Investor Presentaiton
1
Russia's Children Goods Retail Market Leader
Combining Growth and Shareholder Returns
Key Facts
#1
BRAND
SHOP
Detsky Mir is the undisputed #1 player in the specialized children's
goods market in Russia
"Detsky Mir" is an iconic brand with 99% prompted awareness¹
556 Detsky Mir branded stores in 207 Russian cities, 22 stores in 12
cities in Kazakhstan and 44 Early Learning Center ("ELC") stores
as of 31 December 2017
Average store size of c.1,400 sqm, located in modern shopping
malls with product range of 20,000-30,000 SKUs
Diversified product portfolio³
2017
Large items and other²
10%
Strong Operating and Financial Results³
Number of Stores
DETSKY MIR
RETAIL
CHAIN
CAGR 2013 - 2017: 25%
622
525
425
252
322
2014
2015
2016
2017
2013
Total Revenue (RUB bn)
CAGR 2013-2017: 28%
97,0
79,5
60,5
45,4
36,0
Revenue
Newborns
33%
Toys
32%
2013
2014
2015
2016
2017
2017
RUB 97bn
Adjusted EBITDA4 (RUB bn)
7.7%
9.8%
10.2%
10.3%
11.0%
Fashion
25%
CAGR 2013-2017: 40%
10,7
Leading Market Position
2017 Structure of Children's Goods Retail Market in Russia (%)
Other (incl. non-organized retail market)
8,2
4,5
6,2
2,8
Internet
10%
General Food
Retailers
40%
10%
50%
Detsky Mir
Specialized
Stores
40%
50%
Other Players
Source: Company data, Ipsos Comcon
1 Source: "Children Goods Market in Russia" report by Ipsos Comcon ("Ipsos Comcon report"). Poll was conducted in December 2017
2 Including large items, stationery, sports and seasonal goods
3 The Group's consolidated financial statements for 2013 under US GAAP, 2014-2017 under IFRS. For the line items and the years
presented, there was no difference between the calculation of numbers or presentation under US GAAP and IFRS
2013
2014
2015
2016
2017
% margin
Dividend payments (cash flow basis, RUB bn)
CAGR 2013-2017: 83%
1,9
3,0
4,4
4,8
0,4
2013
2014
2015
2016
2017
4 Adj. EBITDA is calculated as profit for the year before income tax, FX gain/loss, gain on acquisition of controlling
interest in associate, impairment of goodwill, net finance expense, D&A, adjusted for the one-off effect relating to disposal
of the Yakimanka building in 2014, as well as share-based compensation and cash bonuses under the LTI programView entire presentation