Net profit of M. Video has decreased almost twice

Net revenue (without VAT) “M. Video” by the end of 2015 $ 161,691 billion rubles that is by 6.4% less than the year before, follows from the report of the company prepared in accordance with international financial reporting standards (IFRS).

Earlier it was reported that the net revenues of the largest non-food retailer specializing in the sales of consumer electronics (Btie), in 2015 compared to 2014 decreased by 5.5% to 162,6 billion rubles Then it was noted that the drop in revenues was the first since 2007, when the company began to disclose their results.

In a report published today the company emphasizes that the revenue of M. Video decreased more slowly overall decline of sales in the consumer electronics market and technology (Btie), fallen in 2015 at 14%.

“Last year was difficult for the Russian retail sector of household appliances, nevertheless the company was able to take full advantage of the prevailing circumstances. “M. Video” has strengthened its positions on the Russian market Btie, showing results above the market and ahead of its main competitors,” explained company President Alexander Tynkovan.

The head of “M. Video” stressed that the company continues to increase the volume of online sales, which has grown in 2015 by about 12%, and for the last two years — almost twice.

“Today, the share of sales via Internet in the turnover of M. Video network amounted to about 11%, while more than 70% of Internet sales are pickup of goods ordered online,” explained Mr. Tynkovan.

Net profit in 2015 amounted to 4,547 billion rubles, which is by 44.4% less than in 2014 (8.2 billion rubles). In percentage of revenue profit declined from 4.7% to 2.8%.

After the announcement of the results of the work of “M. Video” in 2015, the cost of the company’s shares on the Moscow stock exchange went down. At a minimum, the price of securities fell to 250,5 rubles, which is almost 3.3% below the closing level yesterday.

As at 31 December 2015, a network “M. Video” includes 378 stores located in 161 city of Russia.