CEO: X5 Retail Group sees revenue rising over 10% in 2021

ST. PETERSBURG, Jun 4 (PRIME) -- Russia’s grocery retailer X5 Retail Group expects revenue to grow more than 10% in 2021, CEO Igor Shekhterman told PRIME at the St. Petersburg International Economic Forum on Friday.

“Our (revenue) forecast is a rise of more than 10% this year, now we are in line with the forecast,” he said, adding that revenue is to grow on the year in April–June higher than in January–March.

“In the first quarter, we had a lower growth rate, which was linked to the pandemic. But since April, we can see market recovery. The rate of growth in the second quarter will be somewhat higher in year-on-year terms that in the first quarter,” he said.

Shekhterman also said that X5’s major contender Magnit’s decision to acquire retail chain Dixy, as well as grocery retailer Lenta’s purchase of retail chain Billa will not influence X5 Group much. The group considered acquiring Dixy in 2019, but then decided to buy only 20 Viktoria stores from Dixy’s portfolio, he added.

X5 Group does not plan to re-register from the Netherlands yet and is still considering the possible consequences of Russia’s recent denunciation of an agreement on double tax avoidance with the state.

End