Russian variety value retailer Fix Price has posted 21.3% year-on-year revenue growth, to RUB 230.5 billion (€1.93 billion), in its financial year 2021, driven by store network expansion and like-for-like sales growth.
Like-for-like sales for Russian stores unaffected by COVID-19 restrictions rose by 9.0%, it said.
Overall group like-for-like sales increased by 7.2% during the financial year, while net profit increased 21.7% year-on-year to RUB 21.4 billion (€180 million).
EBITDA margin for the financial year was 19.2%, unchanged from the average for FY 2019-2020, despite significant macroeconomic and COVID-related headwinds.
Dmitry Kirsanov, CEO of Fix Price, commented, “2021 was a year marked by challenges including the continued impact of the COVID-19 pandemic, supply chain issues and macroeconomic factors including rising inflation.
“These results are testament to both the strengths of the Fix Price business model and to the ability of the management team to anticipate and respond to the challenges that arose during
the year.”
Fourth-Quarter Report
In the fourth quarter, retail revenue increased by 15.1%, to RUB 59.1 billion (€500 million), while wholesale revenue increased by 9.6% to RUB 7.4 billion (€62 million).
EBITDA increased by 16.8%, to RUB 13.4 billion (€110 million), with the EBITDA margin up by 40 bps year-on-year to 20.1%.
Operating profit for the quarter rose by 16.6%, to RUB 10.3 billion (€86 million).
Gross profit increased by 17.3%, to RUB 21.9 billion (€180 million), while gross margin stood at 32.9%, exceeding the level of fourth quarter in 2020 by 80 bps.
Gross margin was down 109 bps compared with fourth-quarter of 2019 amid a higher share of food and inflationary impact on production costs, the company noted.
“Current extreme levels of market volatility and uncertainty make it difficult to comment on the outlook for the rest of 2022. We are focused on maintaining business continuity and will provide further updates to the market as necessary,” Kirsanov added.
Read More: Fix Price To Roll Out Self Checkouts In All New Stores
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