Moscow, 30 September 2025 – X5 (the Company, MOEX: X5), a leading Russian food retailer operating the Pyaterochka, Perekrestok and Chizhik retail chains, announces a new guidance for its 2025 financial results. As the Russian economy is cooling down this year, with much slower consumer spending in the food retail market, the Company’s margins are under pressure. X5 expects its adjusted EBITDA[1] margin in 2025 to be within a range of 5.8–6.0%. X5 keeps its previous revenue growth rate guidance (around 20%) for 2025 unchanged.
As part of its business strategy, the Company continues investing in the expansion of its proximity and hard discounter retail space – these formats enjoy the highest demand in today’s economy – as well as delivery development and excellence. X5’s express delivery geography is growing at an accelerated rate. The Company has remained Russia’s e-grocery leader for three consecutive quarters. In 1H 2025, there were 1,286 net store openings. This means X5 should outperform its target, given the current rate of new launches. Pyaterochka maintains its leadership positions in the proximity segment, ever adapting its value proposition to changing consumer preferences and thereby attracting increasingly more customers to its stores. Chizhik became a leader in hard discounter food sales in Q1 2025 (according to INFOLine) and is slated to break even in terms of EBITDA after Q4 2025 and become EBITDA positive in FY 2026. X5 also keeps investing in the ready-to-eat segment, seeing a 40% growth in the category in 1H 2025.
To support this expansion, the Company also continues investing in its logistics infrastructure amid a scarcity of warehouse space in the market. Within this context, X5 is increasing investments in the construction of its own distribution centers, while partially optimizing budgets for innovations with a longer-term effect. As a result, the Company expects its 2025 capex to be about 5.5% of revenue. That should enable X5 to strengthen its leadership positions and consolidate its base to support sustainable growth.
[1] EBITDA pre-IFRS 16 excluding expenses related to the long-term incentive (LTI) program, other management personnel compensation, and a one-off adjustment of impairment losses on financial assets.