X5 Retail Group. Годовой отчет за 2022 год (на английском) - часть 15

226

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

39

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

Shareholders’ 

equity 

As at 31 December 2022 total equity included the reserve 
for capitalised IT development costs in the amount of 
RUB 28,926  (31 December 2021: RUB 26,122). As at 
31 December 2022 equity available for distribution of 
dividends to shareholders comprised RUB 96,482 (31 
December 2021: RUB 55,682).

In view of the current market conditions, ongoing regulatory 
constraints, and consistent with last year’s profit allocation, 
the Supervisory Board will recommend to X5’s General 
Meeting of shareholders not to distribute a dividend for 
2022. This recommendation is based on various factors, 
including the need to strengthen the Company’s focus 
on supporting customers and suppliers to maintain a 
stable supply chain and keep store shelves sufficiently 
stocked. The Supervisory Board believes that meeting 
these priorities will require financial resources, and that all 
Company stakeholders will benefit in the long term from X5 
strengthening its reputation as a reliable partner for both 
customers and suppliers. Regulatory constraints follow 
from regulations issued by Russian Government during 
2022, temporarily restricting the possibility of cross-border 
payment of dividends or similar capital distributions to a 
jurisdiction that enacted sanctions against the Russian 
Federation. Whereas such restrictions apply to potential 
distributions to the Company from its Russian operating 
subsidiaries, such distributions to the Netherlands are in 
principle allowed with a waiver to be obtained from the 
Government. While the Company remains committed 
to its long-term goal of returning company profits to 
shareholders, the Supervisory Board believes it would be 
in the Company’s best interest to temporarily deviate from 
its dividend policy as long as current uncertainties and 
regulatory conditions prevail.

Statutory profit appropriation

On 12 May 2021, in addition to interim dividend RUB 19,997 
(RUB 294.58 per share) that was declared and paid in 
2020, the General Meeting of Shareholders approved the 
dividend for 2020 in the amount of RUB 30,006 (RUB 
441.99 per share). 

On 25 November 2021, the Company announced the 
interim dividend for 2021 in the amount of RUB 20,000 
(RUB 294.60 per share), which was paid to shareholders in 
December 2021. 

Share capital issued

As at 31 December 2022 the Company had 190,000,000 
authorised ordinary shares (31 December 2021: 
190,000,000) of which  67,888,696 ordinary shares were 
outstanding (31 December 2021: 67,888,696) and 4,521 
ordinary shares held as treasury stock (31 December 2021: 
4,521). The nominal value of each ordinary share is EUR 1. 

227

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

40

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

40

Loans from group 

сompanies

31 December 2021

Interest rate, % p.a.

Final maturity date

NON-CURRENT

RUB loans from group companies

1,829

6.5%

December 2023

Total

1,829

31 December 2021

Interest rate, % p.a.

Final maturity date

CURRENT

RUB loans from group companies

135

6.5%

December 2022

RUB loans from group companies

311

4%

December 2022

Total

446

Loans from group companies were fully repaid in 2022. No collaterals were provided for the loans 
mentioned above as of December 2021.

228

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

41

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

41

Share-based 

payments 

31 December 

2022

31 December 

2021

Share-based payment 
reserve 

  –  

118

Carrying amount of 
liability related to RSU

 24 

–

Carrying amount of 
liability related to PSU

 10 

–

The following is included in the Company’s statement 
of financial position for the Restricted Stock Unit and 
Phantom Stock Plans:

The following is included in the Company’s statement of 
profit and loss for the Restricted Stock Unit and Phantom 
Stock Plans:

Under the remuneration policy for members of the 
Supervisory Board, Supervisory Board members were 
entitled to annual awards of restricted stock units under 
the Group’s Restricted Stock Unit Plan (RSU Plan). Since 
the trading of X5 GDRs at the London Stock Exchange 
was suspended in March 2022, the General Meeting of 
Shareholders approved in its extraordinary meeting on 30 
November 2022 a new Phantom Stock Plan (PSU plan) for 
eligible Supervisory Board members. For the annual award 
under RSU and PSU plans for members of the Supervisory 
Board, please refer to Note 44 and to Note 29 in the 
consolidated financial statements, Note 29 is deemed 
incorporated and repeated herein by reference.

2022

2021

Equity settled RSU 
(benefit)/expenses

 (3)

89

Cash settled RSU 
expenses

  6  

–

Cash settled PSU 
expenses

 10 

–

229

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

42

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

42

General and 

administrative 

expenses 

2022

2021

Key management 
renumeration (Note 44)

 264 

 219 

Other employee 
expenses

 33 

46

Other expenses

 261

 437 

Audit expenses

  23  

26

RSU/PSU expenses

  13  

89

Total

  594  

817

Total fees as referred to in section 2:382a Dutch Civil Code, 
to be paid to audit firm Reanda Audit & Assurance B.V. 
amounted to RUB 23 (2021: to audit firm Ernst & Young 
Accountants LLP RUB 26). 

During 2022 the average number of persons other than 
members of the Management Board and the Supervisory 
Board having an employment contract with the Company 
was nine (2021: nine). 

230

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

43

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

43

Income tax 

expense

2022

2021

Current tax on 
dividends distributed 
by the Company’s 
subsidiaries

1

−

3,784

Current income tax 
charge

 285 

−

Deferred income tax 
charge/(benefit)

    379    

(1,654)

Adjustments for current 
tax of prior periods

 (29) 

−

Income tax charge for 
the year

 635 

2,130

Theoretical and effective tax rates are reconciled as follows:

2022

2021

Profit before taxation

  1,659  

593

Theoretical tax at the effective statutory rate

2

 428 

148

TAX EFFECT OF ITEMS WHICH ARE NOT DEDUCTIBLE OR ASSESSABLE FOR TAXATION PURPOSES

Change in deferred tax liability associated with investments in subsidiaries

−

(1,844)

Current tax on dividends distributed by the Group’s subsidiaries

−

3,784

Other non-deductible expense

 161 

54

Effect of change in tax rate on deferred taxes**

−

(12)

Deferred tax expenses arising from deferred tax asset write down

    75    

−

Adjustments for current tax of prior periods

  (29)

−

Income tax charge for the year

 635 

2,130

1  During 2021 the Company received dividends of RUB 105,493 from 

Russian subsidiary (gross amount including current tax on dividends 
distributed by the Group’s subsidiaries of RUB 5,305 (Note 30)). 

2  Starting from 2022 profit before taxation on operations in the Netherlands 

is assessed based on the statutory rate of 25.8% (2021: 25%). 

231

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

43

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

43

Income tax 

expense

Deferred tax assets, deferred tax liabilities and the deferred 
tax benefit in the Company statement of profit or loss were 
attributable to the following items for the year ended  
31 December 2021:

The Company estimated the temporary differences related to unrecognised 
potential deferred tax assets in respect of unused tax loss carry forwards of RUB 
3,206 (2021: RUB 2,917) and unused tax credits of RUB  4,986 (2021: RUB 4,996). 

At 31 December 2022 and at 31 December 2021 temporary differences related to 
unrecognised potential deferred tax assets and unused tax credits had no time 
restrictions for carry forward.

1 January 

2022

 

Credited/ 

(debited) to 

profit and loss

31 December 

2022

TAX EFFECTS OF DEDUCTIBLE TEMPORARY DIFFERENCES 
AND TAX LOSS CARRY FORWARDS

Tax losses available 
for carry forward

 379 

 (379)

−

Gross deferred tax assets

 379 

 (379)

−

Recognised deferred tax assets

 379 

 (379)

−

1 January 

2021

Balance acquired 

in the course 

of merge with 

subsidiary

 

Credited/

(debited) to 

profit and loss

31 December 

2021

TAX EFFECTS OF DEDUCTIBLE TEMPORARY DIFFERENCES 
AND TAX LOSS CARRY FORWARDS

Tax losses available 
for carry forward

569

−

(190)

379

Gross deferred tax assets

569

−

(190)

379

Recognised deferred tax assets

569

−

(190)

379

TAX EFFECTS OF TAXABLE TEMPORARY DIFFERENCES

Investments into subsidiary

(395)

(1,449)

1,844

−

Gross deferred tax liabilities

(395)

(1,449)

1,844

−

Recognised deferred tax assets

(395)

(1,449)

1,844

−

Deferred income tax

Deferred tax assets and liabilities and the deferred tax charge/(benefit) in the 
company statement of profit or loss were attributable to the following items for 
the year ended 31 December 2022:

232

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

44

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

44

Key management 

personnel expenses 

Name

Year

Base 

salary

2

Short-term 

incentive

3

Long-term 

incentive

4

Extension 

bonus

5

Social 

security cost

6

 

Total

I. Shekhterman

2022

 130 

  109  

 99 

 229 

  82  

 649 

2021

104

88

122

−

44

358

E. Lobacheva

¹

2022

 31 

 26 

 30 

−

 12 

 99

2021

−

−

−

−

−

−

F. Lhoёst

2022

 25 

 15 

−

−

 1 

 41

2021

27

16

−

−

1

44

Q. Peer

2022

 22

 12

−

−

 1 

 35

2021

24

15

−

−

1

40

Total 

2022

 208

 162

 129 

 229 

 96

 824

2021

155

119

122

−

46

442

1  Ekaterina Lobacheva was appointed as member of the Management Board and President on 30 June 2022.

2  The table reflects actual base salary amounts, including adjustments based on number of days spent on vacation, in accordance with Russian labour law. 

3  Short-term incentives are based on results achieved in 2022 and payable in 2023. For the year ended 31 December 2022 the group performance targets  

(as described in the Remuneration Report on pages 137–147) were achieved for 89.9% (for the year ended 31 December 2021: 91.7%). Individual adjustments 
were apllied up to 20% to individual assesments at the discretion of the Supervisory Board. This results in payouts of 90.6% of base salary for Mr. Shekhterman 
(2021: 86.2%), 65.2% of base salary for Mr. Lhoёst (2021: 61.2%), 60% of base salary for Mr. Peer (2021: 63.2%) and 97.3% of base salary for Mrs. Lobacheva.

4  For Igor Shekhterman the expense recognised in 2022 for the long-term incentive award is based on the deferred payout under the 2018-2020 LTI programme 

and the accrual based on the probability of achieving the targets under the 2021-2023 LTI programme, payable in 2024-2025, for Ekaterina Lobacheva the 
long-term incentive award expenses represent the accrual based on the probability of achieving the targets under the 2021-2023 LTI programme, payable  
in 2024-2025.

5  On 30 November 2022, the General Meeting of Shareholders approved to substitute 75% of Igor Shekhterman’s termination bonus for a contract extension 

bonus in  the amount of USD 3,750,000.

6  For the year ended 31 December 2022 statutory pension contributions amounted to RUB 62 (2021: RUB 29).

Key management personnel

Key management personnel are those persons having 
authority and responsibility for planning, directing and 
controlling the activities of the Group. The Group considers 
all members of the Management Board, Executive Board 
and the Supervisory Board to be key management 
personnel as defined in IAS 24 Related Party Disclosures. 
The CEO and the President are the members of both the 
Management Board and the Executive Board. 

At the end of 2022 the Executive Board consisted of eight 
members. The total direct compensation for the CEO, 
President and other Executive Board members consists of 
a base salary, a performance related annual cash incentive 
(STI) and a performance related long-term cash incentive 
(LTI). Members of the Supervisory Board receive an annual 
base compensation in cash and share-based payments. 

 
Total compensation of key management personnel: 

2022

2021

Management Board 
and Executive Board

 1,848 

1,558

Supervisory Board

  166  

198

Total 

 2,014 

1,756

Expenses recognised for remuneration of the members of the Management Board: 

233

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

44

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

44

Key management 

personnel expenses 

Name

Year

Base 

salary¹

Short-term 

incentive²

Long-term 

incentive

3

Social 

security cost

4

 

Total

Other key management personnel

2022

 280 

 279

 329 

  136

 1,024

2021

314

236

416

150

1,116

1  Base salary remuneration reflects the increase in salary for some key management personnel, as well as fluctuation in base salary due to the number of days 

spent on vacation, in accordance with Russian labor law. 

2  Short-term incentive for performance in the year 2022 (2021) paid in cash in 2023 (2022). 

3  The expense recognised in 2022 for the long-term incentive award is based on the deferred payout under the 2018-2020 LTI programme and an accrual based 

on the probability of achieving the targets under the 2021–2023 LTI programme.

4  For the year ended 31 December 2022 statutory pension contributions amounted to RUB 89 (2021: RUB 98).

Remuneration of the Executive Board 
(‘Other key management personnel’)

Other key management personnel comprises all members 
of the Executive Board excluding the CEO and the 
President. In accordance with the remuneration policy 
for the Executive Board, the total direct compensation of 
other key management personnel consists of a base salary, 
a performance-related annual cash incentive (STI) and a 
performance-related long-term cash incentive (LTI). 

Expenses recognised for remuneration of the Executive Board members 
(excluding the CEO and the President from the date of appointment):

234

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

44

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

44

Key management 

personnel expenses 

1  Vadim Zingman, Leonid Afendikov, Mikhail Fridman and Marat Atnashev, 

in their role as representatives of CTF Holdings S.A., have waived any 
entitlement to Supervisory Board remuneration, whether in cash or 
restricted stock units.

2  Olga Vysotskaya, Fedor Ovchinnikov and Vadim Zingman were appointed 

on 30 June 2022. 

3  Dmitry Alekseev, Vasileios Stavrou and Leonid Afendikov were appointed 

on 30 November 2022.

4  Stephan DuCharme and Mikhail Fridman stepped down on 1 March 2022. 

Richard Brasher, Geoff King, Michael Kuchment, Alexander Tynkovan and 
Marat Atnashev stepped down on, respectively, 4 March, 11 March,  
25 March, 25 May and 22 July 2022.

5  Nadia Shouraboura’s term in office expired at the 2022 Annual General 

Meeting of Shareholders.

6  On 30 November 2022 the General Meeting of Shareholders approved 

to substitute 75% of Igor Shekhterman’s termination bonus for a 
contract extension bonus, whereby the remaining part (25%) was 
allocated to Stephan DuCharme for his invaluable contribution to the 
Company since 2008, both as member and later as Chairman of the 
Supervisory Board, and CEO from 2012 to 2015.

Remuneration of the Supervisory Board

The table below specifies the remuneration of the members 
of the Supervisory Board. Details on Supervisory Board 
remuneration in 2022 are reflected in the Remuneration 
Report on pages 137–147.

In accordance with the remuneration policy for the 
Supervisory Board, as approved by the Extraordinary 
General Meeting of Shareholders (EGM) held on 30 
November 2022, eligible members of the Supervisory 
Board receive remuneration in cash and an equity-based 
remuneration in the form of Phantom Stock Units (PSUs) 
awarded annually.

Annual cash remuneration for Supervisory Board members:

Position

EUR

Supervisory Board Chair

250,000

Supervisory Board Member

100,000

 

Additional allowance for:

Supervisory Board Vice-Chair

    50,000

Committee Chair

  100,000

Committee Member

    16,000

Base 

remuneration

Share-based 

compensation

Extraordinary 

remuneration

6

Total 

remuneration

Position

2022

2021

2022

2021

2022

2021

2022

2021

P. Demchenkov

Chairman, Nomination and 
Remuneration Committee

  26    

  30    

  29    

  22    

−

−

  55    

  52    

O. Vysotskaya

2

Chair, Audit and Risk Committee

  8    

−

  2    

−

−

−

  10    

−

F. Ovchinnikov

2

  4    

−

  1    

−

−

−

  5    

−

V. Stavrou

3

  2    

−

−

−

−

−

  2    

−

V. Zingman

1,2

−

−

−

−

−

−

−

−

D. Alekseev

3

  2    

−

−

−

−

−

  2    

−

L. Afendikov

1,3

−

−

−

−

−

−

−

−

S. DuCharme

4,6

  1    

  12    

  21    

  19    

  90    

−

  112    

  31    

M. Fridman

1,4

−

−

−

−

−

−

−

−

R. Brasher

4

  2    

  7    

  (2)   

  2    

−

−

  −   

  9    

G. King

4

  6    

  22    

  (32)   

  21    

−

−

  (26)   

  43    

V. Kuchment

4

  3    

  10    

  (14)   

  10    

−

−

  (11)   

  20    

K.-H. Holland

−

  3    

−

  2    

−

−

−

  5    

N. Shouraboura

5

  6    

  17    

  10    

  11    

−

−

  16    

  28    

A. Tynkovan

4

  3    

  8    

  (2)   

  2    

−

−

  1    

  10    

M. Atnashev

1,4 

−

−

−

−

−

−

−

−

Total

  63    

  109    

  13    

  89    

  90    

−

  166         

  198    

Expenses recognised for remuneration of the members of the Supervisory Board:

235

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

44

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

44

Key management 

personnel expenses 

Equity-based remuneration

Since the trading of X5 GDRs at the London Stock 
Exchange was suspended in March 2022, the General 
Meeting of Shareholders approved on 30 November 2022 
a new phantom stock unit plan for Supervisory Board 
members to replace the restricted stock unit plan that was 
no longer operational (Note 29).

Phantom Stock Unit Plan

Under the new plan, the award of phantom stock is not 
subject to performance criteria, and phantom stock units 
(PSUs) are converted into cash after a three-year vesting 
period.

Supervisory Board members Peter Demchenkov, Olga 
Vysotskaya, Fedor Ovchinnikov, Dmitry Alekseev and 
Vasileios Stavrou were each awarded a number of 
PSUs, calculated by dividing 100% of their fixed cash 
remuneration in 2022 by the volume weighted average 
closing market price of one GDR over the thirty immediately 
calendar days preceding 19 May 2022, i.e. RUB 1,055.66. 
PSUs awarded under tranche 1 will vest on 19 May 2025. 
Upon vesting the eligible Supervisory Board members are 
entitled to a cash pay-out based on the market value of the 
awarded PSUs on the vesting date.

The number of PSUs awarded and outstanding to the 
members of the Supervisory Board is shown below. For the 
calculation of the intrinsic value and further details please 
refer to Note 29. 

Tranche

PSUs awarded in 

2022

Year

of vesting

PSUs outstanding as per 

31 December 2022

P. Demchenkov

1

23,095

2025

 23,095 

O. Vysotskaya

1

7,849

2025

 7,849 

F. Ovchinnikov

1

4,489

2025

 4,489 

D. Alekseev

1

1,746

2025

 1,746 

V.Stavrou

1

1,746

2025

 1,746 

Total

38,925

38,925

Restricted Stock Unit Plan

As part of the termination of the restricted stock unit plan 
in 2022, the Extraordinary Meeting approved:

• 

the vesting and cash settlement of all restricted stock 
units (RSUs) awarded in 2019, a transition scheme for 
RSUs awarded in 2020 and 2021 for Peter Demchenkov. 
The Vesting of the 2020 and 2021 RSU awards stay in 
line with the vesting schedule under the RSU plan (19 
May of each respective year of vesting, if 19 May falls in 
a weekend, vesting date is the immediately following 
business day), with the option to settle RSUs in cash 
upon vesting respectivly in 2023 and 2024 based on 
the X5 GDR value at the Moscow Exchange or other 
exchange where X5 GDRs are primarily traded at the 
time of vesting;

• 

the accelerated vesting and cash settlement of all RSUs 
awarded in 2019, 2020 and 2021 to Stephan DuCharme 
who stepped down from the Supervisory Board on 1 
March 2022;

• 

the vesting and cash settlement of RSUs awarded 
in 2019, accelerated vesting and cash settlement of 
RSUs awarded in 2020 and partial accelerated vesting 
and cash settlement RSUs awarded in 2021 to Nadia 
Shouraboura who’s term in office came to an end at the 
2022 Annual General Meeting of Shareholders.

The proposed settlement in cash in 2022 was approved 
by the EGM in EUR. The amount of the cash settlements 
is based on the average X5 GDR price at the Moscow 
Exchange (MOEX) on 22 September 2022 (RUB 1,268.00), 
the date of termination of the RSU Plan and the respective 
EUR exchange rate set by the Central Bank of Russia (RUB 
60,211 per EUR) for this date. 

236

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

44

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

44

Key management 

personnel expenses 

Name

Tranche

RSUs 

awarded 

in 2019

RSUs 

awarded 

in 2020

RSUs 

awarded 

in 2021

Year of 

vesting

RSUs 

vested¹

RSUs vested 

(accelerated 

vesting)¹

RSUs 

forfeited

Value on 

vesting date 

RSUs out-

standing as per 

31 December 

2022

RSUs out-

standing as per 

31 December 

2021

S. DuCharme

2

10

9,722

−

−

2022

−

9,722

−

12

−

9,722

11

−

9,335

−

2023

−

9,335

−

12

−

9,335

12

−

−

5,133

2024

−

5,133

−

7

−

5,133

G. King

10

9,373

−

−

2022

−

−

9,373

−

−

9,373

11

−

9,211

−

2023

−

−

9,211

−

−

9,211

12

−

−

9,747

2024

−

−

9,747

−

−

9,747

P. Demchenkov

4

10

8,942

−

−

2022

8,942

−

−

11

−

8,942

11

−

9,800

−

2023

−

−

−

−

9,800

9,800

12

−

−

13,448

2024

−

−

−

−

13,448

13,448

M. Kuchment

10

4,099

−

−

2022

−

−

4,099

−

−

4,099

11

−

4,274

−

2023

−

−

4,274

−

−

4,274

12

−

−

4,523

2024

−

−

4,523

−

−

4,523

N. Shouraboura

3

10

4,099

−

−

2022

4,099

−

−

5

−

4,099

11

−

4,274

−

2023

−

4,274

−

5

−

4,274

12

−

−

7,798

2024

−

5,199

2,599

7

−

7,798

R. Brasher

12

−

−

3,245

2024

−

−

3,245

−

−

3,245

A. Tynkovan

12

−

−

3,425

2024

−

−

3,425

−

−

3,425

1  Vesting date in 2022 is 22 September 2022, vested RSUs are settled 

for cash as per the GDR value on the Moscow Exchange as per vesting 
date.  

2  The Gross cash settlement of Stephan DuCharme in 2022 comprised 

EUR 509,423.86

3  The Gross cash settlement of Nadia Shouraboura in 2022 comprised 

EUR 285,805.21

4  The Gross cash settlement of Peter Demchenkov in 2022 comprised  

EUR 188,290.98.

Restricted Stock Units vested, forfeited and outstanding to 
members of the Supervisory Board.

For the calculation of the intrinsic value and further RSUs 
details please refer to Note 29.

237

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

45

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

45

Contingent rights 

and liabilities

The guarantees issued mature as follows:

Guarantees are irrevocable assurances that the Company 
will make payments in the event that another party cannot 
meet its obligations. 

31 December 

2022

31 December 

2021

Not later than 1 year

  10,170  

59,129

Later than 1 year and  
no later than 5 years

 44,416 

20,405

Total

 54,586 

79,534

31 December 

2022

31 December 

2021

Irrevocable offer to 
holders of X5 FINANSE 
LLC bonds

 54,586 

79,534

Total

 54,586 

79,534

The Company had the following guarantees issued under 
obligations of its group companies:

238

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

46

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

46

Related party 

transactions

Please refer to Note 8 of the consolidated financial 
statements; all group companies are also considered 
related parties. During 2021 and 2022 there were no 
transactions with related parties outside the normal course 
of business.

Statutory director’s compensation

The Company has a Management Board and a Supervisory 
Board. The total remuneration of all Board members as well 
as other key management personnel is disclosed in Note 8 
of the Consolidated Financial Statements and Note 44.

Loans to group companies

For loans issued to and interest income from group 
companies please refer to Note 38.

Loans from group companies

For loans received from and interest expenses to group 
companies please refer to Note 40.

239

FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

47

Notes to the Company 

financial statements

for the year ended 31 December 2022

(expressed in millions of Russian Roubles, 
unless otherwise stated)

47

Subsequent events 

for the Сompany

In March 2023 Fedor Ovchinnikov stepped down from the Supervisory Board.

 
 
 
 
 
Amsterdam, 31 May 2023 

Management Board:

Igor Shekhterman 
Ekaterina Lobacheva 
Frank Lhoёst 
Quinten Peer

Supervisory Board:

Peter Demchenkov 
Olga Vysotskaya 
Vadim Zingman 
Dmitry Alekseev 
Vasileios Stavrou 
Leonid Afendikov

OTHER INFORMATION

240

FINANCIAL STATEMENTS

X5 Retail Group N.V.

Other 

information

Statutory profit appropriation

In Article 30 of the Company’s Articles of Association the 
following has been stated concerning the appropriation 
of result:

On proposal of the Supervisory Board, the General 
Meeting shall determine which part of the profits earned 
in a financial year shall be added to the reserves and the 
allocation of the remaining profits.

Subsequent events

For subsequent events, please refer to Notes 36 and 47 
of the financial statements.

Explanation on the absence of the independent 
auditor’s report

On 17 March 2023 the Group released its 2022 audited 
consolidated financial statements together with the audit 
report issued by TSATR – Audit Services LLC (‘B1’). Earlier 
in February the Supervisory Board, in accordance with the 
authority delegated by the Company’s General Meeting of 
Shareholders, appointed Reanda Audit & Assurance B.V. 
as its external group auditor in the Netherlands, to audit 
the Company’s 2022 consolidated and company financial 
statements (the ‘2022 Financial Statements’, as part of the 
2022 Annual Report). During the audit of the 2022 Financial 
Statements the Dutch auditor indicated that more time is 
required to consider the impact of the current geopolitical 
situation, and relevant regulations and restrictions imposed 
by Russian and European governments, on its audit 
opinion. 

Meanwhile, the Company believes that the 2022 Financial 
Statements give a true and fair view of the financial position 
and results of the Group. Therefore, pending the issue 
of Reanda’s audit opinion, the Company has decided for 
transparency purposes to submit its 2022 Annual Report 
to the Company’s Annual General Meeting of Shareholders 
without the auditor’s report. The Company will release its 
2022 Annual Report with the independent auditor’s report 
included if and when such report will be issued by the 
group auditor.

TCFD compliance statement and index

242

Annex