Obuv Rossii
Obuv Rossii: In 2013 Obuv Rossii increased its proceeds 1,5 times – up to 4.97 billion rubles
Obuv Rossii / Key word(s): Final Results In 2013 Obuv Rossii increased its proceeds 1,5 times – up to 4.97 billion rubles Novosibirsk, 12 March 2014. – Obuv Rossii Group of Companies, one of the biggest Russian shoe retailers, sums up its financial results of 2013 according to Russian Accounting Principles. – Proceeds of the Company for the reporting period increase by 49% and made up 4.97 bln rubles. – The net profit increased by 48% – up to 506 mln rubles. – EBITDA was 912 mln rubles, the increase as related to 2012 year being 72%. – EBITDA profitability – 18.4% (2012 – 15.9%). – The growth of sales in similar stores (like-for-like) was 18%. – Sales of related products increased 2.7 times – up to 865 mln rubles; the share in the Company’s proceeds increased from 12 to 17%. – The volume of signed contracts as related to the installments project made up 2.2 bln rubles, the increase as compared to 2012 being 47%. “2013 was a very efficient year for us – we became leaders in the mid-price segment of the shoe market, showed significant growth of net profit and profitability, – says Anton Titov, Director of Obuv Rossii GC. – It became possible due to both professional marketing strategy, when we invest in the development of brands, improvement of the assortment and introduction of new services for the customers and due to the unique situation on the shoe market. Russian show market is growing at the rate of 7-11% per year. The consolidation of the market is weak, many formats have not been represented yet, that is why there are big opportunities for shoe retail development.” In 2013 Obuv Rossii invested more than 1 bln rubles in the development of the retail chain and achieved good results. The Group opened 90 stores – the highest index over the whole period of Obuv Rossiii operation. The Company entered 30 new cities and new regions including the Amur Region, the Republic of Mordovia, Komi, Karelia, Bashkortostan, Buryatia, Jewish Autonomous Region, Khanty-Mansi Autonomous District, and Zabaykalsky Krai. Obuv Rossii opened stores both in big regional centres and in satellite towns with the population of over 100 thousand people. The Company worked to improve the assortment of the retail chain, which made it possible to achieve some growth in the return on sales. In the spring of 2013, the Company introduced a new brand on the market, Valeryia by Westfalika – a line of exclusive shoes developed with the participation of the signer Valeryia. These more expensive designer shoes make 30% of Westfalika’s store collections now. The Company also developed the high margin assortment of related products, which includes over 500 SKU now. In 2013, Obuv Rossii increased sales of related products up to 865 mln rubles; their share in the proceeds increased up to 17%. Obuv Rossii developed additional services for its customers. Sales on installments increased in 2013 by 47% and made up 2.2 bln rubles. At present, over 400 thousand people have already purchased footwear on installments, 70% of them – two and more times. The second line, microloans, has also demonstrated growth. The volume of extended loans in 2013 made up 1.2 bln rubles, the interest profit of the Company – 571 mln rubles (11.5% of the Company’s proceeds). In 2013 Obuv Rossii opened a new line in its business – development of new materials to make shoes. For this purpose, a research centre called Modified Polymers was created in the Group. Development of superlight, superstrong and frost-proof materials is the key line in the Centre’s operation. Investments in the operation of the centre in 2014 will increase 30 mln rubles. The Company took serious steps to increase the investment attractiveness and transparency of the business. In autumn, “Obuv Rossii” consolidated the assets into an open joint stock company with the authorized capital of 7 billion rubles and established a board of directors with the participation of independent directors. In addition, the Company transferred to the International Financial Reporting Standards. In October 2013, the “Expert RA” rating agency increased the credit rating of the Group to the “А+” level, which is the high level of credit solvency. In 2014 the Group will continue to grow actively: “Obuv Rossii” plans to open 120 stores, investing 1.5 billion rubles. The Far East, the Volga Region and the central part of Russia will be priority regions of development. The planned proceeds for 2014 is more than 7 billion rubles. About the Company End of Corporate News 12.03.2014 Dissemination of a Corporate News, transmitted by EquityStory.RS, LLC – a company of EQS Group AG. The issuer is solely responsible for the content of this announcement. EquityStory.RS, LLC’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
Language: | English | |
Company: | Obuv Rossii | |
Bogdan Khmelnistky’s St., 56 | ||
630110 Novosibirsk | ||
Russia | ||
Phone: | +7 (383) 280-80-26 | |
Fax: | +7 (383) 212-56-34 | |
E-mail: | sec02@obuvrus.ru | |
Internet: | http://obuvrus.ru | |
End of News | EquityStory.RS, LLC News-Service |
257046 12.03.2014 |