OJSC “Company “M.video” (RTS, MICEX: MVID), Russia’s largest consumer electronics retailer by revenue, announced today its unaudited sales, like-for-like sales (LfL) and expansion results for the 9 months and 3rd quarter of 2012.
9m 2012 Highlights:
- Sales increased by 23% to 107 billion Russian rubles (RUB), including VAT;
- Like-for-like sales increased by 13.5%;
- 28 new stores opened, selling space increased to 515,000 sq. m.
In Q3 2012 M.video sales increased by 19% and LfL sales grew by 8% versus Q3 2011.
M.video Internet sales grew by 60% as compared to 9m 2011.
M.video opened 28 new stores in 9m 2012. The Company opened 10 new stores in Q3 2012 while closing 5 older stores operating since 2002-2006 in Kazan, Rostov, Samara, Voronezh and Yekaterinburg.
The total number of the Company’s locations reached 282 stores as of September 30th, 2012. The selling space of M.video stores amounted to 515,000 sq. m and the total space amounted to 694,000 sq. m, demonstrating a 7% increase as compared to FY 2011 results.
Alexander Tynkovan, President and CEO of OJSC “Company “M.video”, said: “We are fully committed to our Omni-Channel strategy and continue to implement its elements in our operations. The customers are quite positive regarding those shopping opportunities which Omni-Channel provides; they mix different channels, search online, shop in stores, buy online and choose either pick-up in store or home delivery. In Q3 we launched our first internet operation outside Moscow in Nizhniy Novgorod, followed by this week start of further Internet operations under M.video brand in 15 different cities”.
He also added: “We believe that the Omni-Channel approach advantages will be well appreciated by our customers in the peak December season: alongside with reasonable pricing consumers tend to pay special attention to convenience and comfort of shopping in the holiday period”.
Summary of the 9 months and 3rd quarter 2012 performance:
Sales Performance
| |||||||||
| 9m2012 | 9m2011 | % change y-o-y | Q3 2012 | Q3 2011 | % change y-o-y | |||
RUB million, with VAT | 107,591 | 87,266 | 23% | 38,451 | 32,398 | 19% | |||
RUB million, without VAT | 91,179 | 73,954 | 32,586 | 27,456 | |||||
LfL Sales Performance*
| |||||||||
| 9m 2012 LfLDynamics, % | Q3 2012 LfLDynamics, % | |||||||
Russian rubles | 13.5% | 8% | |||||||
Expansion
| |||||||||
| As of 30 September 2012 | As of 31 December 2011 | New 9m 2012 | % change | |||||
Stores | 282 | 261 | 21** | 8% | |||||
Selling space, sq. m | 515,000 | 482,000 | 33,000** | 7% | |||||
Total space, sq. m | 694,000 | 650,000 | 44,000** | 7% | |||||
* - LfL data is based upon a comparison of stores open at January 1, 2010 and not closed for more than two weeks or permanently, or expanded or downsized by >20% of total space.
** - net of closing 7 stores in 9m 2012