Thunder Chain of stores "Magnit"

Magnit is the largest retailer in Russia in terms of the number of stores.

Magnit's Board of Directors

• Magnit's Board of Directors

Aktivs

2020

As of December 31, 2020, the company had 21,564 outlets in 66 regions of Russia. More than 43 million people are participants in the cross-format loyalty program of the network. The company's logistics infrastructure includes 38 distribution centers and about 4,400 vehicles.

As of March 31, 2020, the Magnit chain consisted of 20,860 stores: 14,594 convenience stores, 472 Magnit Family supermarkets and 5,794 drogery stores located in 3,718 settlements of the Russian Federation. About two-thirds of the Company's stores operate in cities with less than 500,000 people. Most of the Group's stores are located in the South, North Caucasus, Central and Volga Federal Districts. Magnit chain stores are also located in the North-West, Ural and Siberian Federal Districts. The company operates its own logistics system, with 38 distribution centers as of March 31, 2020, an automated inventory and fleet management system consisting of 5,458 vehicles.

2019

As of December 31, 2019, the Magnit chain consisted of 20,725 stores: 14,622 convenience stores, 473 Magnit Family supermarkets and 5,630 drogery stores located in 3,742 settlements of the Russian Federation.

About two-thirds of the Company's stores operate in cities with less than 500,000 people. Most of the Group's stores are located in the South, North Caucasus, Central and Volga Federal Districts. Magnit chain stores are also located in the North-West, Ural and Siberian Federal Districts.

The company operates its own logistics system, comprising 38 distribution centers as of December 31, 2019, an automated inventory and fleet management system consisting of 5,656 vehicles.

2018

At the end of December 2018, the company had 16.35 thousand grocery stores in the Magnit format at home, Family and Family +, as well as non-food Magnit Cosmetics.

The company has established a distribution network, including 38 distribution centers and 35 motor transport enterprises. The delivery of products to all stores of the retail network allows you to carry out your own fleet, which has about 5.776 thousand cars.

In addition, Magnit is one of the largest private employers in Russia. The total number of employees of the company is about 300 thousand people.

Magnita Partner Program

2024: Rebranding Loyalty Program

Magnit rebranded the loyalty program and updated its functionality. The company announced this on May 29, 2024.

As part of the restart, the loyalty program has its own visual style, logo and name - "Magnet Plus," referring to the additional benefits that Magnit buyers receive. The Magnit Plus loyalty program covers all products and formats of the company (both offline and online) and all additional opportunities for buyers (accumulation of bonuses, discounts, promos, draws, etc.). The key features of the updated program are omnichannel experience through the integration of online formats and global personalization: Magnit Plus users will receive even more personal offers selected specifically for them based on big data analysis.

Already in May 2024, the share of personalized offers for buyers in Magnit Plus is nine times more than at the end of 2023. The company will continue to develop this tool, and in the coming months plans to launch a new subscription mechanics to make this service more attractive and relevant to buyers. In addition, the number of promotions available only to buyers registered in the loyalty program will increase.

In the future, Magnit Plus will develop within the framework of a separate business format, which in April 2024 was headed by Ekaterina Gladnikova. The business format "Magnit Plus" along with the marketplace "Magnit Market" and the delivery service "Magnit Foodtech" are part of the structure of the block "Magnit Omni," which is headed by the director of e-commerce Guvanch Donmez.

Шаблон:Quote 'author=said Ekaterina Gladnikova, director of the Magnit Plus business format.

The number of users registered in the Magnit loyalty program exceeds 76 million. As of the end of 2023, the share of purchases using loyalty cards was 66% in the sales structure, and this figure continues to grow. The average active loyalty card user check was 1.9 times higher compared to a non-card transaction.

Performance indicators

2023: Revenue growth by 8.2% to 2.54 trillion rubles

According to the results of work in 2023, Magnit received revenue in the amount of 2.54 trillion rubles against 2.35 trillion rubles a year earlier (an increase of 8.2%). The company's net profit in comparison with these periods increased by 94% - from 34.09 billion to 66.14 billion rubles. Such data in accordance with international financial reporting standards (IFRS) were published by the retailer in mid-May 2024.

From the materials of Magnit, it follows that in 2023 the company's gross profit increased by 7.8% year-on-year, to 577.3 billion rubles. EBITDA was at the level of 166.3 billion rubles, EBITDA margin - 6.5%. As of December 31, 2023, the retailer's net debt reached 166.1 billion rubles against 105.4 billion rubles a year earlier. Gross margin rose as a result of improved promotional margins and "the positive impact of the format structure, partially offset by increased promo intensity and increased losses."

Magnit received revenue of 2.54 trillion rubles

In 2023, the revenue of the Magnit chain of stores amounted to 2.23 trillion rubles, which is 10.9% more compared to 2022. Stores "at home" in this volume accounted for 1.76 trillion rubles of revenue, which is 12% higher than a year ago. The revenue of supermarkets increased by 8.2% (to 252.77 billion rubles), drogery outlets (self-service discounter stores located near a house or in a shopping center selling non-food consumer consumer goods) - by 4.2%, to 200.73 billion rubles. Sales in Dixy stores in 2023 decreased by a little more than 3%, to 283.58 billion rubles.

In 2023, Magnit carried out a redesign of 1,078 stores (761 stores near the Magnit house and 289 stores near the Dixie house, 26 drogery stores and two supermarkets). By the end of 2023, Magnit had 29,165 stores against 27,405 a year earlier.

Magnit announces 13.1% growth in retail revenue

2022: Annual output growth of 9%

According to the results of 2022, Magnit enterprises produced 395 thousand tons of products, which is 9% more than a year earlier. The retailer announced such data on February 9, 2023.

According to the statistics presented, in 2022, Magnit enterprises produced 111 thousand tons of fresh vegetables and fruits (+ 9%), 23.5 thousand tons of confectionery products (+ 32%), more than 170 thousand tons of groceries and frozen products (+ 15%), 54 thousand tons of flour products (+ 16%). To ensure high availability of socially significant goods for buyers, Magnit retained large volumes of sugar packaging under its own brand at the level of 2021.

According to a press release, in 2022, Magnit's agro-industrial production in the Krasnodar Territory, as well as a new greenhouse complex in the Belgorod Region, concentrated on the production of cherry tomatoes and increased their production by 30%. New varieties of cucumbers and peppers were also launched (premium short-fruited cucumbers, cornichons, mini peppers). As a result, the share of sales of cherry tomatoes of its own production in the network in physical terms reached more than 70%. The mushroom complex repeated the record harvest of champignons last year - 7 thousand tons, the share of sales of these products under its own brand "Magnet Freshness" in retail stores exceeds 60%.

The main food enterprises of the Company - "Confectioner of Kuban" and "Kuban Combine of Bread Products" - are located in the Krasnodar Territory, in the Industrial Park "Magnita." In 2022, they collectively produced about 77.5 thousand tons of products (+ 20%). The share of sales of own-brand pasta in the network in 2022 amounted to more than 20%, sweets in the segment - more than 10%.

The citrus packaging workshop in Novorossiysk supplied almost 18 thousand tons of packaged fruits and vegetables to the network, the increase in packaging volumes by 2021 amounted to 50%. A new cheese packaging workshop was also launched in Orenburg, as a result, in 2022, 30% of cheeses on the shelves of the chain's stores were packaged in their own workshops.^[1]

2021: Revenue growth by 19.5% to RUB 1.86 trillion

At the end of 2021, Magnit raised 1.86 trillion rubles, which is 19.5% more than a year earlier. Revenue growth excluding the deal with Dixy amounted to 10.8%, the retailer said in a statement on February 4, 2022.

The growth in total revenue was due to the positive dynamics of comparable sales, as well as an increase in sales area, "explained Jan Dunning, CEO of the Magnit chain.

Magnit's net profit in 2021 amounted to 51.7 billion rubles, having more than tripled in comparison with 2020. Like-for-like sales (LFL) rose 7% on the back of a 7.1% rise in the average check and a 0.1% drop in traffic.

In 2021, the retail chain has more than 2 thousand stores, taking into account closures, which exceeded the company's plans to open new outlets. Trading area increased by 20% compared to 2020 and reached 8.9 million square meters. m. Only through the acquisition of Dixy, it grew by 793 thousand square meters. meters.

In 2022, Magnit plans to open more than 2,000 stores and update about 900 outlets. Moreover, several hundred stores will be opened in the format of discounters "My Price."

As of the end of 2021, the company managed more than 26 thousand stores with locations in 3900 settlements of Russia.

Ian Dunning noted that by the end of 2021, the financial situation of the company remained very stable. The debt burden fell to a comfortable 1.5x, which he said is a very good result given the acceleration of organic growth and the acquisition of Dixie.

In 2021, the turnover from sales of consumer products via the Internet at Magnit reached 11 billion rubles. By the end of the year, the retailer processed more than 100 thousand online orders per month.

The report also notes that the optimization of personnel brought the company 18.5 billion rubles at the end of 2021.^[2]

2020

Revenue growth by 13.5%, to 1.55 trillion rubles, debt reduction by 10%

At the end of 2020, Magnit received revenue of 1.55 trillion rubles, which is 13.5% more than a year earlier. The retailer's net profit according to international financial reporting standards (IFRS) during this time increased by 120.8% and reached 37.78 billion rubles.

In 2020, Magnit's retail area increased by 258 thousand square meters. meters or 3.6% to 7.49 thousand square meters. meters. As of December 31, the total number of chain stores amounted to 21.5 thousand points, the redesign was carried out at 72% of convenience stores, 29% of supermarkets and 56% of drogery stores.

The company in 2020 updated the design of 280 convenience stores, 25 supermarkets and 80 drogerie stores. As of December 31, 2020, the share of new stores and stores that underwent a redesign amounted to 72% of convenience stores, 29% of supermarkets and 56% of drogery stores.

Like-for-like sales (LFLs) increased 7.4% on the back of a 14.1% rise in the average check and a 5.9% drop in traffic. Magnit announced an increase in the profitability of the business due to an improvement in commercial conditions, a decrease in promo activity combined with an increase in promo coverage and an increase in the profitability of promo events, a decrease in losses and logistics costs, partially offset by expenses on the loyalty program.

We have fulfilled all the tasks set for 2020 on the main strategic priorities. The company focused on improving the operating efficiency of the existing chain of stores, achieved high LFL results and improved sales density, "says the head of Magnit Jan Dunning, commenting on the financial results. - We made great efforts to improve working capital and were able to free up 30.5 billion rubles.

He also noted a "significant reduction in the volume of debt" and an increase in the return on invested capital by almost half. By the end of 2020, Magnit's total debt decreased by 9.8% and amounted to 166.1 billion rubles.^[3]

Capitalization $7.5 billion

2019

In accordance with the unaudited data of the Company's management statements under IFRS, its revenue for 2019 amounted to 1.369 billion rubles, EBITDA - 83 billion rubles.

2017

In terms of revenue, the company ceded leadership to its closest competitor Kh5 Retail Group at the end of 2016, in 2017 the gap between them increased.

According to the results of 2017, Magnit's revenue grew by 6.4%, to 1.14 trillion rubles (Kh5 's revenue - by 25.5%, to 1.29 trillion rubles).

Information Technology

Main article: Information technology in Magnit

History

2024

New Board Members of Magnit Elected

On October 9, 2024, the board of directors of PJSC Magnit elected nine members of the company's board of directors. In addition, the new version approved the Organization Code governing the conditions for transactions with financial instruments.

The Board of Directors of PJSC Magnit manages the company's activities, defines strategic goals, implements effective management practices, and also elects the Board, CEO and President. The main task of the board is to increase the value of the business: when making decisions, the interests of all shareholders and other stakeholders are taken into account. The new composition of the board included:

New board of Magnit adopted

• Andrey Bodrov, Director of Strategy and Investment at Magnit;
• Chief Financial Officer Dmitry Ivanov;
• Director of Agricultural and Industrial Complex Anton Marushev
• Anna Meleshina, Director, Corporate Relations and Sustainable Business Development;
• Director of Digital Technologies Yuri Misnik;
• Fedor Pavlovsky Supply Chain and Logistics Director;
• General Director of Magnit retail chain Evgeny Sluchevsky;
• HR Director Olga Fedorova;
• The head of the "Big Format" Yegor Shumilin.

Only three of the listed persons have shares in the authorized capital of the company. These are Marushev - 0.0000039%, Meleshina - 0.001642% and Misnik - 0.001530%.

It is noted that as of June 30, 2024, the Magnit chain has 30,109 stores located in 4387 settlements of the Russian Federation and in the Republic of Uzbekistan. About two-thirds of stores operate in cities with a population of less than 500 thousand people. The company operates its own logistics infrastructure comprising 47 distribution centers, an automated inventory management system and a fleet of 6,080 vehicles. ^[4]

Launch of the chain of stores of the format of "hard" discounters "Tsenohit"

In the Far East of Russia, Magnit, together with the retailer Sambury, has launched a new chain of stores in the format of "hard" discounters called "Tsenohit." This was announced on September 11, 2024 by the press service of the Magnit company. The first store opened in Khabarovsk in the summer of 2024, and its successful launch prompted the companies to continue developing the project. In October 2024, it is planned to open a second store, and by the end of 2024 another outlet will open. The decision on further scaling will be made after analyzing the work of the pilot stores. Read more here.

Appointment of Yevgeny Sluchevsky as CEO

In mid-May 2024, Evgeny Sluchevsky was appointed the new general director of Magnit. Before leading the company, he worked in it as director of the agricultural and industrial complex. Read more here.

2023

Magnet bought stake in Sambury

On October 27, 2023, Magnit announced the purchase of 33.01% of the Far Eastern chain of Sambury stores. The agreement also involves an increase in Magnit's share to 100% within five years. Read more here.

Magnit bought KazanExpress

On October 19, 2023, Magnit announced the purchase of the KazanExpress marketplace, on the basis of which the retailer launches its own similar platform called Magnit Market. Read more here.

Redemption of 21.5% of shares from foreign investors for 48.5 billion rubles

Magnit bought 21.9 million shares (about 21.5% of the total) from foreign investors for 48.5 billion rubles. The press service of the retailer announced this on September 14, 2023.

It is clarified that Magnit Alliance, a member of the group, completed the acquisition of shares from shareholders who owned shares through Euroclear Bank SA/NV. It is clarified that the buyback of shares from minority shareholders was previously completed - they owned shares through the Russian depository and settlement infrastructure.

The redemption price was set in accordance with the decision of the Foreign Investment Commission, which assumes a discount of 50% to the market value of the asset - 2215 rubles/share. In the future, Magnit may consider various options for structuring the redemption of shares from shareholders, including conducting a second tender offer and/or concluding bilateral purchase and sale transactions at the same price of 2215 rubles per share, the company added.

Magnit announced plans to buy back part of its securities from foreigners in mid-June 2023. Then it was reported that shares for redemption could be presented by non-resident shareholders whose securities are accounted for in the accounts of type C depots, and resident shareholders who are under the control of non-residents. Initially, the company planned to buy up to 10% of the shares from them, but later increased the limit on redemption to 29.8%. A month later, the company reported that as part of the offer, non-residents presented 21 million 905 thousand 943.8 shares, or 21.5% of shares outstanding, for redemption.

In early August 2023, Magnit announced the results of a buyout from those non-resident investors who owned the company's shares through Russian infrastructure. Then Magnit bought 16.6% of the securities, spending about 37.4 billion rubles on this.

Starting a network of "hard" discounters

On February 28, 2023, Magnit announced the launch of a network of "hard" discounters in Russia. For the new project, the retailer chose the B1 and First Choice brands. Read more here.

2022

The growth of imports of vegetables and fruits from Uzbekistan doubled

In 2022, Magnit doubled imports of vegetables and fruits from Uzbekistan in order to increase supply on the shelves of Russian stores in the off-season.

Plan to invest 13 billion rubles in a set of measures to ensure the quality of goods, services and customer service

On November 10, 2022, the Magnit retail chain announced that in 2022 it would invest 13 billion rubles in a set of measures to ensure the quality of goods, services and customer service. The pool of measures includes regular independent audits of suppliers, laboratory studies of goods, ensuring temperature conditions in stores and distribution centers, disinfection of trading halls and premises, certification of own products of supermarkets and hypermarkets, and much more.

Шаблон:Quote 'author=said Natalia Sommer, director of quality management at Magnit retail chain.

Magnit conducted about 11,000 studies of suppliers' goods - almost twice as much as a year earlier. As of November 2022, the retail chain is cooperating with 170 laboratories, including government agencies, research institutes and federal research centers. Also, experts of the retail chain face-to-face visit the production of food suppliers: about 600 site audits were carried out (+ 60%). Particular attention is paid to the production of cooking in hypermarkets and supermarkets. Ingredients for the manufacture of dishes are purchased separately, and the premises are equipped with video cameras through which the release of products is controlled.

Customers act as quality evaluators of the company's own brand products (STM). As of November 2022, the retailer has about 5,000 items of STM products in 29 categories, which are also produced at 18 Magnit enterprises. In Krasnodar and Izhevsk, two test studios of the company operate, equipped according to international standards ISO (International Organization for Standardization) and GOST. In them, consumers test products, Magnit studies in detail the response, improves the quality of goods, launches relevant positions. In 2022, about 700 tests were carried out (+ 60%), including with their help more than 500 new products appeared, the characteristics of almost 70 items of goods were improved.

A separate investment item is maintaining the storage temperature of goods in all grocery stores, distribution centers and own vehicles when delivering products. For example, in Magnit retail outlets of large formats, due to the solutions of the Internet of Things, the performance of all equipment is monitored: refrigeration slides, bonets, cooled chambers. The parameters are transmitted in real time to the Situation Center of the parent company. All distribution centers operate a wireless system for monitoring the temperatures of cooled areas, and the delivery and preservation of the quality of products sent by refrigerators to retail outlets is also continuously monitored.

The retail chain uses a suite of tools for customer feedback, including chatbot surveys, QR codes, geoservice reviews and others. Detailed analysis of consumer requests allows you to constantly improve the operation of stores. Every day, the company receives many requests, each of which is sent to the responsible persons to solve the problem and feedback to buyers. The number of complaints in 3 sq. 2022 compared to 3 sq. 2020 decreased by 24%, and the average response time to the buyer was halved. In addition, a rating of the quality of service in stores has been created, feedback from consumers is assessed, problems are identified in a specific outlet, after which work is carried out to improve the service.

Savings of 100 million rubles on the transfer of employees to remote work

Magnit has saved 100 million rubles on transferring employees to remote and hybrid work since its introduction in 2020. The company announced this on November 7, 2022.

The transfer of most office employees to remote and hybrid modes allowed the retailer to abandon the lease of office space and attract competitive workers to their hometowns without the cost of relocation, business trips and other related expenses.

As part of the Work 2.0 project, by November 2022, 65% of the company's central office employees - approximately 9,000 people out of 13.2 thousand - were transferred to remote or hybrid graphics. Thanks to this format of labor organization, Magnit annually "saves" about 4,000 physical jobs and reduces the cost of expanding office space with stable network growth. At the same time, the available areas are disposed of much more efficiently, the company added.

It is noted that every year Magnit employs about 1000 office employees. The vast majority of them, hired in 2020-2022, never had a stationary workplace. At the same time, about half of the employees hired in 2022, by November 2022, work outside Moscow and Krasnodar.

The selected strategies make employees more mobile, allow you to work from anywhere in the country. The training programs created helped to adjust the processes taking into account remote and distributed commands. We plan to maintain the existing ratio of office employees working online and in person, and we consider it optimal, taking into account our different business areas and its geographical distribution, - said Anna Bobrova, HR Director of Magnit retail chain.

To switch to new formats of work, the digitalization of HR processes was accelerated: the standard for equipping the workplace with IT equipment was updated, personnel electronic document management and electronic work books, online training courses and other tools were introduced.

Investment of 1 billion rubles in the production of mycelium, which is needed for growing mushrooms

On September 19, 2022, Magnit announced the investment of 1 billion rubles in the production of mycelium, which is needed for growing mushrooms. The retailer is implementing a project on the basis of its own mushroom complex in the Krasnodar Territory. Read more here

"Magnet" bought "Greenhouse"

In August 2022, it became known about the sale of Greenhouse LLC to the operating company of the Magnit network - Thunder JSC. The relevant information is contained in the Unified State Register of Legal Entities. Read more here.

Leaving the London Exchange

On July 13, 2022, Magnit announced its departure from the London Stock Exchange. The Russian retailer has notified the trading platform about the upcoming cancellation of admission to trading in the main market of global depositary receipts (GDR) certifying the rights to ordinary shares of the company.

Delisting and cancellation of GDR trading admission on the London Stock Exchange will take effect on August 30, 2022. GDR holders have the right to convert them into shares of PJSC Magnit in accordance with the procedure stipulated by the depositary agreement and taking into account the mandatory requirements provided for by the legislation of the Russian Federation.

According to Magnit, on May 20, 2022, the company sent a notice to JPMorgan Chase to terminate the depository agreement concluded with it on February 20, 2008, on the basis of which GDRs were issued. The Company is obliged to terminate the depositary agreement in accordance with Federal Law No. 114-FZ "On Amendments to the Federal Law" On Joint Stock Companies "and Certain Legislative Acts of the Russian Federation" dated April 16, 2022.

This law prohibits placing depositary receipts on securities of Russian companies on foreign sites and obliges issuers to delist existing ones. The law gave companies until May 5 inclusive to take "necessary and sufficient" actions to terminate agreements on the placement of depositary receipts.

Those wishing to maintain the company's depository program were entitled to apply to the Ministry of Finance by May 5, providing a justification for the need for this decision. The decision to maintain the listing or to refuse is made by the subcommittee of the governing commission for monitoring the implementation of foreign investments.^[5]

Alexey Kornya - the new executive Aleksei Kornya of Magnit

On January 20, 2022, the appointment of Aleksei Kornya as the new executive director of Magnit was announced. In this position, the former president of MTS will deal with the digital transformation of the retailer, as well as the development of digital services for buyers. Read more here.

2021

VTB withdrew from Magnit's capital by selling a stake for ₽100 billion

On November 19, 2021, VTB officially announced the sale of its stake in the Magnit network. We are talking about 17.28% of the retailer's ordinary shares.

According to the press service of the bank, approximately 4.9% of Magnit's shares were offered for sale as part of the accelerated formation of the application book (ABB) at a price of 5700 rubles apiece. The remaining 12.4% of the securities will be sold to Marathon Group at the same value.

Later it became known that the deal to buy Marathon Group 12.4% of Magnit's shares from VTB was partially financed by the bank itself.

Thus, VTB will receive about 25.7 billion rubles for the sale of shares to private investors and about 74.7 billion rubles for the sale of Magnit shares to Marathon Group. The amount of two transactions will be 100.4 billion rubles.

At the same time, the volume of ABV was increased: initially, the bank announced that VTB would sell its 17.28% of Magnit in proportions: 4.4% - on the market and 12.88% - to Marathon Group. As a result, the Marathon Group's share in Magnet will reach 29.2%. According to the president of Marathon Group Alexander Vinokurov, the investment company does not plan to increase its stake in Magnit to a control one. Investments in Magnit for the company are long-term investments.

According to Yury Solovyov, First Deputy President and Chairman of the Board of VTB Bank, since the transfer of Magnit shares to the bank's asset, a professional management team has been formed that is constantly working to improve financial and operational performance

Completing its investment cycle as a financial investor, VTB welcomes the decision of Magnit's largest private shareholder to participate in the transaction, - said Yury Solovyov.

VTB Capital became the only global coordinator, offer bookrunner and financial adviser as part of the sale of Marathon Group shares.

On November 19, 2021, Magnit shares fell in price by 7% after VTB announced its withdrawal from the retail chain's share capital.^[6]

TAdviser interview with corporate academy director Elena Faber

Modern technologies create excellent opportunities for organizing digital channels communications between employees, documents and training. content Then, even in a large geographically distributed company, small internal forces can create an effective highly automated system for training employees and managing human capital development. TAdviser Faber Elena The director of the corporate academy of the Magnit retail chain spoke about the specific experience of creating such a system. Read more here.

Yuri Misnik is the new director of digital technologies at Magnit

On October 4, 2021, it was announced that Yuri Misnik was appointed Director of Digital Technologies at Magnit. Read more here.

Magnit will pay 97 billion rubles for the acquisition of Dixy

On September 1, 2021, it became known that Magnit would pay almost 10 billion rubles more for the acquisition of Dixy than it planned. The change in the value of the transaction was approved by the board of directors of Magnit. Read more here.

Purchase of Dixy for 92.4 billion rubles

On May 18, 2021, Magnit announced the purchase of Dixy at a preliminary price of 92.4 billion rubles. The deal will include 2612 Dixy stores, as well as 39 outlets under the Megamart brand. Read more here.

Launch of Magnit Master stores for the sale of household goods and repairs

On March 22, 2021, it became known about the upcoming entry of Magnit into the home goods and repair market. The stores that will compete with Leroy Merlin will be called Magnet Master. Read more here.

2020

"City farmer" helps "Magnet" test the cultivation of shiitake mushrooms

The company City farmer"," a resident Skolkovo Foundation Biomedical Technology Cluster, and the retail chain "Magnit" launched in test mode the first Russia compact shiitake plant. The process is controlled completely remotely using. artificial intelligence This was announced on October 27, 2020. Skolkovo Foundation More. here

Magnit and Lenta apply markings in stores to protect against coronavirus

On March 25, 2020, it became known that Russian retailers began to apply markings in stores to maintain the distance between customers.

As reported in the Telegram channel "Magnit," the company began to equip its outlets with special markings so that buyers "could without hesitation comply with the rules of protection against the virus." The same innovation affected the stores of Detsky Mir and Lenta - there they divided the territory in front of the box office into zones.

The World Health Organization (WHO) recommends that people keep a distance of at least 1.5 meters between themselves to try to protect themselves from contracting a new type of coronavirus. Stores around the world have begun taking action to help customers stay at the recommended distance from each other.

For example, in France, in the fruit and vegetable market, it applies markings using a paint bottle directly on the asphalt. And in China, in addition to markets and shops, they added more markings in elevators: the number of passengers should be limited, and everyone should stand facing the wall.

In Russia, markings on the floor, indicating the recommended distance for those standing in line at the checkout, were also noticed in the store of the Krasnoyarsk chain "Commander." Ads have appeared in the IKEA hypermarket in Novosibirsk urging buyers to keep their distance, and public coffee machines have been turned off.

Experts have listed several recommendations that can minimize the risk of contracting coronavirus in stores:

• wipe all solid packages, as well as the table and other working surfaces that have come into contact with the products;
• vegetables and fruits must be thoroughly washed before consumption, having previously soaked them in water for 10 - 15 minutes;
• wear a mask, do not touch your face and pay with a card or application on your smartphone.^[7]

2019

Launch of a single crossformat brand for a family of stores

On February 21, 2019, Magnit announced that the retail chain had unveiled an updated brand architecture for its 25th anniversary. The strategy for the development of the network is based on the creation of a family of Magnit stores for customers. As of February 2019, the company serves more than 10 million people daily and plans to increase its share in the shopping basket to 70% in five years. To do this, the chain develops different store formats - both food and other retail goods. Now the outlets " houses, "supermarkets, drogerie, pharmacies and others will be decorated in a common style and combined with the slogan" Let's be friends with families! "

Objects under a single brand will open from March 2019 throughout the geography of the network. The general design is the first stage of creating a family of Magnit stores. In the future, all formats will be associated not only with the design, but also with the loyalty program. As of February 21, 2019, the retail chain has six formats, thanks to which residents of different regions of the country purchase goods with profit and comfort:

• "at home" - convenient and affordable stores for everyday shopping,
• supermarkets - with a wider range of products,
• "Magnit-Opt" - for purchases in large quantities,
• ultra-smart - with the most popular products,
• Drogeri - with products for beauty and health
• pharmacies.

Now they will all operate under an umbrella brand. The logo retained its recognizable color and trademark - the letter "M" - and at the same time received a modern shape. He plays up a hand gesture that embodies care and attention. On facades, signs in trading halls, packaging The original pictogram system will be used for STM products, information and advertising materials. It resembles icons in a smartphone and responds to digitalization trends that cover all areas of life of buyers.

Partners in the development of the crossformat brand were the creative agency MORE (BBDO Group) and the branding agency Suprematika.

{{quote 'author = Olga Naumova, General Director of PJSC Magnit|We want to offer our customers not only low prices and a wide range of products, but also take care of them by providing interesting and necessary goods, useful services, ready-made solutions for a variety of needs. That is why

Magnit changes for every Russian family and creates a family of stores. In addition to a single cross-format brand in the year of its 25th anniversary, we plan to launch a loyalty program, develop our own brands, expand the range, introduce additional services and launch various channels of communication with customers.}}

2018

VTB sold 11.82% of Magnit shares to Marathon Group for 62.5 billion rubles

In May 2018, VTB Group sold an 11.82% stake in the Magnit retail chain to Marathon Group, founded by the former head of the A1 investment company (a division of Alfa Group) Alexander Vinokurov and his partner Sergei Zakharov.

The state bank did not disclose the amount of the transaction, but noted that the market value of the 12.05 million shares sold was 62.5 billion rubles ($1.02 billion) as of May 23. As a result of the transaction, VTB's share in the authorized capital of Magnit decreased from 29.1 to 17.28%.

VTB stressed that they still consider this acquisition as a long-term investment, planning to bring Magnit to a qualitatively new level of its development, and noted that the stake remaining at their disposal is still sufficient to participate in the management of the company through the board of directors.

"Initially, the deal implied that we should buy most of the package of Sergei Nikolaevich (Galitsky - Forbes)... The most optimal ownership for VTB at the moment will be within 20%, "said Yury Solovyov, First Deputy President and Chairman of the Bank's Board, specifying that VTB will retain such a stake for a long time. "We sold the package at a market price, plus we received a margin for the bank," said a representative of the state bank (quoted by TASS).

The Marathon Group called the deal to acquire the Magnit package a strategic investment. And they explained that their own and borrowed funds were attracted to the cash transaction, which is structured as a repo transaction. What kind of banks are in question, the company's message does not say, but Soloviev later told Interfax that VTB participated in financing the Marathon Group in this transaction, and Vinokurov himself explained that VTB was the main creditor of the transaction.

Elena Milinova appointed CFO

On April 2, 2018, Elena Milinova was appointed financial director of Magnit. Milinova is responsible for the entire range of issues related to the financial activities of the company, as well as for the formation and implementation of the new financial strategy of Magnit, the retailer said.

Galitsky sells VTB Magnit chain for 138 billion rubles, Khachatur Pombukhchan - CEO

In February 2018, it was announced that a 29.1% stake in the Magnit network was sold to VTB for 138 billion rubles. The founder of the network, Sergei Galitsky, remained a minority shareholder of Magnit, retaining 3% (at the beginning of 2018, he personally had 34.26% of the company).

From February 17, 2018, Khachatur Pombukhchan was appointed CEO of the company

2017

Net profit of the network decreased by a third and amounted to 35.53 billion against 54.41 billion rubles. a year earlier. At the end of 2017, Magnit for the first time lost to its main competitor X5 Retail Group (manages the brands Pyaterochka, Perekrestok, Karusel, etc.) in terms of revenue: 1.14 trillion against 1.28 trillion rubles. respectively.

2016

The revenue of the largest retailer Magnit in 2016 increased by 12.8%, reaching 1.069 trillion rubles. Thus, Magnit's annual revenue growth was the lowest in the last 11 years. At the same time, the retailer's revenue for the first time exceeded a trillion rubles. For comparison, in 2015, the company's revenue growth was 24.3%. Revenue and the average check in comparable stores decreased year-on-year by less than 1%.

2014

Magnit's net profit increased by 14.35% in the fourth quarter of last year and amounted to 13.48 billion rubles. At the end of the year, the net profit of the retail chain increased by 33% and amounted to 47.38 billion rubles. The company's revenue in the reporting period increased by 31.71%, to 763.53 billion rubles.

2012: 5.7 thousand stores

As of the beginning of July 2012, the Magnit chain united more than 5.7 thousand stores^[8].

In 2013, the company plans to open 600-800 new convenience stores. In addition to convenience stores, Magnit also expects to launch 40-60 hypermarkets, 25 Magnit Family stores, as well as 3-4 distribution centers.

July 24, 2012 Magnit published the results of work for the first half of the year. Thus, the ruble revenue of the network increased by 32.57 percent to 156.595 billion rubles, and net profit - by 158.97 percent to 10.404 billion rubles.

According to the CEO of the company Sergey Galitsky, against the background of strong financial results at Magnit, she raised the forecast for EBITDA margin (profit before taxes, interest on loans and write-offs on depreciation) in 2012 from the previously expected 7.8-8 percent to 8.5-9 percent. Capital expenditures of the network in 2012 may also increase - from the planned 1.4 billion dollars to 1.8-2 billion.

2011: 4.1 thousand stores and 57 hypermarkets

At the end of 2011, the company's revenue amounted to 335.7 billion rubles, and gross profit in rubles - 81.66 billion.

As of June 2011, the Magnit chain included 64 branches, 1 representative office, more than 4,128 near-home stores, 57 hypermarkets and 4 drogeri stores in more than 1,239 cities and towns. ZAO Tander opens several dozen stores every month.

Notes