X5 Retail Regulatory News (FIVE)

X5 RETAIL GROUP BOOSTS SHARE OF DIGITAL REVENUE IN MOSCOW AND MOSCOW REGION TO 4.5%

Moscow, 4 March 2021 - X5 Retail Group ("X5" or the "Company"), a leading Russian food retailer (LSE and MOEX ticker: "FIVE") operating the Pyaterochka, Perekrestok and Karusel chains and the Perekrestok Vprok (Vprok.ru) online hypermarket, achieved solid growth across its digital delivery services in February 2021. GMV generated by express delivery from Pyaterochka and Perekrestok stores and the Okolo delivery aggregator in February 2021 totalled RUB 2.1 billion, while the number of orders exceeded 1.3 million (not including Vprok.ru). The online hypermarket Vprok.ru, which is primarily for stock-up shopping, boasted a GMV of RUB 1.7 billion, up by 122% vs February 2020. The share of digital sales in X5's total revenue exceeded 2% during the second month of the year, and reached 4.5% in Moscow and the Moscow region during the same period.

X5 now offers digital services to customers in 26 regions of Russia. In February 2021, express delivery from Perekrestok store was expanded to Togliatti, Perm, Volgograd and Tyumen, while Pyaterochka rolled out the service in smaller towns like Dzerzhinsk and Zelenodolsk. Currently, X5 delivers goods from 683 stores and eight dark stores operated by Pyaterochka and 460 supermarkets operated by Perekrestok, as well as from five Vprok.ru dark stores.

In 2020, X5's online businesses generated a GMV of RUB 21.9 billion (VAT included), of which Perekrestok Vprok accounted for RUB 15.0 billion, while express delivery from Pyaterochka and Perekrestok stores and Okolo (launched in Q4 2020) accounted for RUB 6.9 billion. X5 delivered 7.9 million online orders placed via its own web and mobile platforms in 2020, up from 1.4 million in 2019, fuelling an impressive 347% year-on-year rise in X5's online GMV. According to INFOLine, the total GMV of Russia's online food retail market was RUB 155 billion in 2020, up 3.6 times year-on-year, and X5's market share was 13%. The agency's data show that X5 was the largest digital company in the e-grocery market last year.

Note to Editors:

X5 Retail Group N.V. (LSE and MOEX: FIVE, Fitch - 'BB+', Moody's - 'Ba1', S&P - 'BB+', RAEX - 'ruAA+') is a leading Russian food retailer. The Company operates proximity stores under the Pyaterochka brand, Perekrestok supermarkets and Karusel hypermarkets. X5 is also an e-commerce leader in Russia with digital businesses that include Perekrestok Vprok, 5Post, express delivery services, and the Okolo aggregator.

As of 31 December 2020, X5 had 17,707 Company-operated stores. It has the leading market position in both Moscow and St Petersburg and a significant presence in the European part of Russia. Its store base includes 16,709 Pyaterochka proximity stores, 933 Perekrestok supermarkets and 56 Karusel hypermarkets. The Company operates 45 DCs and 4,055 Company-owned trucks across the Russian Federation.

X5 is one of the largest employers in Russia. The Company employs over 339 thousand people.

For the full year 2019, revenue totalled RUB 1,734,347 mn (USD 26,791 mn), Adjusted EBITDA under IAS 17 reached RUB 127,380 mn (USD 1,968 mn), and net profit under IAS 17 for the period amounted to RUB 25,908 mn (USD 400 mn). In 9M 2020, revenue totalled RUB 1,449,266 mn (USD 20,476 mn), adjusted EBITDA reached RUB 114,044 mn (USD 1,611 mn), and net profit amounted to RUB 36,399 mn (USD 514 mn).

X5's Shareholder structure is as follows: CTF Holdings S.A. - 47.86%, Intertrust Trustees Ltd (Axon Trust) - 11.43%, X5 Directors - 0.09%, treasury shares - 0.01%, Shareholders with less than 3% - 40.61%.

Forward looking statements:

This announcement includes statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements can be identified by the fact that they do not only relate to historical or current events. Forward-looking statements often use words such as "anticipate", "target", "expect", "estimate", "intend", "expected", "plan", "goal", "believe", or other words of similar meaning.

By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances, a number of which are beyond X5 Retail Group N.V.'s control. As a result, actual future results may differ materially from the plans, goals and expectations set out in these forward-looking statements.

Any forward-looking statements made by or on behalf of X5 Retail Group N.V. speak only as of the date of this announcement. Save as required by any applicable laws or regulations, X5 Retail Group N.V. undertakes no obligation publicly to release the results of any revisions to any forward-looking statements in this document that may occur due to any change in its expectations or to reflect events or circumstances after the date of this document.

Elements of this press release contain or may contain inside information about X5 Retail Group N.V. within the meaning of Article 7(1) of the Market Abuse Regulation (596/2014/EU).