MOSCOW. July 21 (Interfax) - Leroy Merlin's Russian subsidiary saw the intensification of the rate of decrease for its net profit in 2008.
According to the SPARK database, net profit in 2008 came to 358.1 million rubles against 555.7 million rubles in 2007 (a drop of 36%). In 2007, in comparison with 2006, the drop of this figure came to 17%.
At the same time, the company's sales revenue for 2008 increased by 63% to 21.5 billion rubles from 13.2 billion rubles in 2007. Profit from sales increased from 983 million rubles in 2007 to 1.2 billion rubles in 2008.
France's Leroy Merlin opened its first store in Russia in August 2004. Its building materials hypermarket, which has 12,000 square meters in floorspace, is located in the Mytishinsk district of the Moscow region. The company currently operates 12 stores in Russia and plans to open an additional two by year's end.
Leroy Merlin is family company founded in 1923 in France. The company's chain, which consists of over 180 hypermarkets, is part of Group Auchan.