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05.05.2017 | Наталья Кулагина

Detsky Mir Group of Companies announced unaudited financial results for the 1st quarter of 2017

The group of companies "Detsky Mir" − the largest Russian retailer of children's goods, announced key financial indicators for the 1st quarter of 2017.

 

The volume of consolidated unaudited revenue of the group of companies increased by 28.3% compared to the indicator for the same period in 2016 to RUB 21.1 billion, the company said in a press release. Comparable sales (like-for-like) of the Detsky Mir chain of stores in Russia increased by 11.2%, including a comparable increase in the number of checks amounted to 13.3% with a decrease in the comparable size of the average check by 1.9%. Gross profit increased by 17.9% to RUB 6.5 billion; gross margin was 30.7%. The share of commercial, general and administrative expenses as a percentage of revenue decreased from 28.4% to 25.4% due to increased operational efficiency and cost reduction. Adjusted profit for the period increased by 34.4% to 137 million rubles. compared to the 1st quarter of 2016 Profit for the period, excluding adjustments, amounted to (89) million rubles. The unaudited revenue of the online store has almost doubled compared to the same period last year - from 491 million rubles to 900 million rubles.

 

 

 

 

"Despite the continued decline in retail turnover, Detsky Mir Group of Companies is successfully implementing its strategy to attract new customers and consolidate the market.

A variety of product ranges and affordable prices support significant business growth rates. The implementation of the multi-channel sales strategy is a priority and has a significant impact on the development of the network's business. One of the main components of the multi-channel sales strategy is "omni-pricing", which was implemented in 2016 by reducing prices in our offline stores to the level of online store prices in order to offer customers a single price offer. The group of companies "Detsky Mir" will continue its dynamic development in 2017 and will open at least 70 new stores", said Vladimir Chirakhov, General Director of PJSC "Detsky Mir", whose words are given in the message.

 

 

 

  • The Group of Companies unites the national retail chain of stores «Detsky Mir», the chain of stores «ELC» (Early Learning Centre – Early Development Center), online stores «Detsky Mir » and «ELC».
  • As of December 31, 2016, the Detsky Mir chain of stores is represented by 480 stores in Russia and Kazakhstan, located in 171 cities of Russia and 7 cities of Kazakhstan, the ELC chain is represented by 45 stores in Russia.
  • The total retail area of the group's stores is 596 thousand sq.m.
  • In accordance with the audited IFRS data, in 2016 the Group's revenue amounted to 79.5 billion rubles, adjusted EBITDA amounted to 8.2 billion rubles, and adjusted profit for the year amounted to 3.8 billion rubles.
  • The controlling stake is owned by PJSC AFK Sistema 52.10%; the Russian-Chinese Investment Fund (RCIF) owns 14.03%; all other shareholders account for 33.87%.

Photo: press service of the Group of companies "Detsky Mir"

 

 

 

 

 

 

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