Page 155 - RusRPTNov21

but Yandex believes that it could generate margins similar to ride hailing in the long-term. Apart from strong growth and profitability potential, Logistics also implies strong synergies. Therefore, we see it as a new strong source for value creation.
Forecast revisions. We increased our 2021-25F revenue forecasts by 2-22%. Our EBITDA projections for 2021-23F were decreased 2-28% to reflect the continuing investments, while our 2024-25F forecasts were increased 3-9% on stronger growth that we anticipate now.
More upside implied by ClickHouse funding. During the latest funding round, ClickHouse was valued at USD 2bn. This points to potential value upside of several hundred million dollars for Yandex, its minority shareholder.
Valuation and risks. Our 12-mo TP is derived from a DCF model (WACC 12.2%, TGR 6%). We increased our WACC by 0.7pp to reflect the higher interest rate environment. The risks are regulation, competition and macro.
Yandex introduces automatic English-Russian video dubbing feature.
You’ll now be able to watch videos on YouTube and almost any other service with the aid of automatic English-Russian translation dubbing. This could be really helpful to those studying Russian. Meanwhile, Yandex says more language pairs will be added to the system soon.
Yango Deli, the ultrafast grocery delivery arm of NASDAQ-listed tech giant Yandex, announces the launch of its operations in the UK. Yango Deli is opening four dark stores across London, covering some 1.4mn potential customers with its service that delivers groceries in about 15 minutes. The London hubs are the latest addition to a global network of more than 400 dark stores, operated by Yango Deli in France and Israel and by Yandex.Lavka, Yandex’s grocery delivery brand in Russia, covering the country’s five cities with a total population of more than 25mn people.
● Mail.ru
Mail.ru announced on 12 October, that it would rebrand Mail.ru Group into VK. According to the company, the rebranding is in line with its ecosystem development strategy announced last year, which featured VK as its central element. MAIL sees that the VK brand has 100% brand awareness among the Russian Internet audience and is used by c. 70% of local Internet users daily. Among the key reasons for the rebranding, the company has seen the positive effect of the VK brand on awareness and usage based on the results of brand analysis and tests. For instance, after renaming Worki into VK Work, awareness of the service increased 37% and intention to use it rose 50%, MAIL VP of Ecosystem Products Anna Artamonova told The Bell. MAIL also expects to see an increased association of its c. 200 products with the broader group, as well as deeper internal collaboration and less internal competition. The company plans to launch all new internal products under the VK brand,
155 RUSSIA Country Report November 2021 www.intellinews.com