Krasnodar, Russia (April 21, 2017): Magnit PJSC, one of Russia’s leading retailers (MOEX and LSE: MGNT) announces its unaudited 1Q 2017 results prepared in accordance with IFRS¹.

During 1Q 2017 the Company added (net) 250 stores (188 convenience stores and 67 drogerie stores) and increased its selling space by 13.80% in comparison with 1Q 2016 from 4.52 million sq. m. to 5.15 million sq. m. The total store base as of March 31, 2017 reached 14,309 stores (10,709 convenience stores, 237 hypermarkets, 189 “Magnit Family” stores and 3,174 drogerie stores).

Revenue increased from 255.30 billion RUR in 1Q 2016 to 266.98 billion RUR in 1Q 2017.

Gross Profit increased from 65.04 billion RUR in 1Q 2016 to 71.89 billion RUR in 1Q 2017. Gross Margin in 1Q 2017 was 26.93%.

EBITDA increased from 19.79 billion RUR in 1Q 2016 to 21.00 billion RUR in 1Q 2017. EBITDA margin in the 1Q of 2017 was 7.86%.

Net Income was 7.54 billion RUR in 1Q 2017. Net Income Margin for 1Q 2017 was 2.83%.

According to Rosstat, general CPI in 2017 was the following: in January 0.6%, February 0.2%, March 0.1% (2016: January 1.0%, February 0.6%, March 0.5%).

General CPI in 1Q 2017 was 1.0% compared to 2.1% in 1Q 2016.

Food inflation in 2017 was the following: in January 0.9%, February 0.2%, March 0.1% (2016: January 1.2%,

February 0.7%, March 0.4%).

Food inflation in 1Q 2017 was 1.2% compared to 2.3% in 1Q 2016.

Magnit announces unaudited 1Q 2017 results