X5 Corporate Center · RUS:X5
X5 Corporate Center — X5 Retail Group — FY2012 Earnings Presentation
22 slides from X5 Corporate Center's earnings presentation, Mar 12, 2013
Slide 1: Fourth Quarter and Full Year 2012 Financial Results Conference Call
1 Fourth Quarter and Full Year 2012 Financial Results Conference Call Stephan DuCharme, X5 Chief Executive Officer Sergey Piven, X5 Chief Financial Officer Moscow, Russian Federation 12 March 2013
Slide 2: Disclaimer
Disclaimer 2 This presentation does not constitute or form part of and should not be construed as an advertisement of securities, an offer or invitation to sell or issue or the solicitation of an offer to buy or acquire or subscribe for securities of X5 Retail Group N.V. or any of its subsidiaries o
Slide 3: Summary Highlights – FY & Q4 2012
Summary Highlights – FY & Q4 2012 3 Our Business • Leading Russian food retailer – 5.6% of total food retail market(1) • Multi-format brand retail operator: Pyaterochka (Soft Discounter), Perekrestok (Supermarket), Karusel (Hypermarket) plus assorted brand name convenience stores FY 2012 Operating R
Slide 4: Regional Presence
Regional Presence (1) 4 2012 Regional Store Breakdown Overview St. Petersburg & Moscow & Central region • Multi-format presence in 63 cities of European North-West region Discounters: 1,398 Russia, the Urals and Ukraine with population > Discounters: 510 Supermarkets: 210 Supermarkets: 35 Hypermarke
Slide 5: X5 Distribution Capabilities
X5 Distribution Capabilities 5 Distribution center (DC) locations Warehouse Space (1) Space, # of Stores Region # of DCs th sq. m. Serviced(2) Central 303.6 11 1,761 North-West 80.4 5 562 V.-Vyatsky 23.6 2 270 Urals 45.1 5 360 Central Chernozemny 30.7 2 219 Sr.-Volzhsky 22.7 2 218 South 13.6 1 203 P
Slide 6: Financial Overview – FY 2012 vs. FY 2011
6 Financial Overview – FY 2012 vs. FY 2011
Slide 7: Financial Highlights
Financial Highlights 7 USD mln(1) FY 2012 FY 2011 +/( - ) +/( - )% (where applicable) Retail sales 15,762.0 15,397.2 364.8 2.4% Total revenues 15,795.2 15,455.1 340.1 2.2% COGS 12,071.0 11,776.1 294.9 2.5% Gross profit 3,724.2 3,679.0 45.2 1.2% Gross profit margin 23.6% 23.8% - - EBITDA 1,123.8 1,13
Slide 8: Sales & EBITDA Breakdown
Sales & EBITDA Breakdown 8 500,000 490,088 34,866 5,721 490,000 2,164 + 5.7 % y-o-y (5,144) + 6 7.3 % y-o-y 480,000 Increase in net470,000 - 7.7 % y-o-y retail sales by460,000 452,482 format, RUB mln 450,000 + 12.3 % y-o-y 440,000 430,000 FY 2011 Discounters Supermarkets Hypermarkets Convenience Sto
Slide 9: Net Profit Breakdown
Net Profit Breakdown 9 Reported IFRS Net Income Adjusted Net Income SG&A Deferred tax NI margin expense & from 2.0% Gross profit other income Impairment impairment 45.2 NI margin (91.3) 1.6% 302.2 467.3 (555.8) 249.5 Net income, Adjusted FY 2011 (126.4) profit, Taxes FY 2012 Finance expense and Net
Slide 10: SG&A Breakdown
SG&A Breakdown 10 USD mln FY 2012 % of Net Sales FY 2011 % of Net Sales % change y-o-y Staff Costs (1,298.5) 8.2% (1,294.3) 8.4% 0.3% Lease Expenses (598.5) 3.8% (565.4) 3.7% 5.9% Other Store Costs (264.4) 1.7% (211.7) 1.4% 24.9% D&A (932.4) 5.9% (428.3) 2.8% 128.7% Including impairment (467.3) 3.0%
Slide 11: Cash Flow Highlights
Cash Flow Highlights 11 +/ - % USD mln FY 2012 FY 2011 +/( - ) change Net Cash From Operating Activities 609.2 926.1 (309.6) (34.2) % Net Cash from Operating Activities before Changes in Working Capital 1,135.2 1,189.4 (54.2) (4.6) % Change in Working Capital 7.8 174.1 (159.1) (95.5) % Net Interest
Slide 12: Capital Expenditures Overview
Capital Expenditures Overview 12 Capital Expenditures in 2012 1 Capital Expenditures , USD mln 2 IT &Other 12% New Store Openings Reconstruction & 65% Maintenance 13% 899 850 902 Logistics 10% 406 170 2008 2009 2010 2011 2012 Total 2012 CapEx was USD 902 mln Notes: (1) based on accrual method (2) ca
Slide 13: Condensed Balance Sheet
Condensed Balance Sheet1 13 USD mln 31 December 2012 31 December 2011 +/( - ) +/( - )% Total current assets 2,465.9 2,041.1 424.8 20.8 % incl. Cash & cash equivalents 407.9 385.0 22.9 5.9 % incl. Inventories 1,114.9 895.0 219.9 24.6 % Total non-current assets 7,116.4 6,759.0 357.4 5.3 % incl. Net PP
Slide 14: Debt Structure
Debt Structure 14 Debt profile Debt portfolio maturity, USD mln (3) USD mln 31 Dec 2011 % in total 31 Dec 2012 % in total 42% Total Debt 3,610.0 4,027.3 Short-Term Debt 913.2 25.3% 1,680.9 41.7% 25% 26% Long-Term Debt 2,696.9 74.7% 2,346.4 58.3% Net Debt / (Net Cash) 3,225.0 3,619.4 7% Denominated i
Slide 15: Financial Overview – Q4 2012 vs. Q4 2011
15 Financial Overview – Q4 2012 vs. Q4 2011
Slide 16: Financial Highlights
Financial Highlights 16 USD mln Q-o-Q Y-o-Y Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012 (when applicable) +/( - )% +/( - )% Retail sales 3,954.6 3,862.0 3,981.8 3,610.4 4,307.8 19.3 % 8.9 % Total revenues 3,965.3 3,870.7 3,987.9 3,616.7 4,319.9 19.4 % 8.9 % COGS 2,984.4 2,923.5 3,077.6 2,791.7 3,278.2 1
Slide 17: SG&A Breakdown
SG&A Breakdown 17 % of Net % of Net Expenses, % of Net % of Net Q4 2011 Q4 2012 Q3 2012 Q4 2012 Sales Sales USD mln Sales Sales (322.6) 8.1% (341.6) 7.9% Staff Costs (290.0) 8.1% (341.6) 7.9% (136.7) 3.4% (156.7) 3.6% Lease Expenses (145.9) 3.6% (156.7) 3.6% (53.3) 1.3% (73.0) 1.7% Other Store Costs
Slide 18: Cash Flow Highlights
Cash Flow Highlights 18 Cash flows, USD mln Q4 2012 Q4 2011 +/( - ) +/( - )% Net Cash Flows (Used in)/Generated from Operating Activities 493.4 608.2 (114.8) (18.9) % Net Cash from Operating Activities before Changes in Working Capital 348.5 374.3 (25.8) (6.9) % Change in Working Capital 316.5 354.7
Slide 19: Appendix
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Slide 20: 2013 Trading Results – Expansion
2013 Trading Results – Expansion 20 January Number of stores added, net Total number of stores Selling space added net, thd sqm Selling space, thd sqm Jan Jan % Δ, Jan Jan % Δ, Jan Jan % Δ, Jan Jan % Δ, 2013 2012 y-o-y 2013 2012 y-o-y 2013 2012 y-o-y 2013 2012 y-o-y “Soft” discounters 0 39 n/a 3,220
Slide 21: 2013 Trading Results – Sales
2013 Trading Results – Sales 21 January Net retail sales growth, RUR, y-o-y LFL sales results, y-o-y Net retail sales Customer visits Average ticket (2) Total LFL Traffic Basket “Soft” discounters 10.8% 10.2% 0.6% 0.3% (2.4%) 2.8% Supermarkets 4.6% 7.0% (2.2%) (1.5%) 0.2% (1.7%) Hypermarkets 0.1% 3.
Slide 22: Contact Information
Contact Information IR Department Contact Details Gregory Madick Anastasiya Kvon Andrey Napolnov Executive IR Director IR Director Senior IR manager Tel.: +7 (495) 502 97 83 Tel.: +7 (495) 792 3511 Tel.: +7 (495) 662 8888 ext. 22-455 Mob.: +7 (910) 459 73 56 Mob.: +7 (926) 358 8545 Mob.: +7 (926) 65