Slide 1: Investor Presentation
UWscGroup Investor Presentation
Slide 2: Disclaimer
2 Disclaimer This presentation does not constitute or form part of and This presentation includes statements that are, or may The information and opinions contained in this should not be construed as an advertisement of be deemed to be, “forward- looking statements”, with document are provided as at
Slide 3: Focus on the fastest-growing market segment
3 Focus on the fastest-growing market segment Diverse grocery business with growth potential across convenience, hard discounter and online segments 2023 2024E 2 p.p. 26% 28% 30% 31% 1 p.p. 16% 17% 17% 1 p.p. 15% 6% 5% 2 p.p. 5% 4% 57% 1 p.p. 58% 1 p.p. 1 p.p. share of grocery market share of grocer
Slide 4: Market consolidation is the key source of growth for the top players
4 Market consolidation is the key source of growth for the top players Potential for growth in the market shares of top-5 players* Continued shift to modern trade and the growing role of nationwide players 76% 75% Globus Svaz 1.7% 7.0% 21% 22% 20% 19% Aldi 24% Tesco 13.3% 9.5% 62% 61% Auchan 57% 4.2
Slide 5: Macro-trend: Online
5 Macro-trend: Online market, RUB bln MARKET GROWTH DRIVERS TRENDS IN CONSUMER Online PREFERENCES +33.5% +34.2% E-grocery share continues to grow, current run-rate estimates twofold growth by 2026. 2,918 2,979 Regions is a key growth The option to buy potential online is becoming a standard, however
Slide 6: X5 is a leading Russian food retailer 9M 2024 Highlights
6 X5 is a leading Russian food retailer 9M 2024 Highlights #1 Russian 14.6% market share1 26,047 stores >395 ths food retailer by revenue vs 9.5% in 2017 in 74 Russian regions employees +11.0% y-o-y Loyal 82.7 mln 39.4 mln >23 mln customer base active loyalty card users MAUs of X5 digital services a
Slide 7: X5 has a leading position in offline
7 X5 has a leading position in offline TOP 10 Russian grocery retailers TOP 10 Russian e-grocery players Company Market share in 2023 Company Market share in 2023 1 14.6% 1 15.9% 2 10.6% 2 14.6% 3 6.1% 3 13.2% 4 2.3% 4 10.8% 5 1.6% 5 9.5% 6 1.2% 6 6.9% 7 1.2% 7 5.7% 8 1.0% 8 4.2% 9 1.0% 9 3.4% 10 0.
Slide 8: X5 businesses
8 72 X5 businesses Dark kitchens (incl. 1 franchisee) 2,002 Hard discounter stores Loyalty programme 22,356 Proximity stores Express delivery 8,176 Stores 36 Dark stores Digital 26,961 Pickup points and parcel lockers Subscription service 3 992 612 Large dark stores Supermarkets Stores
Slide 9: Pyaterochka
9 Pyaterochka Proximity stores 79 % Share of revenue (9M 2024) 22,356 >4 THS 389 SQM Stores SKUs Average selling space
Slide 10: Perekrestok
10 Perekrestok Supermarkets 13 % Share of revenue (9M 2024) 992 11–14 THS 1,108 SQM Stores SKUs Average selling space
Slide 11: Chizhik
11 Chizhik Hard discounter stores 6% Share of revenue (9M 2024) 2,002 750-800 294 SQM Stores SKUs Average selling space
Slide 12: Track record of strong operational performance…
12 Track record of strong operational performance… Net retail sales dynamics, RUB bln Selling space, ths sqm 12.1% CAGR 2019-2023: 16.1% 20.6% CAGR 2019-2023: 9.0% 10,206 9,107 3,139 8,410 7,840 2,602 7,239 2,200 1,973 1,728 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 LFL sales, % y-o-y growth
Slide 13: …supported by robust profitability
13 …supported by robust profitability1 Revenue CAGR exceeding 16% in 2019-23 Adj. ROIC3 has increased by 12 p.p. since CAGR 2019-2023: 16.1% 2019 20.8% 26.7% 3,146 2,605 2,205 1,978 19.2% 1,734 17.1% 16.1% 14.5% 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 Adj. EBITDA margin2 consistently above
Slide 14: Growth and profitability supported by improving sales density
14 Growth and profitability supported by improving sales density Maintain sales density leadership in proximity segment in key geographies (Moscow and St Petersburg) Unit: ’000 RUB/sqm (annualised) Overall +12.1% Moscow & Moscow region +11.3% 358 469 349 339 458 328 319 445 432 421 Q3 2023 Q4 2023 Q
Slide 15: Strategic goals
15 Strategic goals Social Business Long-term growth responsibility and Leadership in online Technological diversification and in shareholder value Attracting and leadership in and offline retail leadership in the creation of new retaining the best sustainable industry sources of growth employees dev
Slide 16: X5's presence at each step of the customer journey
16 X5’s presence at each step of the customer journey Unified loyalty programme and the X5 ID service Leader in the proximity store segment Leader in the supermarket segment Top-2 in the hard discounter segment Subscription and benefits service Direct small format franchise Retail-focused media
Slide 17: X5 updated its strategic ESG goals to 2025
17 X5 updated its strategic ESG goals to 2025 Planet Health Employees Communities -15% 80% 10% 2025 goal: 2025 goal: 2025 goal: 2025 goal: Reduce GHG emissions (Scope 1 and 2) intensity Increase sales of healthy Grow the number of beneficiaries of food aid Maintain an employee engagement rate of at
Slide 18: Q3 2024 Results
Ueeroup Q3 2024 Results
Slide 19: Double-digit top-line growth supported by strong LFL sales dynamics…
19 Double-digit top-line growth supported by strong LFL sales dynamics… Net retail sales1 Traffic, mln customers Net selling space (eop) 27.0% 25.2% 12.6% 12.1% 12.3% 24.7% 2,153 10.5% 22.9% 22.9% 2,096 8.8% 1,951 958 969 1,880 1,821 10,727 870 876 10,539 10,206 10,336 788 9,860 Q3 2023 Q4 2023 Q1 2
Slide 20: …combined with stable profitability
20 …combined with stable profitability Revenue SG&A (excl. D&A&I, LTI and other employee 22.9% 25.0% 27.3% 25.1% 22.9% incentives) 17.3% 18.6% 18.1% 17.5% 17.7% 965.5 978.6 881.2 886.2 14.2% 796.2 173.0 169.1 163.9 160.5 137.8 139.2 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q3 2023 Q4 2023 Q1 2024 Q2
Slide 21: Q3 2024: Adjusted SG&A expense analysis
21 Q3 2024: Adjusted SG&A1 expense analysis Q3 2024 analysis Key Q3 2024 highlights as a percentage of revenue Staff costs (excluding LTI and other employee incentives): an increase in average salaries on the labour market and the resulting indexation of salaries. 38 b.p. 17.7% 17.3% Lease expenses:
Slide 22: X5 capital expenditures
22 X5 capital expenditures Capex breakdown, 2023 Capex dynamics by year, RUB bln 5.5% 16% 4.7% 4.7% 4.5% 4.4% 35% 148.4 New store openings 3.1% Refurbishments 8% 97.9 Logistics 89.9 148.4 RUB bln 83.7 81.1 82.0 +80.9% y-o-y IT 10% Maintenance Other, including new business 2018 2019 2020 2021 2022 20
Slide 23: X5 debt structure
23 X5 debt structure Debt profile Debt portfolio maturity RUB mln 30 Sep 2024 31 Dec 2023 100% 22% Total debt 224,131 229,907 Short-term debt 83,166 101,101 29% % of total debt 37.1% 44.0% 40% Long-term debt 140,965 128,806 % of total debt 62.9% 56.0% Net debt (pre-IFRS 16) 197,142 190,803 9% 30 Sep
Slide 24: Appendix
Ueeroup Appendix
Slide 25: Pyaterochka – key format highlights (Q3 2024)
25 Pyaterochka – key format highlights (Q3 2024) Key results Operating highlights CVP 22,356 stores +13.6% +2.2% 4,000 389 sqm +7.7% y-o-y LFL sales LFL traffic SKUs average selling space 768 RUB bln +11.2% 1,807 mln 64% 81% Net retail sales +20.1% y-o-y LFL ticket customer visits loyalty card Loyal
Slide 26: Perekrestok – key format highlights (Q3 2024)
26 Perekrestok – key format highlights (Q3 2024) Key results Operating highlights CVP 992 stores +14.0% +2.3% 11-14 ths 1,108 sqm +3.9% y-o-y LFL sales LFL traffic SKUs average selling space 114 RUB bln +11.4% 177 mln 73% 87% LFL ticket customer visits loyalty card loyalty card Net retail sales +17.
Slide 27: Chizhik – key format highlights
27 Chizhik – key format highlights 250–300 sqm ~11–12 RUB mln 750-800 SKU of store selling space net capex per store (excl. VAT) in the assortment EDLP 6 77% price strategy employees per store share of own brand assortment Q3 2024 results 2,002 +86.9% 63 RUB bln +99.8% 608 RUB 440 RUB / sqm Stores N
Slide 28: Express delivery
28 Express delivery Business model overview Key operating metrics Q3 2024 Order made by customer via GMV RUB 44.0 bln mobile app Orders per day 290.3 ths Average ticket RUB 1,600 Order received at the nearest store Stores 8,176 Click to delivery 50–60 min Order assembled at the store by in-store sta
Slide 29: X5 Investor Relations
X5 Investor Relations iro@x5.ru +7 (495) 662 88 88 ext. 13-147