Russia's Fix Price reports Q2 revenue jump, says shoppers choose 'essentials'

Fix Price

27/07/2022 13:14

July 27 (Reuters) - Russian low-cost retailer Fix Price
 FIXPDR.MM  said on Wednesday customers were focusing more on
essential purchases as it reported a 27% jump in second-quarter
revenue.
    Fix Price, which has majority of its stores in Russia and
also sells online, said the jump was driven by its 15.4%
like-for-like sales growth along with the expansion of its
network by 184 stores over the quarter.
    Revenue rose to 69.2 billion roubles ($1.16 billion) in the
quarter, while EBITDA margin for the first half of the year
exceeded the 19.2% Fix Price reported for the full 2021 year, it
said, without giving a specific figure.
    "Amid sustained uncertainty, consumers remained cautious and
delayed impulse buying, while focusing more on essentials," Fix
Price said.
    Russian leading food retailer X5 Group  FIVEDR.MM  said last
week shoppers were switching to cheaper food items driven by a
drop in real disposable income.  urn:newsml:reuters.com:*:nL8N2YZ19N
    Fix Price, which raised around $2 billion in its initial
public offering (IPO) last year, added that the share of food in
retail sales reached 30.9% in the quarter, up from 29.4% for the
same period a year earlier.
    Like-for-like sales of food, household chemicals and hygiene
products recorded the highest growth among other categories in
the quarter, Fix Price said.
    Federal Statistics Service Rosstat last week said consumer
prices have risen 11.41% so far this year, compared with a 4.51%
increase in the same period of 2021.  urn:newsml:reuters.com:*:nL8N2YZ19N
    The company's Moscow-listed depository receipts, which
jumped as much as 10% following the results, were 2% higher as
of 1156 GMT.  

($1 = 59.4000 roubles)

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 (Reporting by Anna Pruchnicka; editing by David Evans)
 ((anna.pruchnicka@thomsonreuters.com; +48 58 769 65 14;))