M.Video reports 28% retail sales growth in Q1

Russia-based M.Video has reported results for its first quarter ended 31 March 2009. M.Video retail sales reached RUB23.1 billion (USD815 million), including VAT, in the first quarter 2009 demonstrating more than 28% growth as compared to the first quarter 2008. The total number of the company’s outlets reached 161 stores as of 31 March 2009 versus 157 stores opened by the year end 2008. The group’s net debt position as of 31 March 2009 amounted to RUR 2.1 billion (USD74 million). During the first quarter 2009 M.Video decreased its total debt position by 44% as compared to year end 2008. Alexander Tynkovan, President and CEO of M.Video said: “We demonstrated solid performance in 1Q 2009 in terms of the revenue growth and like-for-like sales as well adding several stores to our network. These results were achieved in a turbulent economic environment and we highly appreciate a strong support from our loyal customers. Despite a declining market M.Video continues to grow organically and gain market share in those cities where we operate.” He added: “It’s quite a significant achievement for us to continue to open stores while decreasing our overall debt position. Our strong balance sheet and low leverage sends a very good signal to our employees, suppliers, customers and investors.”