Belarus' Eurotorg Sees Full-Year Revenue Up 6.8%, Despite 'Challenging Environment'
Eutororg, Belarus' biggest retailer, has reported a 6.8% increase in revenue in full-year 2020, supported by a 3.6% increase in like-for-like sales, and new store openings.
Revenue at the group totalled BYN 5.1 billion (€1.63 billion) for the full-year, it said, while adjusted EBITDA rose 43.9% to BYN 448.5 million (€143.7 million).
Commenting on the group's performance, chief executive Andrei Zubkou noted that the group's positive EBITDA performance "was a result of our efforts to optimise operating expenses".
EBITDA margin was 8.8% for the year, following a decrease in 2019.
“Eurotorg delivered strong financial results amid a challenging environment in 2020," said Zubkou. "I would like to thank our employees for their selfless dedication and our customers for their trust – both of these, as well as a strategy designed to leverage our efficient business model, were key elements in enabling us to continue our track record of success during the year."
Capital expenditure for the year remained 'moderate', the group said, at 2.4% of revenue, with the group acquiring five stores that were previously leased.
As of 31 December 2020, the company operated 927 grocery stores with total selling space of 345,800 square metres. During the year, Eurotorg added 73 new stores, 63 of which were convenience format, and closed 16 stores.
Eurotorg has also made progress in improving its debt positioning, Zubkou added.
“In the reporting year, we continued to optimise our debt portfolio," he said. "In 1H 2020, we successfully placed a RUB 5 billion bond issue on Moscow Exchange, and in 2H 2020 we refinanced our Eurobond issue with a new one of USD 300 million, maturing in 2025."
Looking ahead to the coming year, he said that Eurotorg will "keep implementing our strategy for growth while maintaining our focus on operational efficiency, and plan to open our 1,000th anniversary grocery store.”