O`KEY GROUP REPORTS 5.2% NET RETAIL REVENUE GROWTH, DA! DISCOUNTERS REVENUE GREW 22.1% IN Q4 2023

Press release

31 January 2024
 

O`KEY GROUP REPORTS 5.2% NET RETAIL REVENUE GROWTH,

DA! DISCOUNTERS REVENUE GREW 22.1% IN Q4 2023

O`KEY Group S.A. (AIX, LSE, MOEX: OKEY, the “Group” or the “Company”), one of Russia’s leading food retailers, has announced its unaudited operating results for the fourth quarter (Q4) and the twelve months (12M) of 2023.

All materials published by the Group are available on its website at www.okeygroup.lu.

Q4 2023 operating highlights

• Group net retail revenue[1] grew by 5.2% YoY to RUB 58.5 bn, driven by positive LFL performance of both O’KEY and DA! chains, discounters’ expansion and O’KEY’s online sales growth.
• O`KEY hypermarkets’ net retail revenue decreased by 0.7% to RUB 40.9 bn in Q4 2023 mainly due to a selling space decrease offset partially by an increase in LFL sales.
• O`KEY’s total online sales rose by 25.1% YoY to RUB 2.3 bn, reaching 5.7% of O`KEY's net retail revenue.
• DA! discounters' net retail revenue increased by 22.1% YoY to RUB 17.5 bn, led by both LFL net retail revenue growth and the chain’s expansion.

12M 2023 operating highlights

• Group net retail revenue increased by 2.8% YoY to RUB 205.8 bn
• O`KEY hypermarkets’ net retail revenue decreased by 3.4% YoY to RUB 141.9 bn due to a decrease in LFL revenue and selling space.
• O`KEY’s total online sales rose by 24.0% YoY to RUB 7.7 bn, representing 5.4% of O`KEY's net retail revenue.
• DA! discounters’ net retail revenue grew by 19.8% YoY to RUB 63.8 bn, led by LFL revenue and selling space growth.
• DA! discounters’ share in the Group’s net retail revenue grew to 31.0%.
• The Group opened 26 DA! stores, bringing the total to 220 by the end of 2023.

Operating review

Group Net Retail Revenue in Q4 and 12M 2023

Group Net Retail Revenue Metrics for Q4 and 12M 2023

Group Like-for-Like Net Retail Revenue Performance in Q4 and 12M 2023

Note: 4Q 2023 LFL metrics are calculated based on 76 O`KEY and 181 DA! stores.

In Q4 2023, the Group’s net retail revenue increased by 5.2% YoY to RUB 58,460 mln, led by the LFL revenue of the two chains and O`KEY's online revenue growth, as well as the discounter business expansion. In 12M 2023, the Group’s net retail revenue increased by 2.8% YoY to RUB 205,772 mln.

Net retail revenue of O`KEY hypermarkets declined by 0.7% YoY to RUB 40,934 mln in Q4 2023 due to a selling space decrease offset partially by an LFL net retail revenue increase. Net retail revenue of O`KEY hypermarkets totalled RUB 141,947 mln in 12M 2023.

O`KEY’s total online sales rose by 25.1% YoY to RUB 2,323 mln, reaching 5.4% of O’KEY’s net retail revenue in Q4 2023. Total online sales amounted to RUB 7,671 mln in 12M 2023.

In Q4 2023, DA! discounters’ net retail revenue increased by 22.1% YoY to RUB 17,527 mln, driven by 5.7% LFL revenue growth and an increase in selling space. In 12M 2023, DA! discounters’ net retail revenue grew by 19.8% YoY to reach RUB 63,825 mln, accounting for 31% of the Group’s net retail revenue.

Group Stores and Selling Space in 12M 2023

In 12M 2023, as part of the ongoing real estate portfolio review and optimisation, the Group closed 3 and opened 1 O`KEY hypermarket. Additionally, 3 O`KEY stores saw reduction in their sellng space in 2023. As a result, O’KEY selling space dreceased by 10,034 sq m, or 1.9% YoY, in 2023.

In 12M 2023, the Group opened 26 discounters (net of closures) under the DA! brand.

As of 31 December 2023, the Group operated 77 O`KEY hypermarkets and 220 DA! discounters with a total selling space of 663,865 sq m.

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ABOUT O`KEY GROUP

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