Lenta IPJSC (LNTA;LENT) Lenta IPJSC: LENTA REPORTS TOTAL SALES
GROWTH OF 20.3% AND ONLINE SALES GROWTH OF 159.0% IN H1 2022
25-Jul-2022 / 09:00 CET/CEST Dissemination of a Regulatory
Announcement, transmitted by EQS Group. The issuer is solely
responsible for the content of this announcement.
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Press Release | St. Petersburg | 25 July 2022
LENTA REPORTS TOTAL SALES GROWTH OF 20.3% AND ONLINE SALES
GROWTH OF 159.0% IN H1 2022
25 July 2022, St. Petersburg, Russia: Lenta IPJSC (LSE: LNTA,
MOEX: LENT), one of the largest multi-format retail chains in
Russia, today announces its operational results and key financial
results for the second quarter and the first six months of 2022 as
well as its auditor-reviewed IFRS financial results for the first
six months of 2022.
H1 2022 Highlights1,2
-- Total Sales increased by 20.3% y-o-y to RUB 262.5
billion.
-- Retail Sales reached RUB 259.3 billion, representing 20.7%
y-o-y growth.
-- Like-for-Like (LFL) Sales increased by 5.2%, driven by 9.0%
LFL Average Ticket growth.
-- Online Sales grew by 159.0% y-o-y to RUB 20.4 billion.
-- The ?ompany opened 62 small-format stores on a gross
basis.
-- Total Selling Space increased by 16.3%, reaching 1,778.7
thousand sq. m.
-- Gross Profit increased by 26.4% y-o-y to RUB 62.8 billion.
Gross Margin increased by 114 bps andstood at 23.9%.
-- EBITDA was RUB 15.4 billion with a 5.9% EBITDA Margin.
-- Capex stood at RUB 7.2 billion, up 43.3%.
-- The Net Debt to EBITDA (LTM) ratio stood at 1.9x vs. 1.4x as
of 31 December 2021. 1. Including Utkonos results starting from 1
February 2022 2. Please note that all Financial Highlights are
based upon pre-IFRS 16 figures
Vladimir Sorokin, Chief Executive Officer, commented on Q2 2022
results:
"In Q2 2022, we continued adapting Lenta's business to the new
environment to ensure that we were able to fulfill our primary
objective - providing customers with quality food products and
basic essentials-without interruption. Thanks to the concerted
efforts of our personnel, we dealt with emerging challenges while
maintaining the sustainability and viability of Lenta's business.
By the end of Q2 2022, the quality of our relations with suppliers
was closer to where it was in January; in addition, we built new
supply chains and established a process for settlements with
foreign counterparties. Moreover, we managed to put new products on
our stores' shelves and to expand Lenta's supplier base
considerably. In the first half of 2022, we added 314 local
producers to our suppliers. In Q2 2022, we completed the
integration of Billa: all of the retailer's stores are already
operating under the Lenta brand, and they have been fully
integrated into our platforms, product matrixes and IT solutions.
In the second half of 2022, we will continue to integrate the Semya
chain and the online business Utkonos. A few words about our
formats. In Q2 2022, like-for-like sales at our hypermarkets
increased by 2.5%. At the moment, the priority for us is to develop
an offer that will bring traffic back to our stores, including by
developing our product mix and promotions as well as expanding our
own private labels. In terms of our small-format stores, we note
the positive dynamics and the return on our efforts to develop
them. Our Q2 2022 results are clear evidence of this: we achieved
2.9% growth in LFL sales, and we were able to stabilize
inventories, which enabled us to improve our EBITDA margin. Our
online business continues to increase its share in Lenta's total
sales and is showing strong results. Online sales in Q2 2022
increased by 135%.
Responding to customer requests remains our top priority. We are
undertaking comprehensive efforts to ensure that we can update our
product mix and pricing quickly in response to changing external
market conditions. The company's operating and financial results
demonstrate that we are successfully adapting and quickly learning
to work in the new environment."
Q2 & H1 2022 OPERATING RESULTS, y-o-y
Sales3
Q2'22 Q2'21 Change % Change H1'22 H1'21 Change % Change
Total Sales (RUB million) 130,089 110,776 19,313 17.4% 262,459 218,088 44,371 20.3%
Retail Sales 128,737 109,027 19,710 18.1% 259,294 214,908 44,386 20.7%
Hypermarkets 101,868 99,473 2,395 2.4% 206,574 195,664 10,911 5.6%
Small Formats 24,310 9,554 14,757 154.5% 47,966 19,245 28,722 149.2%
Utkonos4 2,559 0 - - 4,754 0 - -
Wholesale5 1,352 1,749 -397 -22.7% 3,165 3,179 -14 -0.5%
Average Ticket (RUB) 1,023 1,085 -61 -5.7% 1,050 1,105 -54 -4.9%
Hypermarkets 1,325 1,211 114 9.4% 1,347 1,229 118 9.6%
Small Formats 503 520 -17 -3.3% 519 544 -26 -4.7%
Utkonos 4,383 0 - - 4,336 0 - -
Number of Tickets (millions) 126 101 25 25.2% 247 195 52 26.9%
Hypermarkets 77 82 -5 -6.4% 153 159 -6 -3.7%
Small Formats 48 18 30 163.2% 92 35 57 161.6%
Utkonos 0.6 0 - - 1.1 0 - -
Stores and Selling Space
Q2'22 Q2'21 Change % Change H1'22 H1'21 Change % Change
Total Retail Stores (eop) 809 406 403 99.3% 809 406 403 99.3%
Hypermarkets 254 255 -1 -0.4% 254 255 -1 -0.4%
Openings 0 2 -2 - 0 3 -3 -
Closing 0 1 -1 - 0 2 -2 -
Small Formats 555 151 404 267.5% 555 151 404 267.5%
Openings 18 11 7 63.6% 62 13 49 376.9%
Closing 4 0 4 -% 10 1 9 900.0%
New Selling Space (sqm, eop) 6,286 7,078 -792 -11.2% 23,719 10,577 13,142 124.3%
Hypermarkets 0 2,829 - - 0 5,728 - -
Small Formats 6,286 4,249 2,037 47.9% 23,719 4,849 18,870 389.2%
Total Selling Space (sqm, eop) 1,778,702 1,529,175 249,527 16.3% 1,778,702 1,529,175 249,527 16.3%
Hypermarkets 1,401,291 1,406,516 -5,225 -0.4% 1,401,291 1,406,516 -5,225 -0.4%
Small Formats 377,411 122,659 254,752 207.7% 377,411 122,659 254,752 207.7%
LFL Results
Q2'22 H1'22
Sales Average Ticket Traffic Sales Average Ticket Traffic
Total Retail 2.6% 8.6% -5.5% 5.2% 9.0% -3.6%
Hypermarkets 2.5% 9.2% -6.1% 5.5% 9.5% -3.6%
Small Formats 2.9% 6.1% -3.0% 1.4% 4.9% -3.3%
Online Sales
Q2'22 Q2'21 Change % Change H1'22 H1'21 Change % Change
Total Online Sales (RUB million) 9,603 4,079 5,524 135.4% 20,439 7,892 12,547 159.0%
Online Partners 2,158 2,227 -69 -3.1% 5,690 4,486 1,205 26.9%
Lenta Online6 4,949 1,852 3,097 167.2% 9,996 3,407 6,589 193.4%
Utkonos7 2,495 0 - - 4,754 0 - -
Average Online Ticket (RUB) 2,354 1,799 555 30.9% 2,278 1,786 493 27.6%
Online Partners 1,896 1,778 118 6.7% 1,892 1,812 80 4.4%
Lenta Online6 2,100 1,825 275 15.0% 2,056 1,752 304 17.3%
Utkonos7 4,274 0 - - 4,314 0 - -
Total Online Orders (thousands) 4,079 2,267 1,811 79.9% 8,971 4,419 4,552 103.0%
Online Partners 1,138 1,253 -115 -9.2% 3,007 2,475 532 21.5%
Lenta Online6 2,357 1,015 1,342 132.3% 4,862 1,944 2,918 150.1%
Utkonos7 584 0 - - 1,102 0 - -
For Q2 2022 monthly operating results, please refer to Appendix
1
3. Including Utkonos results from the date of consolidation (1
February 2022)
4. Includes only Utkonos Retail Sales (B2C)
5. Wholesales includes Utkonos wholesales (B2B)
6. Lenta Online includes Click & Collect
7. Includes both Utkonos retail sales (B2C) and wholesales (B2B)
Q2 2022 OPERATING RESULTS
In Q2 2022, Total Sales increased by 17.4% to RUB 130.1 billion.
Lenta's Retail Sales in Q2 2022 increased by 18.1% to RUB 128.7
billion, compared to RUB 109.0 billion in Q2 2021, driven by 2.6%
LFL Retail Sales growth and 16.3% Total Selling Space expansion,
both organically and inorganically. Overall Sales Density in Q2
2022 improved by 3.5% year-over-year.
Following the abnormal retail sales hike in March 2022, when
customers stockpiled household chemicals, hygiene products, dry
food, and other durables, Lenta faced a traffic decline in Q2 2022.
Cold weather in May and June also affected sales of summer non-food
goods.
In Q2 2022, the total Number of Tickets increased by 25.2%
thanks to the above-mentioned expansion, while the Average Ticket
size decreased by 5.7% primarily due to the increasing share of
small-format stores' sales in total Retail Sales.
Wholesale Sales, which now includes Utkonos B2B sales from the
date of consolidation, represented 1.0% of Total Sales and
decreased by 22.7% compared to the corresponding period of the
previous year.
In H1 2022, the Average Ticket was the driver of LFL Sales
growth. LFL Sales growth decelerated to 2.6% in Q2 2022. Total
Retail LFL Traffic stood at a negative 5.5%. The Total Retail LFL
Average Ticket increased by 8.6%, offsetting negative LFL
Traffic.
In Q2 2022, Lenta continued to improve its loyalty program and
actively worked on promo recovery. In Q2 2022, 1.7 million new
loyalty cards were activated, with the total number of loyalty
cards issued reaching to 23.0 million. Transactions using loyalty
cards accounted for 95.9% of total Retail Sales, excluding
Utkonos.
Hypermarket Sales represented 79.1% of total Retail Sales in Q2
2022. Hypermarkets delivered 2.4% Sales growth, positive LFL Sales
growth of 2.5%, and an increase of 9.2% in the LFL Average Ticket,
driven primarily by inflation. Lenta continues to improve the
efficiency of in-store operations, which led to a sales density
improvement of 5.8% year-over-year.
In Q2 2022, Lenta put on hold a significant number of store
openings due to the macroeconomic conditions and market
uncertainties. During Q2 2022, 18 new small-format stores were
opened. Lenta also closed four underperforming stores to optimize
operations, bringing the total number of small-format stores to 555
as of the end of Q2. In the reporting period, small-format stores
demonstrated significant year-over-year Sales Growth of 154.5%,
primarily driven by acquisitions made in 2021. Small-format stores'
LFL Sales grew by 2.9%, compared to a 0.1% decrease in Q1 2022. The
LFL Average Ticket increased by 6.1%, while LFL Traffic stood at a
negative 3.0%.
In Q2 2022, Lenta's Online channel continued to demonstrate very
strong sales growth. Total Online Sales including Utkonos sales
during the period amounted to RUB 9.6 billion, an increase of
135.4% year-over-year, while Total Online Orders were up 79.9% and
amounted to 4.1 million. The Average Ticket for Lenta Online was
RUB 2,100, an increase of 15.0% year-over-year. The share of online
sales via Partners decreased significantly following Partners'
revision of their approach to the development of their online
offering, while there was no significant change in Lenta's share of
sales in Partner services. Lenta Online demonstrated considerable
sales growth thanks to increases in the Average Ticket, the size of
the customer base and the number of orders. In addition, Lenta
Online incorporated technologies for the simultaneous picking and
delivery of multiple online orders, which will improve the
business's operational efficiency. In Q2 2022, Online Sales
constituted 7.4% of Lenta's Total Sales, compared to 3.7% in the
corresponding period of the previous year. Q2 & H1 2022
FINANCIAL HIGHLIGHTS, pre-IFRS 16
Key Financial Results, pre-IFRS 16
RUB million Q2'22 Q2'21 Change H1'22 H1'21 Change
Total Sales 130,089 110,776 17.4% 262,459 218,088 20.3%
Gross Profit 32,798 26,291 24.7% 62,839 49,722 26.4%
Gross Margin (%) 25.2% 23.7% 148 bps 23.9% 22.8% 114 bps
SG&A -30,839 -20,540 -50.1% -60,504 -42,103 -43.7%
SG&A as % of Total Sales -23.7% -18.5% -516 bps -23.1% -19.3% -375 bps
EBITDAR 11,490 12,516 -8.2% 21,397 20,841 2.7%
EBITDAR Margin 8.8% 11.3% -247 bps 8.2% 9.6% -140 bps
Rent as % of Total Sales -2.3% -1.5% -74 bps -2.3% -1.5% -74 bps
EBITDA 8,518 10,806 -21.2% 15,409 17,472 -11.8%
EBITDA Margin 6.5% 9.8% -321 bps 5.9% 8.0% -214 bps
Operating Profit before impairment 4,062 7,003 -42.0% 6,593 9,856 -33.1%
Operating Profit Margin before impairment 3.1% 6.3% -320 bps 2.5% 4.5% -201 bps
Impairment - - - -9 -
Operating Profit 4,062 7,003 -42.0% 6,593 9,847 -33.0%
Operating Profit Margin 3.1% 6.3% -320 bps 2.5% 4.5% -200 bps
Net Interest Expense -1,400 -1,212 -15.5% -2,455 -2,331 -5.3%
Net FX loss 388 -605 - 357 -610 -
Profit Before Income Tax 3,050 5,186 -41.2% 4,495 6,906 -34.9%
Net Income 2,623 4,046 -35.2% 3,358 5,363 -37.4%
Net Income Margin 2.0% 3.7% -164 bps 1.3% 2.5% -118 bps
For Q2 & H1 2022 financial highlights prepared in accordance
with IFRS 16, please refer to Appendix 2
Total Sales demonstrated strong growth of 17.4% and amounted to
RUB 130.1 billion, compared to RUB 110.8 billion in Q2 2021.
In Q2 2022, Gross Profit (pre-IFRS 16) rose by 24.7%
year-over-year to RUB 32.8 billion. Gross Margin improved by 148
bps to 25.2% mainly due to a lower promo share. This growth was
offset by an increased shrinkage as a percentage of Total Sales,
which resulted from a higher share of new stores in the ramp-up
stage.
Gross Profit growth was offset by a Total SG&A increase of
50.1%, leading to an EBITDA (pre-IFRS 16) decrease of 21.2%
year-over-year. In Q2 2022, Lenta's EBITDA Margin stood at 6.5%.
EBITDA Margin declined by 321 bps compared to the previous year,
primarily due to the growth of SG&A as a percentage of Total
Sales, which resulted from an increased share of stores in the
ramp-up stage, the growing share of Lenta's own online and the
Utkonos acquisition.
Selling, General, and Administrative (SG&A) expenses,
pre-IFRS 16
RUB million Q2'22 Q2'21 Change H1'22 H1'21 Change
Payroll and related taxes 13,509 7,792 73.4% 25,936 16,284 59.3%
as a % of Total Sales 10.4% 7.0% 335 bps 9.9% 7.5% 242 bps
Depreciation and Amortization (D&A) 4,457 3,803 17.2% 8,817 7,616 15.8%
as a % of Total Sales 3.4% 3.4% -1 bp 3.4% 3.5% -13 bps
Lease Expenses 2,972 1,709 73.9% 5,988 3,369 77.7%
as a % of Total Sales 2.3% 1.5% 74 bps 2.3% 1.5% 74 bps
Utilities 1,738 1,251 38.9% 3,526 2,647 33.2%
as a % of Total Sales 1.3% 1.1% 21 bps 1.3% 1.2% 13 bps
Store Operations 2,980 2,404 24.0% 6,021 4,690 28.4%
as a % of Total Sales 2.3% 2.2% 12 bps 2.3% 2.2% 14 bps
Professional Fees 1,359 988 37.6% 2,733 2,100 30.1%
as a % of Total Sales 1.0% 0.9% 15 bps 1.0% 1.0% 8 bps
Advertising 1,826 1,122 62.7% 3,488 2,381 46.5%
as a % of Total Sales 1.4% 1.0% 39 bps 1.3% 1.1% 24 bps
Other 1,998 1,471 35.8% 3,995 3,016 32.5%
as a % of Total Sales 1.5% 1.3% 21 bps 1.5% 1.4% 14 bps
Total SG&A 30,839 20,540 50.1% 60,504 42,103 43.7%
as a % of Total Sales 23.7% 18.5% 516 bps 23.1% 19.3% 375 bps
SG&A excluding D&A 26,382 16,737 57.6% 51,687 34,487 49.9%
as a % of Total Sales 20.3% 15.1% 517 bps 19.7% 15.8% 388 bps
For Q2 & H1 2022 SG&A expenses in accordance with IFRS
16, please refer to Appendix 2
In Q2 2022, Total Selling, General, and Administrative expenses
(pre-IFRS 16) increased by 50.1% year-over-year to RUB 30.8
billion. SG&A as a percentage of Total Sales increased by 516
bps to 23.7%. This growth was mainly driven by higher payroll
expenses, higher lease expenses, as well as increased utilities
costs.
In Q2 2022, Payroll expenses rose by 73.4% year-over-year, while
personnel expenses as a percentage of Total Sales increased by 335
bps. This growth primarily resulted from the salary indexation that
took place in Q4 2021, a higher share of stores in the ramp-up
stage and the Utkonos acquisition.
D&A increased by 17.2% due to an increase in owned selling
space of 2.4% year-over-year. D&A as a percentage of Total
Sales decreased by 1 bp due to the declining share of owned selling
space in Total Selling Space.
Lease expenses as a percentage of Total Sales rose by 74 bps,
primarily due to the acquisitions of Billa and Semya, both of which
have a higher percentage of leased versus owned stores in their
portfolios. The share of leased selling space for Lenta overall was
35% as of 30 June 2022, compared to 26% a year ago.
Store Operations as percentage of Total Sales increased by 12
bps year-over-year, mainly driven by 10 bps increase in repairs and
maintenance and 5 bps increase in cleaning costs, while security
costs decreased by 3 bps.
Advertising costs during Q2 2022 were up 62.7% year-over-year,
due to investments in our growing online business as well as an
increase in media related expenses as a result of organic growth
(especially in the Moscow Region).
Cash Flow Statement, pre-IFRS 16
RUB million Q2'22 Q2'21 Change H1'22 H1'21 Change
Profit before income tax 3,050 5,186 -41.2% 4,495 6,906 -34.9%
Net adjustments for loss on disposal of assets, impairment, depreciation & 5,753 5,755 -0.0% 11,328 10,740 5.5%
amortization, and other
Movements in Working Capital -3,448 -3,261 -5.7% -17,897 -10,216 -75.2%
Cash generated from / (used in) operating activities 5,355 7,680 -30.3% -2,074 7,430 -
Net Interest & Income Taxes Paid -1,865 -1,323 -41.0% -5,477 -3,323 -64.8%
Net Cash generated from / (used in) Operating Activities 3,490 6,357 -45.1% -7,551 4,107 -
Net cash used in Investing Activities -3,361 -1,791 -87.7% -7,359 -4,868 -51.2%
Net cash generated from / (used in) financing activities -5,001 10,000 - -5,051 9,427 -
Effect of exchange rates on cash and cash equivalents -173 -605 71.4% -138 -615 77.6%
Net Increase / (Decrease) in Cash & Cash Equivalents -5,045 13,961 - -20,099 8,051 -
For the Q2 & H1 2022 cash flow statement prepared in
accordance with IFRS 16, please refer to Appendix 2
Capital Expenditures in Q2 2022 amounted to RUB 3.1 billion, an
increase of 72.3% year-over-year. This increase resulted from the
opening of new stores (18 store openings on a gross basis during Q2
2022 vs. 11 store openings during Q2 2021) and expenses related to
the integration of Billa and Semya stores.
The Company's Profit Before Income Tax for Q2 2022 was RUB 3.1
billion, which was 41.2% lower than in Q2 2021. The decrease in
Profit before income tax was mainly the result of a 42.0%
year-over-year decline in Operating Profit as well as a 15.5%
increase in Net Interest Expense.
In Q2 2022, Net Cash generated from Operating Activities
(pre-IFRS 16) amounted to RUB 3.5 billion, compared to RUB 6.4
billion the previous year. These dynamics resulted from the
decrease in Profit before income tax and higher Interest and Income
Taxes Paid.
Net Cash used in Investing Activities increased by 87.7% to RUB
3.4 billion in Q2 2022, up from RUB 1.8 billion in Q2 2021.
In Q2 2022, Net Cash used in Financing Activities amounted to
RUB 5.0 billion, compared to Net Cash generated from Financing
Activities of RUB 10.0 billion in Q2 2021.
Free Cash Flow for Q2 2022 was RUB 0.1 billion, which was RUB
4.4 billion lower than in Q2 2021, mainly due to lower Net Cash
generated from Operating Activities.
Debt Position and Leverage
IFRS 16 pre-IFRS 16
RUB million 30-Jun-22 31-Dec-21 30-Jun-22 31-Dec-21
Gross Debt 139,989 148,962 83,129 88,414
Long-term Debt 25,975 66,912 25,975 66,912
Short-term Debt 57,154 21,502 57,154 21,502
Lease Liabilities (IFRS 16) 56,860 60,548 - -
Cash & Cash Equivalents 13,228 33,326 13,228 33,326
Net Debt 126,761 115,636 69,901 55,088
Net Debt / EBITDA (LTM) ratio 1.9x 1.4x
Lenta's cash position at the end of Q2 2022 was RUB 13.2
billion. Gross Debt decreased by 6.0% compared to 31 December 2021
and stood at RUB 83.1 billion as of 30 June 2022. Net Debt
(pre-IFRS 16) increased by RUB 14.8 billion compared to year-end
2021 and stood at RUB 69.9 billion.
All the Company's debt has fixed interest rates and is fully
ruble-denominated, matching its revenue structure. The LTM weighted
average effective interest rate for Lenta's debt portfolio for the
period ended 30 June 2022 was 7.4%, compared to 6.9% for the
twelve-month period ended 30 June 2021.
Lenta's Net Debt to EBITDA ratio was 1.9x as of 31 June 2022 vs.
1.4x as of 31 December 2021.
FY'22 GUIDANCE
Lenta expects to add at least 100 stores in 2022. This guidance
reflects the current macroeconomic uncertainty. In 2022, Lenta will
continue to look for attractive growth opportunities and expansion
in existing and new formats, as well as further development of our
online business. The company reserves the right to revise guidance
in the course of the year or when additional information regarding
the effect of ongoing events becomes available. For further
information, please contact:
Lenta Lenta
Mariya Filippova
Tatyana Vlasova Head of Public Relations and Government Affairs
Head of Investor Relations maria.filippova@lenta.com
tatyana.vlasova@lenta.com About Lenta
Lenta IPJSC (LSE: LNTA, MOEX: LENT) is a leading Russian
multi-format food and FMCG retailer. The company operates
hypermarkets, supermarkets, and recently launched a new proximity
store format under the brand Mini Lenta. It also provides customers
the option to shop online via its own Lenta Online services, Online
Partners and the Utkonos platform. Lenta is Russia's largest
hypermarket operator and the fourth largest food retailer overall
by Sales. The company was founded in 1993 in St. Petersburg and as
of June 30, 2022, operated 254 hypermarkets and 555 supermarkets
and Lenta Mini stores in over 200 cities and towns across Russia,
with almost 1.78 million square meters of Selling Space. The
average Lenta hypermarket has approximately 5,500 square meters of
Selling Space, the average Lenta supermarket has 800 square meters,
and the Mini Lenta format is 500 meters on average. The company
operates 14 distribution centers to supply all its stores. 2021
Revenues were RUB 484 billion (approximately USD 6.5 billion).
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
Lenta'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 Lenta speak only as of the date of this
announcement. Except as required by any applicable laws or
regulations, Lenta 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.
Appendix 1
Q2 2022 MONTHLY OPERATING RESULTS
Sales3
April YoY May YoY June YoY
Total Sales (RUB million) 43,521 18.8% 43,903 17.4% 42,665 16.1%
Retail Sales 43,156 19.8% 43,462 17.6% 42,118 16.8%
Hypermarkets 33,710 3.0% 34,370 1.9% 33,788 2.4%
Small Formats 8,463 157.5% 8,248 157.3% 7,600 148.2%
Utkonos4 984 - 844 - 731 -
Wholesale5 364 -39.9% 441 -4.9% 547 -19.5%
Average Ticket (RUB) 1,027 -5.6% 1,032 -5.2% 1,011 -6.2%
Hypermarkets 1,327 9.3% 1,333 10.0% 1,315 9.0%
Small Formats 515 -3.6% 511 -2.4% 481 -4.3%
Utkonos 4,623 - 4,233 - 4,261 -
Number of Tickets (millions) 42 26.9% 42 24.0% 42 24.6%
Hypermarkets 25 -5.8% 26 -7.4% 26 -6.1%
Small Formats 16 167.0% 16 163.5% 16 159.3%
Utkonos 0 - 0.2 - 0.2 -
Stores and Selling Space
April May June
Total Retail Stores (eop) 800 803 809
Hypermarkets 254 254 254
Openings 0 0 0
Closing 0 0 0
Small Formats 546 549 555
Openings 6 5 7
Closing 1 2 1
New Selling Space (sqm, eop) 2,005 849 3,432
Hypermarkets 0 0 0
Small Formats 2,005 849 3,432
Total Selling Space (sqm, eop) 1,774,421 1,775,270 1,778,702
Hypermarkets 1,401,291 1,401,291 1,401,291
Small Formats 373,130 373,979 377,411
Online Sales
April YoY May YoY June YoY
Total Online Sales (RUB million) 3,408 141.9% 3,222 137.1% 2,973 126.7%
Online Partners 785 -0.7% 683 -7.4% 690 -1.2%
Lenta Online6 1,703 194.6% 1,695 193.3% 1,552 179.7%
Utkonos7 920 - 844 - 731 -
Average Online Ticket (RUB) 2,331 31.3% 2,380 32.1% 2,354 29.2%
Online Partners 1,842 4.1% 1,896 5.0% 1,963 11.6%
Lenta Online6 2,068 17.0% 2,134 20.4% 2,098 14.5%
Utkonos7 4,323 - 4,233 - 4,261 -
Total Online Orders (thousands) 1,462 84.3% 1,354 79.5% 1,263 75.5%
Online Partners 426 -4.6% 360 -11.8% 351 -11.5%
Lenta Online6 823 151.7% 794 143.7% 740 144.3%
Utkonos7 213 - 199 - 172 -
3. Including Utkonos results from the date of consolidation (1
February 2022)
4. Includes only Utkonos Retail Sales (B2C)
5. Wholesales includes Utkonos wholesales (B2B)
6. Lenta Online includes Click & Collect
7. Includes both Utkonos retail sales (B2C) and wholesales (B2B)
Appendix 2
Q2 & H1 2022 FINANCIAL HIGHLIGHTS, IFRS 16
Key Financial Results
RUB million Q2'22 Q2'21 Change H1'22 H1'21 Change
Total Sales 130,089 110,776 17.4% 262,459 218,088 20.3%
Gross Profit 33,003 26,314 25.4% 63,102 49,807 26.7%
Gross Margin (%) 25.4% 23.8% 162 bps 24.0% 22.8% 120 bps
SG&A -30,263 -20,115 -50.4% -59,299 -41,325 -43.5%
SG&A as % of Total Sales -23.3% -18.2% -511 bps -22.6% -18.9% -364 bps
EBITDAR 11,630 12,501 -7.0% 21,591 21,100 2.3%
EBITDAR Margin 8.9% 11.3% -234 bps 8.2% 9.7% -145 bps
Rent as % of Total Sales -0.4% -0.2% -18 bps -0.3% -0.2% -14 bps
EBITDA 11,156 12,300 -9.3% 20,686 20,647 0.2%
EBITDA Margin 8.6% 11.1% -253 bps 7.9% 9.5% -159 bps
Operating Profit before impairment 4,778 7,414 -35.6% 7,991 10,893 -26.6%
Operating Profit Margin before impairment 3.7% 6.7% -302 bps 3.0% 5.0% -195 bps
Impairment - - - -9 -
Operating Profit 4,778 7,414 -35.6% 7,991 10,884 -26.6%
Operating Profit Margin 3.7% 6.7% -302 bps 3.0% 5.0% -195 bps
Net Interest Expense -2,622 -1,924 -36.3% -4,910 -3,711 -32.3%
Net FX loss 1,594 -562 - 1,253 -589 -
Profit Before Income Tax 3,750 4,928 -23.9% 4,334 6,584 -34.2%
Net Income 3,185 3,840 -17.0% 3,230 5,105 -36.7%
Net Income Margin 2.4% 3.5% -102 bps 1.2% 2.3% -111 bps
Selling, General, and Administrative (SG&A) expenses
RUB million Q2'22 Q2'21 Change H1'22 H1'21 Change
Payroll and related taxes 13,509 7,792 73.4% 25,936 16,284 59.3%
as a % of Total Sales 10.4% 7.0% 335 bps 9.9% 7.5% 242 bps
Depreciation and Amortization (D&A) 6,378 4,886 30.5% 12,695 9,754 30.2%
as a % of Total Sales 4.9% 4.4% 49 bps 4.8% 4.5% 36 bps
Lease Expenses 474 201 135.8% 905 453 99.8%
as a % of Total Sales 0.4% 0.2% 18 bps 0.3% 0.2% 14 bps
Utilities 1,738 1,251 38.9% 3,526 2,647 33.2%
as a % of Total Sales 1.3% 1.1% 21 bps 1.3% 1.2% 13 bps
Store Operations 2,980 2,404 24.0% 6,021 4,690 28.4%
as a % of Total Sales 2.3% 2.2% 12 bps 2.3% 2.2% 14 bps
Professional Fees 1,359 988 37.6% 2,733 2,100 30.1%
as a % of Total Sales 1.0% 0.9% 15 bps 1.0% 1.0% 8 bps
Advertising 1,826 1,122 62.7% 3,488 2,381 46.5%
as a % of Total Sales 1.4% 1.0% 39 bps 1.3% 1.1% 24 bps
Other 1,999 1,471 35.9% 3,995 3,016 32.5%
as a % of Total Sales 1.5% 1.3% 21 bps 1.5% 1.4% 14 bps
Total SG&A 30,263 20,115 50.4% 59,299 41,325 43.5%
as a % of Total Sales 23.3% 18.2% 511 bps 22.6% 18.9% 364 bps
SG&A excluding D&A 23,885 15,229 56.8% 46,604 31,571 47.6%
as a % of Total Sales 18.4% 13.7% 461 bps 17.8% 14.5% 328 bps
Cash Flow Statement
RUB million Q2'22 Q2'21 Change H1'22 H1'21 Change
Profit before income tax 3,750 4,928 -23.9% 4,334 6,584 -34.2%
Net adjustments for loss on disposal of assets, impairment, depreciation & 7,754 7,521 3.1% 16,834 14,216 18.4%
amortization, and other
Movements in Working Capital -3,433 -3,276 4.8% -17,929 -10,353 73.2%
Cash generated from / (used in) operating activities 8,071 9,173 -12.0% 3,239 10,447 -69.0%
Net Interest & Income Taxes Paid -3,099 -2,025 53.0% -7,946 -4,704 68.9%
Net Cash generated from / (used in) Operating Activities 4,972 7,148 -30.4% -4,707 5,743 *
Net cash used in Investing Activities -3,351 -1,782 88.0% -7,340 -4,851 51.3%
Net cash generated from / (used in) financing activities -6,493 9,200 - -7,914 7,774 -
Effect of exchange rates on cash and cash equivalents -173 -605 -71.4% -138 -615 -77.6%
Net Increase / (Decrease) in Cash & Cash Equivalents -5,045 13,961 - -20,099 8,051 -
-----------------------------------------------------------------------------------------------------------------------
ISIN: US52634T2006, US52634T1016
Category Code: IR
TIDM: LNTA;LENT
LEI Code: 213800OMCE8QATH73N15
OAM Categories: 3.1. Additional regulated information required to be disclosed under the laws of a Member State
Sequence No.: 176721
EQS News ID: 1404489
End of Announcement EQS News Service
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