-----------------------------------------------------------------------------------------------------------------------------------------------------------

FINANCIAL STATEMENTS

CoNSolidated StatemeNt oF FiNaNCial PoSitioN

179

Note

31 deCemBeR

2021

31 deCemBeR

2020

Assets

Non-current assets

Property, plant and equipment

332,144

322,707

Right-of-use assets

502,325

480,511

Investment properties

4,461

4,502

Goodwill

105,028

104,890

Other intangible assets

39,006

30,757

Investments in associates and
joint ventures

−

Other non-current assets

4,209

3,120

Deferred tax assets

23,047

20,458

1,010,270

966,945

Current assets

Inventories

166,840

144,393

Indemnification asset

435

171

Trade, other accounts
receivable and prepayments

20,190

19,277

Current income tax receivable

4,057

12,119

VAT and other taxes
receivable

8,802

10,316

Short-term financial
investments

50,092

−

Cash and cash equivalents

26,062

20,008

276,478

206,284

TOTAL ASSETS

1,286,748

1,173,229

Note

31 deCemBeR

2021

31 deCemBeR

2020

Equity and liabilities

Equity attributable to equity holders of the parent

Share capital

2,458

Share premium

46,127

46,086

Retained earnings

38,926

46,194

Share-based payment reserve

118

104

87,629

94,842

TOTAL EQUITY

87,629

94,842

Non-current liabilities

Long-term borrowings

206,571

184,921

Long-term lease liabilities

507,099

480,059

Deferred tax liabilities

928

2,769

Other non-current liabilities

1,670

1,954

716,268

669,703

Current liabilities

Trade accounts payable

212,949

170,909

Short-term borrowings

87,767

77,026

Interest accrued

1,792

1,380

Short-term lease liabilities

70,264

68,442

Short-term contract liabilities

2,392

2,198

Current income tax payable

3,014

2,753

Provisions and other liabilities

104,673

85,976

482,851

408,684

TOTAL LIABILITIES

1,199,119

1,078,387

TOTAL EQUITY AND
LIABILITIES

1,286,748

1,173,229

X5 Retail GRoUP N.V.

Consolidated

Statement

of Financial

Position

at 31 December 2021

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

igor Shekhterman

CHIEF EXECUTIVE OFFICER

19 May 2022

Vsevolod Starukhin

CHIEF FINANCIAL OFFICER

19 May 2022

ESEF reporting and the financial statements are unaudited

-----------------------------------------------------------------------------------------------------------------------------------------------------------

FINANCIAL STATEMENTS

CoNSolidated StatemeNt oF PRoFit oR loSS

180

X5 Retail GRoUP N.V.

Consolidated

Statement of

Profit or loss

for the year ended 31 December 2021

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

Note

2021

2020

Revenue

2,204,819

1,978,026

Cost of sales

(1,643,502)

(1,483,406)

Gross profit

561,317

494,620

Selling, general and administrative expenses

(467,468)

(406,389)

Net impairment losses on financial assets

(154)

(251)

Lease / sublease and other income

23,877

17,737

Operating profit

117,572

105,717

Finance costs

(57,815)

(56,686)

Finance income

586

Share of loss of associates and joint ventures

(20)

Net foreign exchange gain / (loss)

399

(3,391)

Profit before tax

60,742

45,670

Income tax expense

(18,004)

(17,326)

Profit for the year

42,738

28,344

Profit for the year attributable to:

Equity holders of the parent

42,738

28,344

Basic earnings per share for profit attributable to the equity holders of the parent
(expressed in RUB per share)

629.55

417.54

Diluted earnings per share for profit attributable to the equity holders of the parent
(expressed in RUB per share)

629.54

417.52

igor Shekhterman

CHIEF EXECUTIVE OFFICER

19 May 2022

Vsevolod Starukhin

CHIEF FINANCIAL OFFICER

19 May 2022

ESEF reporting and the financial statements are unaudited

-----------------------------------------------------------------------------------------------------------------------------------------------------------

FINANCIAL STATEMENTS

CoNSolidated StatemeNt oF ComPReheNSiVe iNCome

181

X5 Retail GRoUP N.V.

Consolidated

Statement of

Comprehensive

income

for the year ended 31 December 2021

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

2021

2020

Profit for the year

42,738

28,344

Total comprehensive income for the year, net of tax

42,738

28,344

Total comprehensive income for the year attributable to:

Equity holders of the parent

42,738

28,344

igor Shekhterman

CHIEF EXECUTIVE OFFICER

19 May 2022

Vsevolod Starukhin

CHIEF FINANCIAL OFFICER

19 May 2022

ESEF reporting and the financial statements are unaudited

-----------------------------------------------------------------------------------------------------------------------------------------------------------

FINANCIAL STATEMENTS

CoNSolidated StatemeNt oF CaSh FlowS

182

X5 Retail GRoUP N.V.

Consolidated

Statement

of Cash Flows

for the year ended 31 December 2021

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

Note

2021

2020

Profit before tax

60,742

45,670

Adjustments for:

Depreciation, amortisation and impairment
of property, plant and equipment,
right-of-use assets, investment properties,
other intangible assets and goodwill

150,278

137,905

Gain on disposal of property plant
and equipment, investment properties
and intangible assets and gain
on derecognition of right-of-use assets

(3,345)

(3,705)

Finance costs, net

57,229

56,636

Net impairment losses on financial assets

154

251

Impairment of prepayments

221

237

Share-based compensation expense

Net foreign exchange (gain) / loss

(399)

3,391

Share of loss of associates
and joint ventures

Other non-cash items

559

336

Net cash from operating activities before

changes in working capital

265,528

240,801

Increase in trade, other accounts
receivable and prepayments
and VAT and other taxes receivable

(1,198)

(2,119)

Increase in inventories

(22,447)

(16,931)

Increase in trade payable

42,108

10,491

Increase in other accounts payable
and contract liabilities

13,952

10,806

Net cash flows from operations

297,943

243,048

Interest paid

(56,561)

(55,461)

Interest received

Income tax paid

(13,980)

(28,071)

Net cash flows from operating activities

227,462

159,560

igor Shekhterman

CHIEF EXECUTIVE OFFICER

19 May 2022

Vsevolod Starukhin

CHIEF FINANCIAL OFFICER

19 May 2022

Note

2021

2020

Cash flows from investing activities

Purchase of property, plant
and equipment and initial direct costs
associated with right-of-use assets

(76,574)

(73,427)

Acquisition of businesses,
net of cash acquired

(1,771)

(3,138)

Proceeds from disposal of property,
plant and equipment, investment
properties and intangible assets

4,392

4,365

Purchase of other intangible assets

(15,482)

(12,084)

Acquisition of interest in associates
and joint ventures

(150)

Proceeds from sale of interest
in associates and joint ventures

120

Payments for financial investments

(50,000)

−

Net cash flows used in investing activities

(139,435)

(84,314)

Cash flows from financing activities

Proceeds from loans

132,345

203,046

Repayment of loans

(99,585)

(169,175)

Purchase of treasury shares

(34)

(126)

Payments of principal portion
of lease liabilities

(64,610)

(57,557)

Dividends paid to equity holders
of the parent

(50,006)

(49,993)

Net cash flows used in financing activities

(81,890)

(73,805)

Effect of exchange rate changes
on cash and cash equivalents

(83)

(35)

Net increase in cash and cash equivalents

6,054

1,406

Movements in cash and cash equivalents

Cash and cash equivalents
at the beginning of the year

20,008

18,602

Net increase in cash and cash equivalents

6,054

1,406

Cash and cash equivalents

at the end of the year

26,062

20,008

ESEF reporting and the financial statements are unaudited

-----------------------------------------------------------------------------------------------------------------------------------------------------------

FINANCIAL STATEMENTS

CoNSolidated StatemeNt oF ChaNGeS iN eqUity

183

X5 Retail GRoUP N.V.

Consolidated

Statement of

Changes in equity

for the year ended 31 December 2021

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

igor Shekhterman

CHIEF EXECUTIVE OFFICER

19 May 2022

Vsevolod Starukhin

CHIEF FINANCIAL OFFICER

19 May 2022

Note

NUmBeR

oF ShaReS

CaPital

PRemiUm

ShaRe-BaSed

PaymeNt

ReSeRVe

RetaiNed

eaRNiNGS

total

ShaReholdeRS’

eqUity

total

Balance as at 1 January 2020

67,890,054

2,458

46,150

105

67,843

116,556

Profit for the period

−

28,344

Total comprehensive income

for the period

−

28,344

Acquisition of treasury shares

(12,870)

−

(107)

−

(107)

Dividends

−

(49,993)

Share-based payment
compensation

−

Transfer and waiving of vested
equity rights

5,260

−

(61)

−

(18)

Balance as at 31 December 2020

67,882,444

2,458

46,086

104

46,194

94,842

Balance as at 1 January 2021

67,882,444

2,458

46,086

104

46,194

94,842

Profit for the period

−

42,738

Total comprehensive income

for the period

−

42,738

Dividends

−

(50,006)

Share-based payment
compensation

−

Transfer and waiving of vested
equity rights

6,252

−

(75)

−

(34)

Balance as at 31 December 2021

67,888,696

2,458

46,127

118

38,926

87,629

attRiBUtaBle to eqUity holdeRS oF the PaReNt

ESEF reporting and the financial statements are unaudited

-----------------------------------------------------------------------------------------------------------------------------------------------------------

FINANCIAL STATEMENTS

184

NoteS to the CoNSolidated FiNaNCial StatemeNtS

NoteS to the CoNSolidated

FiNaNCial StatemeNtS

for the year ended 31 December 2021

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

Principal activities

and the Group structure

The main activity of the Group is the development and
operation of grocery retail stores. As at 31 December
2021 the Group operated a retail chain of 19,121
proximity stores, supermarket, hypermarket, hard
discounter, online hypermarket stores and dark kitchens
under the brand names “Pyaterochka”, “Perekrestok”,
“Karusel”, “Chizhik”, “Perekrestok Vprok” and “Mnogo
Lososya” (each representing separate format) in major
population centres in Russia, including but not limited
to Moscow, St. Petersburg, Nizhniy Novgorod, Rostov-
on-Don, Kazan, Samara, Lipetsk, Chelyabinsk, Perm,
Ekaterinburg (31 December 2020: 17,707 proximity
stores, supermarket, hypermarket, hard discounter
and online hypermarket stores under the brand names
“Pyaterochka”, “Perekrestok”, “Karusel”, “Chizhik” and
“Perekrestok Vprok”), with the number of stores as
presented in the table.

As at 31 December 2021 and 31 December 2020 the
principal shareholder exerting significant influence
over the Company was CTF Holdings S.A. (“CTF”). As
at 31 December 2021 and 31 December 2020 CTF
directly owned 47.86% of total issued shares in the
Company. As at 31 December 2021 and 31 December
2020 the Company’s shares were listed on the London
and Moscow Stock Exchanges in the form of Global
Depositary Receipts (GDRs) with each GDR representing
an interest of 0.25 in an ordinary share (Note 22).

31 deC 2021

31 deC 2020

“Perekrestok” — Supermarket

Central FD

552

519

North-Western FD

151

129

Volga FD

142

144

Ural FD

Southern FD

Northern Caucasus

total

990

933

“Pyaterochka” — Proximity store

Central FD

6,489

6,147

Volga FD

4,745

4,462

Southern FD

1,890

1,660

North-Western FD

1,838

1,772

Ural FD

1,596

1,459

Siberian FD

1,036

886

Northern Caucasus

378

323

total

17,972

16,709

These consolidated financial statements are for the
economic entity comprising X5 Retail Group N.V. (the
“Company”) and its subsidiaries, as set out in Note 6 (the
“Group”).

X5 Retail Group N.V. is a joint stock limited liability
company established in August 1975 under the laws of
the Netherlands. The principal activity of the Company
is to act as a holding company for a group of companies
that operate retail grocery stores. The Company’s
address and tax domicile is Zuidplein 196, 1077 XV
Amsterdam, the Netherlands.

31 deC 2021

31 deC 2020

“Karusel” — Hypermarket

Central FD

Volga FD

North-Western FD

Southern FD

Northern Caucasus

Ural FD

−

total

“Perekrestok Vprok” — Online hypermarket

Central FD

Volga FD

North-Western FD

TOTAL

“Chizhik”— Hard discounter

Central FD

total

“Mnogo Lososya” — Dark kitchen

Central FD

−

North-Western FD

−

total

−

TOTAL STORES

19,121

17,707

-----------------------------------------------------------------------------------------------------------------------------------------------------------

FINANCIAL STATEMENTS

185

NoteS to the CoNSolidated FiNaNCial StatemeNtS

NoteS to the CoNSolidated

FiNaNCial StatemeNtS

Summary of significant

accounting policies

The principal accounting policies applied in the
preparation of these consolidated financial statements
are set out below. These policies have been consistently
applied to all years presented, unless otherwise stated.

2.1

Basis of preparation

These consolidated financial statements for the year
ended 31 December 2021 have been prepared in
accordance with and comply with International Financial
Reporting Standards as adopted by the European Union
and with Part 9 Book 2 of the Dutch Civil Code.

The consolidated financial statements have been
prepared under the historical cost convention, except
for financial assets and financial liabilities (including
derivative instruments) that have been measured at
fair value. The preparation of the consolidated financial
statements in conformity with IFRS requires the use of
certain critical accounting estimates. It also requires
management to exercise its judgement in the process
of applying the Group’s accounting policies. The areas
involving a higher degree of judgement or complexity, or
areas where assumptions and estimates are significant
to the consolidated financial statements are disclosed
in Note 3. Management prepared these consolidated
financial statements on a going concern basis. In making
this judgment management considered the Group’s
financial position, current intentions, profitability of

for the year ended 31 December 2021

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

operations, access to financial resources (Note 31) and
the potential impact of COVID-19 and the sanctions
being imposed against certain entities and individuals
in Russia (Note 36). On 19 May 2022, the Management
Board authorised the consolidated financial statements
for issue. Publication is on 19 May 2022.

2.2

Basis of consolidation

Subsidiaries are those investees, including structured
entities, that the Group controls because the Group (i)
has power to direct relevant activities of the investees
that significantly affect their returns, (ii) has exposure, or
rights, to variable returns from its involvement with the
investees, and (iii) has the ability to use its power over
the investees to affect the amount of investor’s returns.
The existence and effect of substantive rights, including
substantive potential voting rights, are considered when
assessing whether the Group has power over another
entity. For a right to be substantive, the holder must have
practical ability to exercise that right when decisions
about the direction of the relevant activities of the
investee need to be made. The Group may have power
over an investee even when it holds less than majority
of voting power in an investee. In such a case, the Group
assesses the size of its voting rights relative to the size
and dispersion of holdings of the other vote holders
to determine if it has de-facto power over the investee.
Protective rights of other investors, such as those that
relate to fundamental changes of investee’s activities or
apply only in exceptional circumstances, do not prevent
the Group from controlling an investee. Subsidiaries
are consolidated from the date on which control is
transferred to the Group (acquisition date) and are
deconsolidated from the date on which control ceases.

The acquisition method of accounting is used to
account for the acquisition of businesses other than
those acquired from parties under common control. The
consideration transferred is measured at the fair value
of the assets given up, equity instruments issued and
liabilities incurred or assumed at the date of exchange,
including fair value of assets or liabilities from contingent
consideration arrangements but excludes acquisition
related costs such as advisory, legal, valuation and similar
professional services. Transaction costs related to the
acquisition and incurred for issuing equity instruments
are deducted from equity; transaction costs incurred
for issuing debt as part of the business combination are
deducted from the carrying amount of the debt and all
other transaction costs associated with the acquisition
are expensed. The date of exchange is the acquisition
date where a business combination is achieved
in a single transaction. However, when a business
combination is achieved in stages by successive share
purchases, the date of exchange is the date of each
exchange transaction; whereas the acquisition date
is the date on which acquirer obtains control of the
subsidiary.

Identifiable assets acquired and liabilities and contingent
liabilities assumed in a business combination are
measured at their fair values at the acquisition date.

Goodwill is initially measured at cost (being the excess
of the aggregate of the consideration transferred and
the amount recognised for non-controlling interests
and any previous interest held over the net identifiable
assets acquired and liabilities assumed). If the fair value
of the net assets acquired is in excess of the aggregate
consideration transferred, the Group re-assesses
whether it has correctly identified all of the assets

acquired and all of the liabilities assumed and reviews
the procedures used to measure the amounts to be
recognised at the acquisition date. If the reassessment
still results in an excess of the fair value of net assets
acquired over the aggregate consideration transferred,
then the gain is recognised in profit or loss.

Intercompany transactions, balances and unrealised
gains on transactions between group companies are
eliminated; unrealised losses are also eliminated unless
the cost cannot be recovered. The Company and all
of its subsidiaries use uniform accounting policies
consistent with the Group’s policies.

Purchases of subsidiaries from parties under common
control are accounted for using the pooling of interest
method (also referred as “the predecessor values
method”). Under this method the consolidated financial
statements of the combined entity are presented
as if the businesses had been combined from the
beginning of the earliest period presented or, if later,
the date when the combining entities were first brought
under common control. The assets and liabilities of the
subsidiary transferred under common control are at the
predecessor entity’s carrying amounts.

The predecessor entity is considered to be the highest
reporting entity in which the subsidiary’s IFRS financial
information was consolidated. Related goodwill inherent
in the predecessor entity’s original acquisitions is also
recorded in these consolidated financial statements.
Any difference between the carrying amount of net
assets, including the predecessor entity’s goodwill,
and the consideration for the acquisition is accounted
for in these consolidated financial statements as an
adjustment to other reserve within equity.

-----------------------------------------------------------------------------------------------------------------------------------------------------------

содержание .. 21 22 23 24 ..