MAGNIT PJSC (MGNT)
Press-release | Krasnodar | February 15, 2021.
Magnit Opens Seven Additional Discounters
Krasnodar, Russia (February 15, 2021): Magnit PJSC (MOEX and LSE: MGNT; the Company, Magnit), one of Russia's leading retailers, has opened seven additional discounter stores under the My Price banner in Kazan (Republic of Tatarstan), Ruzayevka (Republic of Mordovia), Kuznetsk (Penza region), Verkhovye (Oryol region), Nevinnomyssk (Stavropol region), Semyonov (Nizhny Novgorod region), and Olonets (Republic of Karelia), bringing the total number of discounters up to 23.
All these discounters were opened at the premises previously occupied by Magnit Convenience stores. The total space of the store is around 150-350 sq. meters. The assortment includes about 1,700 items. The focus is mainly on goods from the first price segment and private labels (more than 15% of the total assortment), as well as on fast-moving consumer goods in value packs: vegetables, fruits, dry foods, dairy products, meat gastronomy, poultry, preserved foods, confectionery, baby food, drinks, pet food, household chemicals, etc. The discounters follow simple zoning principles and have only a basic equipment setup. This, however, does not affect the level of customer service, which remains high and meets all the requirements to a modern store.
Looking back, the first three stores under the new pilot format were opened in Samara and Kamyshin in Volgograd region and Staraya Kulatka village in Ulyanovsk region. My Price discounters are aimed at price-sensitive consumers who frequently make minor purchases of articles from the traditional assortment or wish to stock up on products. The Company later opened additional stores in Voronezh, Lipetsk, Samara, as well as Kabardino-Balkaria and Krasnodar, Tula, Chelyabinsk, Rostov, and Altay regions.
Magnit plans to continue piloting discounters and is going to open several dozen more stores under this format by the end of 2021 in order to closely examine customer feedback and decide on whether to scale the concept.
For further information, please contact:
Director for Investor Relations
Office: +7 (861) 210-48-80
Director for Investor Relations
Office: +7 (861) 210-9810 x 15101
Media Relations Department
Note to editors:
Public Joint Stock Company "Magnit" is one of Russia's leading retailers. Founded in 1994, the Company is headquartered in the southern Russian city of Krasnodar. As of December 31, 2020, Magnit operated 38 distribution centres and 21,564 stores (14,911 convenience, 470 supermarkets and 6,183 drogerie stores) in 3,752 cities and towns throughout 7 federal regions of the Russian Federation.
In accordance with the unaudited IFRS 16 management accounts results for FY 2020, Magnit had revenues of RUB 1,553.8 billion and an EBITDA of RUB 178.2 billion. Magnit's local shares are traded on the Moscow Exchange (MOEX: MGNT) and its GDRs on the London Stock Exchange (LSE: MGNT) and it has a credit rating from Standard & Poor's of BB.
This document contains or may contain forward-looking statements that may or may not prove accurate. For example, statements regarding expected sales growth rate and store openings are forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause actual results to differ materially from what is expressed or implied by the statements. Any forward-looking statement is based on information available to Magnit as of the date of the statement. All written or oral forward-looking statements attributable to Magnit are qualified by this caution. Magnit does not undertake any obligation to update or revise any forward-looking statement to reflect any change in circumstances.
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