Financial Express (Holdings) Limited (“we”, “our”, “us” and derivatives) are committed to protecting and respecting your privacy. This Privacy Policy, together with our Terms of Use, sets out the basis on which any personal data that we collect from you, or that you provide to us, will be processed by us relating to your use of any of the below websites (“sites”).

  • FEAnalytics.com
  • FEInvest.net
  • FETransmission.com
  • Investegate.co.uk
  • Trustnet.hk
  • Trustnetoffshore.com
  • Trustnetmiddleeast.com

For the purposes of the Data Protection Act 1998, the data controller is Trustnet Limited of 2nd Floor, Golden House, 30 Great Pulteney Street, London, W1F 9NN. Our nominated representative for the purpose of this Act is Kirsty Witter.

WHAT INFORMATION DO WE COLLECT ABOUT YOU?

We collect information about you when you register with us or use any of our websites / services. Part of the registration process may include entering personal details & details of your investments.

We may collect information about your computer, including where available your operating system, browser version, domain name and IP address and details of the website that you came from, in order to improve this site.

You confirm that all information you supply is accurate.

COOKIES

In order to provide personalised services to and analyse site traffic, we may use a cookie file which is stored on your browser or the hard drive of your computer. Some of the cookies we use are essential for the sites to operate and may be used to deliver you different content, depending on the type of investor you are.

You can block cookies by activating the setting on your browser which allows you to refuse the setting of all or some cookies. However, if you use your browser settings to block all cookies (including essential cookies) you may not be able to access all or part of our sites. Unless you have adjusted your browser setting so that it will refuse cookies, our system will issue cookies as soon as you visit our sites.

HOW WE USE INFORMATION

We store and use information you provide as follows:

  • to present content effectively;
  • to provide you with information, products or services that you request from us or which may interest you, tailored to your specific interests, where you have consented to be contacted for such purposes;
  • to carry out our obligations arising from any contracts between you and us;
  • to enable you to participate in interactive features of our service, when you choose to do so;
  • to notify you about changes to our service;
  • to improve our content by tracking group information that describes the habits, usage, patterns and demographics of our customers.

We may also send you emails to provide information and keep you up to date with developments on our sites. It is our policy to have instructions on how to unsubscribe so that you will not receive any future e-mails. You can change your e-mail address at any time.

In order to provide support on the usage of our tools, our support team need access to all information provided in relation to the tool.

We will not disclose your name, email address or postal address or any data that could identify you to any third party without first receiving your permission.

However, you agree that we may disclose to any regulatory authority to which we are subject and to any investment exchange on which we may deal or to its related clearing house (or to investigators, inspectors or agents appointed by them), or to any person empowered to require such information by or under any legal enactment, any information they may request or require relating to you, or if relevant, any of your clients.

You agree that we may pass on information obtained under Money Laundering legislation as we consider necessary to comply with reporting requirements under such legislation.

ACCESS TO YOUR INFORMATION AND CORRECTION

We want to ensure that the personal information we hold about you is accurate and up to date. You may ask us to correct or remove information that is inaccurate.

You have the right under data protection legislation to access information held about you. If you wish to receive a copy of any personal information we hold, please write to us at 3rd Floor, Hollywood House, Church Street East, Woking, GU21 6HJ. Any access request may be subject to a fee of £10 to meet our costs in providing you with details of the information we hold about you.

WHERE WE STORE YOUR PERSONAL DATA

The data that we collect from you may be transferred to, and stored at, a destination outside the European Economic Area (“EEA”). It may be processed by staff operating outside the EEA who work for us or for one of our suppliers. Such staff may be engaged in, amongst other things, the provision of support services. By submitting your personal data, you agree to this transfer, storing and processing. We will take all steps reasonably necessary, including the use of encryption, to ensure that your data is treated securely and in accordance with this privacy policy.

Unfortunately, the transmission of information via the internet is not completely secure. Although we will do our best to protect your personal data, we cannot guarantee the security of your data transmitted to our sites; any transmission is at your own risk. You will not hold us responsible for any breach of security unless we have been negligent or in wilful default.

CHANGES TO OUR PRIVACY POLICY

Any changes we make to our privacy policy in the future will be posted on this page and, where appropriate, notified to you by e-mail.

OTHER WEBSITES

Our sites contain links to other websites. If you follow a link to any of these websites, please note that these websites have their own privacy policies and that we do not accept any responsibility or liability for these policies. Please check these policies before you submit any personal data to these websites.

CONTACT

If you want more information or have any questions or comments relating to our privacy policy please email publishing@financialexpress.net in the first instance.

 Information  X 
Enter a valid email address

O'Key Group SA (OKEY)

  Print      Mail a friend       Annual reports

Tuesday 03 May, 2011

O'Key Group SA

Annual Financial Report

RNS Number : 7281F
O'Key Group SA
03 May 2011
 



Press Release

29 April 2011

 

O'KEY GROUP ANNOUNCES FY 2010 RESULTS

 

O'Key Group S.A., ("O'Key Group", "the Group" or "the Company"), a leading food retailer in Russia (LSE ticker: OKEY), today released its audited consolidated IFRS financial results for the year ended 31 December 2010.  These and the company's 2010 Annual Report have been published on the company's website, www.okmarket.ru.

 

2010 Year-end Highlights:

 

·    Successful IPO of GDRs on London Stock Exchange in November 2010

·    Total revenue grew 21.8% to RUB 82.7 billion, while like-for-like revenue increased 7.7% year-on-year

·    11 new stores opened for operation during the year, and two more to date in 2011, bringing total number of O'Key stores to 59 at the date of this release

·    EBITDA increased by 20.9% to RUB 7.1 billion

·    Net Profit margin reached a historical high of 3.6% 

 

O'Key Group CEO Patrick Longuet said:

 

"2010 was truly a milestone year for O'Key Group.  We are proud to have successfully listed on the London Stock Exchange and to have welcomed such a diverse pool of new investors into the company.  We have a long track record of profitable growth in Russia, and we look forward to continuing this growth for the benefit of all of our shareholders.

 

Our financial performance was strong.  We achieved an increase in revenues in 2010, with consolidated group sales up 21.8% on the year at RUB 82.7 billion.  Our net profit reached RUB 3.0 billion for the year and EBITDA increased in line with revenue growth to RUB 7.1 billion. 

 

We entered 2011 in a strong financial position.  We finished the year with a very low net debt to EBITDA ratio of 0.8.  This, combined with our strong financial performance and the proceeds of our successful IPO, means we are extremely well positioned to execute on our continued development strategy."

 



 

Financial performance 

Income Statement Highlights

RUB millions, unless otherwise indicated

2009

2010

Change 2009/2010





Revenue

67,874.6

82,666.6

21.8%

Gross profit

14,768.2

17,924.0

21.4%

Gross Margin

21.8%

21.7%

(0.1 p.p.)

EBITDA

5,896.3

7,126.7

20.9%

EBITDA Margin

8.7%

8.6%

(0.1 p.p.)

Profit before tax

1,651.3

4,341.0

162.9%

Profit for the year

714.4

3,003.0

320.3%

Net Margin

1.1%

3.6%

2.5 p.p.





Earnings per share




Basic and diluted earnings per share (RUB)

6.6

11.7

5.1

Revenue

Revenue for the year ended 31 December 2010 rose by 21.8% to RUB 82,666.6 million, from RUB 67,874.6 million in the year ended 31 December 2009. The increase was primarily due to growth in selling space of 23.6% and like-for-like revenue growth.

Like-for-like (LFL) revenue in 2010 increased by 7.7% year-on-year (y-o-y), primarily due to growth in LFL traffic of 4.3% and  like-for-like average ticket growth of 3.3%.  The LFL analysis included 45 stores.

Cost of Goods Sold and Gross Profit

Cost of goods sold increased by 21.9% to RUB 64,742.6 million in 2010. This increase was in line with revenue growth.

Gross profit increased by 21.4% to RUB 17,924.0 million in the year ended 31 December 2010.  In 2010 the Group maintained its gross margin at levels comparable to 2009. All improvements achieved in commercial terms due to the increased scale of operations and growing purchasing power were reinvested into selling prices.



General, Selling and Administrative Expenses


Year
ended 31
December 2009

Percentage
of revenue

Year
ended 31
December 2010

Percentage
of revenue

Change, p.p.


(RUB millions)

(%)

(RUB millions)

(%)


Personnel costs

(5,229.5)

7.7

(5,989.1)

7.2

(0.5)

Depreciation and amortization

(1,361.3)

2.0

(1,573.5)

1.9

(0.1)

Advertising and marketing

(363.4)

0.5

(429.9)

0.5

0.0

Operating leases

(672.2)

1.0

(1,069,9)

1.3

0.3

Repairs and maintenance costs

(239.4)

0.4

(257.1)

0.3

(0.1)

Communication and utilities

(891.5)

1.3

(1,101.4)

1.3

0.0

Materials and supplies

(179.1)

0.3

(357.4)

0.4

0.1

Security expenses

(428.5)

0.6

(520.8)

0.6

0.0

Insurance and bank commission

(255.8)

0.4

(327.8)

0.4

0.0

Legal and professional expenses

(133.4)

0.2

(163.3)

0.2

0.0

Operating taxes

(391.6)

0.6

(348.9)

0.5

(0.1)

Other costs

(158.0)

0.2

(268.8)

0.3

0.1

Total general, selling and administrative expenses

(10,303.7)

15.2

 

(12,407.9)

15.0

(0.2)

The Group's general, selling and administrative expenses increased by 20.4% to RUB 12,407.9 million in 2010, principally due to the larger size of the Group's operations compared to 2009. 

As a percent of revenue, general, selling and administrative expenses decreased by 0.2 percentage points (p.p.) to 15.0% for the year ended 31 December 2010. The decrease was driven by improvements in personnel costs as a percentage of revenues, which was partially offset by an increase in operating lease costs.

Personnel costs increased by 14.5% to RUB 5,989.1 million in 2010. This increase was driven by the staffing of the 11 new stores opened in 2010 and an indexation of salaries that took place in July of 2010.  However, when expressed as a percentage of revenue, personnel costs decreased in 2010 by 0.5 p.p. to the level of 7.2% due to efficiency improvements achieved during the year. 

The Group optimized working schedules in its existing stores at the end of 2009 in order to improve efficiency in the post-crisis environment.  This led to a reduction in the number of employees per sq.m. of selling space by 5.0% on average.

Expenses on operating leases equaled RUB 1,069.9 million for the reported period, an increase of 59.2% over RUB 672.2 million for the year ended 31 December 2009, primarily due to an increase in the share of leased space. This significant increase in the share of leased space was driven by the higher number of rented stores among new openings and by the lease back arrangement executed in late 2010.

Net other operating income for the period was RUB 274.8 million, compared to a net loss of RUB 846.3 million for the year ended 31 December 2009, primarily due to the continued recovery in the Russian real estate market that led to a positive revaluation of the Group's real estate portfolio. Revaluation of properties constitutes a significant part of other operating income and expenses.

Finance costs decreased by 19.6% to RUB 1,354.2 million in the year ended 31 December 2010. This decrease in finance costs was principally due to a decrease in interest rates as a result of further stabilization of financial markets in 2010. Effective interest rates decreased from 9.4% for the year ended 31 December 2009 to 8.1% for the year ended 31 December 2010.

Profit before income tax increased by RUB 2,689.8 million to RUB 4,341.1 million in the year ended 31 December 2010.

Total income tax expense increased by 42.8% to RUB 1,338.1 million in the year ended 31 December 2010 from RUB 936.9 million in the year ended 31 December 2009, primarily due to an increase in profits from retail operations.

Cash Flows and working capital

(RUB millions)

2009

2010




Net cash from operating activities

2,872.2

5,110.9

Net cash used in investing activities

(3,289.6)

(3,393.2)

Net cash from financing activities

128.3

2,404.2

Net increase/(decrease) in cash and cash equivalents

(289.0)

4,121.9

Effect of exchange rate fluctuations on cash and cash equivalents

77.9

122.9

Net cash from operating activities increased from RUB 2,872.2 million in 2009 to RUB 5,110.9 million in 2010. The increase in cash flow from operating activities was primarily due to an increase in the Group's profitability and to improvements in working capital.  The change in working capital was due to an increase in trade accounts payable between comparable periods, which was partially offset by an increase in net trade and other receivables.

The net cash used in investing activities was equal to RUB 3,393.2 million in 2010, and was principally used for purchases of property, plant and equipment. The outflow increased compared to 2009 as a result of the higher number of new openings, which was partially offset by the higher proportion of leased stores among the openings.

Net cash from financing activities contributed RUB 2,404.2 million to the overall cash flow. This was primarily due to the receipt of proceeds from the Group's IPO in November 2010, and was partially offset by repayment of borrowings.

Working Capital

O'Key's primary sources of liquidity are cash provided from operating activities and debt financing. As of 31 December 2010, O'Key's working capital, defined as current assets (excluding cash and cash equivalents and short-term investments) less current liabilities (excluding short-term loans), was negative RUB 4,260.5 million. O'Key believes that the measures of working capital in the food retail industry are customarily negative and that maintaining a negative working capital position is desirable.

(RUB millions)

2009

2010

Total Debt

15,466.2

11,571.7

Short-Term Debt

6,439.7

3,702.3

Long-Term Debt

9,026.5

7,869.4




Net Debt

14,003.9

5,864.5




Net Debt / EBITDA

2.4 

0.8 

O'Key considers the ratio of net debt to EBITDA as the principal indicator for evaluating the impact of the total size of its borrowings on its operations. As at 31 December 2010, O'Key's net debt to EBITDA ratio was 0.8.

 

____________________________________________________________________________________________

COMPANY OVERVIEW

 

"O'KEY" is one of the largest retail chains in Russia. Its primary retail format is the modern Western European hypermarket under the "O'KEY" brand, complemented by "O'KEY - Express" supermarkets.

 

The Company opened its first hypermarket in St. Petersburg in 2002 and has demonstrated continuous growth ever since.  As at 31 December 2010, O'KEY operated 57 stores across Russia: 35 hypermarkets with an aggregate selling space of approximately 260,000 square meters and 22 supermarkets with an aggregate selling space of approximately 27,000 square meters

 

In accordance with the audited consolidated financial statements for FY 2010, O'KEY's revenue was RUR 82,667 million, like-for-like revenue growth rate was 7.7% and EBITDA margin was 8.6%.

____________________________________________________________________________________________

For further information please contact:

 

Maksim Kravtsov                                                                                         Maria Radina

Head of investor relations                                                                       Head of public relations

Num. +7(495)6636677, ext. 220                                                              Num. +7(495)6636677, ext. 189

e-mail: ir@okmarket.ru                                                                            e-mail: corpcom@okmarket.ru

www.okmarket.ru                                                                                     www.okmarket.ru


This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
FR GMGZDFLRGMZM