Börsiteade

Pealkiri

Sales results for the first 9 months and the 3rd quarter of 2011

Teade

The consolidated unaudited sales revenue of the Tallinna Kaubamaja Group in the
first 9 months of 2011 was 316.5 million euros, having grown by 5.3% compared
to the result of the first 9 months of 2010, when the sales revenue was 300.7
million euros. In the 3rd quarter, the sales revenue of the Group was 110.3
million euros, exceeding the sales revenue of a year before by 6.7%. The
reference base was influenced by the sales tax, levied in Tallinn since June
2010, which decreased the sales revenue of the Group earned in the first 9
months of 2011 by 1.5 million euros (by 0.6 million euros in the first 9 months
of 2010). As of 01.01.2011, the principles for calculating the sales revenue of
the Group changed and the reference data of 2010 have been adapted to the new
principles. As a result, an additional 7.7 million euros have been recorded in
the sales revenue of the first 9 months of 2010. 

The consolidated sales revenue and the sales revenue in Estonia in the business
segment of supermarkets was 234.9 million euros in the first 9 months of 2011,
having grown by 3.2% compared to the same period of the previous year. The
consolidated sales revenue and the sales revenue in Estonia in the 3rd quarter
was 81.6 million euros, having grown by 3.6% compared to the same period of the
previous year. The month's average sales revenue of goods per one square metre
of selling space in the first 9 months of 2011 was 0.37 thousand euros, having
grown compared to 2010 by 3.3% in the consolidated view and by 2.8% in the view
of the Estonian market. In the 3rd quarter, the sales revenue per one square
metre of selling space was 0.38 thousand euros, thus showing an increase of
3.5% in both consolidated data and the Estonian market. The sales revenue of
goods per one square metre of selling space in the comparable stores was an
average of 0.38 thousand euros in the first 9 months of 2011 and 0.39 thousand
euros in the 3rd quarter, thus displaying an increase of 3.7% and 4.5%,
respectively. In the Selver stores located in Estonia, 24.9 million purchases
were made in the first 9 months of 2011, which is 0.8% lower than the number of
purchases made a year before. The increase in the sales revenue of Selver's
goods in these 9 months was mainly due to the continuously successful sales
campaigns and sales campaigns carried out in accordance with the target
customers' expectations. In addition, the sales revenue of goods is influenced
by the overall inflation of food products that has occurred in Estonia,
resulting in a decrease of sales volumes all over the country and in Selver
stores. Compared to the previous year, the sales revenue growth has been
negatively affected by the continued tight competition on the retail market and
the levy of the sales tax in Tallinn. In addition, closing the Kadaka Selver
for a 1-month period of repair works to renew the store had a negative
influence on the sales revenue. Due to the closing of Latvian stores, the sales
revenue of Selver in Latvia was 1.3 thousand euros in the first 9 months of
2011 (29.6 thousand euros in the first 9 months of 2010), while there was no
sales revenue of goods in Latvia during the 2011. In July, the Soldino Selver
was closed. At the moment, Selver is continuing operations in Narva with one
store. The area is still attractive to Selver and in case of suitable
conditions and agreements we see potential for expansion in Narva. The Selver
chain includes 34 stores and a central kitchen. 

In the first 9 months of 2011, the sales revenue of the business segment of
department stores was 55.2 million euros, having increased by 6.3% compared to
the same period of the previous year. Of that, the sales revenue of the 3rd
quarter was 18.9 million euros, which was 10.4% higher than the sales revenue
of the 3rd quarter of 2010. In august, the selling space of Kaubamaja
diminished by 525 m2, as the youth department of Kaubamaja was closed. In the
first 9 months of 2011, the sales revenue of OÜ TKM Beauty Eesti, which
operates the I.L.U. beauty stores, was 2.0 million euros, having grown by 41.8%
compared to the same period of the previous year. Of that, the sales revenue of
the 3rd quarter was 0.8 million euros, 58.3% higher than the corresponding
period of 2010. Compared to the 3rd quarter of the previous year, in September
2010 the I.L.U. chain opened a fourth store in Tallinn in the Kristiine Centre
and a fifth store has been open in the Ülemiste Centre in Tallinn since April
2011. 

The external sales revenue of the real estate business segment for the first 9
months of 2011 was 2.1 million euros, having decreased by 1.4% compared to the
same period of the previous year. The sales revenue of the 3rd quarter of the
accounting year was 0.7 million euros, which is 4.6% more than the result of
the 3rd quarter of 2010. 

The sales revenue of the vehicle segment for the first 9 months of 2011 without
inter-segment transactions was 14.3 million euros, thus exceeding the sales
revenue of the same period of the previous year by 50.8%. The sales revenue of
5.3 million euros earned in the 3rd quarter exceeded the sales revenue of a
year earlier by 62.0%. 

The turnover for the footwear segment in the first 9 months of 2011 was 10.0
million euros, having grown by 6.7% in a year. In the 3rd quarter, the turnover
was 3.8 million euros, exceeding the same period of 2010 by 7.9%.The turnover
of the footwear segment fulfils expectations. Achieving it has been helped
along by increasing the sales efficiency of stores by concept exchanges and
successful sales campaigns, especially in the SHU chain. In the 3rd quarter, no
new footwear stores were opened. At the end of August, the ABC King store in
Zeppelin centre in Tartu was closed due to losses. As of September, Suurtüki NK
OÜ owns 13 stores in Estonia, ABC King AS owns 10 stores in Estonia and ABC
King SIA owns 3 stores in Latvia. 


         Raul Puusepp
         Chairman of the board
         Phone +372 731 5000