Fix Price Group PLC

Раскрытие в Интернет информации, направляемой органу, регулирующему рынок иностранных ценных бумаг, иностранному организатору и/или иным организациям для целей ее раскрытия

FIX PRICE ANNOUNCES KEY OPERATING AND FINANCIAL RESULTS FOR Q1 2025
Dedication to delivering customer value and protecting shareholders’ interests
30 April 2025, Astana, Kazakhstan – Fix Price Group PLC (AIX: FIXP.Y; MOEX: FIXP; “Fix Price”, the “Company” or the “Group”), one of the leading variety value retailers globally and the largest in Russia, today announces its operating and IFRS financial results based on management accounts for the first quarter (Q1 2025) ended 31 March 2025.
OPERATING AND FINANCIAL SUMMARY FOR Q1 2025
• Revenue rose 3.9% y-o-y and stood at RUB 74.4 billion
— Retail revenue grew by 8.4% to RUB 68.7 billion
— Wholesale revenue amounted to RUB 5.8 billion
• In the first quarter of 2025, LFL sales growth reached 1.6% when adjusted for the leap year (0.4% unadjusted). The Сompany maintained positive LFL average ticket momentum thanks to a well-considered assortment strategy. Despite attractive deposit rates and inflation driving demand towards high-value, durable non-food products, the Group continued to improve LFL traffic dynamics on a quarterly basis
• In Q1 2025, the Company opened 117 net new stores (the Company-operated store network grew by 118 stores, while the number of franchise stores decreased by 1 store). As of 31 March 2025, Fix Price was operating a total of 7,282 stores
• In the reporting period, selling space grew by 24,934 sq. m reaching 1,575,492 sq. m (+11.0% y-o-y) as of 31 March 2025
• During the quarter, 1.1 million new members joined the loyalty programme, increasing the total number of registered cardholders to 29.9 million (+13.1% y-o-y) as of 31 March 2025. Loyalty-card transactions accounted for 67.1% of retail sales. The average ticket for purchases with a loyalty card was RUB 480, which was almost twice as high as the average ticket for non-loyalty-card purchases
• Gross profit saw an increase of 5.8% y-o-y, amounting to RUB 24.8 billion. Gross margin stood at 33.3%, mostly due to the greater share of higher-margin retail revenue in the top line
• In Q1 2025, SG&A costs (excl. LTIP expense and D&A) amounted to 21.5% of revenue, mainly due to higher staff costs, repair and maintenance costs, utilities and other expenses. These pressures were partially offset by efficiencies gained in bank charges, advertising costs, security services and rental expense
• Adjusted EBITDA under IFRS 16 grew by 2.3% y-o-y to RUB 10.2 billion, driven by growth in gross profit and other operating income, which was partly offset by higher staff costs. Adjusted EBITDA margin stood at 13.7%, compared to 13.9% in Q1 2024
• EBITDA under IFRS 16 grew by 2.7% to RUB 10.0 billion. The EBITDA margin was 13.5%, versus 13.6% in Q1 2024
• Net profit for the period amounted to RUB 3.4 billion (+4.4% y-o-y). Net profit margin stood at 4.6%
• The IAS 17-based adjusted net debt to EBITDA ratio stood at a comfortable level of 0.2x as of 31 March 2025
• CAPEX as a percentage of revenue was 3.0% in Q1 2025, compared with 1.9% in Q1 2024, mainly driven by investments in the construction of a new distribution centre in Kazan, as well as new store openings
During the reporting period we continued our consistent work to strengthen our leadership in selling goods at fixed low prices with the implementation of comprehensive solutions that meet current market challenges. From January to March, we began operating more than 160 new stores in our regions of presence, and we have confirmed our development plan for a net total of 700 openings in 2025. As before, we see significant opportunities for further growth and estimate the market potential at 18,600 stores in Russia, Kazakhstan and Belarus.
From the very beginning of our business, we have placed a special emphasis on constant communication with our customers. Every reporting period, I note the results of the Fix Price loyalty program. The past quarter was no exception. Since the beginning of the year, more than a million visitors have become holders of Fix Price bonus cards. Thus, the number of participants in the loyalty program, which allows us to increase turnover and customer engagement, has reached almost 30 million people. At the end of January, we updated our communication approach and program conditions. We increased the number of products available to participants at special prices by 83%. As a result, sales of such products have almost tripled, and their share in total turnover has doubled.
EBITDA and net profit margins remained stable year-on-year despite a challenging operating environment and intense competition for talent in the labor market. We also have continued to test, implement and execute initiatives to improve operational efficiency.
Thanks to a strong operating cash flow, we have been financing the opening of new stores and warehouses using our own funds. As a result, the Company's debt burden remains at a near-zero level, which confirms the exceptional stability and efficiency of the Fix Price business model. I would also like to note that within the current context of abnormally high interest rates, we continue to work on reducing debt and optimizing our capital structure.
Protecting the interests of our investors and eliminating infrastructural constraints for the execution of their rights remains an important task. We continue to conduct preparatory activities to obtain a listing of our key operating subsidiary and the subsequent exchange of Company GDRs for shares of this asset. If a decision is made to carry out the exchange, we will promptly inform all interested parties about the details of the process.
Our business has existed for almost two decades. We have successfully adapted and developed Fix Price within the conditions of different economic cycles and competitive environments. Our key asset has always been and remains people. Firstly, it is our customers, for whom we strive to create an attractive value proposition within any macroeconomic conditions. Secondly, there is our team. It is important to note that many who created Fix Price and this format in Russia and the CIS are still in the company and occupy key management positions. I am confident that together we will be able to bring Fix Price to a qualitatively new level of development that meets modern consumer demands.
Dmitry Kirsanov, Fix Price CEO
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Store base, geographical coverage and selling space
31 Mar 2025 31 Dec 2024 31 Mar 2024
Total number of stores 7,282 7,165 6,545
Russia 6,499 6,400 5,874
Kazakhstan 349 337 287
Belarus 341 335 299
Latvia 43 44 45
Uzbekistan 24 24 22
Georgia 6 6 7
Kyrgyzstan 7 6 6
Armenia 5 5 2
Mongolia 4 4 3
UAE 4 4 -
Number of Company-operated stores 6,561 6,443 5,836
Russia 5,899 5,798 5,277
Kazakhstan 332 320 270
Belarus 330 325 289
Number of franchised stores 721 722 709
Russia 600 602 597
Latvia 43 44 45
Uzbekistan 24 24 22
Kazakhstan 17 17 17
Belarus 11 10 10
Georgia 6 6 7
Kyrgyzstan 7 6 6
Armenia 5 5 2
Mongolia 4 4 3
UAE 4 4 -
Selling space (sq. m) 1,575,492 1,550,559 1,419,120
Company-operated stores 1,414,997 1,389,973 1,261,559
Franchised stores 160,495 160,586 157,561
Development of Company-operated stores
Q1 2025 Q1 2024
Gross openings 165 164
Russia 142 143
Kazakhstan 16 12
Belarus 7 9
Closures 47 39
Russia 41 32
Kazakhstan 4 5
Belarus 2 2
Net openings 118 125
Russia 101 111
Kazakhstan 12 7
Belarus 5 7
OPERATING RESULTS
Store network expansion
• The total number of stores increased by 11.3% y-o-y to 7,282; the share of franchise stores amounted to 9.9% of the total store count (down 93 bps y-o-y)
• In Q1 2025, Fix Price added 117 net new stores (the Company-operated store network grew by 118 stores, while the number of franchise stores decreased by 1), compared to 131 net new stores in Q1 2024 (including 125 Company-operated stores and 6 franchise stores)
• In the first quarter of 2025, most of the net new openings were in Russia, 84.6% (99 stores); Kazakhstan, 10.3% (12 stores); and Belarus, 5.1% (6 stores)
• Total selling space grew by 24,934 sq. m, reaching 1,575,492 sq. m as of the end of the quarter (an 11.0% increase y-o-y). The average Fix Price store selling space was 216 sq. m as of 31 March 2025
• Since the start of 2025, Fix Price has added 27 new localities to its store network coverage. As of 31 March 2025, the Group was operating in 10 countries
LFL sales growth
• LFL sales for Q1 2025 grew by 1.6% y-o-y after adjusting for the leap year (0.4% unadjusted). However, economic uncertainty, inflation expectations, competitive environment and high deposit interest rates continued to affect consumer sentiment. As a result, discretionary spending continued to be constrained by customers prioritising high-value, durable non-food products
• The LFL average ticket increased by 3.1% y-o-y when adjusted for the leap year (3.2% unadjusted). We remained committed to providing the best value for our customers, while also increasing our average ticket through regular, effective updates to our assortment
• In Q1 2025, LFL traffic remained under pressure, declining by 1.5% y-o-y when adjusted for the leap year (decrease by 2.7% unadjusted). Nevertheless, this represents an improvement compared to the 1.8% y-o-y decrease in Q4 2024, as our initiatives to introduce additional traffic drivers continue to bear fruit
• LFL sales at Company-operated stores in Russia grew by 1.7% y-o-y after adjusting for the leap year (0.5% unadjusted). Stores in Belarus made a positive contribution to overall LFL sales. Thanks to effective marketing campaigns and the lifting of regulatory restrictions on the product assortment, stores in Belarus demonstrated steady growth in LFL average ticket in both the rouble and the local currency. In Kazakhstan, LFL average ticket dynamics came under pressure in Q1 2025 due to currency conversion effects. However, positive LFL sales dynamics in the local currency were driven by LFL traffic growth, supported by a highly compelling value proposition
Assortment and category mix
• In the first quarter of 2025, the share of food in retail sales rose by 3.6 percentage points to 29.5%, supported by the Company’s initiatives to increase customer traffic and the introduction of high-turnover shelf-stable items. Consequently, the share of non-food items in retail sales decreased to 44.6% (down 4.1 percentage points y-o-y), while the share of cosmetics, hygiene and household chemicals rose to 25.9% in Q1 2025 from 25.5% in Q1 2024. Food, toys, the seasonal assortment, and household goods were the main LFL sales drivers during the reporting period
• The share of imported goods in retail sales stood at 22.0% in Q1 2025, versus 23.4% in Q1 2024, driven by an increase in the share of food products sourced in Russia
• The share of price points above RUB 100 in retail sales grew to 70.1% in
Q1 2025, up from 58.3% in Q1 2024, reflecting a shift in the assortment mix to the mid- and higher price range. Also, the share of price points above RUB 200 in retail sales increased to 19.7% in Q1 2025, versus 15.2% in Q1 2024. The Company is now testing RUB 449 price point
• The average ticket across all Company-operated stores stood at RUB 355 (a 3.4% y-o-y increase)
Loyalty programme development
• As of 31 March 2025, the total number of registered loyalty cardholders amounted to 29.9 million, up 13.1% y-o-y. During the quarter, the Company attracted 1.1 million new registered cardholders. Of the total number of loyalty cardholders, 40.6% were active members of the programme
• 67.1% of total retail sales in Q1 2025 were generated by transactions using loyalty cards, compared to 61.0% in Q1 2024
• Loyalty cardholders’ average ticket stood at RUB 480, which was almost twice the average ticket of RUB 255 for non-loyalty-card purchases
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FINANCIAL RESULTS FOR Q1 2025
Statement of comprehensive income highlights
RUB million Q1 2025 Q1 2024 Change
Revenue 74,444 71,684 3.9%
Retail revenue 68,691 63,349 8.4%
Wholesale revenue 5,753 8,335 (31.0)%
Cost of sales (49,644) (48,250) 2.9%
Gross profit 24,800 23,434 5.8%
Gross margin, % 33.3% 32.7% 62 bps
SG&A (excl. LTIP and D&A) (16,013) (13,599) 17.8%
Other op. income and share of profit of associates 1,428 153 833.3%
Adjusted EBITDA 10,215 9,988 2.3%
Adjusted EBITDA margin, % 13.7% 13.9% (21) bps
EBITDA 10,041 9,773 2.7%
EBITDA margin, % 13.5% 13.6% (15) bps
D&A (4,480) (4,043) 10.8%
Operating profit 5,561 5,730 (2.9)%
Operating profit margin, % 7.5% 8.0% (52) bps
Net finance (costs) / income (1,384) 21 n/a
FX gain, net 283 59 379.7%
Profit before tax 4,460 5,810 (23.2)%
Income tax expense (1,025) (2,520) (59.3)%
Profit for the period 3,435 3,290 4.4%
Net profit margin, % 4.6% 4.6% 2 bps
Selling, general and administrative expenses
RUB million Q1 2025 Q1 2024 Change
Staff costs (excl. LTIP) 13,031 10,519 23.9%
% of revenue 17.5% 14.7% 283 bps
Bank charges 598 892 (33.0)%
% of revenue 0.8% 1.2% (44) bps
Rental expense 346 353 (2.0)%
% of revenue 0.5% 0.5% (3) bps
Security services 436 506 (13.8)%
% of revenue 0.6% 0.7% (12) bps
Advertising costs 252 303 (16.8)%
% of revenue 0.3% 0.4% (8) bps
Repair and maintenance costs 359 268 34.0%
% of revenue 0.5% 0.4% 11 bps
Utilities 320 272 17.6%
% of revenue 0.4% 0.4% 5 bps
Other expenses 671 486 38.1%
% of revenue 0.9% 0.7% 22 bps
SG&A (excl. LTIP and D&A) 16,013 13,599 17.8%
% of revenue 21.5% 19.0% 254 bps
LTIP expense 174 215 (19.1)%
% of revenue 0.2% 0.3% (7) bps
Depreciation of right-of-use assets 3,331 3,082 8.1%
% of revenue 4.5% 4.3% 18 bps
Other depreciation and amortisation 1,149 961 19.6%
% of revenue 1.5% 1.3% 20 bps
Total SG&A 20,667 17,857 15.7%
% of revenue 27.8% 24.9% 285 bps
In Q1 2025, the Group’s revenue rose 3.9% y-o-y, reaching RUB 74.4 billion, as a result of an 8.4% increase in retail revenue, which offset a decline in wholesale revenue.
In Q1 2025, the Company reported retail revenue of RUB 68.7 billion, driven by expansion of the Company’s selling space and LFL sales growth. Wholesale revenue was RUB 5.8 billion, versus RUB 8.3 billion in Q1 2024, reflecting pressure on franchise stores’ sales.
Gross profit increased by 5.8% y-o-y and reached RUB 24.8 billion in Q1 2025. Gross margin improved by 62 bps y-o-y and stood at 33.3%, mostly due to the greater share of higher-margin retail revenue in the top line.
Transportation costs grew by 29 bps y-o-y to 2.2% of revenue in Q1 2025 mainly as a result of market-wide tariff hikes in Russia.
Inventory write-downs were generally stable (down by 3 bps year-on-year) and amounted to 0.8% of revenue.
Selling, general and administrative expenses (SG&A), excluding LTIP and D&A expenses, increased by 254 bps y-o-y to 21.5% of revenue, mainly due to higher staff costs, repair and maintenance costs, utilities and other expenses. This was partially offset by decreases in the shares of bank commissions, advertising, security, and rental expenses as percentage of revenue.
Staff costs excluding LTIP grew by 283 bps y-o-y to 17.5% of revenue, driven by salary indexation amid persisting labour shortages.
Accruals for LTIP expense totalled RUB 174 million in Q1 2025.
Depreciation and amortisation (D&A) expenses increased by 38 bps y-o-y to 6.0% of revenue. Depreciation of right-of-use assets grew by 18 bps y-o-y to 4.5% of revenue. The share of other depreciation and amortisation expenses rose 20 bps to 1.5% of revenue; the slight increase reflected store network expansion.
Rental expense (under IFRS 16) remained stable at 0.5% of revenue (down 5 bps to 0.5% of retail revenue). The decrease in rental expense in absolute terms was driven by a decline in the variable sales-linked rent component amid the slower pace of sales growth.
Rental expense (under IAS 17) increased by 58 bps y-o-y to 5.9% of revenue (up 38 bps to 6.3% of retail revenue), reflecting the growing impact of lease expenses under fixed-rate contracts (which account for 31% of the total contract base) and the fixed component of variable contracts amid slowing revenue growth.
Bank charges decreased by 44 bps y-o-y to 0.8% of revenue, driven by lower acquiring fees on bank card transactions thanks to better commercial terms with banks and payment systems, as well as a higher share of payments made via the Faster Payment System, which carries lower fees.
Security costs declined by 12 bps y-o-y to 0.6% of revenue as a result of the Company’s ongoing optimisation efforts.
Repair and maintenance costs increased by 11 bps y-o-y to 0.5% of revenue, mainly due to increased spending on service for self-service checkouts installed across the store network. Utilities were flat y-o-y at 0.4% of revenue, while other expenses rose 22 bps, reaching 0.9% of revenue.
Advertising costs declined 8 bps to 0.3% of revenue.
The Group’s total SG&A expenses amounted to 27.8% of revenue, up 285 bps y-o-y, mostly on the back of a 283 bps increase in the share of staff costs, excluding LTIP, and 38 bps growth in the share of D&A expenses, which were partially offset by a decrease in the shares of bank charges, security services, advertising costs, rental expense, and LTIP.
Other operating income and the share of profit of associates increased by 170 bps y-o-y to 1.9% of revenue, mainly due to a one-off gain.
EBITDA IFRS 16 and IAS 17 reconciliation
RUB million Q1 2025 Q1 2024 Change
EBITDA (IFRS 16) 10,041 9,773 2.7%
EBITDA margin (IFRS 16), % 13.5% 13.6% (15) bps
LTIP expense 174 215 (19.1)%
Adjusted EBITDA (IFRS 16) 10,215 9,988 2.3%
Adjusted EBITDA margin (IFRS 16), % 13.7% 13.9% (21) bps
Rental expense (4,009) (3,422) 17.2%
Utilities (69) (58) 19.0%
Adjusted EBITDA (IAS 17) 6,137 6,508 (5.7)%
Adjusted EBITDA margin (IAS 17), % 8.2% 9.1% (83) bps
LTIP expense (174) (215) (19.1)%
EBITDA (IAS 17) 5,963 6,293 (5.2)%
EBITDA margin (IAS 17), % 8.0% 8.8% (77) bps
In Q1 2025, adjusted EBITDA under IFRS 16 increased by 2.3% y-o-y to RUB 10.2 billion thanks to growth in gross profit and other operating income, which was partly offset by higher staff costs. Adjusted EBITDA margin was 13.7%, versus 13.9% in Q1 2024.
EBITDA under IFRS 16 rose by 2.7% y-o-y to RUB 10.0 billion. The EBITDA margin was 13.5%, compared to 13.6% in Q1 2024.
Adjusted EBITDA under IAS 17 was RUB 6.1 billion. The IAS 17-based adjusted EBITDA margin amounted to 8.2% in Q1 2025, down from 9.1% in Q1 2024.
Net finance costs in Q1 2025 amounted to RUB 1,384 million, compared to net finance income of RUB 21 million in Q1 2024, mainly due to a decrease in Group deposits following the distribution of accumulated cash as dividends, higher interest rates on loans and growth in lease liabilities driven by store network expansion.
In Q1 2025, the Group recorded an FX gain of RUB 283 million, compared to a gain of RUB 59 million in Q1 2024, driven by rouble appreciation and a subsequent gain on the revaluation of trade accounts payable. The gain was partially offset by a loss on the revaluation of the Group’s deposits and bank accounts in foreign currencies, the revaluation of rouble-denominated intra-group accounts payable of the Group’s international entities, and the revaluation of forward contracts.
Income tax expense decreased by 59.3% y-o-y to RUB 1.0 billion in Q1 2025 thanks to lower withholding tax on intra-group dividends compared to Q1 2024, when interim dividends for 2023 and 2024 were announced and paid, as well as a lower tax base in comparison with the previous period.
Profit for the period amounted to RUB 3.4 billion, up 4.4% y-o-y. The net profit margin stood at 4.6%.
Statement of financial position highlights
RUB million 31 Mar 2025 31 Dec 2024 31 Mar 2024
Current loans and borrowings 9,887 15,056 10,026
Non-current loans and borrowings 3,055 3,010 4,765
Current lease liabilities 10,528 10,200 9,069
Non-current lease liabilities 6,142 5,473 4,731
Cash and cash equivalents (4,621) (19,579) (27,994)
Net debt 24,991 14,160 597
Dividends payable - 8,321 -
Adjusted net debt 24,991 22,481 597
Adjusted net debt to EBITDA (IFRS 16) 0.5x 0.4x 0.01x
Current lease liabilities (10,528) (10,200) (9,069)
Non-current lease liabilities (6,142) (5,473) (4,731)
IAS 17-based adjusted net debt / (net cash) 8,321 6,808 (13,203)
IAS 17-based adjusted net debt / (net cash) to EBITDA 0.2x 0.2x (0.3)x
Current loans and borrowings decreased by RUB 5.2 billion from the beginning of the year to RUB 9.9 billion, as the Company aimed to reduce its debt burden in an environment of abnormally high interest rates. Non-current loans and borrowings remained generally stable compared to the beginning of the year and amounted to RUB 3.1 billion. Total loans and borrowings decreased to RUB 12.9 billion from RUB 18.1 billion as of 31 December 2024. Lease liabilities rose to RUB 16.7 billion, in comparison with RUB 15.7 billion at the beginning of the year. As a result, total loans, borrowings and lease liabilities amounted to RUB 29.6 billion, down by 12.2% from the beginning of 2025.
The Company’s IAS 17-based adjusted net debt position amounted to RUB 8.3 billion, compared to RUB 6.8 billion as of 31 December 2024. The IAS 17-based adjusted net debt to EBITDA ratio did not change from the beginning of the year and stood at a comfortable level of 0.2x as of 31 March 2025.
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Statement of cash flows highlights
RUB million Q1 2025 Q1 2024
Profit before tax 4,460 5,810
Cash from operating activities before changes in working capital 10,778 10,550
Changes in working capital (3,346) (4,111)
Net cash generated from operations 7,432 6,439
Net interest paid (1,463) 114
Income tax paid (2,118) (3,177)
Net cash flows from operating activities 3,851 3,376
Net cash flows used in investing activities (2,203) (1,364)
Net cash flows used in financing activities (15,719) (11,376)
Effect of exchange rate fluctuations on cash and cash equivalents (887) 15
Net decrease in cash and cash equivalents (14,958) (9,349)
Net trade working capital reached RUB 25.2 billion (7.9% of revenue) as of 31 March 2025, compared to RUB 22.3 billion (7.1% of revenue) as of 31 December 2024, which reflects our proactive approach to inventory management, ensuring strong in-store availability of high-demand, traffic-driving products across our entire network. This strategic positioning allows us to meet customer needs effectively while helping revitalise sales performance.
CAPEX for Q1 2025 amounted to 2.2 billion, versus RUB 1.4 billion in Q1 2024, driven by investments in the construction of a new distribution centre in Kazan, as well as new store openings.
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ABOUT THE COMPANY
Fix Price (AIX: FIXP.Y; MOEX: FIXP), one of the leading variety value retailers globally and the largest in Russia, offers its customers a compelling and constantly updated assortment of non-food goods, including personal care and household products, and food items at low fixed price points.
As of 31 March 2025, Fix Price was operating 7,282 stores in Russia and other countries, all of them stocking approximately 2,000 SKUs across around 20 product categories. As well as its own private brands, Fix Price sells products from leading global names and smaller local suppliers. As of 31 March 2025, the Company was operating 13 DCs covering 81 regions of Russia and 9 other countries.
In 2024, the Company recorded revenue of RUB 314.9 billion, EBITDA of RUB 53.1 billion and net profit of RUB 22.2 billion, in accordance with IFRS.
CONTACTS Fix Price Investor Relations Fix Price Media Relations
Elena Mironova Ekaterina Makurina
ir@fix-price.com pr@fix-price.com