29 March 2024

Pyaterochka launches operations in Transbaikal territory

Chita, 29 March 2024 – X5 Group (“X5” or the “Company”, LSE and MOEX ticker: FIVE), a leading Russian food retailer, has launched operations of its Pyaterochka proximity store chain in the Transbaikal Territory, expanding the Company’s geographic footprint to a total of 70 regions in Russia. Nine Pyaterochka stores[1] have opened almost simultaneously in the city of Chita, with their total selling space measuring around 4,000 sq m.

Yulia Tyuleneva, Executive Director of the East Territory division at Pyaterochka, said:

 “We continue to expand our footprint and consolidate our position in eastern Russia. Today, Pyaterochka has opened its first stores in a new region, the Transbaikal Territory. We plan to develop and strengthen our ties with local producers and create new jobs in the region, doing all we can to drive local social and economic development. We hope that customers in the Transbaikal Territory will appreciate the distinct value proposition of our stores, for which millions of Russians choose us every day. We help customers to save money on shopping by offering low prices, convenient express delivery, and a broad assortment of ready-to-eat foods and fresh bakery.”

The new stores have a selling space of 300 sq m to 650 sq m and offer an assortment of some 3,500–6,000 SKUs. Customers can choose from new brands, including Pyaterochka’s private labels, as well as already familiar brands from local producers. The latter include bread from Chernovsky Bakery or Kenon, milk from Chita Dairy, deli meat from Daursky Meat Plant, beverages from Chitinskiye Klyuchi and many others. More than 40% of the fresh product assortment is already sourced locally: this includes 80% of the assortment in bread, cakes and pastries, as well as in chilled and frozen poultry; 60% in deli fish; and about 40% in sausages and dairy products.

The new stores in Chita stores also stand out for their offering of X5’s own imports from Asian countries across categories such as household chemicals, cosmetics, dry foods and beverages.

Pyaterochka stores offer a wide range of ready-to-eat foods, ranging from hot coffee and fresh bakery products to ready-to-eat meals that include salads, breakfasts and lunches. All Pyaterochka stores in the Transbaikal Territory have their own bakeries that produce fresh items several times a day. These include breads, baguettes as well as sweet and savoury pastries.

To make its prices even more affordable, Pyaterochka leverages a number of factors, including relentless cost optimisation, strategic partnerships with suppliers, and a strong focus on private labels whose quality is comparable to that of market brands at a lower cost.

[1] The new stores are located at the following addresses:

  1. 54 Krasnoarmeyskaya St., Chita
  2. 7 Nazara Shirokikh St., Chita
  3. 8 Fyodora Gladkova St., Chita
  4. 17 Ugdanskaya St., Chita
  5. 25 Olimpiyskaya St., Chita
  6. 50 Yaroslavskogo St., Chita
  7. 1 Generala Belika St., Chita
  8. 1m Nedorezova St., Chita
  9. 9a Babushkina St., Chita