Russian retailer Dixy Group has recorded revenue of RUB 68.8 billion in the third quarter of the year, which represents a decline of 8.3% year-on-year.
Like-for-like sales fell by 9.8%, with declines at the retail group's Dixy convenience stores (-10.6%), Victoria supermarkets (-5.6%) and Megamart hypermarkets (5.1%).
The company opened three new stores during the quarter, however, it also closed a further 16 stores.
This brings the group's total portfolio in Russia to 2,493 Dixy convenience stores, 38 Megamart and Minimart hypermarkets, 47 Victoria convenience stores, 64 Victoria supermarkets, and one cash & carry store, CASH.
“We have largely completed the first stage of our turnaround plan aimed at financial stabilisation, including the implementation of the new staff management system, optimisation of logistics and supply chain as well as rent renegotiation programme," said Sergey Belyakov, Dixy Group's general director.
"All of the above actions lead to more flexibility and adaptability of our company to the prevailing macro and industry environment, and ultimately to improved profitability metrics."
Last month, Dixy Group announced that its board of directors approved additional funding for its share repurchase programme of up to RUB 5 billion.
The programme, which was first announced in July, will allow Dixy subsidiary JSC Dixy Yug to purchase shares from the market, with the aim of encouraging further market capitalisation growth in the future.
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Sarah Harford. Click subscribe to sign up to ESM: The European Supermarket Magazine.