Lenta, one of Russia’s largest retailers, reported its 3Q and 9M operating results today.0

  • Retail sales rose 7.9% in 9M 2020
  • LFL Sales growth remained strong at 3.0% in Q3 2020 with average ticket growth of 9.2% and customer

traffic decline of 5.7%

  • Online Sales grew to RUB 1.3 billion in Q3 2020, an increase of 551% year-over-year, serving customers

across 82 cities

  • On 2 September, Vladimir Sorokin was appointed Lenta’s new Chief Executive Officer

Vladimir Sorokin, Chief Executive Officer or Lenta, commented:

“While 2020 has been an unprecedented year for the retail industry, I am extremely proud of how swiftly

and efficiently Lenta has adapted to the ever-evolving market conditions due to Covid-19. At all times

we have made the safety and well-being of our employees and customers our highest priority. These

measures have paid off as local authorities didn’t close any of our stores and consumers felt it is safer to

shop at Lenta. As a result, some customers made Lenta their store of choice and spent more at our stores.

Together with our resilient business model this approach translated into strong results in the first nine

months. Retail Sales were up by 7.9% compared with the same period last year thanks to an 11.4%

growth in Average Ticket. Like-for-Like Retail Sales grew by 5.9%, driven by an 11.5% increase in the Likefor-

Like Average Ticket.

Lenta’s online offering also continues to add value to our customers’ lives. We have made robust progress

during 2020 in expanding the geographic coverage of our own Lentochka express delivery service and

our new Click & Collect program. We believe that Lenta is uniquely positioned for online food retail as it

already has a large store network in 88 cities with a wide assortment of 25,000 SKUs. As a result, we do

not need to build expensive dark stores.

During 2020, Lenta has again proven itself to be resilient and adaptable to changes in consumer

behaviour. That said, there is further scope to fine-tune the business model in response to shifts in demand

patterns and the external environment. I appreciate that an updated strategic plan is long awaited, but

the focus for the last several months has understandably been on steering Lenta through a turbulent

period and ensuring safe and uninterrupted access to stores for our customers. We look forward to

unveiling a new long-term growth strategy early next year.

In the interim, we will remain focused on the key factors that affect the choices our customers make

daily, such as an attractive and relevant assortment that emphasizes quality rather than quantity and is

a great value for money proposition for a wide range of consumer groups.”


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