Slide 1: Q2 and H1 2022 Operating and Financial Results
Q2 AND H1 2022 OPERATING AND FINANCIAL RESULTS September 2022
Slide 2: Disclaimer
DISCLAIMER IMPORTANT: This document does not constitute or form part of, and should not be because they relate to events and depend on circumstances that may or may not occur the results of the Company's operations presented under IAS 17 after 1 January 2019 construed as an offer for sale or subscri
Slide 3: Key Achievements in H1 2022
KEY ACHIEVEMENTS IN H1 2022 24.2% 363 13.5% Revenue growth Net store openings(1) LFL sales year-on-year growth RUB 26bn 19.7% 37.7% EBITDA EBITDA margin Loyal customer base growth year-on-year Source: Company information, Management Accounts for H1 2021 and H1 2022; Reviewed IFRS accounts for H1 202
Slide 4: Continuous Store Expansion
CONTINUOUS STORE EXPANSION GEOGRAPGICAL COVERAGE (2021 and H1 2022, eop) Russia LEGEND KEY RUSSIA SIBERIAN FD(1) (Number of stores) +327 +49 CENTRAL FD(1) +xx 4,772 561 +83 xx 512 xx 4,445 1,374 2021 H1 2022 1,291 NORTH-WESTERN FD(1) SOUTHERN FD(1) +31 +41 492 461 593 552 FAR-EASTERN FD(1) VOLGA FD(
Slide 5: Continuous Store Expansion
CONTINUOUS STORE EXPANSION FIX PRICE STORE PORTFOLIO GROWTH SELLING SPACE EXPANSION (Number of stores) (Thous. sqm) +15.6% 1,137 +682 128 984 5,267 106 4,585 578 486 1,009 878 4,689 4,099 30 June 2021 30 June 2022 30 June 2021 30 June 2022 Company-operated Franchised Company-operated Franchised Sour
Slide 6: LFL Performance
LFL PERFORMANCE LFL SALES (1) BOOST DRIVEN BY STRONG CONSUMER DEMAND COMMENTS ON QUARTERLY DYNAMICS COVID • LFL sales grew by 15.4% in Q2 2022, driven by restrictions 16.5% growth in the LFL average ticket, which offset a slight contraction in LFL traffic of 0.9% 1st COVID 450+ stores lockdown 20.6%
Slide 7: Extended CVP and Continued Robust Price Advantage
EXTENDED CVP AND CONTINUED ROBUST PRICE ADVANTAGE 63% OF ASSORTMENT UNDER RUB 100(1) RETAIL SALES MIX % of retail sales % of SKU Q2 2021 Q2 2022 0.4% 0.4% 1% 1% 6% 6% 19% 13% 18% 14% 29% 31% 21% Food 22% 60% 57% 23% 26% 50% 47% Drogerie 16% 15% 18% 16% 48% 43% Non-food Q2 2021 Q2 2022 Q2 2021 Q2 202
Slide 8: Strong Revenue Growth and Robust Profitability
STRONG REVENUE GROWTH AND ROBUST PROFITABILITY TOTAL REVENUE GROSS PROFIT (RUB m) (RUB m) LFL Sales growth 11.9% 13.5% Gross profit margin 33.0% 31.2% + 31.2% + 24.2% 43,477 131,788 15,100 33,148 106,116 13,090 116,688 93,026 H1 2021 H1 2022 H1 2021 H1 2022 Retail Wholesale Source: Reviewed IFRS acc
Slide 9: Strong Revenue Growth and Robust Profitability (Cont'd)
STRONG REVENUE GROWTH AND ROBUST PROFITABILITY (CONT’D) EBITDA (IFRS 16) OPERATING PROFIT (RUB m) (RUB m) EBITDA margin (IFRS 16) 18.7% 19.7% Operating profit margin 14.9% 13.3% + 31.1% + 38.6% 25,991 19,618 19,828 14,152 H1 2021 H1 2022 H1 2021 H1 2022 Source: Reviewed IFRS accounts for H1 2021 and
Slide 10: SG&A Expenses Analysis
SG&A EXPENSES ANALYSIS SG&A BREAKDOWN COMMENTS (% of revenue) • Selling, general and administrative expenses (SG&A) excluding D&A as a percentage of revenue was up 88 bps to 13.8%, driven by growth of staff costs, IFRS 16 rental expenses under IFRS 16 and repair and maintenance services that were pa
Slide 11: Capital Expenditures to Support Further Growth
CAPITAL EXPENDITURES TO SUPPORT FURTHER GROWTH CAPEX(1) CAPEX COMPOSITION (RUB bn) (H1 2022, %) 11% New stores openings CAPEX 3.6% 2.8% (% of revenue) RUB 49% DC 3.7bn 40% IT and Other 3.8 3.7 COMMENTS • CAPEX was RUB 3.7 billion, generally in line with the same period of 2021 when it amounted to RU
Slide 12: Net Working Capital Dynamics
NET WORKING CAPITAL DYNAMICS NET TRADE WORKING CAPITAL DEVELOPMENT(1) ROBUST INVENTORY DAYS AND DAYS PAYABLE LEVELS (RUB m) Inventory days(2) (days) and Days payable(3) (days) % of Inventory days Days payable 4.1% 13.7% revenue H1 2021 74 H1 2021 69 42,583 31,951 17,992 H1 2022 86 H1 2022 63 4,378 1
Slide 13: Conservative Debt Level and Superior Cash Flow Generation
CONVERVATIVE DEBT LEVEL AND SUPERIOR CASH FLOW GENERATION NET DEBT / (CASH)(1) FCF DYNAMICS(3) (RUB m) (RUB m) Leverage % of 9.9% 9.0% 0.4x 0.4x 0.5x 13.1% ratio(2) revenue 30,290 9,197 22 000 20,564 21 500 21 000 20 500 20 000 19 500 19 000 18 500 18 000 17 500 17 000 16 500 12,744 11,872 16 000 10