REG - X5 Retail Group N.V - X5 relaunches loyalty programmes as X5 Club

X5 Retail NVAnnouncement

22/07/2022 08:00

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RNS Number : 4229T  X5 Retail Group N.V.  22 July 2022

X5 RELAUNCHES PYATEROCHKA AND PEREKRESTOK LOYALTY PROGRAMMES AS Х5 CLUB

Moscow, 22 July 2022 - X5 Group ("X5" or the "Company", LSE and MOEX
ticker: FIVE), a leading Russian food retailer, has reimagined the loyalty
programmes for its Pyaterochka and Perekrestok retail chains as Х5 Club
(https://x5club.ru/) .

The loyalty programme enables customers to earn and spend bonus points
interchangeably at any of the chains' stores across the country. All
Pyaterochka and Perekrestok stores have been transferred to the new platform.

Igor Shekhterman, CEO of X5 Group, commented:

"Our strategy envisions presence at all stages of the customer journey, as
well as a seamless shopping experience and added value across Х5 businesses.
Reworking the Pyaterochka and Perekrestok loyalty programmes into Х5 Club is
a major stepping stone towards these strategic goals, harmonising the customer
experience for Pyaterochka and Perekrestok shoppers. In the future, we want to
bring the same level of convenience to all our customers by incorporating
other Group businesses into Х5 Club, including the online hypermarket
Vprok.ru Perekrestok, Mnogo Lososya, F (http://food.ru/) ood (http://food.ru/)
. (http://food.ru/) ru (http://food.ru/) , our unified subscription service X5
ID and more. We also plan to add new services to Х5 Club by partnering with
other companies, thus catering to an even broader range of customer needs.

"Х5 Club represents a milestone in realising X5's mission of improving
people's quality of life by offering affordable and healthy products,
delicious foods and help with everyday needs. At the heart of this new
solution is a new, domestically developed processing platform. Since March
2022, more than 60 million customers have transferred to the platform, in
what has become the biggest loyalty programme system migration in Russian
retail. This processing revamp has allowed us to increase the system's
reliability and shore up data protection."

At the initial stage, customers who participate in X5 Club will receive
cashback in the amount of 0.5% on every purchase. They will also be able to
see their total number of accumulated bonus points on all purchases across the
two retail chains. X5 will gradually introduce new benefits for different
categories of loyalty programme participants, with active users to accrue
bonus points at a higher percentage of their ticket amount. X5 Club members
can continue to use the Pyaterochka and Perekrostok mobile apps and can
present any of the eligible loyalty cards - for Pyaterochka, Perekrestok or X5
Club - during checkout.

Customers will be able to earn and spend bonus points when shopping at
Pyaterochka and Perekrestok using the chains' physical or virtual loyalty
cards. At present, customers using self-checkouts in Pyaterochka stores can
only write off bonus points using physical cards. The option to write off
bonus points from the Pyaterochka mobile app will be launched in the near
future.

In the autumn, the Company plans to further develop Х5 Club by enabling
users to choose higher cashback categories and receive personalised offers,
among other benefits.

From March to July 2022, while the processing system for X5's loyalty
programmes was being upgraded, all bonus points were credited to customer
accounts. The Company has extended the deadline for using previously earned
points, while points earned during the system transition period will become
available for spending.

 

Note to Editors:

X5 Retail Group N.V. (LSE and MOEX: FIVE; RAEX: ruAA+) is a leading Russian
food retailer. The Company operates proximity stores under the Pyaterochka
brand, Perekrestok supermarkets and Chizhik hard discounters. X5 provides an
omnichannel experience to its customers, integrating retail stores and
e-commerce through its businesses Vprok.ru Perekrestok, 5Post and Mnogo
Lososya.

As of 30 June 2022, X5 had 19,779 Company-operated stores.It has the leading
market position in both Moscow and St. Petersburg and a significant presence
in the European part of Russia. Its store base includes 18,558 Pyaterochka
proximity stores, 986 Perekrestok supermarkets and 153 Chizhik hard
discounters. The Company operates 48 DCs and 4,347 Company-owned trucks across
the Russian Federation.

X5 is one of the largest employers in Russia. The Company employs over 325
thousand people.

For the full year 2021, revenue totalled RUB 2,204,819 million (USD 29,935
million*), EBITDA pre-IFRS 16 reached RUB 161,024 million (USD 2,186
million*), and net profit pre-IFRS 16 for the period amounted to RUB 48,513
million (USD 659 million*). In Q1 2022, revenue totalled RUB 604,230 million
(USD 7,020 million**), adjusted EBITDA pre-IFRS 16 reached RUB 70,179 million
(USD 815 million**), and net profit pre-IFRS 16 amounted to RUB 2,499 million
(USD 29 million**).

 

Forward-looking statements

This announcement includes statements that are, or may be deemed to be,
"forward-looking statements". These forward-looking statements can be
identified by the fact that they do not only relate to historical or current
events. Forward-looking statements often use words such as "anticipate",
"target", "expect", "estimate", "intend", "expected", "plan", "goal",
"believe", or other words of similar meaning.

By their nature, forward-looking statements involve risk and uncertainty
because they relate to future events and circumstances, a number of which are
beyond X5 Group N.V.'s control. As a result, actual future results may differ
materially from the plans, goals and expectations set out in these
forward-looking statements.

Any forward-looking statements made by or on behalf of X5 Group N.V. speak
only as of the date of this announcement. Save as required by any applicable
laws or regulations, X5 Group N.V. undertakes no obligation publicly to
release the results of any revisions to any forward-looking statements in this
document that may occur due to any change in its expectations or to reflect
events or circumstances after the date of this document.

* FX rate: 73.6541 USD/RUB

** FX rate: 86.0693 USD/RUB

 

 For further details please contact:
 Varvara Kiseleva                                                    Maria Yazeva

 Head of Corporate Finance and IR                                    Investor Relations Officer

 Tel.: +7 (495) 662-88-88 ext. 27-300                                Tel.: +7 (495) 662-88-88 ext. 13-147

 e-mail: Varvara.Kiseleva@x5.ru (mailto:Varvara.Kiseleva@x5.ru)      e-mail: Maria.Yazeva@x5.ru (mailto:Maria.Yazeva@x5.ru)

 

 

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