Krasnodar, Russia (March 24, 2017): Magnit PJSC, one of Russia’s leading retailers (MOEX and LSE: MGNT) announces its audited FY 2016 results prepared in accordance with IFRS.

During 2016 Magnit added 1,970 stores on a net basis (927 convenience stores, 18 hypermarkets, 39 Magnit Family stores, and 986 drogerie stores) and increased its selling space by 14.82% in comparison to 2015 from 4.41 million sq. m. to 5.07 million sq. m. The total store base as of December 31, 2016 reached 14,059 stores (10,521 convenience stores, 237 hypermarkets, 194 Magnit Family stores, and 3,107 drogerie stores).

Revenue increased by 13.07% YoY from 950.61 billion RUR in 2015 to 1.07 trillion RUR in 2016. Gross Profit increased from 270.82 billion RUR in 2015 to 295.76 billion RUR in 2016.

Gross Margin in 2016 was 27.52%. EBITDA increased from 103.97 billion RUR in 2015 to 107.79 billion RUR in 2016. EBITDA Margin in 2016 was 10.03%. EBITDA Margin in the 4Q of 2016 was 9.67%. Net Debt / EBITDA ratio (in ruble terms) for 2016 amounted to 1.03. Net Income was 54.41 billion RUR in 2016. Net Income Margin for 2016 was 5.06%.

According to Rosstat, general CPI in 12M 2016 was 5.4% compared to 12.9% in 12M 2015. In the month of December 2016 general CPI was 0.4% compared to 0.8% in December 2015.

Food inflation in 12M 2016 was 4.6% compared to 14.0% in 12M 2015. In the month of December 2016 food inflation was 0.6% compared to 1.2% in December 2015.

Key figures presented in this press release immaterially differ from the numbers under management accounts announced by Magnit on January 27, 2017. Thus, according to the audited FY 2016 results EBITDAR, EBITDA and EBIT margins are higher by 1 b. p.

Magnit announces audited FY 2016 results