Omni-Channel Strategy in the Russian Consumer Electronic Retail. Investor and Analyst Presentation, January 2014.

Transcription

1 Omni-Channel Strategy in the Russian Consumer Electronic Retail Investor and Analyst Presentation, January 2014.

2 Content and liability disclaimer The information contained in this presentation or enclosed herewith is provided and intended for informational purposes only and should not be relied on for any investment decisions. The information provided in the presentation includes assumptions and financial information on M.Video operations and expectations which are "indicative". Specifically, some of the information presented is taken from the M.Video Group management information system and as such may be unaudited and may include accruals and estimates. Except for numbers which can be traced to the audited Consolidated Financial statements for the year ended December 31, 2007, for the year ended December 31, 2008, for the year ended December 31, 2009, for the year ended December 31, 2010, for the year ended December 31, 2011 and for the year ended December 31, 2012 the numbers may not have been subjected to any audit testing nor have the IFRS policies necessarily been applied to these numbers/calculations. All M.Video Group companies information provided in this presentation is provided on an "as is" basis. M.Video believes and has done everything within its power to ensure the information is not misleading, nevertheless M.Video does not take any responsibility for the accuracy or completeness of the information. Likewise, for the forward looking information provided, these are based upon the M.Video Group management high level, longer term views and not on detailed budgeting or forecasting principles. The addressees of the presentation should not take these numbers as the true and accurate numbers and as such not disseminate, or refer to these numbers for any purpose other than for the purpose they were given, namely for informational purpose. A person who uses the information contained in this presentation does so at his/her own risk. Investor & Analyst Presentation 2

3 12m & Q trading update summary 12m 2013 sales amounted to 175 billion RUB (148,4 billion RUB without VAT), demonstrating an 11% increase vs. 12m LfL sales increased 1%. Q sales increased 8% to 54 billion RUB (with VAT). 12m 2013 Internet sales grew by 36% to 6 billion RUB (with VAT) 40 new stores (37 net) added in 12m 2013; network reached 333 stores and 785,000 sq.m total space. 12m 2013 # of stores and total space dynamics 12m 2013 and Q sales dynamics (with VAT) (1) Space growth: 8.5% Growth: 11% RUB billion Growth: 8% FY 2012 FY 2013 stores, eop Total space, '000 sq m, eop FY 2012 FY 2013 Q Q (1) Incl. Internet sales. 3

4 12m & Q4 2013: Omni Channel Model Development Store count as of December 31, 2013 Total: 333 stores, 144 cities of Russia. Krasnodar; 6 Volgograd; 6 Yekaterinburg; 6 40 new stores (37 net), 62,000 sq. m (net) added in 12m 2013 Rostov; 6 N. Novgorod; 7 Novosibirsk; 6 Online operations expanded to 52 cities St. Petersburg; 15 A B C D E Moscow; 51 Affluent customer base Top managers, highly qualified specialists, entrepreneurs Middle managers, middle-sized business entrepreneurs Highly qualified specialists, small business owners, lowmiddle managers Low qualified specialists, technicians Auxiliary workers Other; 230 Kaliningrad (1) St. Petersburg (15) Arkhangelsk (1) Pskov (1) Cherepovets (2) Ukhta (1) Yaroslavl (3) Kaluga (1) Tver (1) Vologda (3) Bryansk (1) Moscow (51) Ivanovo (1) Syktyvkar (1) Novy Urengoy (1) Orel (1) Vladimir Kostroma Ryazan (2) N.Novgorod (1) Cheboksary (2) (7) Lyantor (1) Kursk (2) Nyagan (1) Khanty-Mansiysk (1) Noyabrsk (1) Izhevsk (2) St. Oskol (3) Nab. Chelny (1) Nefteyugansk (1) Yakutsk (2) Tambov (1) Yoshkar-Ola (1) Surgut (3) Lipetsk (2) Kazan (5) Perm (4) Nizhnevartovsk (3) Voronezh (3) Neftekamsk (1) Tolyatti (2) Yekaterinburg M (6) Tobolsk (1) Penza (1) Saratov (2) Berezniki (1) Belgorod (1) Rostov (6) Almetyevsk Tyumen (5) Taganrog (1) (1) M Seversk (1) Krasnoyarsk (2) Krasnodar (6) Armavir (1) M Chelyabinsk (5) Tomsk (1) Ulyanovsk (3) Ufa (5) M Bratsk (1) Volgograd (6) Samara (4) Omsk (4) Novorossisk (2) Kurgan (1) Angarsk (1) Stavropol (2) Volgodonsk (1) Magnitogorsk (1) Kemerovo (2) Sochi (5) Orenburg (3) Irkutsk (3) Adygeya (1) Volzhskiy (1) Mezhdurechensk (1) N.Tagil (1) Ulan-Ude (2) Novosibirsk (6) Astrakhan (1) Novotroitsk (1) Tuapse (1) Maykop (1) Nalchik (2) Kislovodsk (1) Orsk (1) Barnaul (2) Novokuznetsk (1) Vladikavkaz (2) Makhachkala (2) Pyatigorsk (1) Derbent (1) Essentuki (1) Anapa (1) M.Video stores 305 stores (91%) leased, 28 stores (9%) owned. M.Video online 292 stores are in shopping malls, 41 stores are standalone. 4

5 12m m 2013 YTD sales/lfl dynamics 20% 9.3% 12% 13% 12.2% 11% 2% 2.5% 2.2% 1% 12m m m m m 2013 Like-for-like 5

6 Q Q quarterly (eop) sales/lfl dynamics 14.7% 12% 12% 10.4% 8% 1% 2.2% 2.8% 1.7% Q Q Q Q Q % Like-for-like 6

7 12m m 2012 LfL dynamics, % STORES 8.9% 4.3% 5.6% 5.8% 3.0% 2.5% 2.9% 1.3% 1.4% 0.3% 1.6% 1.7% -1.0% -1.5% -4.4% -3.9% -2.3% -3.4%-1.8% -2.0% -0.3% -4.9% -4.6% -5.2% Moscow St. Petersburg Center Volga area South Ural Siberia Total average INTERNET 11.2% 10.1% -1.0% -6.2% Moscow St. Petersburg Center Volga area South Ural Siberia * Total average 46.1% 36.1% * Internet total average includes sales from regional operations in 12m 2013 O M N I 6.1% 4.4% 1.7% 4.6% 8.8% 13.8% -0.9% 2.7% 3.6% 1.8% -0.3% -3.8% -4.4% -0.3% -1.4% -3.0% -3.0% -4.3% Moscow St. Petersburg Center Volga area South Ural Siberia Source: Total Company average data 0.7% -3.7% 2.7% -1.5% 2.4% 0.9% 7

8 12m 2013 LfL performance analysis 12m m 2012 LfL revenue breakdown, % 12m m 2012 LfL revenue per store (RUB mln, with VAT) 5,932 12m m % 24.3% 16.2% 11% 18% 10.4% 10.4% 13% 12.8% 15.3% 17% 3.6% 4% 10.7% 4.4% 3.3% 12m m , Moscow St. Petersburg Center Volga area South Ural Siberia Internet Moscow St. Petersburg Center Volga area South Ural Siberia Internet Total average 12m m 2012 LfL indicators comparison (RUB, with VAT) Stores Internet 127,736m 127,342m 5,932m 4,364m 406k 24.3m 23.8m 278k 15.6k 14.6k 5.3k 5.4k 9m m m m 2013 Transactions Average Transaction Amount Note: LfL data is based upon a comparison of stores open at January 1, 2011 and not closed for more than two weeks or permanently, or expanded or downsized by >20% of total space 8

9 Q Q LfL dynamics, % STORES 3.1% 7.8% 4.5% 13.2% 8.4% 4.4% -0.9% 0.3% 0.2% -0.4% -1.0% -1.9% -4.0% -3.8% -3.3% -3.8% -3.7% -1.9% -2.2% -6.0% -5.2% -9.1% -6.1% -10.9% Moscow St. Petersburg Center Volga area South Ural Siberia Total average INTERNET 92.9% 85.3% -12.9% -5.9% -18.0% -3.9% -8.9% Moscow St. Petersburg Center Volga area South Ural Siberia Total average * * Internet total average includes sales from regional operations in Q % 8.4% O M N I 2.4% 2.1% 4.5% 18.7% 10.4% 7.5% -0.6% -0.4%-1.0% 0.6% -3.6% -3.0% -5.6%-2.7% -3.1% -1.8% -8.1% -5.5%-4.5% -9.8% Moscow St. Petersburg Center Volga area South Ural Siberia Total average 9 1.3% -1.6% -0.3% -1.8%

10 Q LfL performance analysis Q Q LfL revenue breakdown, % Q Q LfL revenue per store (RUB mln, with VAT) 4Q Q % 24.3% 18.3% 12.8% 12.6% 16% 16.7% 14.8% 10% 10% 10.8% 10.7% 3.6% 4.4% 3.7% 4.0% 4Q Q ,518 1, Moscow St. Petersburg Center Volga area South Ural Siberia Internet Moscow St. Center Volga area South Ural Siberia Internet Total Petersburg average Q Q LfL indicators comparison (RUB, with VAT) Stores Stores Internet Internet 39,562m 38,675m 1,518m 1,645m 16.1k 14.7k 112k 6.8m 5.8k 6.7m 5.8k 94k Q Q Q Q Transactions Average Transaction Amount Note: LfL data is based upon a comparison of stores open at January 1, 2011 and not closed for more than two weeks or permanently, or expanded or downsized by >20% of total space. 10

11 OJSC Company M.video Nizhnaya Krasnoselskaya Str., 40/12 Moscow Russia Tel: , ext Official web-site: invest.mvideo.ru Official ticker: MVID RU Exchange: Moscow Exchange For investor relations purposes, please contact: Christopher Parks Denis Davydov 11