypermarkets

170

8.04%

(2.46)%

5.38%

Magnit Family

60

7.18%

(2.24)%

4.78%

Cosmetics Stores

764

13.35%

8.99%

23.54%

Total

8,081

9.44%

(0.69)%

8.69%

For further information. please contact:


Timothy Post Director, Investor Relations

Email: post@magnit.ru

Office: +7-861-277-4554 x 17600

Mobile: +7-961-511-7678

Direct Line: +7-861-277-4562


Dina Svishcheva Deputy Director, Investor Relations Email: Chistyak@magnit.ru

Office: +7-861-277-45-54 x 15101

Mobile: +7-961-511-0202

Direct Line: +7-861-277-4562


Media Inquiries PR and GR Department

press@magnit.ru


Company description:


Magnit is Russia's largest food retailer. Founded in 1994, the company is headquartered in the southern Russian city of Krasnodar. As of September 30, 2015, Magnit operated 29 distribution centers and about 11,400 stores (9,246 convenience, 335 hypermarkets, and 1,807 drogerie stores) in approximately 2,297 cities and towns throughout 7 federal regions of the Russian Federation.


In accordance with the reviewed IFRS consolidated financial statements for 1H 2015. Magnit had revenues of RUB 455 billion and an EBITDA of RUB 49 billion. Magnit's local shares are traded on the Moscow Stock Exchange (MOEX: MGNT) and its GDRs on the London Stock Exchange (LSE: MGNT) and it has a credit rating from Standard & Poor's of BB+. Measured by market capitalization, Magnit is one of the largest retailers in Europe.

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