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Magnit upbeat on profit targets
Magnit has increased its 2013 profitability target. The Russian grocery retailer stated that sales this year will rise by 29-30%. This is an improvement on previous guidance of 27-30%. For 2014, the company is predicting sales growth of 25%.
The EBITDA margin will be “in line” with the previous year’s 10.6%, according to Magnit. The retailer had previously estimated a margin of 9.7-10%. In addition, Magnit plans to increase capex to USD1.7-1.8 billion in 2014, against USD1.6-1.7 billion this year.
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