Russia’s largest grocery retailer X5 Retail Group recorded a 35% increase in consolidated sales for the fourth quarter of 2010, driven by improved customer spending, organic growth and the recently-acquired Kopeyka chain.
For the quarter ended 31 December, sales reached RUB105.26bn (US$3.53bn), with like-for-like sales up 10%, which it attributed to “healthy” discounter and improving supermarket trends.
For the full year, sales rose 24% to reach RUB341.59bn, while like-for-like sales were up 7%, with traffic up 3%.
Including the acquisition of Kopeyka, secured late last year, X5 added some 1,100 stores over the year.
The retailer announced that, in 2011, it plans to increase sales by 40% and add 540 new stores.
“Soft discounters delivered healthy like-for-like sales growth of 13% in the fourth quarter of 2010 against a very strong base last year. Supermarkets improved significantly with 11% like-for-like growth and a 9% year-on-year increase in basket supported by recovery in consumer spending,” said CEO Lev Khasis.
“Supermarkets performance was boosted by surging like-for-likesales of acquired Paterson stores, following successful integration and rebranding earlier in the year. We continue to win customers by enhancing our assortment and restraining price growth to well below the level of official inflation.”
