Lenta Ltd, one of the largest retail chains in Russia, registered in the British Virgin Islands, announced its unaudited consolidated financial results for the year ending 31 December 2018. According to company’s financial highlights, in this year total sales of the company grew 13.2%, including retail sales growth of 13.6% and wholesales growth of 6.0%. There was a slight gross margin increase of 21.5% due to improved supplier conditions and store productivity.
Capital expenditures made Rub 22.1bn, a decrease of 18.8% as compared to fiscal results of 2017, mainly to the slower rate of expansion and lower investments in land and future stores than to the prior year. Net cash generated from operating activities, before net interest and income taxes, was Rub 32.4bn compared to Rub 34.8bn in 2017, which is a decrease of 6.9%. Net interest expenses were Rub 9.1bn, a decrease of 13.4% compared to 2017 due to the reduction of interest rates.
In 2018, the company opened 13 new hypermarkets and 38 supermarkets, Also, new Lenta App was introduced in the end of 2018, and the number of installations exceeded 1.4 million at the date of the announcement.