OREANDA-NEWS. On 27 May 2008 JSC “The Seventh Continent” announced 1Q 2008 unaudited financial results prepared in accordance with International Financial Reporting Standards (IFRS).

The Company’s 1Q 2008 net sales increased 32% and reached USD 380.2 mn. compared to USD 288.6 mn. in 1Q 2007. Food and non-food sales accounted for 96% of total revenues, marketing rental and other revenues comprised 4% of total revenues.

Gross profit reached USD 110.7 mn. and increased 28% YoY. Gross profit margin totaled 29.1% compared to 29.9% in the 1Q 2007.

Selling, general and administrative expenses amounted USD 84.8 mn. and grew 31% compared to USD 64.9 mn. in 1Q 2007. 1Q 2008 S,G&A margin reached 22,3% and improved from 22,5% in 1Q 2007.

EBITDA increased 26% and reached USD 36.1 mn., with EBITDA margin of 9.5%. Net income in the 1Q 2008 reached USD 15.3 mn., net income margin stood at 4.0%.

Operating and financial income from banking activities stood for USD 46.9 mn., while operating and financial expenses from banking activities amounted USD 46.5 mn.

As of 31 March 2008 the Company’s total assets stood at USD 1 447.2 mn., including USD 420.9 mn. of current assets and USD 1 026.3 mn. of non-current assets. Total liabilities reached USD 761.3 mn. and shareholders’ equity stood at USD 685.9 mn.