Russian retailer X5 Group has reported a 22.9% year-on-year increase in revenue driven by solid like-for-like sales and selling space expansion.
Net retail sales increased by 22.6%, driven by a combination of 12.6% selling space growth and 10.2% like-for-like sales growth, the company added.
Sales in X5’s digital business grew by 97.9% year on year, to RUB 29.2 billion (€300 million), accounting for 3.7% of the group's consolidated third-quarter revenue.
Igor Shekhterman, chief executive officer said, "We remain focused on developing and growing our Pyaterochka proximity store and Chizhik hard discounter networks, as well as continuing the transformation of our Perekrestok supermarket format to increase efficiency and boost like-for-like sales."
In the third quarter, X5 opened its 1,000th Chizhik hard discount store in Russia in the city of Krasnodar.
It also entered Siberia in this period, with plans to expand to 90 locations in the region.
X5’s online delivery logistics service, 5Post, also entered Siberia and surpassed 20,000 pickup points across all of Russia.
5Post's entry into Siberia has enabled X5 to approach 100% coverage of its targeted geographical footprint and to meet the growing demand for alternative delivery points in this region, the company noted.
Recently, the retailer announced that it has entered into an agreement with LLC Restructuring Centre to open Pyaterochka stores in the retail spaces formerly occupied by the Grozd retail chain.
As part of the deal, Pyaterochka has acquired long leases of more than 100 Grozd stores in Saratov and the Saratov Region.