REG - X5 Retail Group N.V - X5's Chizhik opens first stores in Tatarstan

X5 Retail NVAnnouncement

12/04/2023 13:00

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RNS Number : 8652V  X5 Retail Group N.V.  12 April 2023

CHIZHIK OPENS ITS FIRST STORES IN TATARSTAN

 

Kazan, 12 April 2023 - X5 Group ("X5" or the "Company", LSE and MOEX ticker:
FIVE), a leading Russian food retailer, announces the opening of its first
hard discounters under the Chizhik brand in the Republic of Tatarstan. On
Wednesday, two new stores opened in the republic's capital of Kazan on
90B Pobedy Avenue and 18 Belinskogo Street.

The product assortment at each store features approximately 750 SKUs,
including over 400 private label items that have already become popular with
Chizhik customers. These include Svetaevo, Verner, Shchedry God, Greenola,
Axl, Tafo and others.

Chizhik's business model is based on offering a small but sought-after
selection of quality products, as well as on relentless cost discipline and
business process optimisation. Thanks to the high share of private labels in
its assortment, the retailer offers only those products that meet its high
standards of quality, and charges fair prices and markups. Chizhik is
committed to providing its customers with the opportunity to save smartly by
spending less without compromising on quality. Chizhik also stands out for its
unique Nado Uspet ("Catch the Price") zone that highlights the chain's best
deals in household, kitchen, garden goods and other products every week - all
in one place.

The prices, assortment, new products, and locations of Chizhik stores are
available in the chain's mobile app for iOS and Android.

The new stores will be supplied from Chizhik's distribution centre in Kazan,
which has enough capacity to serve up to 250 stores in the retail chain.

The Chizhik retail chain has already created more than 150 jobs in the region,
with nearly 100 people staffing the distribution centre. The retailer expects
to bring the total number of new jobs created for local communities to more
than 450 by the end of the year.

The Republic of Tatarstan is the ninth region in the retail chain's footprint.
Chizhik plans to open 45 more stores in Tatarstan and the Chuvash Republic
before the end of the year, bringing new Chizhik stores to Kazan, Yoshkar-Ola,
Cheboksary and Naberezhnye Chelny.

At the end of 2022, Chizhik had more than 500 stores across eight regions of
Russia. In 2023, the retail chain plans to press ahead with its rapid
expansion by doubling the number of store openings and new regions of
operation.

 

Note to Editors:

X5 Retail Group N.V. (LSE and MOEX: FIVE; Expert RA - ruAAA; ACRA - AAA(RU))
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,
5Post and Mnogo Lososya.

 

As of 31 December 2022, X5 had 21,323 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 19,164
Pyaterochka proximity stores, 971 Perekrestok supermarkets, 517 Chizhik hard
discounters and 595 Krasny Yar and Slata stores. The Company operates 53 DCs
and 4,386 Company-owned trucks across the Russian Federation.

 

X5 is one of the largest employers in Russia. The Company employs over 353
thousand people.

For the full year 2022, revenue totalled RUB 2,605,232 million (USD 38,005
million*), EBITDA pre-IFRS 16 reached RUB 186,788 million (USD 2,725
million*), and net profit pre-IFRS 16 for the period amounted to RUB 52,248
million (USD 762 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: 68.5494 USD/RUB

 

 For further details please contact:
 Polina Ugryumova                                                       Maria Yazeva
 Head of Corporate Finance and IR

Tel.: +7 (495) 662-88-88 ext. 27-300                                  Investor Relations Officer

e-mail:   (mailto:%20Polina.Ugryumova@x5.ru) Polina.Ugryumova@x5.ru

 (mailto:%20Polina.Ugryumova@x5.ru)                                     Tel.: +7 (495) 662-88-88 ext. 13-147

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

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