OJSC “Company “M.video” (“M.video” or the “Group”), Russia's largest consumer electronics retailer (RTS-MICEX: MVID), releases today its interim condensed consolidated unaudited financial information prepared in accordance with International Financial Reporting Standards (IFRS) for the half year ended 30 June 2014.
M.video’s sales increased by 3,2% to almost 81 billion Russian rubles (RUB) with VAT in H1 2014. Growth in revenue was achieved due to the new stores sales growth and Internet based sales growth of 91% in H1 2014.
The Group’s gross profit increased by 3.9% and amounted to 17.4 billion RUB. M.video’s gross profit % increased to 25.3% in H1 2014 as compared to 25.2% in H1 2013.
M.video’s EBITDA amounted to 2.7 billion RUB versus 2.9 billion in H1 2013 while an EBITDA margin amounted to 3.9% in H1 2014 versus 4.4% in H1 2013.
M.video’s net profit for H1 2014 amounted to 1.1 billion RUB as compared to 1.3 billion RUB in H1 2013.
Alexander Tynkovan, President and CEO of OJSC “Company “M.video”, commented: “We continue to expand our Omni business and sustain positive cash flows from operations. Our revenue increased while the overall Consumer Electronics market deteriorated in H1 and specifically Q2 2014. The first half of 2014 was a challenging period due to macro-economic effects and uncertainty yet we were able to grow our internet based sales by over 90% during this period. Our pick-up in store offer to the internet buyers has proven to be very successful due to the convenient locations of our stores. Pick-up is now more than 60% of all internet sales”.
He also added: “M.video remains very strong financially as evidenced by our cash position even after payment of dividends at 60% of our profits. We will continue to open stores and develop further our Omni strategy as this is what our customers want and deserve”.