20-F/A

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 20-F/A

(Amendment No. 1)

☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934

Or

☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended December 31, 2017

Or

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Or

☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission file number: 001-35893

QIWI PLC

(Exact name of Registrant as specified in its charter)

N/A

(translation of Registrant’s name into English)

Cyprus

(Jurisdiction of incorporation or organization)

Kennedy 12, Kennedy Business Centre, 2 nd floor

P.C. 1087, Nicosia, Cyprus

(Address of principal executive offices)

Varvara Kiseleva

+ (357) 250-28091

ir@qiwi.com

Kennedy 12, Kennedy Business Centre, 2nd floor

P.C. 1087, Nicosia, Cyprus

(Name, telephone, e-mail and/or facsimile number and address of company contact person)

Securities registered or to be registered pursuant to Section 12(b) of the Act:

Title of Each Class	Name of Each Exchange on Which Registered
American Depositary Shares, each representing one Class B ordinary share, having a nominal value EUR 0.0005 per share	The NASDAQ Stock Market LLC
Class B ordinary shares, having a nominal value of EUR 0.0005 per share*

* Not for trading, but only in connection with the registration of the American Depositary Shares.

Securities registered or to be registered pursuant to Section 12(g) of the Act:

None

(Title of Class)

Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act:

None

(Title of Class)

Indicate the number of outstanding shares of each of the Issuer’s classes of capital or common stock as of the close of the period covered by the annual report.

As of December 31, 2017, 14,277,871 Class A ordinary shares, par value EUR 0.0005 per share and 46,654,783 Class B ordinary shares, par value EUR 0.0005 per share were outstanding.

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.    Yes  ☐    No  ☒

If this report is an annual or transition report, indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.    Yes  ☐    No  ☒

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such a shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  ☒    No  ☐

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  ☒    No  ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or an emerging growth company. See definition of “large accelerated filer, “accelerated filer,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer  ☒             Accelerated filer  ☐            Non-accelerated filer  ☐            Emerging growth company  ☐

If an emerging growth company that prepares its financial statements in accordance with U.S. GAAP, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards† provided pursuant to Section 13(a) of the Exchange Act  ☐

† The term “new or revised financial accounting standard” refers to any update issued by the Financial Accounting Standards Board to its Accounting Standards Codification after April 5, 2012.

Indicate by check mark which basis of accounting the registrant has used to prepare the financial statements included in this filing:

U.S. GAAP  ☐ International Financial Reporting Standards as issued by the International Accounting Standards Board  ☒ Other  ☐

If “Other” has been checked in response to the previous question, indicate by check mark which financial statement item the Registrant has elected to follow: Item 17  ☐    Item 18  ☐

If this is an annual report, indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ☐    No  ☒

(APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PAST FIVE YEARS)

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court.    Yes  ☐    No  ☐

EXPLANATORY NOTE

This Amendment No. 1 to the Annual Report for the fiscal year ended December 31, 2017, on Form 20-F of QIWI PLC, originally filed with the Securities and Exchange Commission on March 28, 2018 (the “Original 20-F”), is being filed solely for the purposes of adding Exhibit 101 to Item 19 “Exhibits,” which was not included in the Original 20-F, and to furnish the Interactive Data File disclosure as Exhibit 101 in accordance with Rule 405 of Regulation S-T.

Except as described above, this Amendment No. 1 does not amend any information set forth in the Original 20-F, and QIWI has not updated disclosures included therein to reflect any events that occurred subsequent to March 28, 2018.

EXHIBIT INDEX

Exhibit	Description
101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema Document
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
101.LAB	XBRL Taxonomy Extension Label Linkbase Document
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document

SIGNATURES

The registrant hereby certifies that it meets all of the requirements for filing this Amendment No. 1 to Form 20-F and that it has duly caused and authorized the undersigned to sign this Amendment No. 1 to Form 20-F on its behalf.

QIWI PLC
By:	/s/ Sergey Solonin
Name: Sergey Solonin
Title: Chief Executive Officer
Date: April 9, 2018

XML

Document and Entity Information	12 Months Ended
	Dec. 31, 2017 shares
Document Information [Line Items]
Document Type	20-F/A
Amendment Flag	false
Document Period End Date	Dec. 31, 2017
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	FY
Trading Symbol	QIWI
Entity Registrant Name	QIWI PLC
Entity Central Index Key	0001561566
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Class A ordinary shares [member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding	14,277,871
Class B ordinary shares [member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding	46,654,783

XML

Consolidated statement of financial position - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Non-current assets
Property and equipment	₽ 724	₽ 593
Goodwill and other intangible assets	10,807	11,022
Investments in joint ventures	832
Long-term debt instruments	1,100	399
Long-term loans	164	120
Other non-current assets	64	40
Deferred tax assets	245	270
Total non-current assets	13,936	12,444
Current assets
Trade and other receivables	9,648	5,679
Short-term loans	1,691	19
Short-term debt instruments	704	1,772
Prepaid income tax	187	77
Cash and cash equivalents	18,406	18,997
Other current assets	458	661
Total current assets	31,094	27,205
Assets of disposal group classified as held for sale	29	25
Total assets	45,059	39,674
Equity attributable to equity holders of the parent
Share capital	1	1
Additional paid-in capital	1,876	1,876
Share premium	12,068	12,068
Other reserve	1,462	1,064
Retained earnings	5,715	4,808
Translation reserve	(2)	131
Total equity attributable to equity holders of the parent	21,120	19,948
Non-controlling interest	37	21
Total equity	21,157	19,969
Non-current liabilities
Other non-current liabilities	10	2
Deferred tax liabilities	826	851
Total non-current liabilities	836	853
Current liabilities
Trade and other payables	19,599	16,328
Customer accounts and amounts due to banks	3,182	2,342
VAT and other taxes payable	198	102
Income tax payable	32	68
Other current liabilities	51	10
Total current liabilities	23,062	18,850
Liabilities directly associated with the assets of a disposal group classified as held for sale	4	2
Total equity and liabilities	₽ 45,059	₽ 39,674

XML

Consolidated statement of comprehensive income - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Statement of comprehensive income [abstract]
Revenue	₽ 20,897	₽ 17,880	₽ 17,717
Operating costs and expenses:
Cost of revenue (exclusive of depreciation and amortization)	9,763	8,646	8,695
Selling, general and administrative expenses	6,243	3,423	3,469
Depreciation and amortization	796	796	689
Impairment of intangible assets	104	878
Profit from operations	3,991	4,137	4,864
Loss on disposal of subsidiaries		(10)	(38)
Other income and expenses, net	(41)	(69)	(23)
Foreign exchange gain	257	1,040	2,801
Foreign exchange loss	(373)	(1,963)	(1,360)
Interest income and expenses, net	6	(28)	(93)
Profit before tax	3,840	3,107	6,151
Income tax expense	(698)	(618)	(877)
Net profit	3,142	2,489	5,274
Attributable to:
Equity holders of the parent	3,114	2,474	5,187
Non-controlling interests	28	15	87
Exchange differences on translation of foreign operations
Differences arising during the year	(133)	(330)	231
Accumulated exchange differences reclassified to earnings upon disposal of foreign operations			56
Total comprehensive income, net of tax effect of nil	3,009	2,159	5,561
Attributable to:
Equity holders of the parent	2,981	2,144	5,443
Non-controlling interests	₽ 28	₽ 15	₽ 118
Earnings per share:
Basic, profit attributable to ordinary equity holders of the parent	₽ 51.25	₽ 40.91	₽ 89.72
Diluted, profit attributable to ordinary equity holders of the parent	₽ 50.92	₽ 40.79	₽ 89.49

XML

Consolidated statement of cash flows - RUB (₽) ₽ in Millions		12 Months Ended
		Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Cash flows from operating activities
Profit before tax		₽ 3,840	₽ 3,107	₽ 6,151
Adjustments to reconcile profit before tax to net cash flows (used in) /generated from operating activities
Depreciation and amortization		796	796	689
Foreign exchange loss/(gain), net		116	923	(1,441)
Interest income, net		(1,016)	(834)	(559)
Bad debt expense		220	215	362
Share-based payments		398	224	88
Impairment of intangible assets		104	878
Other		46	80	36
Operating profit before changes in working capital		4,504	5,389	5,326
(Increase)/decrease in trade and other receivables		(3,683)	(709)	2,248
(Increase)/decrease in other assets		150	(127)	129
Increase in customer accounts and amounts due to banks		898	90	409
Increase/(decrease) in trade and other payables		3,414	1,020	(8,883)
Loans (issued)/repaid from banking operations		(1,888)		40
Cash (used in)/generated from operations		3,395	5,663	(731)
Interest received		1,048	858	716
Interest paid		(70)	(101)	(181)
Income tax paid		(813)	(877)	(811)
Net cash flow (used in)/generated from operating activities		3,560	5,543	(1,007)
Cash flows (used in)/generated from investing activities
Acquisition of joint control companies		(813)
Cash acquired upon /(used in) business combination			(10)	3,181
Net cash inflow/(outflow) on disposal of subsidiaries				(57)
Purchase of property and equipment		(360)	(388)	(88)
Purchase of intangible assets		(819)	(298)	(222)
Loans issued		(376)	(675)	(780)
Repayment of loans issued		316	774	458
Purchase of debt instruments		(1,376)	(549)	(982)
Proceeds from settlement of debt instruments		1,775	1,326	2,046
Net cash (used in)/generated from investing activities		(1,653)	180	3,556
Cash flows (used in)/generated from financing activities
Proceeds from borrowings			2	58
Repayment of borrowings			(4)	(1,252)
Dividends paid to owners of the Group		(2,148)	(4,628)	(699)
Dividends paid to non-controlling shareholders		(12)	(7)
Net cash (used in)/generated from financing activities		(2,160)	(4,637)	(1,893)
Effect of exchange rate changes on cash and cash equivalents		(333)	(1,428)	1,612
Net increase/(decrease) in cash and cash equivalents		(586)	(342)	2,268
Cash and cash equivalents at the beginning of year	[1]	19,021	19,363	17,095
Cash and cash equivalents at the end of year	[1]	₽ 18,435	₽ 19,021	₽ 19,363

[1] * Cash and cash equivalents at the end of year 2016 and 2017 do not reconcile to Note 15 by 24 and 29 respectively, due to - the amount of cash classified as part of assets held for sale as of December 31, 2016 and 2017.

XML

Consolidated statement of cash flows (Parenthetical) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Statement of cash flows [abstract]
Cash and cash equivalents at the end of year 2016 and 2017 do not reconcile to Note 15 by 24 and 29 respectively, due to - the amount of cash classified as part of assets held for sale as of December 31, 2016 and 2017.	₽ 29	₽ 24

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Consolidated statement of changes in equity - RUB (₽) ₽ in Millions	Total	Additional paid-in capital [member]	Share premium [member]	Other reserves [member]	Retained earnings [member]	Translation reserve [member]	Parent [member]	Non-controlling interests [member]	Share capital [member]
Beginning balance at Dec. 31, 2014	₽ 8,334	₽ 1,876	₽ 3,044	₽ 764	₽ 2,684	₽ 205	₽ 8,574	₽ (240)	₽ 1
Beginning balance, shares at Dec. 31, 2014									54,505,998
Profit (loss) for the year	5,274				5,187		5,187	87
Exchange differences on translation of foreign operations	287					256	256	31
Total comprehensive income	5,561				5,187	256	5,443	118
Issue of share capital	9,024		9,024				9,024
Issue of share capital, shares									5,593,041
Share-based payments	88			88			88
Exercise of options									319,562
Increase of ownership in subsidiaries	37			(12)			(12)	49
Disposal of subsidiaries	86							86
Dividends	(694)				(694)		(694)
Ending balance, equity at Dec. 31, 2015	22,436	1,876	12,068	840	7,177	461	22,423	13	₽ 1
Ending balance, shares at Dec. 31, 2015									60,418,601
Profit (loss) for the year	2,489				2,474		2,474	15
Exchange differences on translation of foreign operations	(330)					(330)	(330)
Total comprehensive income	2,159				2,474	(330)	2,144	15
Share-based payments	224			224			224
Exercise of options									178,433
Dividends	(4,843)				(4,843)		(4,843)
Dividends to non-controlling interest	(7)							(7)
Ending balance, equity at Dec. 31, 2016	19,969	1,876	12,068	1,064	4,808	131	19,948	21	₽ 1
Ending balance, shares at Dec. 31, 2016									60,597,034
Profit (loss) for the year	3,142				3,114		3,114	28
Exchange differences on translation of foreign operations	(133)					(133)	(133)
Total comprehensive income	3,009				3,114	(133)	2,981	28
Share-based payments	398			398			398
Exercise of options									335,620
Dividends	(2,207)				(2,207)		(2,207)
Dividends to non-controlling interest	(12)							(12)
Ending balance, equity at Dec. 31, 2017	₽ 21,157	₽ 1,876	₽ 12,068	₽ 1,462	₽ 5,715	₽ (2)	₽ 21,120	₽ 37	₽ 1
Ending balance, shares at Dec. 31, 2017									60,932,654

XML

Consolidated statement of changes in equity (Parenthetical) - ₽ / shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Statement of changes in equity [abstract]
Dividends per share	₽ 36	₽ 80	₽ 11.5

XML

Corporate information and description of business

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Corporate information and description of business

1. Corporate information and description of business

QIWI plc (hereinafter “the Company”) was registered on February 26, 2007 as a limited liability Company OE Investment in Cyprus under the Cyprus Companies Law, Cap. 113. The registered office of the Company is Kennedy 12, Kennedy Business Centre, 2nd Floor, P.C.1087, Nicosia, Cyprus. On September 13, 2010 the directors of the Company resolved to change the name of the Company from OE Investments Limited to QIWI Limited. On February 25, 2013 the directors of the Company resolved to change the legal form of the Company from QIWI Limited to QIWI plc. The consolidated financial statements of QIWI plc and its subsidiaries for the year ended December 31, 2017 were authorized for issue by Board of Directors on March 15, 2018.

QIWI plc and its subsidiaries (collectively the “Group”) operate electronic online payment systems primarily in Russia, Kazakhstan, Moldova, Belarus, Romania, United Arab Emirates (UAE) and other countries and provide consumer and small and medium enterprises (SME) financial services.

The Company was founded as a holding company as a part of the business combination transaction in which ZAO Ob’edinennya Sistema Momentalnykh Platezhey and ZAO e-port Group of entities were brought together by way of contribution to the Company. The transaction was accounted for as a business combination in which ZAO Ob’edinennya Sistema Momentalnykh Platezhey was identified as the acquirer.

The Company’ American Depositary Securities (ADS) have been listed on Nasdaq since May 3, 2013 and have been admitted to trading on MOEX since May 20, 2013. Prior to that time, there was no public market for the Company’ ADSs or ordinary shares. Subsequently, the Company closed two follow-on offerings of its ADSs on October 3, 2013 and on June 20, 2014.

Sergey Solonin is the ultimate controlling shareholder of the Group as of December 31, 2017.

Information on the Company’s principal subsidiaries is disclosed in Note 5.

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Principles underlying preparation of consolidated financial statements

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Principles underlying preparation of consolidated financial statements

2. Principles underlying preparation of consolidated financial statements

2.1 Basis of preparation

The consolidated financial statements are prepared on a historical cost basis. The consolidated financial statements are presented in Russian rubles (“RUB”) and all values are rounded to the nearest million (RUB (000,000)) except when otherwise indicated.

The Group’s subsidiaries maintain and prepare their accounting records and prepare their statutory accounting reports in accordance with domestic accounting legislation. Standalone financial statements of subsidiaries are prepared in their respective functional currencies (see Note 3.3 below).

The Group accounts are prepared in accordance with the IFRS standards and interpretations, as published by the IASB. These consolidated financial statements are based on the underlying accounting records appropriately adjusted and reclassified for fair presentation in accordance with IFRS. IFRS adjustments include and affect but not limited to such major areas as consolidation, revenue recognition, accruals, deferred taxation, fair value adjustments, business combinations and impairment.

2.2 Basis of consolidation

The consolidated financial statements comprise the financial statements of QIWI plc and its subsidiaries as of December 31 each year.

Control is achieved when the Group is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee.

Specifically, the Group controls an investee if and only if the Group has:

• Power over the investee (i.e. existing rights that give it the current ability to direct the relevant activities of the investee),

• Exposure, or rights, to variable returns from its involvement with the investee, and

• The ability to use its power over the investee to affect its returns.

When the Group has less than a majority of the voting or similar rights of an investee, the Group considers all relevant facts and circumstances in assessing whether it has power over an investee, including:

• The contractual arrangement with the other vote holders of the investee,

• Rights arising from other contractual arrangements,

• The Group’s voting rights and potential voting rights.

The Group re-assesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control. Consolidation of a subsidiary begins when the Group obtains control over the subsidiary and ceases when the Group losses control of the subsidiary. Assets, liabilities, income and expenses of a subsidiary acquired or disposed of during the year are included in the statement of comprehensive income from the date the Group gains control until the date the Group ceases to control the subsidiary. The financial statements of the subsidiaries are prepared for the same reporting period as the parent company, using consistent accounting policies.

All intra-group balances, income, expenses and unrealized gains and losses resulting from intra-group transactions are eliminated in full, except for the foreign exchange gains and losses arising on intra-group loans.

Profit or loss and each component of other comprehensive income (OCI) are attributed to the equity holders of the parent of the Group and to the non-controlling interests, even if this results in the non-controlling interests having a deficit balance. When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with the Group’s accounting policies.

A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. If the Group loses control over a subsidiary, it:

• Derecognises the assets (including goodwill) and liabilities of the subsidiary.

• Derecognises the carrying amount of any non-controlling interests, including any components of other comprehensive income attributable to them.

• Recognises the fair value of the consideration received.

• Recognises the fair value of any investment retained.

• Recognises any surplus or deficit in profit or loss.

• Reclassifies to profit or loss or retained earnings, as appropriate, the amounts previously recognized in OCI as would be required if the Group had directly disposed of the related assets or liabilities.

2.3 Changes in accounting policies

The accounting policies adopted in the preparation of the consolidated financial statements are consistent with those followed in the preparation of the Group’s annual financial statements for the year ended December 31, 2016, except for the adoption of the new and amended IFRS and IFRIC interpretations as of January 1, 2017. The Group has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective.

Although these new standards and amendments apply for the first time in 2017, they do not have a material impact on the annual consolidated financial statements of the Group. The nature and the impact of each new standard or amendment that could have any potential effect on the Group’s financial statements are described below:

Amendments to IAS 7 Statement of Cash Flows: Disclosure Initiative

The amendments require entities to provide disclosures about changes in their liabilities arising from financing activities, including both changes arising from cash flows and non-cash changes (such as foreign exchange gains or losses). The only significant liability arising from financing activities for the Group is dividend payables changes of what are disclosed in Note 25.

Amendments to IAS 12 Income Taxes: Recognition of Deferred Tax Assets for Unrecognised Losses

The amendments clarify that an entity needs to consider whether tax law restricts the sources of taxable profits against which it may make deductions on the reversal of that deductible temporary difference. Furthermore, the amendments provide guidance on how an entity should determine future taxable profits and explain the circumstances in which taxable profit may include the recovery of some assets for more than their carrying amount.

Entities are required to apply the amendments retrospectively. However, on initial application of the amendments, the change in the opening equity of the earliest comparative period may be recognised in opening retained earnings (or in another component of equity, as appropriate), without allocating the change between opening retained earnings and other components of equity. Entities applying this relief must disclose that fact.

The Group applied the amendments retrospectively. However, their application has no effect on the Group’s financial position and performance as the Group has no deductible temporary differences or assets that are in the scope of the amendments.

Annual Improvements Cycle—2014-2016

Amendments to IFRS 12 Disclosure of Interests in Other Entities: Clarification of the scope of disclosure requirements in IFRS 12

The amendments clarify that the disclosure requirements in IFRS 12, other than those in paragraphs B10–B16, apply to an entity’s interest in a subsidiary, a joint venture or an associate (or a portion of its interest in a joint venture or an associate) that is classified (or included in a disposal group that is classified) as held for sale.

These amendments had no impact on the Group as there is no a joint venture or an associate that is classified as held for sale.

2.4 Standards issued but not yet effective

Amendments to IFRS 2 - Classification and Measurement of Share-based Payment

The amendments to IFRS 2 Share-based Payment address three main areas:

- the effects of vesting conditions on the measurement of a cash-settled share-based payment transaction;

- the classification of a share-based payment transaction with net settlement features for withholding tax obligations;

- and accounting where a modification to the terms and conditions of a share-based payment transaction changes its classification from cash settled to equity settled.

On adoption, entities are required to apply the amendments without restating prior periods, but retrospective application is permitted if elected for all three amendments and other criteria are met. The amendments are effective for annual periods beginning on or after January 1, 2018, with early application permitted. These amendments are not expected to have any impact on the Group as there is no cash-settled share-based transactions.

IFRS 16 - Leases

IFRS 16 was issued in January 2016 and sets out the principles that both parties to a contract, i.e. the customer (‘lessee’) and the supplier (‘lessor’), apply to provide relevant information about leases in a manner that faithfully represents those transactions. Under IFRS 16 a lessee is required to recognize assets and liabilities arising from a lease. The new standard is applicable to all lease and sublease contracts except for leases of certain types of intangibles and some other specific assets and will supersede all current requirements for lease recognition and disclosure under IFRS.

IFRS 16 is effective for annual periods beginning on or after January 1, 2019. Earlier application is permitted for entities that apply IFRS 15 at or before the date of initial application of IFRS 16.

The Group is in the process of assessment of the potential impact on its consolidated financial statements. As of the date of these financial statements, the most significant impact identified is that the Group will recognise new assets and liabilities for its operating leases of office buildings and kiosk places as disclosed as non-cancellable operating leases in Note 27. In addition, the nature of expenses related to those leases will now change as IFRS 16 replaces the straight-line operating lease expense with a depreciation charge for right-of-use assets and interest expense on lease liabilities. The Group has not yet decided whether it will use the optional exemptions.

The Group plans to adopt IFRS 16 initially on January 1, 2019. The Group has not yet determined which transition approach to apply.

The Group has not yet quantified the impact on its reported assets and liabilities of adoption of IFRS 16. The quantitative effect will depend on, inter alia, the transition method chosen, the extent to which the Group uses the practical expedients and recognition exemptions, and any additional leases that the Group enters into. The Group expects to disclose its transition approach and quantitative information before adoption.

IFRIC 22 - Foreign Currency Transactions and Advance Consideration

IFRIC 22 provides requirements about which exchange rate to use in reporting foreign currency transactions (such as revenue transactions) when payment is made or received in advance.

The Interpretation is effective for annual periods beginning on or after January 1, 2018. Early application of interpretation is permitted and must be disclosed. However, since the Group’s current practice is in line with the Interpretation, the Group does not expect any effect on its consolidated financial statements.

IFRIC Interpretation 23 Uncertainty over Income Tax Treatment

The Interpretation addresses the accounting for income taxes when tax treatments involve uncertainty that affects the application of IAS 12 and does not apply to taxes or levies outside the scope of IAS 12, nor does it specifically include requirements relating to interest and penalties associated with uncertain tax treatments.

The Interpretation specifically addresses the following:

- Whether an entity considers uncertain tax treatments separately

- The assumptions an entity makes about the examination of tax treatments by taxation authorities

- How an entity determines taxable profit (tax loss), tax bases, unused tax losses, unused tax credits and tax rates

- How an entity considers changes in facts and circumstances

An entity must determine whether to consider each uncertain tax treatment separately or together with one or more other uncertain tax treatments. The approach that better predicts the resolution of the uncertainty should be followed. The interpretation is effective for annual reporting periods beginning on or after January 1, 2019, but certain transition reliefs are available. The Group does not expect a significant impact on its financial statements on applying the interpretation.

Amendments to IAS 28 - Investments in Associates and Joint Ventures

The amendment clarified that an entity has an investment-by-investment choice for measuring investees at fair value through profit and loss in accordance with IAS 28 if it owns these investees directly or indirectly through a venture capital organisation, or a mutual fund, unit trust or similar entities including investment linked insurance funds.

These amendments are effective for annual periods beginning on or after January 1, 2018, with early adoption permitted. The Group does not expect a significant impact on its financial statements on applying the amendments to IAS 28.

IFRS 9 Financial Instruments

In July 2014, the IASB issued the final version of IFRS 9 Financial Instruments that replaces IAS 39 Financial Instruments: Recognition and Measurement and all previous versions of IFRS 9. IFRS 9 brings together all three aspects of the accounting for financial instruments project: classification and measurement, impairment and hedge accounting. IFRS 9 is effective for annual periods beginning on or after January 1, 2018, with early application permitted. Except for hedge accounting, retrospective application is required but providing comparative information is not compulsory. For hedge accounting, the requirements are generally applied prospectively, with some limited exceptions.

The Group plans to adopt the new standard on the required effective date and will not restate comparative information. During 2017, the Group has performed a detailed impact assessment of all three aspects of IFRS 9. This assessment is based on currently available information and may be subject to changes arising from further reasonable and supportable information being made available to the Group in 2018 when the Group will adopt IFRS 9. Overall, the Group expects no significant impact on its statement of financial position and equity except for the effect of applying the impairment requirements of IFRS 9. The Group expects an increase in the loss allowance resulting in a negative impact on equity as discussed below.

(a) Classification and measurement

The Group does not expect any impact on its balance sheet or equity on applying the classification and measurement requirements of IFRS 9. It expects to continue measuring at fair value all financial assets currently held at fair value. Debt securities, loans and trade receivables are held to collect contractual cash flows and are expected to give rise to cash flows representing solely payments of principal and interest. The Group analysed the contractual cash flow characteristics of those instruments and concluded that they meet the criteria for amortised cost measurement under IFRS 9. Therefore, reclassification for these instruments is not required.

(b) Impairment

IFRS 9 requires the Group to record expected credit losses on all of its debt securities, loans and trade receivables, either on a 12-month or lifetime basis. The Group will apply the simplified approach and record lifetime expected losses on all trade receivables and common approach for the rest of financial asssets. The impact on corresponding asset allowances is presented in table below.

(c) Hedge accounting

The Group does not applied hedge accounting in its financial statements.

(d) Other adjustments

In addition to the adjustments described above, on adoption of IFRS 9, other items of the primary financial statements such as deferred taxes, assets held for sale and liabilities associated with them, investments in the associate and joint venture if material, will be adjusted as necessary. The non-controlling interest and exchange differences on translation of foreign operations will also be adjusted.

In summary, the provisional impact of IFRS 9 adoption as of December 31, 2017 is expected to be, as follows:

	Ajustments		Amount
Assets
Cash and cash equivalents		b		(130	)
Trade and other receivables		b		(38	)
Loans issued		b		(93	)
Debt instruments		b		(5	)
Deferred tax assets		d		75
Total assets				(191	)
Liabililies
Other current liabilities		b		(111	)
Total Liabililies				(111	)
Net impact on equity, Including				(302	)
Retained earnings		b		(302	)

IFRS 15 Revenue from Contracts with Customers

IFRS 15 was issued in May 2014, and amended in April 2016, and establishes a five-step model to account for revenue arising from contracts with customers. Under IFRS 15, revenue is recognised at an amount that reflects the consideration to which an entity expects to be entitled in exchange for transferring goods or services to a customer.

The new revenue standard will supersede all current revenue recognition requirements under IFRS. Either a full retrospective application or a modified retrospective application is required for annual periods beginning on or after January 1, 2018. Early adoption is permitted.

The Group plans to adopt the new standard on the required effective date using the full retrospective method. During 2017 the Group has not finalised it assessment of IFRS 15 application. However, that the Group expects that the application of IFRS 15 will not have a significant impact.

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Summary of significant accounting policies

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of significant accounting policies

3. Summary of significant accounting policies

Set out below are the principal accounting policies used to prepare these consolidated financial statements:

3.1 Business combinations and goodwill

Business combinations are accounted for using the acquisition method.

Consideration transferred includes the fair values of the assets transferred, liabilities incurred by the Group to the previous owners of the acquiree, and equity interests issued by the Group. Consideration transferred also includes the fair value of any contingent consideration and share-based payment awards of the acquiree that are replaced mandatorily in the business combination.

If a business combination results in the termination of pre-existing relationships between the Group and the acquiree, then the Group identifies any amounts that are not part of what the Group and the acquiree exchanged in the business combination. The Group recognizes as part of applying the acquisition method, only the consideration transferred for the acquiree and the assets acquired and liabilities assumed in the exchange for the acquiree.

If the business combination is achieved in stages, any previously held equity interest is re-measured at its acquisition date fair value and any resulting gain or loss is recognized in profit or loss. It is then considered in the determination of goodwill.

Any contingent consideration to be transferred by the acquirer will be recognized at fair value at the acquisition date. Subsequently, contingent consideration classified as an asset or liability, is measured at fair value with changes in fair value recognized in profit or loss. Contingent consideration that is classified as equity is not re-measured and subsequent settlement is accounted for within equity.

The Group measures any non-controlling interest at its proportionate interest in the identifiable net assets of the acquiree.

Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognized for non-controlling interests, and any previous interest held, over the net identifiable assets acquired and liabilities assumed. If the fair value of the net assets acquired is in excess of the aggregate consideration transferred, the Group re-assesses whether it has correctly identified all of the assets acquired and all of the liabilities assumed and reviews the procedures used to measure the amounts to be recognized at the acquisition date. If the re-assessment still results in an excess of the fair value of net assets acquired over the aggregate consideration transferred, then the gain is recognized in profit or loss.

After initial recognition, goodwill is measured at cost less any accumulated impairment losses. For the purpose of impairment testing, goodwill acquired in a business combination is, from the acquisition date, allocated of the Group’s cash generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the acquired entity are assigned to those units.

Where goodwill has been allocated to a cash-generating unit and certain operation within that unit is disposed of, the goodwill associated with the operation disposed of is included in the carrying amount of the operation when determining the gain or loss on disposal of the operation. Goodwill disposed in this circumstance is measured based on the relative values of the operation disposed and the portion of the cash-generating unit retained.

3.2 Investments in associates and joint ventures

The Group’s investment in its associate and joint ventures are accounted for using the equity method. An associate is an entity in which the Group has significant influence. A joint venture is a joint arrangement whereby the parties that have joint control of the arrangement (i.e. unanimouns consent of the parties) have rights to the net assets of the arrangement.

Under the equity method, the investment in the associate or joint venture is carried on the statement of financial position at cost plus post acquisition changes in the Group’s share of net assets of the associate/joint venture. Goodwill relating to the associate/joint venture is included in the carrying amount of the investment and is neither amortized nor individually tested for impairment.

The statement of comprehensive income reflects the Group’s share of the results of operations of the associate/joint venture. When there has been a change recognized directly in the equity of the investment, the Group recognizes its share of any changes and discloses this, when applicable, in the statement of changes in equity. Unrealized gains and losses resulting from transactions between the Group and the associate/joint venture are eliminated to the extent of the interest in it.

The Group’s share of profit of an associate/joint venture is shown on the face of the statement of comprehensive income. This is the profit attributable to equity holders of the associate/joint venture and, therefore, is profit after tax and non-controlling interests in the subsidiaries of the associate/joint venture.

The financial statements of the associates/joint ventures are prepared for the same reporting period as the Group. When necessary, adjustments are made to bring the accounting policies in line with those of the Group.

After application of the equity method, the Group determines whether it is necessary to recognize an additional impairment loss on its investment in its associates/joint ventres. The Group determines at each reporting date whether there is any objective evidence that the investment in the associate/joint venture is impaired. If this is the case, the Group calculates the amount of impairment as the difference between the recoverable amount of an investment in associate/joint venture and its carrying value and recognizes any respective loss in the statement of comprehensive income.

Upon loss of significant influence over the associate/joint venture, the Group measures and recognizes any retaining investment at its fair value. Any difference between the carrying amount of the associate/joint venture upon loss of significant influence and the fair value of the retained investment and proceeds from disposal is recognized in profit or loss.

3.3 Foreign currency translation

The consolidated financial statements are presented in Russian rubles (RUB), which is the Company’s functional and the Group’s presentation currency. Each entity in the Group determines its own functional currency, depending on what the underlying economic environment is, and items included in the financial statements of each entity are measured using that functional currency. Transactions in foreign currencies are initially recorded in the functional currency at the functional currency rate at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are re-measured in to the functional currency at the functional currency rate of exchange at the reporting date. All differences are taken to profit or loss. They are shown separately for each Group company but netted by major types of monetary assets and liabilities. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rates as of the dates of the initial transactions.

Non-monetary items measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair value is determined. The gain or loss arising on retranslation of non-monetary items is treated in line with the recognition of gain or loss on change in fair value of the item (i.e., translation differences on items whose fair value gain or loss is recognized in other comprehensive income or profit or loss is also recognized in other comprehensive income or profit or loss, respectively).

The functional currency of the foreign operations is generally the respective local currency – US Dollar (U.S.$), Euro (€), Kazakhstan tenge (KZT), Belarussian ruble (BYR), Moldovan leu (MDL) and New Romanian leu (RON).

As of the reporting date, the assets and liabilities of these operations are translated into the presentation currency of the Group (the Russian Ruble) at the rate of exchange at the reporting date and their statements of comprehensive income are translated at the average exchange rates for the year or exchange rates prevailing on the date of specific transactions. The exchange differences arising on the translation are recognized in other comprehensive income. On disposal of a foreign entity, the deferred cumulative amount recognized in equity relating to that particular foreign operation is reclassified to the profit or loss.

The exchange rates of the Russian ruble to each respective currency as of December 31, 2017 and 2016 were as follows:

	Average exchange rates for the year ended December 31,				Exchange rates at December 31,
	2016		2017		2016		2017
US Dollar		67.0349		58.3529		60.6569		57.6002
Euro		74.2310		65.9014		63.8111		68.8668
Kazakhstan Tenge (100)		19.5980		17.8959		18.1637		17.3184
Belarussian Ruble		33.7165		30.2125		30.9474		29.1013
Moldovan Leu (10)		33.6961		31.6871		30.5269		33.6548
New Romanian Leu		16.5315		14.4216		14.0722		14.7822

The currencies listed above are not a fully convertible outside the territories of countries of their operations. Related official exchange rates are determined daily by the Central Bank of the Russian Federation (further CBR). Market rates may differ from the official rates but the differences are, generally, within narrow parameters monitored by the respective Central Banks. The translation of assets and liabilities denominated in the currencies listed above into RUB for the purposes of these financial statements does not indicate that the Group could realize or settle, in RUB, the reported values of these assets and liabilities. Likewise, it does not indicate that the Group could return or distribute the reported RUB value of capital and retained earnings to its shareholders.

3.4 Property and equipment

3.4.1 Cost of property and equipment

Property and equipment are stated at cost less accumulated depreciation and any accumulated impairment loss. Expenditures for continuing repairs and maintenance are charged to the profit or loss as incurred.

3.4.2 Depreciation and useful lives

Depreciation is calculated on property and equipment on a straight-line basis from the time the assets are available for use, over their estimated useful lives as follows:

Processing servers and engineering equipment	3-10 years
Computers and office equipment	3-5 years
Other equipment	2-20 years

Useful lives of leasehold improvements of leased office premises included in engineering equipment and other equipment are determined at the lower between the useful live of the asset or the lease term.

The asset’s residual values, useful lives and depreciation methods are reviewed, and adjusted as appropriate, at each financial year-end.

3.5 Intangible assets

3.5.1 Software and other intangible assets

Software and other intangible assets acquired separately are measured on initial recognition at cost. The cost of intangible assets acquired in a business combination is their fair value as of the date of acquisition. Following initial recognition, intangible assets are carried at cost less any accumulated amortization and accumulated impairment losses.

Following initial recognition of the development expenditure as an asset, the cost model is applied requiring the asset to be carried at cost less any accumulated amortization and accumulated impairment losses. Amortization of the asset begins when development is complete and the asset is available for use. It is amortized over the period of expected generation of future benefits, generally 3-5 years. During the period of development, the asset is tested for impairment annually.

3.5.2 Software development costs

Development expenditure on an individual project is recognized as an intangible asset when the Group can demonstrate the technical feasibility of completing the intangible asset so that it will be available for use or sale, its intention to complete and its ability to use or sell the asset, how the asset will generate future economic benefits, the availability of resources to complete the asset and the ability to measure reliably the expenditure during development.

3.5.3 Useful life and amortization of intangible assets

The Group assesses whether the useful life of an intangible asset is finite or indefinite and, if finite, the length of that useful life. An intangible asset is regarded by the entity as having an indefinite useful life when, based on an analysis of all of the relevant factors, there is no foreseeable limit to the period over which the asset is expected to generate net cash inflows for the entity.

Intangible assets with finite lives are amortized on a straight-line basis over the useful economic lives and assessed for impairment whenever there is an indication that the intangible asset may be impaired. Below is the summary of useful lives of intangible assets:

Customer relationships and contract rights	4-15 years
Computer Software	3-10 years
Bank license	indefinite
Trademarks and other intangible assets	3-6 years

Amortization periods and methods for intangible assets with finite useful lives are reviewed at least at each financial year-end. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are accounted for by changing the amortization period or method, as appropriate, and treated as changes in accounting estimates.

Intangible assets with indefinite useful lives are not amortized, but are tested for impairment annually, either individually or at the cash-generating unit level. The assessment of indefinite life is reviewed annually to determine whether the indefinite life continues to be supportable. Indefinite-lived intangible assets include the acquired licenses for banking operations. It is considered indefinite-lived as the related license is expected to be renewed indefinitely.

Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognized in the statement of comprehensive income when the asset is derecognized.

3.6 Impairment of non-financial assets

The Group assesses at each reporting date whether there is an indication that an asset, other than goodwill and intangible assets with indefinite useful life, may be impaired. If any such indication exists, or when annual impairment testing for an asset is required, the Group estimates the asset’s recoverable amount. An asset’s recoverable amount is the higher of an asset’s or cash-generating unit’s fair value less costs to sell and its value in use and is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets. Where the carrying amount of an asset exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs to sell, an appropriate valuation model is used.

These calculations are corroborated by valuation multiples, quoted share prices for publicly traded analogues, if applicable, or other available fair value indicators.

The Group bases its impairment calculation on detailed budgets and forecast calculations, which are prepared separately for each of the Group’s cash generating units (CGU), to which the individual assets are allocated.

These budgets and forecast calculations generally cover a period of five years or longer, when management considers appropriate. For longer periods, a long-term growth rate is calculated and applied to project future cash flows after the last year.

Impairment losses of continuing operations are recognized in profit or loss in those expense categories consistent with the function of the impaired asset.

For assets excluding goodwill, an assessment is made at each reporting date as to whether there is any indication that previously recognized impairment losses may no longer exist or may have decreased. If such indication exists, the Group makes an estimate of recoverable amount. A previously recognized impairment loss is reversed only if there has been a change in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognized. If that is the case, the carrying amount of the asset is increased to its recoverable amount.

That increased amount cannot exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognized for the asset in prior years. Such reversal is recognized in profit or loss. The following criteria are also applied in assessing impairment of specific assets:

Goodwill

Goodwill is tested for impairment annually and when circumstances indicate that the carrying value may be impaired. Impairment is determined for goodwill by assessing the recoverable amount of the cash-generating units, to which the goodwill relates. Where the recoverable amount of the cash-generating units is less than their carrying amount an impairment loss is recognized. Impairment losses relating to goodwill cannot be reversed in future periods. The Group performs its annual impairment test of goodwill as of December 31 and whenever certain events and circumstances indicate that its carrying value may be impaired.

Intangible assets

Intangible assets with indefinite useful lives are tested for impairment annually as of December 31, either individually or at the cash generating unit level, as appropriate and whenever events and circumstances indicate that an asset may be impaired.

3.7 Financial assets

3.7.1 Initial recognition and measurement

Financial assets within the scope of IAS 39 are classified as financial assets at fair value through profit or loss, loans and receivables, held-to-maturity investments, or available-for-sale (AFS) financial assets, as appropriate. When financial assets are recognized initially, they are measured at fair value, plus, in the case of investments not at fair value through profit or loss, directly attributable transaction costs. The Group determines the classification of its financial assets on initial recognition and, where allowed and appropriate, re-evaluates this designation at each financial year-end. All regular way purchases and sales of financial assets are recognized on the trade date, which is the date that the Group commits to purchase the asset. Regular way purchases or sales are purchases or sales of financial assets that require delivery of assets within the period generally established by regulation or convention in the marketplace.

3.7.2 Subsequent measurement

Financial assets at fair value through profit or loss

Financial assets at fair value through profit or loss include financial assets held for trading and financial assets designated upon initial recognition at fair value through profit or loss. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term.

Financial assets at fair value through profit and loss are carried in the statement of financial position at fair value with net changes in fair value recognized in “change in fair value of derivative financial assets”, “other gains” or “other losses” in the statement of comprehensive income.

Financial assets designated upon initial recognition at fair value through profit or loss are designated at their initial recognition date and only if the criteria under IAS 39 are satisfied.

The Group has not designated any financial assets at fair value through profit or loss.

Loans and receivables

Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. After initial measurement, loans and receivables are carried at amortized cost using the effective interest rate method less any allowance for impairment. Gains and losses are recognized in profit or loss when the loans and receivables are derecognized or impaired, as well as through the amortization process.

Debt instruments

Debt instruments and financial investments are non-derivative financial assets with fixed or determinable payments and fixed maturities, which the Group has the intention and ability to hold to maturity. After initial measurement, held-to-maturity financial investments are subsequently measured at amortized cost using the effective interest rate (EIR), less impairment.

If the Group sold or reclassified more than an insignificant amount of debt instruments before maturity (other than in certain specific circumstances), the entire category would be tainted and would have to be reclassified as available-for-sale.

AFS financial assets

AFS financial assets include equity investments. Equity investments classified as AFS are those that are neither classified as held for trading nor designated at fair value through profit or loss.

After initial measurement, AFS financial assets are subsequently measured at fair value with unrealized gains or losses recognized in OCI and credited in the AFS reserve until the investment is derecognized, at which time the cumulative gain or loss is recognized in other operating income, or the investment is determined to be impaired, when the cumulative loss is reclassified from the AFS reserve to the statement of profit or loss in finance costs. Interest earned whilst holding AFS financial assets is reported as interest income using the EIR method.

Amortized cost

Held-to-maturity investments, due from banks and loans and advances to customers and debt issued, other funds lent and loans and receivables are measured at amortized cost. This is computed using the EIR method less any allowance for impairment. Amortized cost is calculated taking into account any premium or discount on acquisition and includes transaction costs and fees that are an integral part of the effective interest rate. The EIR amortization is included in interest income in the statement of comprehensive income. The losses arising from impairment are recognized in the statement of comprehensive income in finance costs for loans and in cost of sales or other operating expenses for receivables.

3.7.3 Impairment and derecognition of financial assets

Impairment

The Group assesses at each reporting date whether a financial asset or group of financial assets is impaired.

Assets carried at amortized cost

For financial assets carried at amortized cost (such as loans and receivables, held-to-maturity investments), the Group first assesses individually whether objective evidence of impairment exists for financial assets that are individually significant, or collectively for financial assets that are not individually significant. If the Group determines that no objective evidence of impairment exists for an individually assessed financial asset, it includes the asset in a group of financial assets with similar credit risk characteristics and collectively assesses them for impairment. Assets that are individually assessed for impairment and for which an impairment loss is, or continues to be, recognized are not included in a collective assessment of impairment.

For the purposes of a collective evaluation of impairment, financial assets are grouped on the basis of similar credit risk characteristics. Those characteristics are relevant to the estimation of future cash flows ability to pay all amounts due according to the contractual terms of the assets being evaluated. Future cash flows in a group of financial assets that are collectively evaluated for impairment, are estimated on the basis of the contractual cash flows of the assets and the experience of management in respect of the extent to which amounts will become overdue as a result of past loss events and the success of recovery of overdue amounts. Past experience is adjusted on the basis of current observable data to reflect the effects of current conditions that did not affect past periods, and to remove the effects of past conditions that do not exist currently.

If there is objective evidence that an impairment loss on assets carried at amortized cost has been incurred, the amount of the loss is measured as the difference between the asset’s carrying amount and the present value of estimated future cash flows (excluding future expected credit losses that have not been incurred) discounted at the financial asset’s original effective interest rate (i.e. the effective interest rate computed at initial recognition). The carrying amount of the asset is reduced through use of an allowance account. The amount of the loss is recognized in profit or loss.

If, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event occurring after the impairment was recognized, the previously recognized impairment loss is reversed, to the extent that the carrying value of the asset does not exceed its amortized cost at the reversal date. Any subsequent reversal of an impairment loss is recognized in profit or loss.

In relation to trade receivables, a provision for impairment is made when there is objective evidence (such as the probability of insolvency or significant financial difficulties of the debtor) that the Group will not be able to collect all of the amounts due under the original terms of the invoice. The carrying amount of the receivable is reduced through use of an allowance account. Impaired debts are derecognized when they are assessed as uncollectible.

Derecognition

A financial asset (or, where applicable a part of a financial asset or part of a group of similar financial assets) is derecognized when:

• The rights to receive cash flows from the asset have expired

• The Group has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a ‘pass-through’ arrangement; and either (a) the Group has transferred substantially all the risks and rewards of the asset, or (b) the Group has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.

When the Group has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, and has neither transferred nor retained substantially all of the risks and rewards of the asset nor transferred control of the asset, the asset is recognized to the extent of the Group’s continuing involvement in the asset.

In that case, the Group also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Group has retained.

Continuing involvement that takes the form of a guarantee over the transferred asset is measured at the lower of the original carrying amount of the asset and the maximum amount of consideration that the Group could be required to repay.

3.8.1 Initial recognition and measurement

Financial liabilities within the scope of IAS 39 are classified as financial liabilities at fair value through profit or loss, loans and borrowings, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. The Group determines the classification of its financial liabilities at initial recognition.

Financial liabilities are recognized initially at fair value less, in the case of loans and borrowings, directly attributable transaction costs.

The Group’s financial liabilities include trade and other payables, bank overdraft, customer accounts and amounts due to banks.

The measurement of financial liabilities depends on their classification as follows:

Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial liabilities designated upon initial recognition at fair value through profit or loss.

Financial liabilities are classified as held for trading if they are acquired for the purpose of selling in the near term. This category includes derivative financial instruments entered into by the Group that do not meet the hedge accounting criteria as defined by IAS 39.

Gains or losses on liabilities held for trading are recognized in profit or loss.

The Group has not designated any financial liabilities at fair value through profit or loss.

Loans, borrowing, customer accounts and amounts due to banks and payables

After initial recognition, interest bearing loans, borrowings and payables are subsequently measured at amortized cost using the effective interest rate method.

Gains and losses are recognized in profit or loss when the liabilities are derecognized as well as through the amortization process.

3.8.2 Derecognition of financial liabilities

A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires. Where an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as a derecognition of the original liability and the recognition of a new liability, and the difference in the respective carrying amounts is recognized in profit or loss.

3.8.3 Offsetting financial assets and liabilities

Financial assets and financial liabilities are offset and the net amount reported in the consolidated statement of financial position if, and only if:

• There is a currently enforceable legal right to offset the recognized amounts; and

• There is an intention to settle on a net basis, or to realize the assets and settle the liabilities simultaneously.

The right of set-off:

• Must not be contingent on a future event; and

• Must be legally enforceable in all of the following circumstances:

(i) the normal course of business;

(ii) the event of default; and

(iii) the event of insolvency or bankruptcy of the entity and all of the counterparties

3.9 Cash and cash equivalents

Cash comprises cash at banks and in hand and short-term deposits with an original maturity of three months or less. All these items are included as a component of cash and cash equivalents for the purpose of the statement of financial position and statement of cash flows.

3.10 Employee benefits

3.10.1 Short-term employee benefits

Wages and salaries paid to employees are recognized as expenses in the current period. The Group also accrues expenses for future vacation payments and short-term employee bonuses.

3.10.2 Social contributions and define contributions to pension fund

Under provisions of the Russian legislation, social contributions include defined contributions to pension and other social funds of Russia and are calculated by the Group by the application of a regressive rate (from 30% to 10% in 2017, 2016 and 2015) to the annual gross remuneration of each employee. For the year ended December 31, 2017 defined contributions to pension fund of Russia of the Group amounted to 473 (2016 – 315; 2015 – 270).

3.11 Provisions

Provisions are recognized when the Group has a present legal or constructive obligation as a result of past events, it is probable that an outflow of resources will be required to settle the obligation, and a reliable estimate of the amount can be made. Where the Group expects a provision to be reimbursed, for example under an insurance contract, the reimbursement is recognized as a separate asset but only when the reimbursement is virtually certain.

If the effect of discounting is material, provisions are determined by discounting the expected value of future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and, where appropriate, the risks specific to the liability. Where discounting is used, the increase in the provision due to the passage of time is recognized as an interest expense.

3.12 Special contribution for defence of the Republic of Cyprus

Dividend Distribution

Cyprus entities that do not distribute 70% of their profits after tax, as defined by the relevant tax law, within two years after the end of the relevant tax year, are deemed to have distributed as dividends 70% of these profits. A special contribution for the defence fund of the Republic of Cyprus is levied at the 17% rate for 2015, 2016, 2017 and thereafter will be payable on such deemed dividends distribution. Profits that are attributable to shareholders who are not tax resident of Cyprus and own shares in the Company either directly and/or indirectly at the end of two years from the end of the tax year to which the profits relate, are exempted. The amount of deemed distribution is reduced by any actual dividends paid out of the profits of the relevant year at any time. This special contribution for defence is payable by the Company for the account of the shareholders.

The Company’s ultimate shareholder as of December 31, 2017 is non-Cypriot tax resident and as such the Cypriot deemed dividend distribution rules are not applicable.

Dividend income

Dividends received from a non-resident (foreign) company are exempt from the levy of defence contribution if either the dividend paying company derives at least 50% of its income directly or indirectly from activities which do not lead to investment income (“active versus passive investment income test” is met) or the foreign tax burden on the profit to be distributed as dividend has not been substantially lower than the Cypriot corporate income tax rate (i.e. lower than 6,25%) at the level of the dividend paying company (“effective minimum foreign tax test” is met).

The Company has not been subject to defence tax on dividends received from abroad as the dividend paying entities are engaged in other than investing activities.

3.13 Income taxes

Current income tax

Current income tax assets and liabilities for the current and prior periods are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted by the reporting date.

Current income tax relating to items recognized in other comprehensive income is recognized in other comprehensive income.

Deferred income tax

Deferred tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax is not recognized for the following temporary differences: the initial recognition of assets or liabilities in a transaction that is not a business combination and that affects neither accounting nor taxable profit or loss, and differences relating to investments in subsidiaries to the extent that it is probable that they will not reverse in the foreseeable future. In addition, deferred tax is not recognized for taxable temporary differences arising on the initial recognition of goodwill. Deferred tax is measured at the tax rates that are expected to be applied to temporary differences when they reverse, based on the laws that have been enacted or substantively enacted by the reporting date.

Deferred tax assets and liabilities are offset if there is a legally enforceable right to offset current tax liabilities and assets, and they relate to income taxes levied by the same tax authority on the same taxable entity, or on different tax entities, but they intend to settle current tax liabilities and assets on a net basis or their tax assets and liabilities will be realized simultaneously.

A deferred tax asset is recognized for unused tax losses, tax credits and deductible temporary differences, to the extent that it is probable that future taxable profits will be available against which they can be utilized. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realized.

3.14 Revenue and certain expenses recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenues and related cost of revenue from services are recognized in the period when services are rendered, regardless of when payment is made.

Payment processing fee revenues and related transaction costs

The Group earns a fee for processing payments initiated by the ultimate customers (“consumers”) to pay to merchants and service providers (“merchants”) or transfer money to other individuals. Payment processing fees are earned from consumers or merchants, or both. Consumers can make payments to various merchants through kiosks or network of agents and banks participants of payment system or through the Group’s website or applications using a unique user login and password (e-payments). Payment kiosks are owned by third parties – cash collection agents (“agents”). When consumer payment is processed, the Group may incur transaction costs to acquire payments payable to agents, banks-participants, mobile operators, international payment systems and other parties. The payment processing fee revenue and related receivable, as well as the transaction cost and the related payable, are recognized at the point when merchants or individuals accept payments from consumers in the gross amount, including fees payable for payment acquisition. Payment processing fees and transaction costs are reported gross, except for the consumer fees on payments collected through payment kiosks, which is recorded in the net amount receivable from the agents-owners of kiosks. Visa payment processing fee revenues and related transaction costs are reported net.

In accordance with terms and conditions of use of QIWI Wallet accounts and QIWI system rules, the Group charges a fee to its consumers on the balance of unused accounts after certain period of inactivity and unclaimed payments. Such fees are recorded as revenues in the period a fee is charged.

The Group generates revenue from the foreign currency conversion when payments are made in currencies different from the country of the consumer, mainly Russia. The Group recognizes the related revenues at the time of conversion in the amount of conversion commission representing the difference between the current Russian or relevant country Central Bank foreign currency exchange rate and the foreign currency exchange rate charged by the Group’s processing system.

Cash and settlement services

The Group charges a fee for managing current accounts and deposits of individuals and legal entities, including guarantee deposits from agents placed with the bank to cover consumer payments they accept. Related revenue is recorded as services are rendered or as transactions are processed.

Interest revenue, interest income and interest expense

For all financial instruments measured at amortized cost, interest bearing financial assets classified as available for sale and financial instruments designated at fair value through profit or loss, interest income or expense is recorded using the EIR. The carrying amount of the financial asset or financial liability is adjusted if the Group revises its estimates of payments or receipts. Once the recorded value of a financial asset or a group of similar financial assets has been reduced due to an impairment loss, interest income continues to be recognized using the rate of interest used to discount the future cash flows for the purpose of measuring the impairment loss. Interest income from bank loans and short- and long-term investments performed as part of the Group’s treasury function is classified as part of revenues, Interest income derived from loans issued to various third and related parties as part of other arrangements is classified as interest income. Cash receipts of both types of interest are included into interest received in the statement of cash flows.

Interest expense from bank borrowings intended to attract funds to offer them as agents’ overdrafts is classified as part of cost of revenue. Interest expense derived from borrowings attracted from various third parties as part of other arrangements and interest expense from bank guaranties is classified as interest expense not as part of cost of revenue. Cash disbursements of both types of interest are included into interest paid in the statement of cash flows.

3.15 Share-based payments

Employees of the Group receive remuneration in the form of share-based payments, whereby employees render services as consideration for equity instruments (equity-settled transactions).

The cost of equity-settled transactions is recognized, together with a corresponding increase in other reserves in equity, over the period in which the performance and/or service conditions are fulfilled. The cumulative expense recognized for equity-settled transactions at each reporting date until the vesting date reflects the extent to which the vesting period has expired and the Group’s best estimate of the number of equity instruments that will ultimately vest. The statement of comprehensive income expense or credit for a period represents the movement in cumulative expense recognized as of the beginning and end of that period and is recognized in compensation to employees and other personnel expenses.

No expense is recognized for awards that do not ultimately vest, except for equity-settled transactions for which vesting is conditional upon a market or non-vesting condition. These are treated as vested irrespective of whether or not the market or non-vesting condition is satisfied, provided that all other performance and/or service conditions are satisfied.

When the terms of an equity-settled award are modified, the minimum expense recognized is the expense that would have been incurred had the terms not been modified, if the original terms of the award are met. An additional expense is recognized for any modification that increases the total fair value of the share-based payment transaction, or is otherwise beneficial to the employee as measured at the date of modification.

When an equity-settled award is cancelled, it is treated as if it vested on the date of cancellation, and any expense not yet recognized for the award is recognized immediately. This includes any award where non-vesting conditions within the control of either the entity or the employee are not met. However, if a new award is substituted for the cancelled award, and designated as a replacement award on the date that it is granted, the cancelled and new awards are treated as if they were a modification of the original award, as described in previous paragraph.

The dilutive effect of outstanding options is reflected as additional share dilution in the computation of diluted earnings per share.

The option awards that are outstanding as of December 31, 2017, 2016 and 2015 can only be settled in shares, that is why they are accounted for as equity-settled transactions.

3.16 Leases

The determination of whether an arrangement is, or contains, a lease is based on the substance of the arrangement at inception date, whether fulfillment of the arrangement is dependent on the use of a specific asset or assets or the arrangement conveys a right to use the asset, even if that right is not explicitly specified in an arrangement.

Group as a lessee

Operating lease payments are recognized as an operating expense in the statement of comprehensive income on a straight-line basis over the lease term.

Group as a lessor

Leases in which the Group does not transfer substantially all the risks and benefits of ownership of an asset are classified as operating leases. Initial direct costs incurred in negotiating an operating lease are added to the carrying amount of the leased asset and recognized over the lease term on the same basis as rental income. Contingent rents are recognized as revenue in the period in which they are earned.

3.17 Non-current assets held for sale and discontinued operations

Non-current assets and disposal groups classified as held for sale are measured at the lower of their carrying amount and fair value less costs to sell. Non-current assets and disposal groups are classified as held for sale if their carrying amounts will be recovered principally through a sale transaction rather than through continuing use. This condition is regarded as met only when the sale is highly probable and the asset or disposal group is available for immediate sale in its present condition. Management must be committed to the sale, which should be expected to qualify for recognition as a completed sale within one year from the date of classification.

In the statement of comprehensive income, income and expenses from discontinued operations are reported separately from income and expenses from continuing operations, down to the level of profit after taxes, even when the Group retains a non-controlling interest in the subsidiary after the sale. The resulting profit or loss (after taxes) is reported separately in the statement of comprehensive income.

Property and equipment and intangible assets once classified as held for sale are not depreciated or amortized.

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Significant accounting judgments, estimates and assumptions

12 Months Ended

Dec. 31, 2017

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Significant accounting judgments, estimates and assumptions

4. Significant accounting judgments, estimates and assumptions

The preparation of consolidated financial statements in conformity with IFRS requires management to make judgments, estimates and assumptions that affect the reported amounts of assets and liabilities, disclosures of contingent assets and liabilities at the reporting dates and the reported amounts of revenues and expenses during the reporting periods. However, uncertainty about these assumptions and estimates could result in outcomes that require a material adjustment to the carrying amount of the asset or liability affected in future periods.

Significant judgments

Revenue recognition

Payment processing fees revenue and transaction costs

The Group exercised significant judgment in reaching a conclusion about its accounting policy for gross versus net reporting of payment processing fee revenues and related transaction costs. In particular, there are two major sources of payment processing fee revenues:

• Payment processing fees charged to consumers on payments collected through agents, mobile operators and other payment methods; and

• Payment processing fees charged to merchants.

Either one of the two types of payment processing fees above, or in some cases, both payment processing fees apply to a single consumer payment. Transaction costs relate to acquisition of payments by agents, mobile operators, international payment systems and some other parties, and the applicable fees, generally determined as a percentage of consumer payment, for each specific payment channel are on terms similar to those available to other market participants.

A merchants’ payment processing fee, when charged, is recorded gross of related transaction costs, because the Group (i) is the primary obligor as it undertakes to transfer the consumer payment to the merchant or other individual using its payment processing system; (ii) it negotiates and ultimately sets the fee receivable from a merchant or consumer, generally as a percentage of payments; and (iii) it bears credit risk in most of the cases, unless the payment is made from a deposit made with the Group.

A consumer payment processing fee, when it is charged on payments made by consumers through payment kiosks and terminals, is reported net of any transaction costs payable to or retained by agents. This is because, although the Group is the primary obligor, it does not have any discretion over the ultimate payment processing fee set by the agent to the consumer, does not have readily available information about gross fee, and is only exposed to the net amount of fee receivable from agents.

A consumer payment processing fee revenue is reported gross of related transaction costs. Such payments are made by consumers through the Group’s website or an application using a unique user login and password, and are called electronic payments. In contrast with the consumer payment processing fee revenue collected through payment kiosks and terminals, the Group, being a primary obligor in electronic payment transactions, also sets the consumer’s payment processing fee, generally as a percentage of payment, although credit risk for these transactions is limited. Thus, the Group concluded that its ability to control the consumer payment processing fee for electronic payments is a key differentiator from the consumer payment processing fees on payments collected through payment kiosks and terminals.

The total amounts of transaction costs are disclosed in Note 23.

Revenue from cash and settlement services

The Group charges a fee for maintenance of current accounts of individuals and SME clients and for managing special guarantee deposit accounts made by agents to cover consumer payments they accept. Related revenues are reported gross of transaction costs paid to the same agents for collection of consumer payments, because these revenues relate to a separate service having distinct value to agents and are provided at their discretion. The total amounts of revenue from cash and settlement services are disclosed in Note 22.

Functional currency

Each entity in the Group determines its own functional currency, depending on the economic environment it operates in, and items included in the financial statements of each entity are measured using that functional currency.

Significant estimates and assumptions

Significant estimates reflected in the Company’s financial statements include, but are not limited to:

• Fair values of assets and liabilities acquired in business combinations;

• Impairment of intangible assets and goodwill;

• Recoverability of deferred tax assets;

• Impairment of loans and receivables;

• Measurement of cost associated with share-based payments;

• Uncertain position over risk assessment;

Actual results could materially differ from those estimates. The key assumptions concerning the future events and other key sources of estimation uncertainty at the reporting date that have a significant risk of a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below:

Fair values of assets and liabilities acquired in business combinations

The Group recognizes separately, at the acquisition date, the identifiable assets, liabilities and contingent liabilities acquired or assumed in the business combination at their fair values, which involves estimates. Such estimates are based on valuation techniques, which require considerable judgment in forecasting future cash flows and developing other assumptions. In some cases, when the amounts of fair values are significant, the Group hires third party appraisers to assist it in determining the related fair values.

Impairment of goodwill and intangible assets

The Group determines the following material CGUs: SOVEST, Payment services, Postomatnye Tekhnologii, Tochka, Rocketbank, New Terminal and Flocktory. For the purpose of goodwill impairment test, the Group estimates the recoverable amounts of Payment services CGU as fair value less costs of disposal on the basis of quoted prices of Company’s ordinary shares. See also Note 12 below for details. For the purpose of intangible assets with indefinite useful life impairment test, the Group estimates the recoverable amounts of each asset as fair value less costs of disposal on the basis of comparative method and cost approach. For the purpose of intangible assets with definite useful life impairment, when indicators of impairment are noted, the Group estimates the recoverable amounts as higher of value in use or fair value less costs to sell of an individual asset or the CGU to which this asset relates.

Recoverability of deferred tax assets

The utilization of deferred tax assets will depend on whether it is possible to generate sufficient taxable income against which the deductible temporary differences can be utilized. Various factors are used to assess the probability of the future utilization of deferred tax assets, including past operating results, operational plans, expiration of tax losses carried forward, and tax planning strategies.

Certain portion of deferred tax assets was not recorded because the Group does not expect to realize certain of its tax loss carry forwards in the foreseeable future due to history of losses. Further details on deferred taxes are disclosed in Note 26.

Impairment of loans and receivables

Management assesses an impairment of loans and receivables to account for estimated losses resulting from the inability of customers to make required payments. When evaluating the adequacy of an impairment of loans and receivables, management bases its estimates on the aging of accounts receivable balances and loans and historical write-off experience, customer credit worthiness and changes in customer payment terms. If the financial condition of customers were to deteriorate, actual write-offs might be higher than expected.

The Group regularly reviews its loan portfolio to assess impairment. For instalment card loans the Group performs collective assessment of impairment for each loan portfolio group divided by overdue status of the loans (non-overdue; up to 30 days overdue, 30 to 60 days overdue, 60 to 90 days overdue, over 90 days overdue). The impairment assessment for each portfolio group is based on probability of default, loss given default and exposure at default. The Group uses internal historical instalment card loans loss rates statistics and roll-rates method for assessment of probabilities of default. The loss given default is an estimate of the loss arising in the case where a default occurs at a given time and is based on external market statistic. The exposure at default is an estimate of the exposure at a default date.

Further details on provision for impairment of loans and receivables are disclosed in Notes 13, 14.

Measurement of cost associated with share-based payments

Share-based payments included expenses incurred under employee stock option plan (ESOP) and restricted stock unit plan (RSU). See also Note 31 below for more details.

Management estimates the fair value of stock options at the date of grant using the Black-Scholes-Merton pricing model and its restricted stock units using the Binominal model. The option pricing models were originally developed for use in estimating the fair value of traded options, which have different characteristics than the stock options granted by the Company and its subsidiaries, associates and joint ventures. The models are also sensitive to changes in the subjective assumptions, which can materially affect the fair value estimate. These subjective assumptions include the expected life of the options, expected volatility, risk-free interest rates, expected dividend yield, the fair value of the underlying shares. The amount of expense is also sensitive to the number of awards, which are expected to vest, taking into account estimated forfeitures. Below is the discussion of each of these estimates:

Assumptions used for ESOP valuation

Expected life

The Company did not have any option grants in the past, and does not have sufficient history to determine the time the option holders will hold the shares. Therefore, the Company used the expected term as the average between the vesting and contractual term of each option tranche for stock option plan.

Expected volatility

Due to a relatively short period of historical market data, QIWI’s share price volatility for options valuation was defined based on the historical volatility of peer group companies over a period, which approximates the expected life of option tranches.

Risk-free interest rates

Risk-free interest rates are based on the implied yield currently available in the US treasury bonds, adjusted for a country risk premium, with a remaining term approximating the expected life of the option award being valued.

Expected dividend yield

At the time of grant in 2012 the Group had no plans to pay cash dividends, and the Group used an expected dividend yield of zero in its option pricing model for option awards granted in 2012. Following its IPO in 2013, the Group started to pay dividends and set an expected dividend yield of 2.83% based on post-IPO dividend payments.

Fair value of the underlying shares

Prior to May 2013 the Company’s ordinary shares were not publicly traded. Therefore, it estimated the fair value of the underlying shares on the basis of valuations arrived at by employing the “income approach” valuation methodology. Since May 2013 QIWI plc is a public company and the fair value of its shares defined by reference to closing market price of its traded shares.

Estimated forfeitures

As of the dates of stock options grants had no data of attrition rate among key personnel and management resulted in an estimated forfeiture rate of zero. Subsequently, the actual forfeiture rate is higher, the actual amount of related expense will become lower.

Assumptions used for RSU valuation

Expected life

The Company used the expected term as the vesting term for RSU plan.

Expected volatility

The expected volatility reflects the assumption that the historical QIWI’s share price volatility over a period similar to the life of the RSUs is indicative of future trends, which may not necessarily be the actual outcome.

Risk-free interest rates

Risk-free interest rates are based on the implied yield currently available in the US treasury bonds, adjusted for a country risk premium, with a remaining term approximating the expected life of the option award being valued.

Expected dividend yield

Before September 2017 the Group set an expected dividend yield of 5.03% based on historical payout. Following September 2017, the Group stoped to pay dividends and set an expected dividend yield of zero.

Fair value of the underlying shares

The fair value of shares defined by reference to closing market price of the Group’s traded shares.

Estimated forfeitures

The forfeiture rate for RSUs granted during the period is 9%. It is based on historical data and current expectations and is not necessarily indicative of forfeiture patterns that may occur.

Uncertain position over risk assessment

The Group disclosed possible and accrued probable risks in respect on currency, customs, tax and other regulatory positions. Management estimates the amount of risk based on its interpretation of the relevant legislation, in accordance with the current industry practice and in conformity with its estimation of probability, which require considerable judgment.

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Consolidated subsidiaries

12 Months Ended

Dec. 31, 2017

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Consolidated subsidiaries

5. Consolidated subsidiaries

The consolidated IFRS financial statements include the assets, liabilities and financial results of the Company and its subsidiaries. The subsidiaries are listed below:

		Ownership interest
Subsidiary	Main activity	As of December 31, 2016			As of December 31, 2017
JSC QIWI (Russia)	Operation of electronic payment kiosks		100	%		100	%
QIWI Bank JSC (Russia)	Maintenance of electronic payment systems, money transfer, consumer and SME financial services		100	%		100	%
QIWI Payments Services Provider Ltd (UAE)	Operation of on-line payments		100	%		100	%
QIWI International Payment System LLC (USA)	Operation of electronic payment kiosks		100	%		100	%
Qiwi Kazakhstan LP (Kazakhstan)	Operation of electronic payment kiosks		100	%		100	%
JLLC OSMP BEL (Belarus)	Operation of electronic payment kiosks		51	%		51	%
QIWI – M S.R.L. (Moldova)	Operation of electronic payment kiosks		51	%		51	%
QIWI ROMANIA SRL	Operation of electronic payment kiosks		100	%		100	%
QIWI WALLET EUROPE SIA (Latvia) (Note 7.2)	Operation of on-line payments		100	%		100	%
QIWI Retail LLC (Russia)	Sublease of space for electronic payment kiosks		100	%		100	%
QIWI Management Services FZ-LLC (UAE)	Management services		100	%		100	%
CIHRUS LLC (Russia) 1	Management services		100	%		—
Attenium LLC (Russia)	Management services		100	%		100	%
Rapida LTD (Russia) 2	Operation of payment processing and money transfer settlement systems		100	%		—
Postomatnye Tekhnologii LLC (Russia)	Logistic		100	%		100	%
Future Pay LLC (Russia)	Operation of on-line payments		100	%		100	%
Qiwi Blockchain Technologies LLC (Russia)	Software development		100	%		100	%
QIWI Shtrikh LLC (Russia) 3	On-line cashbox production		—			51	%
QIWI Platform LLC (Russia) 4	Software development		—			100	%
QIWI Processing LLC (Russia) 3	Software development		—			100	%
Joint ventures (Note 6, Note 21)
Flocktory Ltd (Cyprus)	Holding company		—			82	%
Flocktory Spain S.L. (Spain)	SaaS platform for customer lifecycle management and personalization		—			82	%
FreeAtLast LLC (Russia)	SaaS platform for customer lifecycle management and personalization		—			82	%

¹ The entity was reorganized in the form of accession to JSC QIWI in 2017

²  The entity was reorganized in the form of accession to QIWI Bank JSC in 2017

³  The entities were incorporated in 2017

⁴ The entity with negligible net assets was acquired for insignificant consideration in 2017

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Acquisition of joint venture

12 Months Ended

Dec. 31, 2017

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Acquisition of joint venture

6. Acquisition of joint venture

FLOCKTORY

On March 22, 2017, the Group acquired 82% stake in Flocktory Ltd, non-public company, operating in Russia and Spain. Flocktory Ltd operates through its subsidiaries Flocktory Spain S.L. and FreeAtLast LLC. The Flocktory’s business is primarily focused on the development of automated marketing solutions for the e-commerce, financial, media and travel industries, which are based on data collection and analysis and substantively represents SaaS platform for customer lifecycle management and personalization.

According to the shareholders’ agreement and the articles of association, decisions on relevant activities require unanimous consent of all shareholders. Thus, since the date of acquisition the Group has exercised a joint control over Flocktory Ltd and recognized it as a joint venture accounted for under equity method. Pre-existing relationships between the Group and Flocktory group were not significant.

QIWI entered into call and put option agreements with respect to the remaining 18% stake in Flocktory Ltd. Put option provides right to minority shareholders to sell its remaining shares to QIWI after the acquisition date. Put option becomes exercisable after one year from the acquisition date for 50% of minority shares, after year and a half for 25% of minority shares and after two years form acquisition— remaining 25%. Both call and put options are not exercisable and their fair value equals zero as of the acquisition date and as of December 31, 2017.

The consideration was made by the following:

Cash consideration paid	794
Cash payable for Flocktory’s stock option plan cancelation*	37
Total purchase consideration transferred	831

* Based on Share purchase agreement (SPA) Qiwi plc is obliged to offer to employee stock option plan (ESOP) participants of Flocktory Ltd cash consideration for cancellation of 504 ESOP rights, 259 of which were cancelled at the date of acquisition (March 22, 2017), 120 to be offered for cancellation – at March 22, 2018, and 125 at March 22, 2019.

The fair value of the identifiable assets and liabilities as of the date of acquisition was:

	Fair value
Net assets acquired:
Property and equipment		1
Intangible assets		720
Accounts receivable		26
Cash and cash equivalents		55
Trade and other payables		(21	)
Other liabilities		(1	)
Total identifiable net assets at fair value		780
Group’s share of net assets (82%)		639
Goodwill arising on acquisition		192

Goodwill related to the joint venture amounted to 192 and is included in the carrying amount of the investment in joint venture.

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Disposals of subsidiaries and Disposal Groups Held for Sale

12 Months Ended

Dec. 31, 2017

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Disposals of subsidiaries and Disposal Groups Held for Sale

7. Disposals of subsidiaries and Disposal Groups Held for Sale

7.1. Disposal of subsidiaries

2016

Disposal of Processingovyi Tsentr Rapida LLC

In December 2016 the Group entered into an agreement to sell its entire share in its non-core business Processingovyi Tsentr Rapida LLC a 100% subsidiary. Since the date of loss of control Processingovyi Tsentr Rapida LLC was deconsolidated from the Group’s financial statements.

The loss from the disposal was calculated as the difference between:

(i) The fair value of the consideration received

(ii) the carrying value of net liabilities disposed of, as of the date of the transaction

(iii) and result from disposal of indemnity asset related to subsidiary

Net liabilities of Processingovyi Tsentr Rapida LLC derecognized on disposal	230
Disposal of indemnity asset related to the subsidiary	(240	)
Loss on disposal	(10	)

Loss on disposal of Processingovyi Tsentr Rapida LLC is neutral for tax purposes.

Below are the assets and liabilities of Processingovyi Tsentr Rapida LLC as of date of disposal:

	Processingovyi Tsentr Rapida LLC
Assets:
Other current assets		13
Total assets		13
Liabilities:
Income tax payable		240
Other current liabilities		3
Total liabilities		243

7.2. Disposal Groups Held for Sale

Sale of QIWI WALLET EUROPE SIA

In December 2016 the BOD of the Group decided to sell QIWI WALLET EUROPE SIA.The subsidiary was recognized in a disposal group as of December 31, 2016 and all its assets and liabilities were classified as held for sale. Although in the end of 2017 the Group entered into a contract to sell QIWI WALLET EUROPE SIA, but, the control over the entity was not transferred as of December 31, 2017. No impairment was recognized upon reclassification of the subsidiary as a disposal group.

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Operating segments

12 Months Ended

Dec. 31, 2017

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Operating segments

8. Operating segments

In reviewing the operational performance of the Group and allocating resources, the chief operating decision maker of the Group (CODM), who is the Croup’s CEO and its ultimate controlling shareholder, reviews selected items of segment’s statement of comprehensive income.

In determining that the CODM was the CEO, the Group considered the aforementioned roles of CEO responsibilities as well as the following factors:

• The CEO determines compensation of our other executive officers while board of directors approves corporate key performance indicators (KPIs) and total bonus pool for those executive officers. In case of underperformance of corporate KPIs a right to make a final decision on bonus pool distribution is left with the BOD;

• The CEO is actively involved in the day-to-day operations of the Group and regularly chairs meetings on key projects of the Group; and

• The CEO regularly reviews the financial and operational reports of the Group. These reports primarily include segment net revenue, segment profit before tax and segment net profit for the Group as well as certain operational data (since 2017 such reports represent separately Payment Services and Consumer Financial Services operating segments and Corporate and Other).

The financial data is presented on a combined basis for all key subsidiaries and joint ventures representing the segment net revenue, segment profit before tax and segment net profit. The Group measures the performance of its operating segments by monitoring: segment net revenue, segment profit before tax and segment net profit. Segment net revenue is a measure of profitability defined as the segment revenues less segment direct costs, which include the same items as the “Cost of revenue (exclusive of depreciation and amortization)” as reported in the Group’s consolidated statement of comprehensive income, except for payroll costs. Payroll costs are excluded because, although required to maintain the Group’s operations, they are not linked to payment volume. The Group does not monitor balances of assets and liabilities by segments as CODM consider they have no impact on decision making.

The Group has identified its operating segments based on the types of products and services the Group offers. Before January 1, 2017 the Group had one operating segment as only one segment was reviewed by CODM. In 2017 the Group continued to invest in the development of new business activities, hence SOVEST instalment card project became significant. As a result, CODM started to review segment net revenue, segment profit before tax and segment net profit separately for each of the following identified reportable segments: Payment Services and Consumer Financial Services:

• Payment Services (PS), operating segment that generates revenue through operations of our payment processing system offered to our customers through a diverse range of channels and interfaces.

• Consumer Financial Services (CFS), operating segment that generates revenue through financial services rendered to individuals.

For the purpose of management reporting, expenses related to corporate back-office operations were not allocated to any operating segment and presented separately to CODM. Results of other operating segments and corporate expenses are included in Corporate and Other (CO) category for the purpose of segment reporting.

Management reporting is different from IFRS, because it does not include certain IFRS adjustments, which are not analyzed by the CODM in assessing the operating performance of the business. The adjustments affect such major areas as deferred taxation, share-based payments, foreign exchange gain/(loss) from revaluation of cash proceeds received from secondary public offering, effect from disposal of subsidiaries and fair value adjustments amortization and impairment thereof, as well as non-recurring items.

The segments’ statement of comprehensive income for the years ended December 31, 2015, 2016 and 2017, as presented to the CODM are presented below:

	2017
	PS		CFS			CO			Total
Segment net revenue		12,580		9			604			13,193
Segment profit/(loss) before tax		8,795		(2,704	)		(1,273	)		4,818
Segment net profit/(loss)		7,543		(2,164	)		(1,325	)		4,054

	2015*							2016*
	PS		CO			Total		PS		CFS			CO			Total
Segment net revenue		10,198		30			10,228		10,583		(3	)		31			10,611
Segment profit/(loss) before tax		6,066		(995	)		5,071		6,454		(259	)		(605	)		5,590
Segment net profit/(loss)		5,242		(1,100	)		4,142		5,612		(219	)		(679	)		4,714

* For comparative purposes 2015 and 2016 segment information is presented in 2017 format.

Segment net revenue, as presented to the CODM, for the years ended December 31, 2015, 2016 and 2017 is calculated by subtracting cost of revenue (exclusive of depreciation and amortization) from revenue and adding back payroll and related taxes as presented in the table below:

	2015			2016			2017
Revenue under IFRS		17,717			17,880			20,897
Cost of revenue (exclusive of depreciation and amortization)		(8,695	)		(8,646	)		(9,763	)
Payroll and related taxes		1,206			1,377			2,059
Total segment net revenue, as presented to CODM		10,228			10,611			13,193

A reconciliation of segment profit before tax to IFRS consolidated profit before tax of the Group, as presented to the CODM, for the years ended December 31, 2015, 2016 and 2017 is presented below:

	2015			2016		2017
Consolidated profit before tax under IFRS		6,151			3,107		3,840
Amortization of fair value adjustments to intangible assets recorded on acquisitions		270			396		344
Share – based payments		88			224		398
Foreign exchange gain/(loss) from revaluation of cash proceeds received from secondary public offering		(1,476	)		975		236
Impairment of intangible assets recorded on acquisitions		—			878		—
Loss on disposal of subsidiaries, net		38			10		—
Total segment profit before tax, as presented to CODM		5,071			5,590		4,818

A reconciliation of segment net profit to IFRS consolidated net profit of the Group, as presented to the CODM, for the years ended December 31, 2015, 2016 and 2017 is presented below:

	2015			2016			2017
Consolidated net profit under IFRS		5,274			2,489			3,142
Amortization of fair value adjustments to intangible assets recorded on acquisitions		270			396			344
Share – based payments		88			224			398
Foreign exchange gain/(loss) from revaluation of cash proceeds received from secondary public offering		(1,476	)		975			236
Impairment of intangible assets recorded on acquisitions		—			878			—
Loss on disposal of subsidiaries, net		38			10			—
Effect from taxation of the above items		(52	)		(258	)		(66	)
Total segment net profit, as presented to CODM		4,142			4,714			4,054

Geographic information

Revenues from external customers are presented below:

	2015		2016		2017
Russia		13,737		13,274		15,556
CIS		1,019		1,099		1,098
EU		566		807		989
Other		2,395		2,700		3,254
Total revenue per consolidated statement of comprehensive income		17,717		17,880		20,897

Revenue is recognized according to merchants’ geographic place. The majority of the Group’s non-current assets is located in Russia.

The Group does not have any single external customer amounting to 10% or greater of the Group’s revenue for the years ended December 31, 2017, 2016 and 2015.

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Earnings per share

12 Months Ended

Dec. 31, 2017

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Earnings per share

9. Earnings per share

Basic earnings per share amounts are calculated by dividing net profit for the year attributable to ordinary equity holders of the parent by the weighted average number of ordinary shares outstanding during the year.

Diluted earnings per share amounts are calculated by dividing the net profit attributable to ordinary equity holders of the parent adjusted for the effect of any potential share exercise by the weighted average number of ordinary shares outstanding during the year plus the weighted average number of ordinary shares that would be issued on conversion of all the dilutive potential ordinary shares into ordinary shares.

The following reflects the income and share data used in basic and diluted earnings per share computations for the years ended December 31:

	2015		2016		2017
Net profit attributable to ordinary equity holders of the parent for basic earnings		5,187		2,474		3,114
Weighted average number of ordinary shares for basic earnings per share		57,819,164		60,477,840		60,755,706
Effect of share-based payments		147,851		167,197		404,357
Weighted average number of ordinary shares for diluted earnings per share		57,967,015		60,645,037		61,160,063
Earnings per share:
Basic, profit attributable to ordinary equity holders of the parent		89.72		40.91		51.25
Diluted, profit attributable to ordinary equity holders of the parent		89.49		40.79		50.92

There have been no other transactions involving ordinary shares or potential ordinary shares between the reporting date and the date of completion of these financial statements.

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Property and equipment

12 Months Ended

Dec. 31, 2017

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Property and equipment

10. Property and equipment

	Processing servers and engineering equipment			Computers and office equipment			Other equipment			Construction in progress (CIP) and Advances for equipment			Total
Cost
Balance as of December 31, 2015		498			71			92			15			676
Transfer between groups		11			—			—			(11	)		—
Additions		215			19			76			78			388
Disposals		(27	)		2			(6	)		—			(31	)
Foreign currency translation		(2	)		(1	)		—			(1	)		(4	)
Balance as of December 31, 2016		695			91			162			81			1,029
Transfer between groups		77			1			—			(78	)		—
Additions		196			45			16			108			365
Disposals		(146	)		(7	)		(4	)		—			(157	)
Balance as of December 31, 2017		822			130			174			111			1,237
Accumulated depreciation and impairment:
Balance as of December 31, 2015		(234	)		(42	)		(34	)		—			(310	)
Depreciation charge		(113	)		(17	)		(19	)		—			(149	)
Disposals		20			(3	)		6			—			23
Foreign currency translation		(1	)		1			—			—			—
Balance as of December 31, 2016		(328	)		(61	)		(47	)		—			(436	)
Depreciation charge		(150	)		(21	)		(35	)		—			(206	)
Disposals		122			6			1			—			129
Balance as of December 31, 2017		(356	)		(76	)		(81	)		—			(513	)
Net book value
As of December 31, 2015		264			29			58			15			366
As of December 31, 2016		367			30			115			81			593
As of December 31, 2017		466			54			93			111			724

As of December 31, 2017, the gross book value of fully depreciated assets is equal to 184 (2016 – 141).

In August 2017, the Group has executed a series of transactions to acquire the trade marks, computer software and hardware of Tochka and Rocketbank from Otkritie Bank (see Notes 11, 14 and 24).

In 2017 the Group purchased the property plant and equipment in the amount of 104 from Otkritie bank.

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Intangible assets

12 Months Ended

Dec. 31, 2017

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Intangible assets

11. Intangible assets

Cost:	Goodwill		Licenses			Computer Software			Customer relationships			Trade marks			Contract rights			Advances for intangibles, CIP and others			Total
Balance as of December 31, 2015		6,285		284			898			5,326			216			295			11			13,315
Additions		—		—			182			—			—			—			110			292
Additions from business combinations		—		—			—			12			—			—			—			12
Transfer between groups		—		—			3			—			—			—			(3	)		—
Disposals		—		—			(173	)		—			—			—			(6	)		(179	)
Balance as of December 31, 2016		6,285		284			910			5,338			216			295			112			13,440
Additions		—		—			244			—			—			—			240			484
Transfer between groups		—		—			54			—			—			—			(54	)		—
Disposals		—		(101	)		(125	)		(12	)		—			(295	)		(99	)		(632	)
Balance as of December 31, 2017		6,285		183			1,083			5,326			216			—			199			13,292
Accumulated Amortization:
Balance as of December 31, 2015		—		—			(368	)		(371	)		(23	)		(295	)		(4	)		(1,061	)
Amortization charge		—		(28	)		(233	)		(345	)		(40	)		—			(1	)		(647	)
Impairment		—		(31	)		(8	)		(820	)		(27	)		—			—			(886	)
Disposals		—		—			173			—			—			—			3			176
Balance as of December 31, 2016		—		(59	)		(436	)		(1,536	)		(90	)		(295	)		(2	)		(2,418	)
Amortization charge		—		(42	)		(220	)		(286	)		(36	)		—			(6	)		(590	)
Impairment		—		—			—			(8	)		—			—			(96	)		(104	)
Disposals		—		101			120			12			2			295			97			627
Balance as of December 31, 2017		—		—			(536	)		(1,818	)		(124	)		—			(7	)		(2,485	)
Net book value
As of December 31, 2015		6,285		284			530			4,955			193			—			7			12,254
As of December 31, 2016		6,285		225			474			3,802			126			—			110			11,022
As of December 31, 2017		6,285		183			547			3,508			92			—			192			10,807

As of December 31, 2017, the gross book value of fully amortized intangible assets is equal to 169 (2016 – 109).

In 2017 the Group purchased the intangible assets in the amount of 254 from Otkritie bank.

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Impairment testing of goodwill and intangible assets

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Impairment testing of goodwill and intangible assets

12. Impairment testing of goodwill and intangible assets

Goodwill

In 2017 following the legal merger of NKO Rapida to QIWI Bank the Group combined JSC QIWI, Visa QIWI Wallet and Rapida CGUs into one CGU – Payment Services. Considering launching of new projects and acquiring new assets in 2017 the Group identified following new significant CGU’s: SOVEST, Postomatnye Tekhnologii, Tochka, Rocketbank, New Terminal and Flocktory.

As of December 31, 2017 the Group considers that goodwill which was allocated and tested for impairment at the group of CGU - JSC QIWI, Visa QIWI Wallet and Rapida – is attributable to Payment services CGU, which carrying amount was equal to 6,285 (2016 - 6,285). For the purpose of goodwill impairment test the Company estimated the recoverable amount of the Payment services CGU as fair value less costs of disposal on the basis of quoted prices of the Company’s ordinary shares (Level 1). As a result of annual impairment test the Group did not identify any impairment as of December 31, 2016 and 2017.

Intangible assets with indefinite useful life

As of December 31, 2017, the carrying amount of intangible assets with an indefinite useful life (licenses for banking operations, which are expected to be renewed indefinitely) is recognized with a value of 183 (2016 - 183). Intangible assets with an indefinite useful life were recorded by the Group at the date of acquisition of QIWI Bank JSC.

For the purpose of the impairment test of the intangible assets with indefinite useful life, the Company estimated the recoverable amounts of each asset as fair value less costs of disposal on the basis of comparative method and cost approach. Under the valuation using the comparative method the Group considered similar third-party’s transactions for acquisition of banks or bank organization that holds licenses identical to the Group’s ones. Under the valuation using the cost approach the Group considered outflows required to meet the requirements for a minimum amount of equity to be held by the bank or bank organization with licenses similar to the Group ones according to current legislation (Level 3).

The key assumption used in fair value less cost of disposal calculations is expected outflows to acquire license on the open market.

All assumptions are determined using observable market data and publicly available information of the cash transactions of the third-parties.

The Group performed an annual impairment test of Qiwi Bank’s license as of December 31, 2017 and as of December 31, 2016, but no impairment was identified. Reasonably possible changes in any valuation parameters would not result in impairment of intangible assets with indefinite useful life.

Intangible assets with definite useful life

For the purpose of the impairment test on other intangible assets the Company estimated the recoverable amounts as the higher of value in use or fair value less costs to sell of an individual asset or CGU this asset relates.

As of December 31, 2016 the Group identified the impairment indicators of intangible assets allocated to Rapida LTD CGU performed an impairment test of this CGU before the Goodwill testing, which indicated that there is impairment as of the reporting date in the amount of 847. As of December 31, 2017 the Group identifed the impairment indicators of New terminal CGU and completely impaired it by the amount of 89.

An analysis and movement of net book value of goodwill and indefinite life licenses acquired through business combinations, as included in the intangible assets (Note 11), is as follows:

As of December 31, 2015	6,569
Transfer to intangible assets with definite useful life	(101	)
As of December 31, 2016	6,468
Transfer to intangible assets with definite useful life	—
As of December 31, 2017	6,468

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Long-term and short-term loans issued

12 Months Ended

Dec. 31, 2017

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Long-term and short-term loans issued

13. Long-term and short-term loans issued

As of December 31, 2017, long-term and short-term loans issued consisted of the following:

	Total as of December 31, 2017		Provision for impairment of loans			Net as of December 31, 2017
Long-term loans
Loans to individuals		1		—			1
Loans to legal entities		166		(3	)		163
Total long-term loans		167		(3	)		164
Short-term loans
Loans to financial institutions		3		(3	)		—
Loans to legal entities		94		(93	)		1
Instalment Card Loans*		1,912		(222	)		1,690
Total short-term loans		2,009		(318	)		1,691

* Instalment Card Loans are primarily represented by new consumer oriented payment-by instalments card project, developed to stimulate customers to purchase goods and services on credit from a particular list of partner merchants (retail chains) within the range of credit limits established individually. These credit limits may be increased or decreased from time-to-time based on management decision. Instalment period is settled from 1 to 12 months depending on merchant. Instalment Card Loans are not collateralized.

As of December 31, 2016, long-term and short-term loans consisted of the following:

	Total as of December 31, 2016		Provision for impairment of loans			Net as of December 31, 2016
Long-term loans
Loans to individuals		7		—			7
Loans to legal entities		113		—			113
Total long-term loans		120		—			120
Short-term loans
Loans to financial institutions		3		(3	)		—
Loans to individuals		17		—			17
Loans to legal entities		115		(113	)		2
Total short-term loans		135		(116	)		19

As of December 31, 2017, the provision for impairment of loans movement was the following:

	Provision for impairment of loans as of December 31, 2016			(Charge)/ reversal for the year			Utilisation		Provision for impairment of loans as of December 31, 2017
Instalment Card Loans		—			(222	)		—		(222	)
Loans to legal entities		(113	)		3			14		(96	)
Loans to financial institutions		(3	)		—			—		(3	)
Total		(116	)		(219	)		14		(321	)

As of December 31, 2016, the provision for impairment of loans movement was the following:

	Provision for impairment of loans as of December 31, 2015			Charge for the year			Utilisation		Provision for impairment of loans as of December 31, 2016
Loans to legal entities		(199	)		(53	)		139		(113	)
Loans to financial institutions		(3	)		—			—		(3	)
Total		(202	)		(53	)		139		(116	)

Analysis of loans by credit quality is as follows:

	December 31, 2017											December 31, 2016
	Instalment Card Loans			Loans to individuals		Loans to legal entities			Loans to credit institutions			Loans to individuals		Loans to legal entities			Loans to credit institutions
Loans assessed individually		—			1		260			3			24		228			3
Loans assessed collectively:
- non-overdue		1,668			—		—			—			—		—			—
- up to 30 days overdue		88			—		—			—			—		—			—
- 30 to 60 days overdue		35			—		—			—			—		—			—
- 60 to 90 days overdue		25			—		—			—			—		—			—
- over 90 days overdue		96			—		—			—			—		—			—
Less: Provision for loan impairment		(222	)		—		(96	)		(3	)		—		(113	)		(3	)
Total loans issued		1,690			1		164			—			24		115			—

The primary factor that the Group considers in determining whether a financial asset is impaired is its overdue status. A loan is considered overdue when the borrower fails to make any payment due under the loan at the reporting date. In this case an overdue amount is recognized as the aggregate amount of all amounts due from borrower under the respective loan agreement including accrued interest and commissions.

As defined by the Group for the purposes of internal credit risk assessment, loans fall into the “non-performing” category when a principal and/or interest payment becomes more than 90 days overdue. As of December 31, 2017 and December 31, 2016, the Group had no overdue but not impaired loans.

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Trade and other receivables

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Trade and other receivables

14. Trade and other receivables

As of December 31, 2017, trade and other receivables consisted of the following:

	Total as of December 31, 2017		Provision for impairment of receivables			Net as of December 31, 2017
Cash receivable from agents		4,666		(426	)		4,240
Deposits issued to merchants		3,919		(13	)		3,906
Comissions receivable		827		(18	)		809
Advances issued		240		(1	)		239
Rent receivables		101		(73	)		28
Other receivables*		440		(14	)		426
Total trade and other receivables		10,193		(545	)		9,648

* As of December 31, 2017 the other receivables includes the amount of 336 from Otkritie bank for assets with incomplete transfer of ownership (see Note 10 and 11).

As of December 31, 2016, trade and other receivables consisted of the following:

	Total as of December 31, 2016		Provision for impairment of receivables			Net as of December 31, 2016
Cash receivable from agents		3,657		(659	)		2,998
Deposits issued to merchants		2,318		(3	)		2,315
Comissions receivable		162		(7	)		155
Advances issued		144		(1	)		143
Rent receivables		106		(95	)		11
Other receivables		71		(14	)		57
Total trade and other receivables		6,458		(779	)		5,679

The ageing analysis of trade receivables that are past due but not impaired as of December 31, 2017 are presented below:

			Ageing of receivables (days)
As of December 31, 2017	Total		<30		30-60		60-90		90-180		180-360		>360
Cash receivable from agents		4,240		4,217		20		1		0		2		0
Comissions receivable		809		797		5		5		–		1		1
Rent receivables		28		19		6		2		1		–		–
Total trade and other receivables		5,077		5,033		31		8		1		3		1

The ageing analysis of trade receivables that are past due but not impaired as of December 31, 2016 are presented below:

			Ageing of receivables (days)
As of December 31, 2016	Total		<30		30-60		60-90		90-180		180-360		>360
Cash receivable from agents		2,998		2,568		423		1		3		1		2
Comissions receivable		155		141		10		1		2		1		—
Rent receivables		11		7		3		1		—		—		—
Total trade and other receivables		3,164		2,716		436		3		5		2		2

For the year ended December 31, 2017, the provision for impairment of receivables movement was the following:

	Provision for impairment of receivables as of December 31, 2016			(Charge)/ reversal for the year			Utilisation		Provision for impairment of receivables as of December 31, 2017
Cash receivable from agents		(659	)		16			217		(426	)
Deposits issued to merchants		(3	)		(11	)		1		(13	)
Comissions receivable		(7	)		(11	)		—		(18	)
Advances issued		(1	)		—			—		(1	)
Rent receivables		(95	)		10			12		(73	)
Other receivables		(14	)		(5	)		5		(14	)
Total trade and other receivables		(779	)		(1	)		235		(545	)

For the year ended December 31, 2016, the provision for impairment of receivables movement was the following:

	Provision for impairment of receivables as of December 31, 2015			(Charge)/ reversal for the year			Utilisation		Provision for impairment of receivables as of December 31, 2016
Cash receivable from agents		(660	)		(125	)		126		(659	)
Deposits issued to merchants		(1	)		(2	)		—		(3	)
Comissions receivable		(21	)		(1	)		15		(7	)
Advances issued		(1	)		—			—		(1	)
Rent receivables		(95	)		(15	)		15		(95	)
Other receivables		(16	)		1			1		(14	)
Total trade and other receivables		(794	)		(142	)		157		(779	)

For the year ended December 31, 2015, the provision for impairment of receivables movement was the following:

	Provision for impairment of receivables as of December 31, 2014			(Charge)/ reversal for the year			Utilisation		Provision for impairment of receivables as of December 31, 2015
Cash receivable from agents		(506	)		(204	)		50		(660	)
Deposits issued to merchants		(6	)		(1	)		6		(1	)
Comissions receivable		(3	)		(19	)		1		(21	)
Advances issued		(2	)		1			—		(1	)
Rent receivables		(29	)		(70	)		4		(95	)
Other receivables		(18	)		(6	)		8		(16	)
Total trade and other receivables		(564	)		(299	)		69		(794	)

Receivables are non-interest bearing, except for agent receivables bearing interest rate of 16%-36% per annum and credit terms generally do not exceed 30 days. There is no requirement for collateral for customer to receive credit.

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Cash and cash equivalents

12 Months Ended

Dec. 31, 2017

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Cash and cash equivalents

15. Cash and cash equivalents

As of December 31, 2017 and 2016, cash and cash equivalents consisted of the following:

	As of December 31, 2016		As of December 31, 2017
Correspondent accounts with Central Bank of Russia (CBR)		1,877		6,522
Correspondent accounts with other banks		2,789		2,890
Short-term CBR deposits		9,201		6,500
Other short-term bank deposits		3,857		1,322
RUB denominated cash with banks and on hand		294		600
Other currency denominated cash with banks and on hand		979		572
Total cash and cash equivalents		18,997		18,406

Cash and short-term investments are placed in financial institutions or financial instruments, which are considered to have minimal risk of default as of date of approval of these financial statements.

The Company received the guarantee and secured it by cash deposit of 2.5 mln U.S.$ until July 31, 2018.

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Other current assets

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Other current assets

16. Other current assets

As of December 31, 2017 and 2016, other current assets consisted of the following:

	As of December 31, 2016		As of December 31, 2017
Indemnification asset		60		30
Reserves at CBR*		312		229
Prepaid expenses		204		99
VAT and other taxes receivable		22		51
Other		63		49
Total other current assets		661		458

* Banks are currently required to post mandatory reserves with the CBR to be held in non-interest bearing accounts. Starting from August 1, 2016, such mandatory reserves established by the CBR constitute 5% for liabilities in RUR and 6-7% for liabilities in foreign currency. The amount is excluded from cash and cash equivalents for the purposes of cash flow statement and does not have a repayment date.

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Share capital, additional paid-in capital, share premium and other reserves

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Share capital, additional paid-in capital, share premium and other reserves

17. Share capital, additional paid-in capital, share premium and other reserves

The Capital of the Company is divided by two classes. Each class A share has the right to ten votes at a meeting of shareholders and each class B share has the right to one vote at a meeting of shareholders. The class A shares and the class B shares have the right to an equal share in any dividend or other distribution the Company pays and have nominal of EUR 0.0005 each.

Authorised shares	As of December 31, 2015		As of December 31, 2016		As of December 31, 2017
	Thousands		Thousands		Thousands
Ordinary Class A shares		133,017		133,017		131,778
Ordinary Class B shares		97,833		97,833		99,072
Total authorised shares		230,850		230,850		230,850

Issued and fully paid shares	As of December 31, 2015		As of December 31, 2016		As of December 31, 2017
	Thousands		Thousands		Thousands
Ordinary Class A shares		15,517		15,517		14,278
Ordinary Class B shares		44,902		45,080		46,655
Total issued and fully paid shares		60,419		60,597		60,933

For the year ended December 31, 2017 and 2016 the share capital and share premium movement was the following:

	Number of issued shares		Share capital		Share premium
	Thousands
As of December 31, 2015		60,419		1		12,068
Increase of share capital due to exercise of options by employees during the year		178		—		—
As of December 31, 2016		60,597		1		12,068
Increase of share capital due to exercise of options by employees during the year		336		—		—
As of December 31, 2017		60,933		1		12,068

In case of liquidation, the Company’s assets remaining after settlement with creditors, payment of dividends and redemption of the par value of shares is distributed among the ordinary shareholders proportionately to the number of shares owned.

The other reserves of the Group’s equity represent the financial effects from changes in equity settled share-based payments to employees, acquisitions and disposals, as well as other operations with non-controlling interests in the subsidiaries without loss of control.

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Borrowings

12 Months Ended

Dec. 31, 2017

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Borrowings

18. Borrowings

During the year ended December 31, 2017 the Group had available overdraft credit facilities with an overall credit limit of 1,460, with maturity from May 2018 to June 2020, and interest rate of up to 30% per annum. The balance payable under these credit lines as of December 31, 2017 was zero. Some of these agreements stipulated the right of a lender to increase the interest rate in case the covenants are violated.

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Trade and other payables

12 Months Ended

Dec. 31, 2017

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Trade and other payables

19. Trade and other payables

As of December 31, 2017 and 2016, the Group’s trade and other payables consisted of the following:

	As of December 31, 2016		As of December 31, 2017
Payables to merchants		6,696		9,178
Deposits received from agents		4,030		3,638
Deposits received from individual customers		3,961		4,726
Payment processing fees payable		504		469
Unsettled money remittances		433		586
Accrued personnel expenses and related taxes		323		353
Payables to vendors		338		536
Payables for rent		24		37
Other advances received		19		76
Total trade and other payables		16,328		19,599

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Customer accounts and amounts due to banks

12 Months Ended

Dec. 31, 2017

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Customer accounts and amounts due to banks

20. Customer accounts and amounts due to banks

As of December 31, 2017 and 2016, customer accounts and amounts due to banks consisted of the following:

	As of December 31, 2016		As of December 31, 2017
Due to banks		1,207		1,390
Due to individuals		34		110
Due to legal entities		1,101		1,571
Term deposits		—		111
Total customer accounts and amounts due to banks		2,342		3,182

Customer accounts and amounts due to banks bear the interest of up to 7% and are due on demand exept for term deposits which duration are contracted.

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Investment in joint ventures

12 Months Ended

Dec. 31, 2017

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Investment in joint ventures

21. Investment in joint ventures

The Group has a single joint venture: Flocktory Ltd with subsidiaries (see Note 6). Three parties exercising joint control over this entity make unanimous decisions on major issues, including distribution and payment of dividends.

The Group’s interest in Flocktory joint venture is accounted for using the equity method in the consolidated financial statements.

The following table illustrates summarized financial information of the Group’s investment in Flocktory joint venture:

	As of December 31, 2017
Share of the joint venture companies’ statement of financial position:
Non-current assets		666
Current assets		125
including cash and cash equivalents		80
Current liabilities		(11	)
including financial liabilities		(9	)
Net assets		780
Group’s share (82%) of net assets		640
Goodwill		192
Carrying amount of investment in joint venture companies		832

Share of the joint venture’s revenue and net income for year ended December 31, 2017:

Revenue	187
Cost of revenues	(79	)
Other income and expenses, net	(107	)
including selling, general and administrative expenses	(55	)
including depreciation and amortization	(59	)
Total comprehensive income	1
Group’s share (82%) of total comprehensive income	1

The Group tested its investment into Flocktory joint venture as at December 31, 2017 and found no impairment indicators.

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Revenue

12 Months Ended

Dec. 31, 2017

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Revenue

22. Revenue

Revenue for the years ended December 31 was as follows:

	2015		2016		2017
Payment processing fees		14,935		16,289		18,575
Interest revenue		731		899		1,052
Cash and settlement services		557		130		670
Other revenue		1,494		562		600
Total revenue		17,717		17,880		20,897

For the purposes of consolidated cash flow statement, “Interest income, net” consists of the following:

	2015			2016			2017
Interest revenue		(731	)		(899	)		(1,052	)
Interest expense classified as part of cost of revenue		79			37			42
Interest income from non-banking loans classified separately in the consolidated statement of comprehensive income		(16	)		(36	)		(35	)
Interest expense from non-banking loans classified separately in the consolidated statement of comprehensive income		109			64			29
Interest income, net, for the purposes of consolidated cash flow statement		(559	)		(834	)		(1,016	)

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Cost of revenue (exclusive of depreciation and amortization)

12 Months Ended

Dec. 31, 2017

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Cost of revenue (exclusive of depreciation and amortization)

23. Cost of revenue (exclusive of depreciation and amortization)

Cost of revenue (exclusive of depreciation and amortization) for the years ended December 31 was as follows:

	2015		2016		2017
Transaction costs		6,300		6,490		6,756
Payroll and related taxes		1,206		1,377		2,059
Other expenses		1,189		779		948
Total cost of revenue (exclusive of depreciation and amortization)		8,695		8,646		9,763

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Selling, general and administrative expenses

12 Months Ended

Dec. 31, 2017

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Selling, general and administrative expenses

24. Selling, general and administrative expenses

Selling, general and administrative expenses for the years ended December 31 were as follows:

	2015*		2016*		2017
Compensation to employees, related taxes and other personnel expenses		1,511		1,682		2,227
Rent of premises and related utility expenses		338		346		391
Bad debt expense		362		215		220
Advertising, client acquisition and related expenses		242		165		1,294
Advisory and audit services		357		297		433
Tax expenses, except of income and payroll relates taxes		155		175		407
IT related services		176		180		236
Other expenses		328		363		1,035
Total selling, general and administrative expenses		3,469		3,423		6,243

* Since 1 January 2017, general and administrative expenses have been revised to present more detailed classification of items based on their nature to provide the users of the financial statements with more relevant information. Certain comparative amounts have been reclassified to conform to the current period’s presentation.

In 2017 as result of the transaction with Otkritie bank (See Note 10, 11, 14) the Group recognized losses of 350 and included this amount in other expenses.

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Dividends paid and proposed

12 Months Ended

Dec. 31, 2017

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Dividends paid and proposed

25. Dividends paid and proposed

Dividends paid and proposed by the Group to the shareholders of the parent are presented below:

	2015		2016		2017
Proposed, declared and approved during the year:
2017: Final dividend for 2016: U.S.$ 11,520,798, Interim dividend for 2017: U.S.$ 26,113,788 (2016: Final dividend for 2015: U.S.$ 30,210,153, Interim dividend for 2016: U.S.$ 39,943,003 2015: Interim dividend for 2015: U.S.$ 13,640,343)		694		4,843		2,207
Paid during the period*:
2017: Final dividend for 2016: U.S.$ 11,520,798, Interim dividend for 2017: U.S.$ 26,113,788 (2016: Final dividend for 2015: U.S.$ 30,210,153, Interim dividend for 2016: U.S.$ 39,943,003 2015: Interim dividend for 2015: U.S.$ 13,640,343)		699		4,628		2,148
Proposed for approval (not recognized as a liability as of December 31):
2017: nill 2016: Final dividend for 2016: U.S.$ 11,513,436 2015: Final dividend for 2015: U.S.$ 30,209,301		2,237		679		—
Dividends payable as of December 31		—		—		—

* The difference between paid and declared dividends represents foreign exchange movement

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Income tax

12 Months Ended

Dec. 31, 2017

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Income tax

26. Income tax

The Company is incorporated in Cyprus under the Cyprus Companies Law, but the business activity of the Group and joint ventures is subject to taxation in multiple jurisdictions, the most significant of which include:

Cyprus

The Company is subject to 12.5% corporate income tax applied to its worldwide income.

Gains from the sale of securities/titles (including shares of companies) either in Cyprus or abroad are exempt from corporate income tax in Cyprus. Capital gains tax is levied at a rate of 20% on profits from disposal of immovable property situated in Cyprus or of shares in companies which own immovable property situated in Cyprus (unless the shares are listed on a recognized stock exchange).

Dividends received from a non-resident (foreign) company are exempt from the levy of defence contribution if either the dividend paying company derives at least 50% of its income directly or indirectly from activities which do not lead to investment income (“active versus passive investment income test” is met) or the foreign tax burden on the profit to be distributed as dividend has not been substantially lower than the Cypriot corporate income tax rate (i.e. lower than 6.25%) at the level of the dividend paying company (“effective minimum foreign tax test” is met). The Company has not been subject to defence tax on dividends received from abroad as the dividend paying entities are engaged in operating activities.

The Russian Federation

The Company’s subsidiaries incorporated in the Russian Federation are subject to corporate income tax at the standard rate of 15% applied to income received from Russia government bonds and 20% applied to their other taxable income. Withholding tax of 15% is applied to any dividends paid out of Russia, reduced to as low as 5% for some countries (including Cyprus), with which Russia has double-taxation treaties.

Kazakhstan

The Company’s subsidiary incorporated in Kazakhstan is subject to corporate income tax at the standard rate of 20% applied to their taxable income.

Deferred income tax assets and liabilities as of December 31, 2017 and 2016, relate to the following:

	Consolidated statement of financial position as of December 31						Consolidated statement of profit or loss for the year ended
	2017			2016			2017			2016
Intangible assets		(719	)		(784	)		65			265
Trade and other payables		166			130			36			9
Trade and other receivables		101			138			(37	)		(20	)
Loans issued		48			27			21			7
Taxes on unremitted earnings		(184	)		(75	)		(109	)		19
Other		7			(17	)		24			(27	)
Net deferred income tax asset/(liability)		(581	)		(581	)		–			253
including:
Deferred tax asset		245			270
Deferred tax liability		(826	)		(851	)

Deferred tax assets and liabilities are not offset because they do not relate to income taxes levied by the same tax authority on the same taxable entity.

Reconciliation of deferred income tax asset/(liability), net:

	2015			2016			2017
Deferred income tax asset/(liability), net as of January 1		203			(834	)		(581	)
Effect of acquisitions of subsidiaries		(1,037	)		–			–
Deferred tax benefit/(expense)		–			253			–
Deferred income tax asset/(liability), net as of December 31		(834	)		(581	)		(581	)

As of December 31, 2017 the Group does not intend to distribute a portion of its accumulated undistributed foreign earnings in the amount of 2,473 (2016 – 2,690). The amount of tax that the Group would pay to distribute them would be 124 (2016 – 149). Unremitted earnings include all earning that were recognized by the Group’s subsidiaries and that are expected to be distributed to the holding company.

For the year ended December 31 income tax expense included:

	2015			2016			2017
Total tax expense
Current income tax expense		(877	)		(871	)		(698	)
Deferred tax benefit/(expense)		–			253			–
Income tax expense for the year		(877	)		(618	)		(698	)

Theoretical and actual income tax expense is reconciled as follows:

	2015			2016			2017
Profit before tax		6,151			3,107			3,840
Theoretical income tax expense at the domestic rate in each individual jurisdiction		(802	)		(278	)		(370	)
(Increase)/decrease resulting from the tax effect of:
Non-taxable income		200			39			12
Non-deductible expenses		(105	)		(269	)		(222	)
Income tax associated with earnings of foreign subsidiaries		(102	)		(95	)		(109	)
Unrecognized deferred tax assets		(68	)		(15	)		(9	)
Total income tax expense		(877	)		(618	)		(698	)

During the year ended December 31, 2017 the Group did not recognize deferred tax assets related to the tax loss carry forward in the amount of 9 (2016 – 15, 2015—68) because the Group did not believe that the realization of the related deferred tax assets is probable.

Non-taxable income for the year ended December 31, 2015 comprised mainly of foreign exchange gain from revaluation of cash proceeds received from secondary public offering which is tax neutral according to the appropriate tax law. No such gains occurred for the years ended December 31, 2017 and December 31, 2016.

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Commitments, contingencies and operating risks

12 Months Ended

Dec. 31, 2017

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Commitments, contingencies and operating risks

27. Commitments, contingencies and operating risks

Operating environment

Russia continues economic reforms and development of its legal, tax and regulatory frameworks as required by a market economy. The future stability of the Russian economy is largely dependent upon these reforms and developments and the effectiveness of economic, financial and monetary measures undertaken by the government.

As Russia is Group’s main country of operation, it is particularly exposed to fluctuations and problems that arise in the Russian economy. Emerging markets, such as Russia, are subject to greater risks than more developed markets, including significant legal, economic and political risks. Emerging economies are subject to rapid change, and therefore the information set out herein may become outdated relatively quickly.

Chief among the challenges currently facing the Russian economy are (i) the ongoing crisis in Eastern Ukraine, (ii) the deterioration of Russia’s relationships with many Western countries, (iii) the economic and financial sanctions imposed by the U.S., EU, Canada and other countries in connection with these events on certain Russian companies, individuals, and entire sectors of Russian economy, (iv) a steep decline in oil prices in preceding years, and (v) a consequent record weakening of the Russian ruble against the U.S. dollar. The lack of access to financing for Russian issuers, capital flight and a general climate of political and economic uncertainty are additional difficulties constricting Russian business at this time. Moreover, certain sanctions, as of now only imposed by Ukraine, and Russian countersanctions instituted in response to such sanctions, directly target payment services providers. There can be no assurance that additional sanctions affecting the payments of financial services business will not be imposed by Russia or other countries in which the Group operates. In addition, a number of Western businesses have curtailed or suspended activities in Russia or dealings with Russian counterparts for reputational reasons, even though currently such activities and dealings are not prohibited by the sanctions. An expansion of the existing sanctions or introduction of new sanctions, sanctions specifically targeting the Group, its management or its shareholders, or targeting the sector generally, could affect the Group’s business as its international customers, suppliers, shareholders and other business partners may change their relationship with the Group for compliance, political, reputational or other reasons.

Some of our agents, merchants or Tochka’s SME clients, although mostly not incorporated in Crimea, may have operations there. Further, before the introduction of the corresponding sanctions the Group has had direct contacts with several Crimea banks that are registered as financial legal entities in Crimea, currently such banks may continue to operate as the Group’ agents or merchants. Overall the share of the Group’ business that comes from such counterparties is insignificant. On December 19, 2014, U.S. President Obama signed a new executive order imposing comprehensive sanctions on the Crimea region. The EU has similarly introduced a broad set of sanctions through the Council Regulation (EU) 692/2014 as amended by Regulation (EU) 1351/2014. To date, management does not believe that any of the current sanctions as in force limit the Group’ ability to work with entities that may have operations in Crimea or operate in Crimea. Nevertheless, if the Group is deemed to be in violation of any sanctions currently in place or if any new or expanded sanctions are imposed on Russian businesses operating in Crimea by the U.S., EU, or other countries the Group’s business and results of operations may be materially adversely affected.

In the ordinary course of our business, the Group may accept payments from consumers who either directly or indirectly interact with certain entities that are the targets of U.S. sanctions. The Group operates primarily within the Russian financial system and, accordingly, many of its customers have accounts at banks in Russia. The U.S., EU and other countries have adopted a package of economic restrictive measures imposing certain sanctions on the operations of various Russian banks, including VTB Bank and Gazprombank. Some subsidiaries of the Company hold bank accounts in the aforementioned banks as well as have overdrafts and bank guarantees in VTB Bank. Other Russian banks, including Bank Rossiya, SMP Bank, Investcapitalbank and Sobinbank, have also been designated by OFAC and are subject to U.S. economic sanctions. Tempbank was also designated due to its dealings with the Syrian government. Management is monitoring these developments in the current environment and taking actions where appropriate. These and any further possible negative developments in Ukraine could adversely impact the results and financial position of the Group in a manner not currently determinable.

Furthermore, U.S. sanctions may be extended to any person that U.S. authorities determine has materially assisted, provided financial, material, or technological support to, or provided goods or services in support of, any sanctioned individuals or entities. For example, the Group may be deemed to be associated with U.S.- designated banks due to its accepting payments for them from consumers in the ordinary course of its business, even though the Group may not have any direct contract relationships with them. There can be no assurance that the U.S. Government would not view such activities as meeting the criteria for U.S. economic sanctions. In addition, because of the nature of the Group’s business, the Group does not generally identify its customers where there is no express requirement to do so under Russian anti-money laundering legislation. Therefore, the Group is not always able to screen them against the “Specially Designated Nationals and Blocked Persons List” published by OFAC or other sanctions lists.

The crisis in Ukraine is ongoing and could escalate. Were full-fledged hostilities to break out between Ukraine and Russia, significant economic disruption would likely result and further calls from the Western countries for a comprehensive sanction regime that would further isolate Russia from the world economy. The current civil unrest in eastern Ukraine, if no resolution is forthcoming, may alone lead to the further strengthening and broadening of Ukraine-related sanctions. For example, it has been proposed to remove Russia from the international SWIFT payment system, which would disrupt ordinary financial services in Russia and any cross-border trade. The future repercussions surrounding the situation in Crimea and Eastern Ukraine are unknown, and no assurance can be given regarding the future of relations between Russia and other countries. The Group cannot therefore predict how the Ukrainian crisis will unfold or the impact it will have on its business or results of operations. Additionally, relations between the U.S. and Russia have become strained over a variety of other issues, which could result in further sanctions against Russia or specific individuals, entities or economic sectors. Any or all of the above factors could have a material adverse effect on the Group’s business, financial condition, results of operations and prospects.

In recent years, the CBR has considerably increased the intensity of its supervision and regulation of the Russian banking sector. Qiwi Bank is central to the operation of all of the Group’s segments, as it provides issuing, acquiring and deposit settlement functions within the Group, serves as the issuing bank for our payment-by-installment SOVEST cards and is the banking institution behind Tochka’s financial services offering. Qiwi Bank, like all banks and non-banking credit organizations operating in Russia, is subject to extensive regulation and reporting obligations, which may limit the Groups activities and increase the Groups costs of doing business. Qiwi Bank has been the subject of CBR investigations in the past that have uncovered various regulatory violations and deficiencies, which the Group has generally rectified. As part of the ongoing supervisory process, the management was recently notified that in 2018 Qiwi Bank will be subject to the CBR inspection. There can be no assurance that any currently planned or future inspection will not result in discovery of any significant or minor violations of various banking regulations, and what sanctions the CBR would choose to employ against QIWI Bank if this were to happen. For example, recently management was notified that throughout 2017 QIWI Bank exceeded thresholds turnover amounts with respect to certain types of transactions. The measures that the CBR has so far imposed on QIWI Bank in response have not had a significant impact on operations, and management believes that it has remedied the violation and taken appropriate measures to ensure that QIWI Bank will not be in breach of such requirements going forward. However, this measures have not been lifted yet and there can be no assurance that this measures will be lifted soon or additional sanctions will not be imposed on us as a result of such findings. Scrutiny of CBR can be expected to increase following launch of SOVEST, as it will expand the scope of traditional commercial and retail bank services that Qiwi Bank provides. Any such sanctions could have a material adverse effect on our business, financial condition and results of operations. Historically, the revocation of banking licenses by the CBR has been relatively rare, but since October 2013 the CBR has launched a campaign aimed at cleansing the Russian banking industry, revoking the licenses from an unusually high number of banks. If Qiwi Bank’s banking license is revoked, the Group would effectively be unable to provide most of our services.

Though the Russian economy contracted both in 2015 and in 2016, it has registered modest growth in 2017. However, throughout the period from 2014 to 2017 the population’s purchasing power has been decreasing due to the weakening of the ruble and the rise in cost of basic necessities such as food products and utilities, which according to the Russian Consumer Confidence Overall Index resulted in consumer confidence declining significantly. A further weakening in the Russian economy could have a negative impact on the Group’ merchants, as well as consumers who purchase products and services using the Group’ payment processing systems. This could negatively impact the Group’ business, financial condition and results of operations, particularly if the recessionary environment disproportionately affects some of the market segments that represent a larger portion of the Group’s payment processing volume. Specifically, worsening economic conditions could force some of the Group’ merchants and agents to liquidate their operations or go bankrupt, or could cause the Group’ agents to reduce the number of their locations or hours of operation, resulting in reduced transaction volumes. Similarly, a deteriorating economy and reduced consumer spending may translate into a decline in the number of transactions with SOVEST cards and may also affect the creditworthiness of the Group’ customers, which could result in increased credit risk. The Group also has a certain amount of fixed costs, including salaries and rent, which could limit its ability to adjust costs and respond quickly to changes affecting the economy and its business.

In this context, management perceives several risks that could affect the stability and profitability of the Group’s offline distribution business. Firstly, the overall macroeconomic conditions adversely affect the purchasing power of Russian population, as high inflation combined with decreasing real wage put pressure on the disposable income of consumers, thus leading to the overall decrease in consumer spending and in turn the Group’s payment volumes. Secondly, the Group agents’ economics are being pressured by decreasing commissions and higher customer commission sensitivity, combined with higher rental and other costs.

Thirdly, because the CBR has taken steps to secure the quality and transparency the industries in which the Group’ agents operate, additional controls and monitoring requirements have been imposed on agents through the banks. As agents work to comply with additional requirements and handle increasing numbers of inquiries from the banks they interact with, additional pressure is put on the agents’ business model especially for the smaller businesses. Although the Group’s network of agents remains well diversified, these changes in recent years have negatively affected the size of Group’s physical distribution in Russia and, correspondingly, its financial results. Management is committed to making its best efforts to support the Group’s physical distribution in Russia and, correspondingly, its financial results, there can be no assurance that there will not be further negative impacts of these changes in the mid-term.

The Group provides payment processing services to a number of merchants in the betting industry. Processing payments to such merchants represents a relatively significant portion of the Group’ revenues and also generally carries higher margins than processing payments to merchants in most of the Group’s other categories. The betting industry is subject to extensive and actively developing regulation in Russia, as well as increasing government scrutiny. Recent amendments to Russian betting legislation introduced a more comprehensive regulatory framework in this area. In particular, under amendments to the Russian betting laws introduced in 2014, in order to engage in the betting industry, a bookmaker has to become a member of a self-regulated organization of bookmakers and abide by its rules, and any and all interactive bets may only be accepted through an Interactive Bets Accounting Center (TSUPIS) set up by a credit organization together with a self-regulated association of bookmakers. In 2016, QIWI Bank established a TSUPIS together with a the self-regulated associations of bookmakers in order to be able to accept such payments. Processing payments to betting merchants represents a relatively significant portion of the Group’s revenues. Furthermore, betting winnings received by the Group consumers deposited into their Qiwi Wallet accounts represents one of the significant reload sources for Qiwi Wallet accounts. If other banks or payment service providers were to enter this market, the payment volume, revenue and margins of the Group’ Payments business, as well as overall usage of Qiwi Wallet, could be materially adversely affected.

Additionally, if any of the Group’s merchants engaged in the betting industry are not able or are unwilling to comply with Russian betting legislation, or if they decide to cease their operations in Russia for regulatory reasons or otherwise, the Group would have to discontinue servicing them and would lose the associated income.

Moreover, if the Group is found to be in non-compliance with any of the requirements of the applicable legislation, it could not only become subject to fines and other sanctions, but could also be forced to discontinue operations that are deemed to be in breach of the applicable rules, thereby losing the associated revenue streams. Additionally, as of January 1, 2018, the relevant betting legislation has been supplemented with the ability of the Russian government to blacklist betting merchants that are found to be in violation of applicable Russian laws, and the requirement for credit institutions to block any payments to such blacklisted merchants. These measures may result in the contraction of the betting sector and therefore adversely affect the revenues, margins and net revenue of the Group’s E-commerce category and overall Payment services segment.

The Group may also be subject to reputational risks associated with being involved in the betting business through offering the payments services to betting merchants. For example, in July 2016, the Group was served with notices from Roskomnadzor, the Russian state agency responsible for overseeing the media and Internet, stating that the Group had breached Russian laws on public distribution of information about gambling, since the Group’s website contained links to services offered by certain betting operators that were allegedly not in compliance with the Russian betting legislation. The Group has complied with the prescriptions contained in the notices. However, there can be no assurance that further violations will not occur in the future, as the Group services a wide variety of merchants and depend on their compliance with relevant laws in this regard. If the Group is found to be in breach, Roskomnadzor or other agencies could take further action against it, including by blocking its website, imposing fines or other sanctions. The Group could face similar difficulties in other jurisdictions, since online betting is an area of intense focus by regulators in many of the countries in which the Group operates.

Taxation

Russian and the CIS’s tax, currency and customs legislation is subject to varying interpretations, and changes, which can occur frequently. Management’s interpretation of such legislation as applied to the transactions and activity of the Group may be challenged by the relevant regional and federal authorities. Recent events within Russia and the CIS which are discussed below suggest that the tax authorities are taking a more assertive position in their interpretation of the legislation and assessments and as a result, it is possible that transactions and activities that have not been challenged in the past may be challenged in the future.

The Company may encounter difficulties in obtaining lower rates of Russian withholding income tax envisaged by the Russia-Cyprus double tax treaty for dividends distributed from Russia, i.e. dividends paid by a Russian legal entity to a foreign legal entity are generally subject to Russian withholding income tax at a rate of 15%, although this tax rate may be reduced under an applicable double tax treaty. The Company intend to rely on the Russia-Cyprus double tax treaty. The tax treaty allows reduction of withholding income tax on dividends paid by a Russian company to a Cypriot company to 10% provided that the following conditions are met: (i) the Cypriot company is a tax resident of Cyprus within the meaning of the tax treaty; (ii) the Cypriot company is the beneficial owner of the dividends; (iii) the dividends are not attributable to a permanent establishment of the Cypriot company in Russia; and (iv) the treaty clearance procedures are duly performed. This rate may be further reduced to 5% if the direct investment of the Cypriot company in a Russian subsidiary paying the dividends is at least EUR 100,000. Although the Group will seek to claim treaty protection, there is a risk that the applicability of the reduced rate of 5% or 10% may be challenged by Russian tax authorities. As a result, there can be no assurance that the Company would be able to avail itself of the reduced withholding income tax rate in practice. Specifically, Cypriot holding company may incur a 15% withholding income tax at source on dividend payments from Russian subsidiaries if the treaty clearance procedures are not duly performed at the date when the dividend payment is made. In this case the Company may seek to claim as a refund the difference between the 15% tax withheld and the reduced rate of 10% or 5% as appropriate. However, there can be no assurance that such taxes would be refunded in practice.

Due to its international structure, the Group is subject to transfer pricing and permanent establishment risks in various jurisdictions it operates in. Since January, 2012, the Russian tax authorities have the right to apply transfer pricing adjustments and impose additional tax liabilities in respect of “controlled” transactions, if the transaction price differs from the market price. The Russian transfer pricing legislation grants taxpayers the right to justify their compliance with the arm’s length principle at prices used in controlled transactions by preparing the transfer pricing documentation.

The Group manages the related risks by looking at its management functions and risks in various countries and level of profits allocated to each subsidiary. The list of “controlled” transactions of the Group includes various transactions between different Russian entities as well as certain types of cross-border transactions. The Group determines its tax liabilities arising from “controlled” transactions using actual transaction prices.

Currently the tax authorities perform tax audits of many Russian taxpayers with major focus on compliance with new transfer pricing legislation. It is therefore possible that the Group entities may become subject to transfer pricing tax audits by tax authorities in the near future. The Russian tax authorities may challenge the level of prices applied by the Group under the “controlled” transactions (including certain intercompany transactions) and accrue additional tax liabilities. If additional taxes are assessed with respect to these matters, they may be material. This risk may increase in the future as Russian transfer pricing practice develops.

The Management believes that the Group is able to prove the arms’ length nature of prices with respect to the “controlled” transactions, and that there has been proper reporting to the Russian tax authorities, supported by appropriate available transfer pricing documentation.

Since 2015 significant changes to the Russian tax legislation are enacted which are aimed at preventing the abuse of “offshore” structures (so-called “de-offshorization” legislation). In particular, these changes include the definition of beneficiary ownership, tax residence of legal entities by the place of actual carrying out activities, as well as approach to taxation of controlled foreign companies. It is currently unclear how the Russian tax authorities will interpret and apply the new tax provisions and what will be the possible impact on the Group. Therefore, it cannot be excluded that Group’s companies might be subject to additional tax liabilities because of these changes being introduced and applied to transactions carried out by them, which could have a material adverse effect on Group’s business, financial condition and results of operations. The Group’s management is undertaking all necessary and required measures in order to minimize the potential negative impact of the “de-offshorization” legislation.

Risk of cybersecurity breach

The Group stores and/or transmits sensitive data, such as credit or debit card numbers, passport details, mobile phone numbers and other identification data, and the Company has ultimate liability to its consumers for the failure to protect this data. The Company has experienced breaches of its security by hackers in the past, and breaches could occur in the future. In such circumstances, the encryption of data and other protective measures have not prevented unauthorized access and may not be sufficient to prevent future unauthorized access. Any future breach of the system, including through employee fraud, may subject the Company to material losses or liability, payables to other payment systems, fines and claims for unauthorized purchases with misappropriated credit or debit card information, identity theft, impersonation or other similar fraud claims. In addition, misuse of such sensitive data or a cybersecurity breach could result in claims, regulatory scrutiny and other negative consequences.

Risk assessment

The Group’s management believes that its interpretation of the relevant legislation is appropriate and is in accordance with the current industry practice and that the Group’s currency, customs, tax and other regulatory positions will be sustained. However, the interpretations of the relevant authorities could differ and the maximum effect of additional losses on these consolidated financial statements, if the authorities were successful in enforcing their different interpretations, could be significant, and amount up to 2.5 billion rubles which was assessed by the Group as of December 31, 2017 (2 billion rubles as of December 31, 2016).

Insurance policies

The Group holds no insurance policies in relation to its assets, operations, or in respect of public liability or other insurable risks. There are no significant physical assets to insure. Management has considered the possibility of insurance of business interruption in Russia, but the cost of it outweighs the benefits in management’s view.

In the ordinary course of business, the Group may be subject to legal actions and complaints. Management believes that the ultimate liability, if any, arising from such actions or complaints will not have a material adverse effect on the financial condition or the results of future operations of the Group.

Know-your-client requirements in Russia

The Group’s business is currently subject to know-your-client- requirements established by Federal Law of the Russian Federation No. 115-FZ “On Combating the Legalization (Laundering) of Criminally Obtained Income and Funding of Terrorism”, dated August 7, 2001, as amended, or the Anti-Money Laundering Law. Based on the Anti-Money Laundering Law management distinguishes three types of consumers based on their level of identification, being anonymous, identified through a simplified procedure and fully identified. The consumers who have not undergone any identification procedure are qualified as anonymous and are not allowed to contemplate transactions as well as hold an electronic money account balance in excess of RUB15,000. The consumers who have undergone simplified identification procedure with the payment services provider are entitled to perform electronic money transfers in excess of RUB15,000 provided that at any point of time the account balance of electronic money does not exceed RUB 60,000 and the total amount of transactions does not exceed RUB 200,000 per month. Fully identified consumers are entitled to perform same type of electronic transfers as consumers identified through a simplified procedure but with increased threshold of the electronic money account balance of RUB 600,000 and no limitations for the total transaction amount per month. The key difference between the simplified and the full identification procedures is that the simplified identification can be performed remotely. The remote identification requires the verification of certain data provided by consumers against public databases. Albeit a government order No. 630 dated July 8, 2014, was enacted providing that public databases shall be set up by specific government authorities and access to them shall be granted to the third parties authorized to carry out identification of consumers, such databases are not yet up and running at scale and, to the knowledge of the Group, there is no work in progress on setting up such databases. Thus, current situation could cause the Group to be in violation of the identification requirements. In case management is enforced not to use the simplified identification procedure until the databases are fully running, it could negatively affect the number of consumers and, consequently, volumes and revenues.

Operating lease commitments

The Group has commercial lease agreements of office buildings. The leases have an average life of between one and five years. Total lease expense for the twelve months ended December 31, 2017 is for rent of office places 357 (2016 – 307).

Future minimum lease rentals under non-cancellable operating lease commitments for office premises as of December 31, 2017 and December 31, 2016    are as follows:

	As of December 31, 2016		As of December 31, 2017
Within one year		244		397
After one year but not more than five years		583		693

The Group is a party to a material contract of lease of office building, which gave origin to lease expenses in the amount of 154 in 2017 (172 in 2016) and creates commitments to charge further 461 of lease expenses, 154 of which shall be accrued within one year and 307 – after one year but no more than five years. The contract was concluded on July 1, 2014 and terminates on December 31, 2020. The lease payment consists of three parts: basis lease payment, reimbursement of operational expenses, and lease pay for parking places. All the three components gradually increase to the end of the contract term. For the purposes of these financial statements, the payments are recognized as expenses on a straight-line basis over the lease term.

Pledge of assets

As of December 31, 2017 the Group pledged debt instruments (government bonds) with carrying amount of 1,319 (December 31, 2016 – 1,687) as collateral for bank guarantee issued on Group’s behalf to its major partner and 486 (December 31, 2016 – 484) as coverage for supporting its short-term overnight credit facility at CBR.

Commitments to Mail.ru Group Limited

The Group committed to purchase of advertising services from Mail.ru Group Limited affiliates in the amount of 260 during three years starting from November 2014. Mail.ru Group Limited makes advertising available for the Group on the standard commercial rates. As of December 31, 2017 the Group spent 50 (2014 – 50, 2015 – nil, 2016 –nil, 2017 –nil) on advertising under this agreement.

Credit related commitments

The primary purpose of these instruments is to ensure that funds are available to a customer as required. Commitments to extend credit represent unused portions of both activated and not activated by the customers of instalment card loans. Commitments to extend credit are contingent upon customers firstly activating their credit limits and further maintaining specific credit standards. Outstanding credit limits possible to be used including credit limits not yet activated by the customers and related commitments are as follows:

	As of December 31, 2016		As of December 31, 2017
Unused limits on instalment card loans		127		8,603

The total outstanding contractual amount of unused limits on contingencies and commitments liability does not necessarily represent future cash requirements, as these financial instruments may expire or terminate without being funded. In accordance with instalment card service conditions the Group has a right to refuse the issuance, activation, reissuing or unblocking of an instalment card, and is providing an instalment card limit at its own discretion and without explaining its reasons. The Group also has a right to increase or decrease a credit card limit at any time without prior notice.

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Balances and transactions with related parties

12 Months Ended

Dec. 31, 2017

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Balances and transactions with related parties

28. Balances and transactions with related parties

Customer accounts in the amount of 97 as of December 31, 2017 (December 31, 2016 – 27) comprise of cash held at bank account by related parties, including key management personnel and the companies under their control or control of their close family members.

Benefits of key management and Board of Directors generally comprise of short-term benefits and share-based payments during the year ended December 31, 2017 and amounted to 137 (136 – for the year 2016, 142 – for the year 2015)

As of December 31, 2016 some of the overdraft facilities were guaranteed by the Group’s CEO. There are no such overdraft facilities as of December 31, 2017.

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Risk management

12 Months Ended

Dec. 31, 2017

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Risk management

29. Risk management

The main risks that could adversely affect the Group’s financial assets, liabilities or future cash flows are foreign exchange risk, liquidity and credit risk. Management reviews and approves policies for managing each of the risks which are summarized below.

Foreign exchange risk

Foreign exchange risk is the risk that fluctuations in exchange rates will adversely affect items in the Group’s statement of comprehensive income, statement of financial position and/or cash flows. Foreign currency denominated assets and liabilities give rise to foreign exchange exposure.

During last public offering, the Company increased its issued share capital and received about 89 mln U.S. $. The unused portion of these proceeds is accounted as other short-term bank deposits in cash and cash equivalents as of December 31, 2017 and 2016. Due to depreciation of U.S. $ rate against RUB for the year 2017 and for the year 2016 by 5% and 17% respectively the Group recorded foreign exchange loss in the amount of 236 and 975 respectively. The Group intends to use these assets for general corporate purposes including potential acquisitions.

Foreign currency sensitivity

The following tables demonstrate the sensitivity to a reasonably possible change in US Dollar and Euro exchange rates against Ruble, with all other variables held constant. The impact on the Group’s profit before tax is due to changes in the carrying amount of monetary assets and liabilities denominated in US Dollar and Euro when these currencies are not functional currencies of the respective Group subsidiary. The Group’s exposure to foreign currency changes for all other currencies is not material.

	change in US Dollar	Effect on profit before tax Gain/(loss)
2017	+11%	83
	- 11%	(83)
2016	+20%	655
	- 20%	(655)

	change in Euro	Effect on profit before tax Gain/(loss)
2017	+12.5%	36
	- 12.5%	(36)
2016	+20%	40
	- 20%	(40)

Liquidity risk and capital management

The Group uses cash from shareholders’ contributions, has sufficient cash and does not have any significant outstanding debt other than interbank debt with short maturities (classified as due to banks). Deposits received from agents are also due on demand, but are usually offset against future payments processed through agents. The Group expects that agent’s deposits will continue to be offset against future payments and not be called by the agents. Customer accounts and amounts due to banks, trade and other payables are due on demand.

Since 2014 Russian economy has been going through a period of macroeconomic slowdown and liquidity shortage in a number of markets (including those in which the Group operates), caused among other things by falling oil prices, ruble devaluation and the economic sanctions regime. Banks and other entities in Russia decreased credit limits in their everyday operations and it was noted that the Group’s merchants and partners also started and in certain cases continued to request from the Group larger collaterals to hedge their risks. Thr Group was able to manage these conditions and requirements to date, though the liquidity shortage in the market if exacerbated may have further negative effects on the Group’s operations, which cannot be now reliably estimated.

According to CBR requirements, a bank’s capital calculated based on CBR instruction should be not less than sertain portion of its risk-adjusted assets. As of December 31, 2017, QIWI Bank JSC’s capital ratio is above the minimal level required. The Group monitor the fulfillment of requirements on a daily basis and send the reports to CBR on a monthly basis. During the years ended December 31, 2017 and 2016 QIWI Bank JSC and Rapida LTD met the capital adequacy requirements.

The Group manages its capital structure and makes adjustments to it, in light of changes in economic conditions. Capital includes share capital, share premium, additional paid-in capital, other reserves and translation reserve. To maintain or adjust the capital structure, the Group may make dividend payments to shareholders, return capital to shareholders or issue new shares. Currently, the Group requires capital to finance its growth, but it generates sufficient cash from its operations. The table below summarizes the maturity profile of the Company’s financial liabilities based on contractual undiscounted payments.

			Due:
	Total		On demand		Within a year		More than a year
Trade and other payables (Note 19)		19,599		19,599		—		—
Customer accounts and amounts due to banks (Note 20)		3,182		3,071		111		—
Total as of December 31, 2017		22,781		22,670		111		—
			Due:
	Total		On demand		Within a year		More than a year
Trade and other payables (Note 19)		16,328		16,328		—		—
Customer accounts and amounts due to banks (Note 20)		2,342		2,342		—		—
Total as of December 31, 2016		18,670		18,670		—		—

Credit risk

Financial assets of the Group, which potentially subject us and our subsidiaries and associates to credit risk, consist principally of trade receivables, loans issued, cash and short-term investments. The Group sells services on a prepayment basis or ensures that its receivables are from customers with an appropriate credit history – large merchants and agents with sufficient and appropriate credit history. The Group’s receivables from merchants and others, except for agents, are generally non-interest-bearing and do not require collateral. Receivables from agents are interest-bearing and unsecured. The Group holds cash primarily with reputable Russian and international banks, including CBR, which management considers having minimal risk of default, although credit ratings of Russian and Kazakh banks are generally lower than those banks in more developed markets. Short-term investments include fixed-rate debt instruments issued by Russian Government.

Starting from 2017, we are also exposed to substantial credit risk through our payment-by-installment card project SOVEST, where Qiwi Bank JSC serves as a lender and bears all credit risk on outstanding loans. When granting loans on SOVEST cards, the Group uses automated scoring solvency models and evaluate individually each application for the probability of fraud and social default. It uses the information from the major credit bureaus as well as certain other data including the evaluation of the potential effects of changes in macroeconomic conditions and regional affiliation of the applicant in order to approve or reject the application. Qiwi Bank can then use manual verification for determining the credit limit for the approved applicants. Qiwi Bank runs advanced forward-looking models that are based on the analysis of the transactional behavior of individual customers in order to predict and stimulate usage as well as prevent fraud, and Qiwi Bank uses a migration matrix approach for calculation of the loan loss provisions. Qiwi Bank distributes its installment cards to customers on a federal scale, across all regions of Russia. Our target audience includes Russian citizens with the permanent registration and aged 18 to 70 years. Qiwi Bank also uses a variety of distribution channels and strategies to obtain clients and therefore believe that its credit risk is broadly diversified.

The management established a credit committee that develops and approves general principles for lending and takes special measures to mitigate credit risk such as cut down of the credit limits for unreliable clients, diversification of methods of work with overdue borrowers and more advanced scoring models for the new borrowers. Please see Note 13 for the carrying amount of loans issued and the maximum amount exposed to the credit risk for these type of assets.

The carrying amount of accounts receivable, net of allowance for impairment of receivables, represents the maximum amount exposed to the credit risk for this type of receivables (Note 14). The table below demonstrates the largest counterparties’ balances, as a percentage of respective totals:

	Trade and other receivables
	As of December 31, 2016			As of December 31, 2017
Concentration of credit risks by main counterparties, % from total amount
Top 5 counterparties		60	%		47	%
Others		40	%		53	%

Collection of receivables may be influenced by economic factors. Management believes that there is no significant risk of recognition of additional loss beyond the allowance already recorded.

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Financial instruments

12 Months Ended

Dec. 31, 2017

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Financial instruments

30. Financial instruments

The Group’s principal financial instruments consisted of loans receivable, trade and other receivables, customer accounts and amounts due to banks, trade and other payables, cash and cash equivalents, long and short-term debt instruments and borrowings. The Group has various other financial assets and liabilities which arise directly from its operations. During the year, the Group did not undertake trading in financial instruments.

The fair value of the Group’s financial instruments as of December 31, 2017 and 2016 is presented by type of the financial instrument in the table below:

		As of December 31, 2016				As of December 31, 2017
		Carrying amount		Fair value		Carrying amount		Fair value
Financial assets
Debt instruments	HTM		2,171		2,195		1,804		1,827
Long-term loans	LAR		120		120		164		164
Total financial assets			2,291		2,315		1,968		1,991

Financial instruments used by the Group are included in one of the following categories:

• LAR – loans and receivables;

• HTM – held-to-maturity financial assets.

Carrying amounts of cash and cash equivalents, short-term investments, short-term loans issued, accounts receivable and payable, reserves at CBR and customer accounts and amounts due to banks approximate their fair values largely due to short-term maturities of these instruments.

Debt instruments of the Group consist of RUB nominated government bonds with interest rate 6.7% - 7.5% and maturity up to May 2019. All debt instruments are pledged (Note 27).

Long-term loans generally represent RUB nominated loans to Russian legal entities and have a maturity up to ten years. For the purpose of fair value measurement of these loans the Group uses comparable marketable interest rate which is 10%.

The following table provides the fair value measurement hierarchy of the Group’s assets and liabilities:

					Fair value measurement using
					Quoted prices in active markets		Significant observable inputs		Significant unobservable inputs
	Date of valuation		Total		(Level 1)		(Level 2)		(Level 3)
Assets for which fair values are disclosed
Debt instruments		December 31, 2017		1,827		1,827		—		—
Long-term loans		December 31, 2017		164		—		—		164
Assets for which fair values are disclosed
Debt instruments		December 31, 2016		2,195		2,195		—		—
Long-term loans		December 31, 2016		120		—		—		120

There were no transfers between Level 1 and Level 2 fair value measurements and no transfers into or out of Level 3 fair value measurements during the year ended December 31, 2017.

The Group uses the following IFRS hierarchy for determining and disclosing the fair value of financial instruments by valuation technique:

• Level 1: Quoted (unadjusted) prices in active markets for identical assets or liabilities;

• Level 2: Other techniques for which all inputs that have a significant effect on the recorded fair value are observable, either directly or indirectly;

• Level 3: Techniques that use inputs that have a significant effect on the recorded fair value that are not based on observable market data.

Valuation methods and assumptions

The fair value of the financial assets and liabilities included at the amount the instrument could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale.

Long-term fixed-rate loans issued and debt instruments are evaluated by the Group based on parameters such as interest rates, specific country risk factors and individual creditworthiness of the customer.

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Share-based payments

12 Months Ended

Dec. 31, 2017

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Share-based payments

31. Share-based payments

31.1. Option plans

As of December 31, 2017, the Group has the following outstanding option plans:

	2012 Employee Stock Option Plan (ESOP)	2015 Restricted Stock Unit Plan (RSU Plan)
Adoption date	October, 2012	July, 2015
Type of shares	class B shares	class B shares
Number of options or RSUs reserved	Up to 7 % of total amount of shares	Up to 7 % of total amount of shares
Exercise price	Granted during:	Granted during:
	Year 2012: U.S. $13.65	Year 2016: n/a
	Year 2013: U.S. $41.24 – 46.57	Year 2017: n/a
	Year 2014: U.S. $34.09 – 37.89 Year 2017: U.S. $ 23.94
Exercise basis	Shares	Shares
Expiration date	December 2020	December 2022
Vesting period	Up to 4 years	Three vesting during up to 2 years
Other major terms	The options are not transferrable	- The units are not transferrable
		- All other terms of the units under 2015 RSU Plan are to be determined by the Company’s BOD or the CEO, if so resolved by the BOD, acting as administrator of the Plan

31.2. Changes in outstanding options

The following table illustrates the movements in share options during the year ended December 31, 2017:

	As of December 31, 2016		Granted during the period		Forfeited during the period			Exercised during the period			As of December 31, 2017
2012 ESOP		1,929,089		27,743		(282,000	)		(146,692	)		1,528,140
2015 RSU Plan		414,035		512,108		(66,732	)		(314,033	)		545,378
Total		2,343,124		539,851		(348,732	)		(460,725	)		2,073,518

As of December 31, 2017 the Company has 1,528,140 options outstanding, all of which are vested, and 545,378 RSUs outstanding, of which 51,912 are vested and 493,466 are unvested.

The weighted average price for share options exercised under ESOP during the reporting period was U.S. $13.65 and exercised under RSU plan was nill.

31.3. Valuations of share-based payments

The valuation of all equity-settled options granted are summarized in the table below:

Option plan/ Grant date	Number of options/ RSUs		Dividend yield, %	Volatility,%	Risk-free interest rate, %			Expec- ted term, years		Weighted average share price (U.S. $)		Weighted average fair value per option/ RSU (U.S. $)		Valuation method
2012 ESOP		4,128,521	0-5.03%	28%- 49.85%		0.29 3.85	%-  %		2-4		28.10		7.14	Black- Scholes- Merton
2015 RSU Plan		1,095,708	0-5.03%	50.65%- 64.02%		2.89 3.19	%-  %		0-2		15.04		14.41	Binominal

The forfeiture rate used in valuation models granted during the period is 9%. It is based on historical data and current expectations and is not necessarily indicative of forfeiture patterns that may occur.

The expected volatility reflects the assumption that the historical volatility over a period similar to the life of the options is indicative of future trends, which may not necessarily be the actual outcome.

31.4. Share-based payment expense

The amount of expense arising from equity-settled share-based payment transactions for the year ended December 31, 2017 was 398 (2016 – 224, 2015 – 88).

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Principles underlying preparation of consolidated financial statements (Policies)

12 Months Ended

Dec. 31, 2017

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Basis of preparation

2.1 Basis of preparation

The consolidated financial statements are prepared on a historical cost basis. The consolidated financial statements are presented in Russian rubles (“RUB”) and all values are rounded to the nearest million (RUB (000,000)) except when otherwise indicated.

The Group’s subsidiaries maintain and prepare their accounting records and prepare their statutory accounting reports in accordance with domestic accounting legislation. Standalone financial statements of subsidiaries are prepared in their respective functional currencies (see Note 3.3 below).

The Group accounts are prepared in accordance with the IFRS standards and interpretations, as published by the IASB. These consolidated financial statements are based on the underlying accounting records appropriately adjusted and reclassified for fair presentation in accordance with IFRS. IFRS adjustments include and affect but not limited to such major areas as consolidation, revenue recognition, accruals, deferred taxation, fair value adjustments, business combinations and impairment.

Basis of consolidation

2.2 Basis of consolidation

The consolidated financial statements comprise the financial statements of QIWI plc and its subsidiaries as of December 31 each year.

Control is achieved when the Group is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee.

Specifically, the Group controls an investee if and only if the Group has:

• Power over the investee (i.e. existing rights that give it the current ability to direct the relevant activities of the investee),

• Exposure, or rights, to variable returns from its involvement with the investee, and

• The ability to use its power over the investee to affect its returns.

When the Group has less than a majority of the voting or similar rights of an investee, the Group considers all relevant facts and circumstances in assessing whether it has power over an investee, including:

• The contractual arrangement with the other vote holders of the investee,

• Rights arising from other contractual arrangements,

• The Group’s voting rights and potential voting rights.

The Group re-assesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control. Consolidation of a subsidiary begins when the Group obtains control over the subsidiary and ceases when the Group losses control of the subsidiary. Assets, liabilities, income and expenses of a subsidiary acquired or disposed of during the year are included in the statement of comprehensive income from the date the Group gains control until the date the Group ceases to control the subsidiary. The financial statements of the subsidiaries are prepared for the same reporting period as the parent company, using consistent accounting policies.

All intra-group balances, income, expenses and unrealized gains and losses resulting from intra-group transactions are eliminated in full, except for the foreign exchange gains and losses arising on intra-group loans.

Profit or loss and each component of other comprehensive income (OCI) are attributed to the equity holders of the parent of the Group and to the non-controlling interests, even if this results in the non-controlling interests having a deficit balance. When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with the Group’s accounting policies.

A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. If the Group loses control over a subsidiary, it:

• Derecognises the assets (including goodwill) and liabilities of the subsidiary.

• Derecognises the carrying amount of any non-controlling interests, including any components of other comprehensive income attributable to them.

• Recognises the fair value of the consideration received.

• Recognises the fair value of any investment retained.

• Recognises any surplus or deficit in profit or loss.

• Reclassifies to profit or loss or retained earnings, as appropriate, the amounts previously recognized in OCI as would be required if the Group had directly disposed of the related assets or liabilities.

Changes in accounting policies

2.3 Changes in accounting policies

The accounting policies adopted in the preparation of the consolidated financial statements are consistent with those followed in the preparation of the Group’s annual financial statements for the year ended December 31, 2016, except for the adoption of the new and amended IFRS and IFRIC interpretations as of January 1, 2017. The Group has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective.

Although these new standards and amendments apply for the first time in 2017, they do not have a material impact on the annual consolidated financial statements of the Group. The nature and the impact of each new standard or amendment that could have any potential effect on the Group’s financial statements are described below:

Amendments to IAS 7 Statement of Cash Flows: Disclosure Initiative

Amendments to IAS 7 Statement of Cash Flows: Disclosure Initiative

The amendments require entities to provide disclosures about changes in their liabilities arising from financing activities, including both changes arising from cash flows and non-cash changes (such as foreign exchange gains or losses). The only significant liability arising from financing activities for the Group is dividend payables changes of what are disclosed in Note 25.

Amendments to IAS 12 Income Taxes: Recognition of Deferred Tax Assets for Unrecognised Losses

Amendments to IAS 12 Income Taxes: Recognition of Deferred Tax Assets for Unrecognised Losses

The amendments clarify that an entity needs to consider whether tax law restricts the sources of taxable profits against which it may make deductions on the reversal of that deductible temporary difference. Furthermore, the amendments provide guidance on how an entity should determine future taxable profits and explain the circumstances in which taxable profit may include the recovery of some assets for more than their carrying amount.

Entities are required to apply the amendments retrospectively. However, on initial application of the amendments, the change in the opening equity of the earliest comparative period may be recognised in opening retained earnings (or in another component of equity, as appropriate), without allocating the change between opening retained earnings and other components of equity. Entities applying this relief must disclose that fact.

The Group applied the amendments retrospectively. However, their application has no effect on the Group’s financial position and performance as the Group has no deductible temporary differences or assets that are in the scope of the amendments.

Annual Improvements Cycle—2014-2016

Amendments to IFRS 12 Disclosure of Interests in Other Entities: Clarification of the scope of disclosure requirements in IFRS 12

Amendments to IFRS 12 Disclosure of Interests in Other Entities: Clarification of the scope of disclosure requirements in IFRS 12

The amendments clarify that the disclosure requirements in IFRS 12, other than those in paragraphs B10–B16, apply to an entity’s interest in a subsidiary, a joint venture or an associate (or a portion of its interest in a joint venture or an associate) that is classified (or included in a disposal group that is classified) as held for sale.

These amendments had no impact on the Group as there is no a joint venture or an associate that is classified as held for sale.

Standards issued but not yet effective

2.4 Standards issued but not yet effective

Amendments to IFRS 2 - Classification and Measurement of Share-based Payment

The amendments to IFRS 2 Share-based Payment address three main areas:

- the effects of vesting conditions on the measurement of a cash-settled share-based payment transaction;

- the classification of a share-based payment transaction with net settlement features for withholding tax obligations;

- and accounting where a modification to the terms and conditions of a share-based payment transaction changes its classification from cash settled to equity settled.

On adoption, entities are required to apply the amendments without restating prior periods, but retrospective application is permitted if elected for all three amendments and other criteria are met. The amendments are effective for annual periods beginning on or after January 1, 2018, with early application permitted. These amendments are not expected to have any impact on the Group as there is no cash-settled share-based transactions.

IFRS 16 - Leases

IFRS 16 - Leases

IFRS 16 was issued in January 2016 and sets out the principles that both parties to a contract, i.e. the customer (‘lessee’) and the supplier (‘lessor’), apply to provide relevant information about leases in a manner that faithfully represents those transactions. Under IFRS 16 a lessee is required to recognize assets and liabilities arising from a lease. The new standard is applicable to all lease and sublease contracts except for leases of certain types of intangibles and some other specific assets and will supersede all current requirements for lease recognition and disclosure under IFRS.

IFRS 16 is effective for annual periods beginning on or after January 1, 2019. Earlier application is permitted for entities that apply IFRS 15 at or before the date of initial application of IFRS 16.

The Group is in the process of assessment of the potential impact on its consolidated financial statements. As of the date of these financial statements, the most significant impact identified is that the Group will recognise new assets and liabilities for its operating leases of office buildings and kiosk places as disclosed as non-cancellable operating leases in Note 27. In addition, the nature of expenses related to those leases will now change as IFRS 16 replaces the straight-line operating lease expense with a depreciation charge for right-of-use assets and interest expense on lease liabilities. The Group has not yet decided whether it will use the optional exemptions.

The Group plans to adopt IFRS 16 initially on January 1, 2019. The Group has not yet determined which transition approach to apply.

The Group has not yet quantified the impact on its reported assets and liabilities of adoption of IFRS 16. The quantitative effect will depend on, inter alia, the transition method chosen, the extent to which the Group uses the practical expedients and recognition exemptions, and any additional leases that the Group enters into. The Group expects to disclose its transition approach and quantitative information before adoption.

IFRIC 22 - Foreign Currency Transactions and Advance Consideration

IFRIC 22 - Foreign Currency Transactions and Advance Consideration

IFRIC 22 provides requirements about which exchange rate to use in reporting foreign currency transactions (such as revenue transactions) when payment is made or received in advance.

The Interpretation is effective for annual periods beginning on or after January 1, 2018. Early application of interpretation is permitted and must be disclosed. However, since the Group’s current practice is in line with the Interpretation, the Group does not expect any effect on its consolidated financial statements.

IFRIC Interpretation 23 Uncertainty over Income Tax Treatment

IFRIC Interpretation 23 Uncertainty over Income Tax Treatment

The Interpretation addresses the accounting for income taxes when tax treatments involve uncertainty that affects the application of IAS 12 and does not apply to taxes or levies outside the scope of IAS 12, nor does it specifically include requirements relating to interest and penalties associated with uncertain tax treatments.

The Interpretation specifically addresses the following:

- Whether an entity considers uncertain tax treatments separately

- The assumptions an entity makes about the examination of tax treatments by taxation authorities

- How an entity determines taxable profit (tax loss), tax bases, unused tax losses, unused tax credits and tax rates

- How an entity considers changes in facts and circumstances

An entity must determine whether to consider each uncertain tax treatment separately or together with one or more other uncertain tax treatments. The approach that better predicts the resolution of the uncertainty should be followed. The interpretation is effective for annual reporting periods beginning on or after January 1, 2019, but certain transition reliefs are available. The Group does not expect a significant impact on its financial statements on applying the interpretation.

Amendments to IAS 28 - Investments in Associates and Joint Ventures

Amendments to IAS 28 - Investments in Associates and Joint Ventures

The amendment clarified that an entity has an investment-by-investment choice for measuring investees at fair value through profit and loss in accordance with IAS 28 if it owns these investees directly or indirectly through a venture capital organisation, or a mutual fund, unit trust or similar entities including investment linked insurance funds.

These amendments are effective for annual periods beginning on or after January 1, 2018, with early adoption permitted. The Group does not expect a significant impact on its financial statements on applying the amendments to IAS 28.

IFRS 9 Financial Instruments

IFRS 9 Financial Instruments

In July 2014, the IASB issued the final version of IFRS 9 Financial Instruments that replaces IAS 39 Financial Instruments: Recognition and Measurement and all previous versions of IFRS 9. IFRS 9 brings together all three aspects of the accounting for financial instruments project: classification and measurement, impairment and hedge accounting. IFRS 9 is effective for annual periods beginning on or after January 1, 2018, with early application permitted. Except for hedge accounting, retrospective application is required but providing comparative information is not compulsory. For hedge accounting, the requirements are generally applied prospectively, with some limited exceptions.

The Group plans to adopt the new standard on the required effective date and will not restate comparative information. During 2017, the Group has performed a detailed impact assessment of all three aspects of IFRS 9. This assessment is based on currently available information and may be subject to changes arising from further reasonable and supportable information being made available to the Group in 2018 when the Group will adopt IFRS 9. Overall, the Group expects no significant impact on its statement of financial position and equity except for the effect of applying the impairment requirements of IFRS 9. The Group expects an increase in the loss allowance resulting in a negative impact on equity as discussed below.

(a) Classification and measurement

The Group does not expect any impact on its balance sheet or equity on applying the classification and measurement requirements of IFRS 9. It expects to continue measuring at fair value all financial assets currently held at fair value. Debt securities, loans and trade receivables are held to collect contractual cash flows and are expected to give rise to cash flows representing solely payments of principal and interest. The Group analysed the contractual cash flow characteristics of those instruments and concluded that they meet the criteria for amortised cost measurement under IFRS 9. Therefore, reclassification for these instruments is not required.

(b) Impairment

IFRS 9 requires the Group to record expected credit losses on all of its debt securities, loans and trade receivables, either on a 12-month or lifetime basis. The Group will apply the simplified approach and record lifetime expected losses on all trade receivables and common approach for the rest of financial asssets. The impact on corresponding asset allowances is presented in table below.

(c) Hedge accounting

The Group does not applied hedge accounting in its financial statements.

(d) Other adjustments

In addition to the adjustments described above, on adoption of IFRS 9, other items of the primary financial statements such as deferred taxes, assets held for sale and liabilities associated with them, investments in the associate and joint venture if material, will be adjusted as necessary. The non-controlling interest and exchange differences on translation of foreign operations will also be adjusted.

In summary, the provisional impact of IFRS 9 adoption as of December 31, 2017 is expected to be, as follows:

	Ajustments		Amount
Assets
Cash and cash equivalents		b		(130	)
Trade and other receivables		b		(38	)
Loans issued		b		(93	)
Debt instruments		b		(5	)
Deferred tax assets		d		75
Total assets				(191	)
Liabililies
Other current liabilities		b		(111	)
Total Liabililies				(111	)
Net impact on equity, Including				(302	)
Retained earnings		b		(302	)

IFRS 15 Revenue from Contracts with Customers

IFRS 15 Revenue from Contracts with Customers

IFRS 15 was issued in May 2014, and amended in April 2016, and establishes a five-step model to account for revenue arising from contracts with customers. Under IFRS 15, revenue is recognised at an amount that reflects the consideration to which an entity expects to be entitled in exchange for transferring goods or services to a customer.

The new revenue standard will supersede all current revenue recognition requirements under IFRS. Either a full retrospective application or a modified retrospective application is required for annual periods beginning on or after January 1, 2018. Early adoption is permitted.

The Group plans to adopt the new standard on the required effective date using the full retrospective method. During 2017 the Group has not finalised it assessment of IFRS 15 application. However, that the Group expects that the application of IFRS 15 will not have a significant impact.

Business combinations and goodwill

Set out below are the principal accounting policies used to prepare these consolidated financial statements:

3.1 Business combinations and goodwill

Business combinations are accounted for using the acquisition method.

Consideration transferred includes the fair values of the assets transferred, liabilities incurred by the Group to the previous owners of the acquiree, and equity interests issued by the Group. Consideration transferred also includes the fair value of any contingent consideration and share-based payment awards of the acquiree that are replaced mandatorily in the business combination.

If a business combination results in the termination of pre-existing relationships between the Group and the acquiree, then the Group identifies any amounts that are not part of what the Group and the acquiree exchanged in the business combination. The Group recognizes as part of applying the acquisition method, only the consideration transferred for the acquiree and the assets acquired and liabilities assumed in the exchange for the acquiree.

If the business combination is achieved in stages, any previously held equity interest is re-measured at its acquisition date fair value and any resulting gain or loss is recognized in profit or loss. It is then considered in the determination of goodwill.

Any contingent consideration to be transferred by the acquirer will be recognized at fair value at the acquisition date. Subsequently, contingent consideration classified as an asset or liability, is measured at fair value with changes in fair value recognized in profit or loss. Contingent consideration that is classified as equity is not re-measured and subsequent settlement is accounted for within equity.

The Group measures any non-controlling interest at its proportionate interest in the identifiable net assets of the acquiree.

Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognized for non-controlling interests, and any previous interest held, over the net identifiable assets acquired and liabilities assumed. If the fair value of the net assets acquired is in excess of the aggregate consideration transferred, the Group re-assesses whether it has correctly identified all of the assets acquired and all of the liabilities assumed and reviews the procedures used to measure the amounts to be recognized at the acquisition date. If the re-assessment still results in an excess of the fair value of net assets acquired over the aggregate consideration transferred, then the gain is recognized in profit or loss.

After initial recognition, goodwill is measured at cost less any accumulated impairment losses. For the purpose of impairment testing, goodwill acquired in a business combination is, from the acquisition date, allocated of the Group’s cash generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the acquired entity are assigned to those units.

Where goodwill has been allocated to a cash-generating unit and certain operation within that unit is disposed of, the goodwill associated with the operation disposed of is included in the carrying amount of the operation when determining the gain or loss on disposal of the operation. Goodwill disposed in this circumstance is measured based on the relative values of the operation disposed and the portion of the cash-generating unit retained.

Investments in associates and joint ventures

3.2 Investments in associates and joint ventures

The Group’s investment in its associate and joint ventures are accounted for using the equity method. An associate is an entity in which the Group has significant influence. A joint venture is a joint arrangement whereby the parties that have joint control of the arrangement (i.e. unanimouns consent of the parties) have rights to the net assets of the arrangement.

Under the equity method, the investment in the associate or joint venture is carried on the statement of financial position at cost plus post acquisition changes in the Group’s share of net assets of the associate/joint venture. Goodwill relating to the associate/joint venture is included in the carrying amount of the investment and is neither amortized nor individually tested for impairment.

The statement of comprehensive income reflects the Group’s share of the results of operations of the associate/joint venture. When there has been a change recognized directly in the equity of the investment, the Group recognizes its share of any changes and discloses this, when applicable, in the statement of changes in equity. Unrealized gains and losses resulting from transactions between the Group and the associate/joint venture are eliminated to the extent of the interest in it.

The Group’s share of profit of an associate/joint venture is shown on the face of the statement of comprehensive income. This is the profit attributable to equity holders of the associate/joint venture and, therefore, is profit after tax and non-controlling interests in the subsidiaries of the associate/joint venture.

The financial statements of the associates/joint ventures are prepared for the same reporting period as the Group. When necessary, adjustments are made to bring the accounting policies in line with those of the Group.

After application of the equity method, the Group determines whether it is necessary to recognize an additional impairment loss on its investment in its associates/joint ventres. The Group determines at each reporting date whether there is any objective evidence that the investment in the associate/joint venture is impaired. If this is the case, the Group calculates the amount of impairment as the difference between the recoverable amount of an investment in associate/joint venture and its carrying value and recognizes any respective loss in the statement of comprehensive income.

Upon loss of significant influence over the associate/joint venture, the Group measures and recognizes any retaining investment at its fair value. Any difference between the carrying amount of the associate/joint venture upon loss of significant influence and the fair value of the retained investment and proceeds from disposal is recognized in profit or loss.

Foreign currency translation

3.3 Foreign currency translation

The consolidated financial statements are presented in Russian rubles (RUB), which is the Company’s functional and the Group’s presentation currency. Each entity in the Group determines its own functional currency, depending on what the underlying economic environment is, and items included in the financial statements of each entity are measured using that functional currency. Transactions in foreign currencies are initially recorded in the functional currency at the functional currency rate at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are re-measured in to the functional currency at the functional currency rate of exchange at the reporting date. All differences are taken to profit or loss. They are shown separately for each Group company but netted by major types of monetary assets and liabilities. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rates as of the dates of the initial transactions.

Non-monetary items measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair value is determined. The gain or loss arising on retranslation of non-monetary items is treated in line with the recognition of gain or loss on change in fair value of the item (i.e., translation differences on items whose fair value gain or loss is recognized in other comprehensive income or profit or loss is also recognized in other comprehensive income or profit or loss, respectively).

The functional currency of the foreign operations is generally the respective local currency – US Dollar (U.S.$), Euro (€), Kazakhstan tenge (KZT), Belarussian ruble (BYR), Moldovan leu (MDL) and New Romanian leu (RON).

As of the reporting date, the assets and liabilities of these operations are translated into the presentation currency of the Group (the Russian Ruble) at the rate of exchange at the reporting date and their statements of comprehensive income are translated at the average exchange rates for the year or exchange rates prevailing on the date of specific transactions. The exchange differences arising on the translation are recognized in other comprehensive income. On disposal of a foreign entity, the deferred cumulative amount recognized in equity relating to that particular foreign operation is reclassified to the profit or loss.

The exchange rates of the Russian ruble to each respective currency as of December 31, 2017 and 2016 were as follows:

	Average exchange rates for the year ended December 31,				Exchange rates at December 31,
	2016		2017		2016		2017
US Dollar		67.0349		58.3529		60.6569		57.6002
Euro		74.2310		65.9014		63.8111		68.8668
Kazakhstan Tenge (100)		19.5980		17.8959		18.1637		17.3184
Belarussian Ruble		33.7165		30.2125		30.9474		29.1013
Moldovan Leu (10)		33.6961		31.6871		30.5269		33.6548
New Romanian Leu		16.5315		14.4216		14.0722		14.7822

The currencies listed above are not a fully convertible outside the territories of countries of their operations. Related official exchange rates are determined daily by the Central Bank of the Russian Federation (further CBR). Market rates may differ from the official rates but the differences are, generally, within narrow parameters monitored by the respective Central Banks. The translation of assets and liabilities denominated in the currencies listed above into RUB for the purposes of these financial statements does not indicate that the Group could realize or settle, in RUB, the reported values of these assets and liabilities. Likewise, it does not indicate that the Group could return or distribute the reported RUB value of capital and retained earnings to its shareholders.

Property and equipment

3.4 Property and equipment

3.4.1 Cost of property and equipment

Property and equipment are stated at cost less accumulated depreciation and any accumulated impairment loss. Expenditures for continuing repairs and maintenance are charged to the profit or loss as incurred.

3.4.2 Depreciation and useful lives

Depreciation is calculated on property and equipment on a straight-line basis from the time the assets are available for use, over their estimated useful lives as follows:

Processing servers and engineering equipment	3-10 years
Computers and office equipment	3-5 years
Other equipment	2-20 years

Useful lives of leasehold improvements of leased office premises included in engineering equipment and other equipment are determined at the lower between the useful live of the asset or the lease term.

The asset’s residual values, useful lives and depreciation methods are reviewed, and adjusted as appropriate, at each financial year-end.

Intangible assets

3.5 Intangible assets

3.5.1 Software and other intangible assets

Software and other intangible assets acquired separately are measured on initial recognition at cost. The cost of intangible assets acquired in a business combination is their fair value as of the date of acquisition. Following initial recognition, intangible assets are carried at cost less any accumulated amortization and accumulated impairment losses.

Following initial recognition of the development expenditure as an asset, the cost model is applied requiring the asset to be carried at cost less any accumulated amortization and accumulated impairment losses. Amortization of the asset begins when development is complete and the asset is available for use. It is amortized over the period of expected generation of future benefits, generally 3-5 years. During the period of development, the asset is tested for impairment annually.

3.5.2 Software development costs

Development expenditure on an individual project is recognized as an intangible asset when the Group can demonstrate the technical feasibility of completing the intangible asset so that it will be available for use or sale, its intention to complete and its ability to use or sell the asset, how the asset will generate future economic benefits, the availability of resources to complete the asset and the ability to measure reliably the expenditure during development.

3.5.3 Useful life and amortization of intangible assets

The Group assesses whether the useful life of an intangible asset is finite or indefinite and, if finite, the length of that useful life. An intangible asset is regarded by the entity as having an indefinite useful life when, based on an analysis of all of the relevant factors, there is no foreseeable limit to the period over which the asset is expected to generate net cash inflows for the entity.

Intangible assets with finite lives are amortized on a straight-line basis over the useful economic lives and assessed for impairment whenever there is an indication that the intangible asset may be impaired. Below is the summary of useful lives of intangible assets:

Customer relationships and contract rights	4-15 years
Computer Software	3-10 years
Bank license	indefinite
Trademarks and other intangible assets	3-6 years

Amortization periods and methods for intangible assets with finite useful lives are reviewed at least at each financial year-end. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are accounted for by changing the amortization period or method, as appropriate, and treated as changes in accounting estimates.

Intangible assets with indefinite useful lives are not amortized, but are tested for impairment annually, either individually or at the cash-generating unit level. The assessment of indefinite life is reviewed annually to determine whether the indefinite life continues to be supportable. Indefinite-lived intangible assets include the acquired licenses for banking operations. It is considered indefinite-lived as the related license is expected to be renewed indefinitely.

Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognized in the statement of comprehensive income when the asset is derecognized.

Impairment of non-financial assets

3.6 Impairment of non-financial assets

The Group assesses at each reporting date whether there is an indication that an asset, other than goodwill and intangible assets with indefinite useful life, may be impaired. If any such indication exists, or when annual impairment testing for an asset is required, the Group estimates the asset’s recoverable amount. An asset’s recoverable amount is the higher of an asset’s or cash-generating unit’s fair value less costs to sell and its value in use and is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets. Where the carrying amount of an asset exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs to sell, an appropriate valuation model is used.

These calculations are corroborated by valuation multiples, quoted share prices for publicly traded analogues, if applicable, or other available fair value indicators.

The Group bases its impairment calculation on detailed budgets and forecast calculations, which are prepared separately for each of the Group’s cash generating units (CGU), to which the individual assets are allocated.

These budgets and forecast calculations generally cover a period of five years or longer, when management considers appropriate. For longer periods, a long-term growth rate is calculated and applied to project future cash flows after the last year.

Impairment losses of continuing operations are recognized in profit or loss in those expense categories consistent with the function of the impaired asset.

For assets excluding goodwill, an assessment is made at each reporting date as to whether there is any indication that previously recognized impairment losses may no longer exist or may have decreased. If such indication exists, the Group makes an estimate of recoverable amount. A previously recognized impairment loss is reversed only if there has been a change in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognized. If that is the case, the carrying amount of the asset is increased to its recoverable amount.

That increased amount cannot exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognized for the asset in prior years. Such reversal is recognized in profit or loss. The following criteria are also applied in assessing impairment of specific assets:

Goodwill

Goodwill is tested for impairment annually and when circumstances indicate that the carrying value may be impaired. Impairment is determined for goodwill by assessing the recoverable amount of the cash-generating units, to which the goodwill relates. Where the recoverable amount of the cash-generating units is less than their carrying amount an impairment loss is recognized. Impairment losses relating to goodwill cannot be reversed in future periods. The Group performs its annual impairment test of goodwill as of December 31 and whenever certain events and circumstances indicate that its carrying value may be impaired.

Intangible assets

Intangible assets with indefinite useful lives are tested for impairment annually as of December 31, either individually or at the cash generating unit level, as appropriate and whenever events and circumstances indicate that an asset may be impaired.

Financial assets

3.7 Financial assets

3.7.1 Initial recognition and measurement

Financial assets within the scope of IAS 39 are classified as financial assets at fair value through profit or loss, loans and receivables, held-to-maturity investments, or available-for-sale (AFS) financial assets, as appropriate. When financial assets are recognized initially, they are measured at fair value, plus, in the case of investments not at fair value through profit or loss, directly attributable transaction costs. The Group determines the classification of its financial assets on initial recognition and, where allowed and appropriate, re-evaluates this designation at each financial year-end. All regular way purchases and sales of financial assets are recognized on the trade date, which is the date that the Group commits to purchase the asset. Regular way purchases or sales are purchases or sales of financial assets that require delivery of assets within the period generally established by regulation or convention in the marketplace.

3.7.2 Subsequent measurement

Financial assets at fair value through profit or loss

Financial assets at fair value through profit or loss include financial assets held for trading and financial assets designated upon initial recognition at fair value through profit or loss. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term.

Financial assets at fair value through profit and loss are carried in the statement of financial position at fair value with net changes in fair value recognized in “change in fair value of derivative financial assets”, “other gains” or “other losses” in the statement of comprehensive income.

Financial assets designated upon initial recognition at fair value through profit or loss are designated at their initial recognition date and only if the criteria under IAS 39 are satisfied.

The Group has not designated any financial assets at fair value through profit or loss.

Loans and receivables

Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. After initial measurement, loans and receivables are carried at amortized cost using the effective interest rate method less any allowance for impairment. Gains and losses are recognized in profit or loss when the loans and receivables are derecognized or impaired, as well as through the amortization process.

Debt instruments

Debt instruments and financial investments are non-derivative financial assets with fixed or determinable payments and fixed maturities, which the Group has the intention and ability to hold to maturity. After initial measurement, held-to-maturity financial investments are subsequently measured at amortized cost using the effective interest rate (EIR), less impairment.

If the Group sold or reclassified more than an insignificant amount of debt instruments before maturity (other than in certain specific circumstances), the entire category would be tainted and would have to be reclassified as available-for-sale.

AFS financial assets

AFS financial assets include equity investments. Equity investments classified as AFS are those that are neither classified as held for trading nor designated at fair value through profit or loss.

After initial measurement, AFS financial assets are subsequently measured at fair value with unrealized gains or losses recognized in OCI and credited in the AFS reserve until the investment is derecognized, at which time the cumulative gain or loss is recognized in other operating income, or the investment is determined to be impaired, when the cumulative loss is reclassified from the AFS reserve to the statement of profit or loss in finance costs. Interest earned whilst holding AFS financial assets is reported as interest income using the EIR method.

Amortized cost

Held-to-maturity investments, due from banks and loans and advances to customers and debt issued, other funds lent and loans and receivables are measured at amortized cost. This is computed using the EIR method less any allowance for impairment. Amortized cost is calculated taking into account any premium or discount on acquisition and includes transaction costs and fees that are an integral part of the effective interest rate. The EIR amortization is included in interest income in the statement of comprehensive income. The losses arising from impairment are recognized in the statement of comprehensive income in finance costs for loans and in cost of sales or other operating expenses for receivables.

3.7.3 Impairment and derecognition of financial assets

Impairment

The Group assesses at each reporting date whether a financial asset or group of financial assets is impaired.

Assets carried at amortized cost

For financial assets carried at amortized cost (such as loans and receivables, held-to-maturity investments), the Group first assesses individually whether objective evidence of impairment exists for financial assets that are individually significant, or collectively for financial assets that are not individually significant. If the Group determines that no objective evidence of impairment exists for an individually assessed financial asset, it includes the asset in a group of financial assets with similar credit risk characteristics and collectively assesses them for impairment. Assets that are individually assessed for impairment and for which an impairment loss is, or continues to be, recognized are not included in a collective assessment of impairment.

For the purposes of a collective evaluation of impairment, financial assets are grouped on the basis of similar credit risk characteristics. Those characteristics are relevant to the estimation of future cash flows ability to pay all amounts due according to the contractual terms of the assets being evaluated. Future cash flows in a group of financial assets that are collectively evaluated for impairment, are estimated on the basis of the contractual cash flows of the assets and the experience of management in respect of the extent to which amounts will become overdue as a result of past loss events and the success of recovery of overdue amounts. Past experience is adjusted on the basis of current observable data to reflect the effects of current conditions that did not affect past periods, and to remove the effects of past conditions that do not exist currently.

If there is objective evidence that an impairment loss on assets carried at amortized cost has been incurred, the amount of the loss is measured as the difference between the asset’s carrying amount and the present value of estimated future cash flows (excluding future expected credit losses that have not been incurred) discounted at the financial asset’s original effective interest rate (i.e. the effective interest rate computed at initial recognition). The carrying amount of the asset is reduced through use of an allowance account. The amount of the loss is recognized in profit or loss.

If, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event occurring after the impairment was recognized, the previously recognized impairment loss is reversed, to the extent that the carrying value of the asset does not exceed its amortized cost at the reversal date. Any subsequent reversal of an impairment loss is recognized in profit or loss.

In relation to trade receivables, a provision for impairment is made when there is objective evidence (such as the probability of insolvency or significant financial difficulties of the debtor) that the Group will not be able to collect all of the amounts due under the original terms of the invoice. The carrying amount of the receivable is reduced through use of an allowance account. Impaired debts are derecognized when they are assessed as uncollectible.

Derecognition

A financial asset (or, where applicable a part of a financial asset or part of a group of similar financial assets) is derecognized when:

• The rights to receive cash flows from the asset have expired

• The Group has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a ‘pass-through’ arrangement; and either (a) the Group has transferred substantially all the risks and rewards of the asset, or (b) the Group has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.

When the Group has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, and has neither transferred nor retained substantially all of the risks and rewards of the asset nor transferred control of the asset, the asset is recognized to the extent of the Group’s continuing involvement in the asset.

In that case, the Group also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Group has retained.

Continuing involvement that takes the form of a guarantee over the transferred asset is measured at the lower of the original carrying amount of the asset and the maximum amount of consideration that the Group could be required to repay.

Financial liabilities

3.8.1 Initial recognition and measurement

Financial liabilities within the scope of IAS 39 are classified as financial liabilities at fair value through profit or loss, loans and borrowings, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. The Group determines the classification of its financial liabilities at initial recognition.

Financial liabilities are recognized initially at fair value less, in the case of loans and borrowings, directly attributable transaction costs.

The Group’s financial liabilities include trade and other payables, bank overdraft, customer accounts and amounts due to banks.

The measurement of financial liabilities depends on their classification as follows:

Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial liabilities designated upon initial recognition at fair value through profit or loss.

Financial liabilities are classified as held for trading if they are acquired for the purpose of selling in the near term. This category includes derivative financial instruments entered into by the Group that do not meet the hedge accounting criteria as defined by IAS 39.

Gains or losses on liabilities held for trading are recognized in profit or loss.

The Group has not designated any financial liabilities at fair value through profit or loss.

Loans, borrowing, customer accounts and amounts due to banks and payables

After initial recognition, interest bearing loans, borrowings and payables are subsequently measured at amortized cost using the effective interest rate method.

Gains and losses are recognized in profit or loss when the liabilities are derecognized as well as through the amortization process.

3.8.2 Derecognition of financial liabilities

A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires. Where an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as a derecognition of the original liability and the recognition of a new liability, and the difference in the respective carrying amounts is recognized in profit or loss.

3.8.3 Offsetting financial assets and liabilities

Financial assets and financial liabilities are offset and the net amount reported in the consolidated statement of financial position if, and only if:

• There is a currently enforceable legal right to offset the recognized amounts; and

• There is an intention to settle on a net basis, or to realize the assets and settle the liabilities simultaneously.

The right of set-off:

• Must not be contingent on a future event; and

• Must be legally enforceable in all of the following circumstances:

(i) the normal course of business;

(ii) the event of default; and

(iii) the event of insolvency or bankruptcy of the entity and all of the counterparties

Cash and cash equivalents

3.9 Cash and cash equivalents

Cash comprises cash at banks and in hand and short-term deposits with an original maturity of three months or less. All these items are included as a component of cash and cash equivalents for the purpose of the statement of financial position and statement of cash flows.

Employee benefits

3.10 Employee benefits

3.10.1 Short-term employee benefits

Wages and salaries paid to employees are recognized as expenses in the current period. The Group also accrues expenses for future vacation payments and short-term employee bonuses.

3.10.2 Social contributions and define contributions to pension fund

Under provisions of the Russian legislation, social contributions include defined contributions to pension and other social funds of Russia and are calculated by the Group by the application of a regressive rate (from 30% to 10% in 2017, 2016 and 2015) to the annual gross remuneration of each employee. For the year ended December 31, 2017 defined contributions to pension fund of Russia of the Group amounted to 473 (2016 – 315; 2015 – 270).

Provisions

3.11 Provisions

Provisions are recognized when the Group has a present legal or constructive obligation as a result of past events, it is probable that an outflow of resources will be required to settle the obligation, and a reliable estimate of the amount can be made. Where the Group expects a provision to be reimbursed, for example under an insurance contract, the reimbursement is recognized as a separate asset but only when the reimbursement is virtually certain.

If the effect of discounting is material, provisions are determined by discounting the expected value of future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and, where appropriate, the risks specific to the liability. Where discounting is used, the increase in the provision due to the passage of time is recognized as an interest expense.

Special contribution for defence of the Republic of Cyprus

3.12 Special contribution for defence of the Republic of Cyprus

Dividend Distribution

Cyprus entities that do not distribute 70% of their profits after tax, as defined by the relevant tax law, within two years after the end of the relevant tax year, are deemed to have distributed as dividends 70% of these profits. A special contribution for the defence fund of the Republic of Cyprus is levied at the 17% rate for 2015, 2016, 2017 and thereafter will be payable on such deemed dividends distribution. Profits that are attributable to shareholders who are not tax resident of Cyprus and own shares in the Company either directly and/or indirectly at the end of two years from the end of the tax year to which the profits relate, are exempted. The amount of deemed distribution is reduced by any actual dividends paid out of the profits of the relevant year at any time. This special contribution for defence is payable by the Company for the account of the shareholders.

The Company’s ultimate shareholder as of December 31, 2017 is non-Cypriot tax resident and as such the Cypriot deemed dividend distribution rules are not applicable.

Dividend income

Dividends received from a non-resident (foreign) company are exempt from the levy of defence contribution if either the dividend paying company derives at least 50% of its income directly or indirectly from activities which do not lead to investment income (“active versus passive investment income test” is met) or the foreign tax burden on the profit to be distributed as dividend has not been substantially lower than the Cypriot corporate income tax rate (i.e. lower than 6,25%) at the level of the dividend paying company (“effective minimum foreign tax test” is met).

The Company has not been subject to defence tax on dividends received from abroad as the dividend paying entities are engaged in other than investing activities.

Income taxes

3.13 Income taxes

Current income tax

Current income tax assets and liabilities for the current and prior periods are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted by the reporting date.

Current income tax relating to items recognized in other comprehensive income is recognized in other comprehensive income.

Deferred income tax

Deferred tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax is not recognized for the following temporary differences: the initial recognition of assets or liabilities in a transaction that is not a business combination and that affects neither accounting nor taxable profit or loss, and differences relating to investments in subsidiaries to the extent that it is probable that they will not reverse in the foreseeable future. In addition, deferred tax is not recognized for taxable temporary differences arising on the initial recognition of goodwill. Deferred tax is measured at the tax rates that are expected to be applied to temporary differences when they reverse, based on the laws that have been enacted or substantively enacted by the reporting date.

Deferred tax assets and liabilities are offset if there is a legally enforceable right to offset current tax liabilities and assets, and they relate to income taxes levied by the same tax authority on the same taxable entity, or on different tax entities, but they intend to settle current tax liabilities and assets on a net basis or their tax assets and liabilities will be realized simultaneously.

A deferred tax asset is recognized for unused tax losses, tax credits and deductible temporary differences, to the extent that it is probable that future taxable profits will be available against which they can be utilized. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realized.

Revenue and certain expenses recognition

3.14 Revenue and certain expenses recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenues and related cost of revenue from services are recognized in the period when services are rendered, regardless of when payment is made.

Payment processing fee revenues and related transaction costs

The Group earns a fee for processing payments initiated by the ultimate customers (“consumers”) to pay to merchants and service providers (“merchants”) or transfer money to other individuals. Payment processing fees are earned from consumers or merchants, or both. Consumers can make payments to various merchants through kiosks or network of agents and banks participants of payment system or through the Group’s website or applications using a unique user login and password (e-payments). Payment kiosks are owned by third parties – cash collection agents (“agents”). When consumer payment is processed, the Group may incur transaction costs to acquire payments payable to agents, banks-participants, mobile operators, international payment systems and other parties. The payment processing fee revenue and related receivable, as well as the transaction cost and the related payable, are recognized at the point when merchants or individuals accept payments from consumers in the gross amount, including fees payable for payment acquisition. Payment processing fees and transaction costs are reported gross, except for the consumer fees on payments collected through payment kiosks, which is recorded in the net amount receivable from the agents-owners of kiosks. Visa payment processing fee revenues and related transaction costs are reported net.

In accordance with terms and conditions of use of QIWI Wallet accounts and QIWI system rules, the Group charges a fee to its consumers on the balance of unused accounts after certain period of inactivity and unclaimed payments. Such fees are recorded as revenues in the period a fee is charged.

The Group generates revenue from the foreign currency conversion when payments are made in currencies different from the country of the consumer, mainly Russia. The Group recognizes the related revenues at the time of conversion in the amount of conversion commission representing the difference between the current Russian or relevant country Central Bank foreign currency exchange rate and the foreign currency exchange rate charged by the Group’s processing system.

Cash and settlement services

The Group charges a fee for managing current accounts and deposits of individuals and legal entities, including guarantee deposits from agents placed with the bank to cover consumer payments they accept. Related revenue is recorded as services are rendered or as transactions are processed.

Interest revenue, interest income and interest expense

For all financial instruments measured at amortized cost, interest bearing financial assets classified as available for sale and financial instruments designated at fair value through profit or loss, interest income or expense is recorded using the EIR. The carrying amount of the financial asset or financial liability is adjusted if the Group revises its estimates of payments or receipts. Once the recorded value of a financial asset or a group of similar financial assets has been reduced due to an impairment loss, interest income continues to be recognized using the rate of interest used to discount the future cash flows for the purpose of measuring the impairment loss. Interest income from bank loans and short- and long-term investments performed as part of the Group’s treasury function is classified as part of revenues, Interest income derived from loans issued to various third and related parties as part of other arrangements is classified as interest income. Cash receipts of both types of interest are included into interest received in the statement of cash flows.

Interest expense from bank borrowings intended to attract funds to offer them as agents’ overdrafts is classified as part of cost of revenue. Interest expense derived from borrowings attracted from various third parties as part of other arrangements and interest expense from bank guaranties is classified as interest expense not as part of cost of revenue. Cash disbursements of both types of interest are included into interest paid in the statement of cash flows.

Share-based payments

3.15 Share-based payments

Employees of the Group receive remuneration in the form of share-based payments, whereby employees render services as consideration for equity instruments (equity-settled transactions).

The cost of equity-settled transactions is recognized, together with a corresponding increase in other reserves in equity, over the period in which the performance and/or service conditions are fulfilled. The cumulative expense recognized for equity-settled transactions at each reporting date until the vesting date reflects the extent to which the vesting period has expired and the Group’s best estimate of the number of equity instruments that will ultimately vest. The statement of comprehensive income expense or credit for a period represents the movement in cumulative expense recognized as of the beginning and end of that period and is recognized in compensation to employees and other personnel expenses.

No expense is recognized for awards that do not ultimately vest, except for equity-settled transactions for which vesting is conditional upon a market or non-vesting condition. These are treated as vested irrespective of whether or not the market or non-vesting condition is satisfied, provided that all other performance and/or service conditions are satisfied.

When the terms of an equity-settled award are modified, the minimum expense recognized is the expense that would have been incurred had the terms not been modified, if the original terms of the award are met. An additional expense is recognized for any modification that increases the total fair value of the share-based payment transaction, or is otherwise beneficial to the employee as measured at the date of modification.

When an equity-settled award is cancelled, it is treated as if it vested on the date of cancellation, and any expense not yet recognized for the award is recognized immediately. This includes any award where non-vesting conditions within the control of either the entity or the employee are not met. However, if a new award is substituted for the cancelled award, and designated as a replacement award on the date that it is granted, the cancelled and new awards are treated as if they were a modification of the original award, as described in previous paragraph.

The dilutive effect of outstanding options is reflected as additional share dilution in the computation of diluted earnings per share.

The option awards that are outstanding as of December 31, 2017, 2016 and 2015 can only be settled in shares, that is why they are accounted for as equity-settled transactions.

Leases

3.16 Leases

The determination of whether an arrangement is, or contains, a lease is based on the substance of the arrangement at inception date, whether fulfillment of the arrangement is dependent on the use of a specific asset or assets or the arrangement conveys a right to use the asset, even if that right is not explicitly specified in an arrangement.

Group as a lessee

Operating lease payments are recognized as an operating expense in the statement of comprehensive income on a straight-line basis over the lease term.

Group as a lessor

Leases in which the Group does not transfer substantially all the risks and benefits of ownership of an asset are classified as operating leases. Initial direct costs incurred in negotiating an operating lease are added to the carrying amount of the leased asset and recognized over the lease term on the same basis as rental income. Contingent rents are recognized as revenue in the period in which they are earned.

Non-current assets held for sale and discontinued operations

3.17 Non-current assets held for sale and discontinued operations

Non-current assets and disposal groups classified as held for sale are measured at the lower of their carrying amount and fair value less costs to sell. Non-current assets and disposal groups are classified as held for sale if their carrying amounts will be recovered principally through a sale transaction rather than through continuing use. This condition is regarded as met only when the sale is highly probable and the asset or disposal group is available for immediate sale in its present condition. Management must be committed to the sale, which should be expected to qualify for recognition as a completed sale within one year from the date of classification.

In the statement of comprehensive income, income and expenses from discontinued operations are reported separately from income and expenses from continuing operations, down to the level of profit after taxes, even when the Group retains a non-controlling interest in the subsidiary after the sale. The resulting profit or loss (after taxes) is reported separately in the statement of comprehensive income.

Property and equipment and intangible assets once classified as held for sale are not depreciated or amortized.

Revenue recognition

Revenue recognition

Payment processing fees revenue and transaction costs

The Group exercised significant judgment in reaching a conclusion about its accounting policy for gross versus net reporting of payment processing fee revenues and related transaction costs. In particular, there are two major sources of payment processing fee revenues:

• Payment processing fees charged to consumers on payments collected through agents, mobile operators and other payment methods; and

• Payment processing fees charged to merchants.

Either one of the two types of payment processing fees above, or in some cases, both payment processing fees apply to a single consumer payment. Transaction costs relate to acquisition of payments by agents, mobile operators, international payment systems and some other parties, and the applicable fees, generally determined as a percentage of consumer payment, for each specific payment channel are on terms similar to those available to other market participants.

A merchants’ payment processing fee, when charged, is recorded gross of related transaction costs, because the Group (i) is the primary obligor as it undertakes to transfer the consumer payment to the merchant or other individual using its payment processing system; (ii) it negotiates and ultimately sets the fee receivable from a merchant or consumer, generally as a percentage of payments; and (iii) it bears credit risk in most of the cases, unless the payment is made from a deposit made with the Group.

A consumer payment processing fee, when it is charged on payments made by consumers through payment kiosks and terminals, is reported net of any transaction costs payable to or retained by agents. This is because, although the Group is the primary obligor, it does not have any discretion over the ultimate payment processing fee set by the agent to the consumer, does not have readily available information about gross fee, and is only exposed to the net amount of fee receivable from agents.

A consumer payment processing fee revenue is reported gross of related transaction costs. Such payments are made by consumers through the Group’s website or an application using a unique user login and password, and are called electronic payments. In contrast with the consumer payment processing fee revenue collected through payment kiosks and terminals, the Group, being a primary obligor in electronic payment transactions, also sets the consumer’s payment processing fee, generally as a percentage of payment, although credit risk for these transactions is limited. Thus, the Group concluded that its ability to control the consumer payment processing fee for electronic payments is a key differentiator from the consumer payment processing fees on payments collected through payment kiosks and terminals.

The total amounts of transaction costs are disclosed in Note 23.

Revenue from cash and settlement services

The Group charges a fee for maintenance of current accounts of individuals and SME clients and for managing special guarantee deposit accounts made by agents to cover consumer payments they accept. Related revenues are reported gross of transaction costs paid to the same agents for collection of consumer payments, because these revenues relate to a separate service having distinct value to agents and are provided at their discretion. The total amounts of revenue from cash and settlement services are disclosed in Note 22

Functional currency

Functional currency

Each entity in the Group determines its own functional currency, depending on the economic environment it operates in, and items included in the financial statements of each entity are measured using that functional currency.

Significant estimates and assumptions

Significant estimates and assumptions

Significant estimates reflected in the Company’s financial statements include, but are not limited to:

• Fair values of assets and liabilities acquired in business combinations;

• Impairment of intangible assets and goodwill;

• Recoverability of deferred tax assets;

• Impairment of loans and receivables;

• Measurement of cost associated with share-based payments;

• Uncertain position over risk assessment;

Actual results could materially differ from those estimates. The key assumptions concerning the future events and other key sources of estimation uncertainty at the reporting date that have a significant risk of a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below:

Fair values of assets and liabilities acquired in business combinations

Fair values of assets and liabilities acquired in business combinations

The Group recognizes separately, at the acquisition date, the identifiable assets, liabilities and contingent liabilities acquired or assumed in the business combination at their fair values, which involves estimates. Such estimates are based on valuation techniques, which require considerable judgment in forecasting future cash flows and developing other assumptions. In some cases, when the amounts of fair values are significant, the Group hires third party appraisers to assist it in determining the related fair values.

Impairment of goodwill and intangible assets

Impairment of goodwill and intangible assets

The Group determines the following material CGUs: SOVEST, Payment services, Postomatnye Tekhnologii, Tochka, Rocketbank, New Terminal and Flocktory. For the purpose of goodwill impairment test, the Group estimates the recoverable amounts of Payment services CGU as fair value less costs of disposal on the basis of quoted prices of Company’s ordinary shares. See also Note 12 below for details. For the purpose of intangible assets with indefinite useful life impairment test, the Group estimates the recoverable amounts of each asset as fair value less costs of disposal on the basis of comparative method and cost approach. For the purpose of intangible assets with definite useful life impairment, when indicators of impairment are noted, the Group estimates the recoverable amounts as higher of value in use or fair value less costs to sell of an individual asset or the CGU to which this asset relates.

Recoverability of deferred tax assets

Recoverability of deferred tax assets

The utilization of deferred tax assets will depend on whether it is possible to generate sufficient taxable income against which the deductible temporary differences can be utilized. Various factors are used to assess the probability of the future utilization of deferred tax assets, including past operating results, operational plans, expiration of tax losses carried forward, and tax planning strategies.

Certain portion of deferred tax assets was not recorded because the Group does not expect to realize certain of its tax loss carry forwards in the foreseeable future due to history of losses. Further details on deferred taxes are disclosed in Note 26.

Impairment of loans and receivables

Impairment of loans and receivables

Management assesses an impairment of loans and receivables to account for estimated losses resulting from the inability of customers to make required payments. When evaluating the adequacy of an impairment of loans and receivables, management bases its estimates on the aging of accounts receivable balances and loans and historical write-off experience, customer credit worthiness and changes in customer payment terms. If the financial condition of customers were to deteriorate, actual write-offs might be higher than expected.

The Group regularly reviews its loan portfolio to assess impairment. For instalment card loans the Group performs collective assessment of impairment for each loan portfolio group divided by overdue status of the loans (non-overdue; up to 30 days overdue, 30 to 60 days overdue, 60 to 90 days overdue, over 90 days overdue). The impairment assessment for each portfolio group is based on probability of default, loss given default and exposure at default. The Group uses internal historical instalment card loans loss rates statistics and roll-rates method for assessment of probabilities of default. The loss given default is an estimate of the loss arising in the case where a default occurs at a given time and is based on external market statistic. The exposure at default is an estimate of the exposure at a default date.

Further details on provision for impairment of loans and receivables are disclosed in Notes 13, 14.

Measurement of cost associated with share-based payments

Measurement of cost associated with share-based payments

Share-based payments included expenses incurred under employee stock option plan (ESOP) and restricted stock unit plan (RSU). See also Note 31 below for more details.

Management estimates the fair value of stock options at the date of grant using the Black-Scholes-Merton pricing model and its restricted stock units using the Binominal model. The option pricing models were originally developed for use in estimating the fair value of traded options, which have different characteristics than the stock options granted by the Company and its subsidiaries, associates and joint ventures. The models are also sensitive to changes in the subjective assumptions, which can materially affect the fair value estimate. These subjective assumptions include the expected life of the options, expected volatility, risk-free interest rates, expected dividend yield, the fair value of the underlying shares. The amount of expense is also sensitive to the number of awards, which are expected to vest, taking into account estimated forfeitures. Below is the discussion of each of these estimates:

Assumptions used for ESOP valuation

Expected life

The Company did not have any option grants in the past, and does not have sufficient history to determine the time the option holders will hold the shares. Therefore, the Company used the expected term as the average between the vesting and contractual term of each option tranche for stock option plan.

Expected volatility

Due to a relatively short period of historical market data, QIWI’s share price volatility for options valuation was defined based on the historical volatility of peer group companies over a period, which approximates the expected life of option tranches.

Risk-free interest rates

Risk-free interest rates are based on the implied yield currently available in the US treasury bonds, adjusted for a country risk premium, with a remaining term approximating the expected life of the option award being valued.

Expected dividend yield

At the time of grant in 2012 the Group had no plans to pay cash dividends, and the Group used an expected dividend yield of zero in its option pricing model for option awards granted in 2012. Following its IPO in 2013, the Group started to pay dividends and set an expected dividend yield of 2.83% based on post-IPO dividend payments.

Fair value of the underlying shares

Prior to May 2013 the Company’s ordinary shares were not publicly traded. Therefore, it estimated the fair value of the underlying shares on the basis of valuations arrived at by employing the “income approach” valuation methodology. Since May 2013 QIWI plc is a public company and the fair value of its shares defined by reference to closing market price of its traded shares.

Estimated forfeitures

As of the dates of stock options grants had no data of attrition rate among key personnel and management resulted in an estimated forfeiture rate of zero. Subsequently, the actual forfeiture rate is higher, the actual amount of related expense will become lower.

Assumptions used for RSU valuation

Expected life

The Company used the expected term as the vesting term for RSU plan.

Expected volatility

The expected volatility reflects the assumption that the historical QIWI’s share price volatility over a period similar to the life of the RSUs is indicative of future trends, which may not necessarily be the actual outcome.

Risk-free interest rates

Risk-free interest rates are based on the implied yield currently available in the US treasury bonds, adjusted for a country risk premium, with a remaining term approximating the expected life of the option award being valued.

Expected dividend yield

Before September 2017 the Group set an expected dividend yield of 5.03% based on historical payout. Following September 2017, the Group stoped to pay dividends and set an expected dividend yield of zero.

Fair value of the underlying shares

The fair value of shares defined by reference to closing market price of the Group’s traded shares.

Estimated forfeitures

The forfeiture rate for RSUs granted during the period is 9%. It is based on historical data and current expectations and is not necessarily indicative of forfeiture patterns that may occur.

Uncertain position over risk assessment

Uncertain position over risk assessment

The Group disclosed possible and accrued probable risks in respect on currency, customs, tax and other regulatory positions. Management estimates the amount of risk based on its interpretation of the relevant legislation, in accordance with the current industry practice and in conformity with its estimation of probability, which require considerable judgment.

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Principles underlying preparation of consolidated financial statements (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Provisional Impact of IFRS 9 Adoption

In summary, the provisional impact of IFRS 9 adoption as of December 31, 2017 is expected to be, as follows:

	Ajustments		Amount
Assets
Cash and cash equivalents		b		(130	)
Trade and other receivables		b		(38	)
Loans issued		b		(93	)
Debt instruments		b		(5	)
Deferred tax assets		d		75
Total assets				(191	)
Liabililies
Other current liabilities		b		(111	)
Total Liabililies				(111	)
Net impact on equity, Including				(302	)
Retained earnings		b		(302	)

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Summary of significant accounting policies (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Schedule of Exchange Rates of Russian Ruble to Each Respective Currency

The exchange rates of the Russian ruble to each respective currency as of December 31, 2017 and 2016 were as follows:

	Average exchange rates for the year ended December 31,				Exchange rates at December 31,
	2016		2017		2016		2017
US Dollar		67.0349		58.3529		60.6569		57.6002
Euro		74.2310		65.9014		63.8111		68.8668
Kazakhstan Tenge (100)		19.5980		17.8959		18.1637		17.3184
Belarussian Ruble		33.7165		30.2125		30.9474		29.1013
Moldovan Leu (10)		33.6961		31.6871		30.5269		33.6548
New Romanian Leu		16.5315		14.4216		14.0722		14.7822

Summary of Useful Lives of Property and Equipment

Depreciation is calculated on property and equipment on a straight-line basis from the time the assets are available for use, over their estimated useful lives as follows:

Processing servers and engineering equipment	3-10 years
Computers and office equipment	3-5 years
Other equipment	2-20 years

Summary of Useful Lives of Intangible Assets

Below is the summary of useful lives of intangible assets:

Customer relationships and contract rights	4-15 years
Computer Software	3-10 years
Bank license	indefinite
Trademarks and other intangible assets	3-6 years

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Consolidated subsidiaries (Tables)

12 Months Ended

Dec. 31, 2017

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Description of Subsidiaries and Ownership Interest

The consolidated IFRS financial statements include the assets, liabilities and financial results of the Company and its subsidiaries. The subsidiaries are listed below:

		Ownership interest
Subsidiary	Main activity	As of December 31, 2016			As of December 31, 2017
JSC QIWI (Russia)	Operation of electronic payment kiosks		100	%		100	%
QIWI Bank JSC (Russia)	Maintenance of electronic payment systems, money transfer, consumer and SME financial services		100	%		100	%
QIWI Payments Services Provider Ltd (UAE)	Operation of on-line payments		100	%		100	%
QIWI International Payment System LLC (USA)	Operation of electronic payment kiosks		100	%		100	%
Qiwi Kazakhstan LP (Kazakhstan)	Operation of electronic payment kiosks		100	%		100	%
JLLC OSMP BEL (Belarus)	Operation of electronic payment kiosks		51	%		51	%
QIWI – M S.R.L. (Moldova)	Operation of electronic payment kiosks		51	%		51	%
QIWI ROMANIA SRL	Operation of electronic payment kiosks		100	%		100	%
QIWI WALLET EUROPE SIA (Latvia) (Note 7.2)	Operation of on-line payments		100	%		100	%
QIWI Retail LLC (Russia)	Sublease of space for electronic payment kiosks		100	%		100	%
QIWI Management Services FZ-LLC (UAE)	Management services		100	%		100	%
CIHRUS LLC (Russia) 1	Management services		100	%		—
Attenium LLC (Russia)	Management services		100	%		100	%
Rapida LTD (Russia) 2	Operation of payment processing and money transfer settlement systems		100	%		—
Postomatnye Tekhnologii LLC (Russia)	Logistic		100	%		100	%
Future Pay LLC (Russia)	Operation of on-line payments		100	%		100	%
Qiwi Blockchain Technologies LLC (Russia)	Software development		100	%		100	%
QIWI Shtrikh LLC (Russia) 3	On-line cashbox production		—			51	%
QIWI Platform LLC (Russia) 4	Software development		—			100	%
QIWI Processing LLC (Russia) 3	Software development		—			100	%
Joint ventures (Note 6, Note 21)
Flocktory Ltd (Cyprus)	Holding company		—			82	%
Flocktory Spain S.L. (Spain)	SaaS platform for customer lifecycle management and personalization		—			82	%
FreeAtLast LLC (Russia)	SaaS platform for customer lifecycle management and personalization		—			82	%

¹ The entity was reorganized in the form of accession to JSC QIWI in 2017

²  The entity was reorganized in the form of accession to QIWI Bank JSC in 2017

³  The entities were incorporated in 2017

⁴ The entity with negligible net assets was acquired for insignificant consideration in 2017

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Acquisition of joint venture (Tables)

12 Months Ended

Dec. 31, 2017

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Disclosure of Detailed Information About Business Combinations Cash Consideration

The consideration was made by the following:

Cash consideration paid	794
Cash payable for Flocktory’s stock option plan cancelation*	37
Total purchase consideration transferred	831

* Based on Share purchase agreement (SPA) Qiwi plc is obliged to offer to employee stock option plan (ESOP) participants of Flocktory Ltd cash consideration for cancellation of 504 ESOP rights, 259 of which were cancelled at the date of acquisition (March 22, 2017), 120 to be offered for cancellation – at March 22, 2018, and 125 at March 22, 2019.

Summary of Fair Value of The Identifiable Assets and Liablilities as of The Date of Acquisition

The fair value of the identifiable assets and liabilities as of the date of acquisition was:

	Fair value
Net assets acquired:
Property and equipment		1
Intangible assets		720
Accounts receivable		26
Cash and cash equivalents		55
Trade and other payables		(21	)
Other liabilities		(1	)
Total identifiable net assets at fair value		780
Group’s share of net assets (82%)		639
Goodwill arising on acquisition		192

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Disposals of subsidiaries and Disposal Groups Held for Sale (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Gain/Loss on Disposal of Subsidiaries

Net liabilities of Processingovyi Tsentr Rapida LLC derecognized on disposal	230
Disposal of indemnity asset related to the subsidiary	(240	)
Loss on disposal	(10	)

Assets and Liabilities of Disposal Group as of Disposal Date

Below are the assets and liabilities of Processingovyi Tsentr Rapida LLC as of date of disposal:

	Processingovyi Tsentr Rapida LLC
Assets:
Other current assets		13
Total assets		13
Liabilities:
Income tax payable		240
Other current liabilities		3
Total liabilities		243

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Operating segments (Tables)

12 Months Ended

Dec. 31, 2017

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Schedule of Segments' Statement of Comprehensive Income

The segments’ statement of comprehensive income for the years ended December 31, 2015, 2016 and 2017, as presented to the CODM are presented below:

	2017
	PS		CFS			CO			Total
Segment net revenue		12,580		9			604			13,193
Segment profit/(loss) before tax		8,795		(2,704	)		(1,273	)		4,818
Segment net profit/(loss)		7,543		(2,164	)		(1,325	)		4,054

	2015*							2016*
	PS		CO			Total		PS		CFS			CO			Total
Segment net revenue		10,198		30			10,228		10,583		(3	)		31			10,611
Segment profit/(loss) before tax		6,066		(995	)		5,071		6,454		(259	)		(605	)		5,590
Segment net profit/(loss)		5,242		(1,100	)		4,142		5,612		(219	)		(679	)		4,714

* For comparative purposes 2015 and 2016 segment information is presented in 2017 format.

Schedule of Segment Net Revenue

Segment net revenue, as presented to the CODM, for the years ended December 31, 2015, 2016 and 2017 is calculated by subtracting cost of revenue (exclusive of depreciation and amortization) from revenue and adding back payroll and related taxes as presented in the table below:

	2015			2016			2017
Revenue under IFRS		17,717			17,880			20,897
Cost of revenue (exclusive of depreciation and amortization)		(8,695	)		(8,646	)		(9,763	)
Payroll and related taxes		1,206			1,377			2,059
Total segment net revenue, as presented to CODM		10,228			10,611			13,193

Schedule of Reconciliation of Segment Profit before Tax

A reconciliation of segment profit before tax to IFRS consolidated profit before tax of the Group, as presented to the CODM, for the years ended December 31, 2015, 2016 and 2017 is presented below:

	2015			2016		2017
Consolidated profit before tax under IFRS		6,151			3,107		3,840
Amortization of fair value adjustments to intangible assets recorded on acquisitions		270			396		344
Share – based payments		88			224		398
Foreign exchange gain/(loss) from revaluation of cash proceeds received from secondary public offering		(1,476	)		975		236
Impairment of intangible assets recorded on acquisitions		—			878		—
Loss on disposal of subsidiaries, net		38			10		—
Total segment profit before tax, as presented to CODM		5,071			5,590		4,818

Schedule of Reconciliation of Segment Net Profit

A reconciliation of segment net profit to IFRS consolidated net profit of the Group, as presented to the CODM, for the years ended December 31, 2015, 2016 and 2017 is presented below:

	2015			2016			2017
Consolidated net profit under IFRS		5,274			2,489			3,142
Amortization of fair value adjustments to intangible assets recorded on acquisitions		270			396			344
Share – based payments		88			224			398
Foreign exchange gain/(loss) from revaluation of cash proceeds received from secondary public offering		(1,476	)		975			236
Impairment of intangible assets recorded on acquisitions		—			878			—
Loss on disposal of subsidiaries, net		38			10			—
Effect from taxation of the above items		(52	)		(258	)		(66	)
Total segment net profit, as presented to CODM		4,142			4,714			4,054

Schedule of Revenue from External Customers

Revenues from external customers are presented below:

	2015		2016		2017
Russia		13,737		13,274		15,556
CIS		1,019		1,099		1,098
EU		566		807		989
Other		2,395		2,700		3,254
Total revenue per consolidated statement of comprehensive income		17,717		17,880		20,897

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Earnings per share (Tables)

12 Months Ended

Dec. 31, 2017

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Calculation of Basic and Diluted Earnings Per Share Amounts

The following reflects the income and share data used in basic and diluted earnings per share computations for the years ended December 31:

	2015		2016		2017
Net profit attributable to ordinary equity holders of the parent for basic earnings		5,187		2,474		3,114
Weighted average number of ordinary shares for basic earnings per share		57,819,164		60,477,840		60,755,706
Effect of share-based payments		147,851		167,197		404,357
Weighted average number of ordinary shares for diluted earnings per share		57,967,015		60,645,037		61,160,063
Earnings per share:
Basic, profit attributable to ordinary equity holders of the parent		89.72		40.91		51.25
Diluted, profit attributable to ordinary equity holders of the parent		89.49		40.79		50.92

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Property and equipment (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Property and Equipment

	Processing servers and engineering equipment			Computers and office equipment			Other equipment			Construction in progress (CIP) and Advances for equipment			Total
Cost
Balance as of December 31, 2015		498			71			92			15			676
Transfer between groups		11			—			—			(11	)		—
Additions		215			19			76			78			388
Disposals		(27	)		2			(6	)		—			(31	)
Foreign currency translation		(2	)		(1	)		—			(1	)		(4	)
Balance as of December 31, 2016		695			91			162			81			1,029
Transfer between groups		77			1			—			(78	)		—
Additions		196			45			16			108			365
Disposals		(146	)		(7	)		(4	)		—			(157	)
Balance as of December 31, 2017		822			130			174			111			1,237
Accumulated depreciation and impairment:
Balance as of December 31, 2015		(234	)		(42	)		(34	)		—			(310	)
Depreciation charge		(113	)		(17	)		(19	)		—			(149	)
Disposals		20			(3	)		6			—			23
Foreign currency translation		(1	)		1			—			—			—
Balance as of December 31, 2016		(328	)		(61	)		(47	)		—			(436	)
Depreciation charge		(150	)		(21	)		(35	)		—			(206	)
Disposals		122			6			1			—			129
Balance as of December 31, 2017		(356	)		(76	)		(81	)		—			(513	)
Net book value
As of December 31, 2015		264			29			58			15			366
As of December 31, 2016		367			30			115			81			593
As of December 31, 2017		466			54			93			111			724

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Intangible assets (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Intangible Assets

Cost:	Goodwill		Licenses			Computer Software			Customer relationships			Trade marks			Contract rights			Advances for intangibles, CIP and others			Total
Balance as of December 31, 2015		6,285		284			898			5,326			216			295			11			13,315
Additions		—		—			182			—			—			—			110			292
Additions from business combinations		—		—			—			12			—			—			—			12
Transfer between groups		—		—			3			—			—			—			(3	)		—
Disposals		—		—			(173	)		—			—			—			(6	)		(179	)
Balance as of December 31, 2016		6,285		284			910			5,338			216			295			112			13,440
Additions		—		—			244			—			—			—			240			484
Transfer between groups		—		—			54			—			—			—			(54	)		—
Disposals		—		(101	)		(125	)		(12	)		—			(295	)		(99	)		(632	)
Balance as of December 31, 2017		6,285		183			1,083			5,326			216			—			199			13,292
Accumulated Amortization:
Balance as of December 31, 2015		—		—			(368	)		(371	)		(23	)		(295	)		(4	)		(1,061	)
Amortization charge		—		(28	)		(233	)		(345	)		(40	)		—			(1	)		(647	)
Impairment		—		(31	)		(8	)		(820	)		(27	)		—			—			(886	)
Disposals		—		—			173			—			—			—			3			176
Balance as of December 31, 2016		—		(59	)		(436	)		(1,536	)		(90	)		(295	)		(2	)		(2,418	)
Amortization charge		—		(42	)		(220	)		(286	)		(36	)		—			(6	)		(590	)
Impairment		—		—			—			(8	)		—			—			(96	)		(104	)
Disposals		—		101			120			12			2			295			97			627
Balance as of December 31, 2017		—		—			(536	)		(1,818	)		(124	)		—			(7	)		(2,485	)
Net book value
As of December 31, 2015		6,285		284			530			4,955			193			—			7			12,254
As of December 31, 2016		6,285		225			474			3,802			126			—			110			11,022
As of December 31, 2017		6,285		183			547			3,508			92			—			192			10,807

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Impairment testing of goodwill and intangible assets (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Movements in Intangible Assets

An analysis and movement of net book value of goodwill and indefinite life licenses acquired through business combinations, as included in the intangible assets (Note 11), is as follows:

As of December 31, 2015	6,569
Transfer to intangible assets with definite useful life	(101	)
As of December 31, 2016	6,468
Transfer to intangible assets with definite useful life	—
As of December 31, 2017	6,468

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Long-term and short-term loans issued (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Long-Term and Short-Term Loans Issued

As of December 31, 2017, long-term and short-term loans issued consisted of the following:

	Total as of December 31, 2017		Provision for impairment of loans			Net as of December 31, 2017
Long-term loans
Loans to individuals		1		—			1
Loans to legal entities		166		(3	)		163
Total long-term loans		167		(3	)		164
Short-term loans
Loans to financial institutions		3		(3	)		—
Loans to legal entities		94		(93	)		1
Instalment Card Loans*		1,912		(222	)		1,690
Total short-term loans		2,009		(318	)		1,691

* Instalment Card Loans are primarily represented by new consumer oriented payment-by instalments card project, developed to stimulate customers to purchase goods and services on credit from a particular list of partner merchants (retail chains) within the range of credit limits established individually. These credit limits may be increased or decreased from time-to-time based on management decision. Instalment period is settled from 1 to 12 months depending on merchant. Instalment Card Loans are not collateralized.

As of December 31, 2016, long-term and short-term loans consisted of the following:

	Total as of December 31, 2016		Provision for impairment of loans			Net as of December 31, 2016
Long-term loans
Loans to individuals		7		—			7
Loans to legal entities		113		—			113
Total long-term loans		120		—			120
Short-term loans
Loans to financial institutions		3		(3	)		—
Loans to individuals		17		—			17
Loans to legal entities		115		(113	)		2
Total short-term loans		135		(116	)		19

Summary of Provision for Impairment of Loans Movement

As of December 31, 2017, the provision for impairment of loans movement was the following:

	Provision for impairment of loans as of December 31, 2016			(Charge)/ reversal for the year			Utilisation		Provision for impairment of loans as of December 31, 2017
Instalment Card Loans		—			(222	)		—		(222	)
Loans to legal entities		(113	)		3			14		(96	)
Loans to financial institutions		(3	)		—			—		(3	)
Total		(116	)		(219	)		14		(321	)

As of December 31, 2016, the provision for impairment of loans movement was the following:

	Provision for impairment of loans as of December 31, 2015			Charge for the year			Utilisation		Provision for impairment of loans as of December 31, 2016
Loans to legal entities		(199	)		(53	)		139		(113	)
Loans to financial institutions		(3	)		—			—		(3	)
Total		(202	)		(53	)		139		(116	)

Analysis of Loans by Credit Quality

Analysis of loans by credit quality is as follows:

	December 31, 2017											December 31, 2016
	Instalment Card Loans			Loans to individuals		Loans to legal entities			Loans to credit institutions			Loans to individuals		Loans to legal entities			Loans to credit institutions
Loans assessed individually		—			1		260			3			24		228			3
Loans assessed collectively:
- non-overdue		1,668			—		—			—			—		—			—
- up to 30 days overdue		88			—		—			—			—		—			—
- 30 to 60 days overdue		35			—		—			—			—		—			—
- 60 to 90 days overdue		25			—		—			—			—		—			—
- over 90 days overdue		96			—		—			—			—		—			—
Less: Provision for loan impairment		(222	)		—		(96	)		(3	)		—		(113	)		(3	)
Total loans issued		1,690			1		164			—			24		115			—

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Trade and other receivables (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Trade and Other Receivables

As of December 31, 2017, trade and other receivables consisted of the following:

	Total as of December 31, 2017		Provision for impairment of receivables			Net as of December 31, 2017
Cash receivable from agents		4,666		(426	)		4,240
Deposits issued to merchants		3,919		(13	)		3,906
Comissions receivable		827		(18	)		809
Advances issued		240		(1	)		239
Rent receivables		101		(73	)		28
Other receivables*		440		(14	)		426
Total trade and other receivables		10,193		(545	)		9,648

* As of December 31, 2017 the other receivables includes the amount of 336 from Otkritie bank for assets with incomplete transfer of ownership (see Note 10 and 11).

As of December 31, 2016, trade and other receivables consisted of the following:

	Total as of December 31, 2016		Provision for impairment of receivables			Net as of December 31, 2016
Cash receivable from agents		3,657		(659	)		2,998
Deposits issued to merchants		2,318		(3	)		2,315
Comissions receivable		162		(7	)		155
Advances issued		144		(1	)		143
Rent receivables		106		(95	)		11
Other receivables		71		(14	)		57
Total trade and other receivables		6,458		(779	)		5,679

Summary of Ageing Analysis of Trade Receivables That Are Past Due but Not Impaired

The ageing analysis of trade receivables that are past due but not impaired as of December 31, 2017 are presented below:

			Ageing of receivables (days)
As of December 31, 2017	Total		<30		30-60		60-90		90-180		180-360		>360
Cash receivable from agents		4,240		4,217		20		1		0		2		0
Comissions receivable		809		797		5		5		–		1		1
Rent receivables		28		19		6		2		1		–		–
Total trade and other receivables		5,077		5,033		31		8		1		3		1

The ageing analysis of trade receivables that are past due but not impaired as of December 31, 2016 are presented below:

			Ageing of receivables (days)
As of December 31, 2016	Total		<30		30-60		60-90		90-180		180-360		>360
Cash receivable from agents		2,998		2,568		423		1		3		1		2
Comissions receivable		155		141		10		1		2		1		—
Rent receivables		11		7		3		1		—		—		—
Total trade and other receivables		3,164		2,716		436		3		5		2		2

Summary of Provision for Impairment of Receivables Movement

For the year ended December 31, 2017, the provision for impairment of receivables movement was the following:

	Provision for impairment of receivables as of December 31, 2016			(Charge)/ reversal for the year			Utilisation		Provision for impairment of receivables as of December 31, 2017
Cash receivable from agents		(659	)		16			217		(426	)
Deposits issued to merchants		(3	)		(11	)		1		(13	)
Comissions receivable		(7	)		(11	)		—		(18	)
Advances issued		(1	)		—			—		(1	)
Rent receivables		(95	)		10			12		(73	)
Other receivables		(14	)		(5	)		5		(14	)
Total trade and other receivables		(779	)		(1	)		235		(545	)

For the year ended December 31, 2016, the provision for impairment of receivables movement was the following:

	Provision for impairment of receivables as of December 31, 2015			(Charge)/ reversal for the year			Utilisation		Provision for impairment of receivables as of December 31, 2016
Cash receivable from agents		(660	)		(125	)		126		(659	)
Deposits issued to merchants		(1	)		(2	)		—		(3	)
Comissions receivable		(21	)		(1	)		15		(7	)
Advances issued		(1	)		—			—		(1	)
Rent receivables		(95	)		(15	)		15		(95	)
Other receivables		(16	)		1			1		(14	)
Total trade and other receivables		(794	)		(142	)		157		(779	)

For the year ended December 31, 2015, the provision for impairment of receivables movement was the following:

	Provision for impairment of receivables as of December 31, 2014			(Charge)/ reversal for the year			Utilisation		Provision for impairment of receivables as of December 31, 2015
Cash receivable from agents		(506	)		(204	)		50		(660	)
Deposits issued to merchants		(6	)		(1	)		6		(1	)
Comissions receivable		(3	)		(19	)		1		(21	)
Advances issued		(2	)		1			—		(1	)
Rent receivables		(29	)		(70	)		4		(95	)
Other receivables		(18	)		(6	)		8		(16	)
Total trade and other receivables		(564	)		(299	)		69		(794	)

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Cash and cash equivalents (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Sechedule of Cash and Cash Equivalents

As of December 31, 2017 and 2016, cash and cash equivalents consisted of the following:

	As of December 31, 2016		As of December 31, 2017
Correspondent accounts with Central Bank of Russia (CBR)		1,877		6,522
Correspondent accounts with other banks		2,789		2,890
Short-term CBR deposits		9,201		6,500
Other short-term bank deposits		3,857		1,322
RUB denominated cash with banks and on hand		294		600
Other currency denominated cash with banks and on hand		979		572
Total cash and cash equivalents		18,997		18,406

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Other current assets (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Other Current Assets

As of December 31, 2017 and 2016, other current assets consisted of the following:

	As of December 31, 2016		As of December 31, 2017
Indemnification asset		60		30
Reserves at CBR*		312		229
Prepaid expenses		204		99
VAT and other taxes receivable		22		51
Other		63		49
Total other current assets		661		458

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Share capital, additional paid-in capital, share premium and other reserves (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Authorised, Issued and Fully Paid Shares

Authorised shares	As of December 31, 2015		As of December 31, 2016		As of December 31, 2017
	Thousands		Thousands		Thousands
Ordinary Class A shares		133,017		133,017		131,778
Ordinary Class B shares		97,833		97,833		99,072
Total authorised shares		230,850		230,850		230,850

Issued and fully paid shares	As of December 31, 2015		As of December 31, 2016		As of December 31, 2017
	Thousands		Thousands		Thousands
Ordinary Class A shares		15,517		15,517		14,278
Ordinary Class B shares		44,902		45,080		46,655
Total issued and fully paid shares		60,419		60,597		60,933

Summary of Share Capital and Share Premium Movements

For the year ended December 31, 2017 and 2016 the share capital and share premium movement was the following:

	Number of issued shares		Share capital		Share premium
	Thousands
As of December 31, 2015		60,419		1		12,068
Increase of share capital due to exercise of options by employees during the year		178		—		—
As of December 31, 2016		60,597		1		12,068
Increase of share capital due to exercise of options by employees during the year		336		—		—
As of December 31, 2017		60,933		1		12,068

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Trade and other payables (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Trade and Other Payables

As of December 31, 2017 and 2016, the Group’s trade and other payables consisted of the following:

	As of December 31, 2016		As of December 31, 2017
Payables to merchants		6,696		9,178
Deposits received from agents		4,030		3,638
Deposits received from individual customers		3,961		4,726
Payment processing fees payable		504		469
Unsettled money remittances		433		586
Accrued personnel expenses and related taxes		323		353
Payables to vendors		338		536
Payables for rent		24		37
Other advances received		19		76
Total trade and other payables		16,328		19,599

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Customer accounts and amounts due to banks (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Customer Accounts and Amounts Due to Bank

As of December 31, 2017 and 2016, customer accounts and amounts due to banks consisted of the following:

	As of December 31, 2016		As of December 31, 2017
Due to banks		1,207		1,390
Due to individuals		34		110
Due to legal entities		1,101		1,571
Term deposits		—		111
Total customer accounts and amounts due to banks		2,342		3,182

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Investment in joint ventures (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Financial Information of Group's Investment in Flocktory Joint Venture

The following table illustrates summarized financial information of the Group’s investment in Flocktory joint venture:

	As of December 31, 2017
Share of the joint venture companies’ statement of financial position:
Non-current assets		666
Current assets		125
including cash and cash equivalents		80
Current liabilities		(11	)
including financial liabilities		(9	)
Net assets		780
Group’s share (82%) of net assets		640
Goodwill		192
Carrying amount of investment in joint venture companies		832

Summary of Joint Venture's Revenue and Net Income

Share of the joint venture’s revenue and net income for year ended December 31, 2017:

Revenue	187
Cost of revenues	(79	)
Other income and expenses, net	(107	)
including selling, general and administrative expenses	(55	)
including depreciation and amortization	(59	)
Total comprehensive income	1
Group’s share (82%) of total comprehensive income	1

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Revenue (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Schedule of Revenue

Revenue for the years ended December 31 was as follows:

	2015		2016		2017
Payment processing fees		14,935		16,289		18,575
Interest revenue		731		899		1,052
Cash and settlement services		557		130		670
Other revenue		1,494		562		600
Total revenue		17,717		17,880		20,897

Schedule of Interest Income Net

For the purposes of consolidated cash flow statement, “Interest income, net” consists of the following:

	2015			2016			2017
Interest revenue		(731	)		(899	)		(1,052	)
Interest expense classified as part of cost of revenue		79			37			42
Interest income from non-banking loans classified separately in the consolidated statement of comprehensive income		(16	)		(36	)		(35	)
Interest expense from non-banking loans classified separately in the consolidated statement of comprehensive income		109			64			29
Interest income, net, for the purposes of consolidated cash flow statement		(559	)		(834	)		(1,016	)

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Cost of revenue (exclusive of depreciation and amortization) (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Schedule of Cost of Revenue Excluding Depreciation and Amortization

Cost of revenue (exclusive of depreciation and amortization) for the years ended December 31 was as follows:

	2015		2016		2017
Transaction costs		6,300		6,490		6,756
Payroll and related taxes		1,206		1,377		2,059
Other expenses		1,189		779		948
Total cost of revenue (exclusive of depreciation and amortization)		8,695		8,646		9,763

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Selling, general and administrative expenses (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Selling, General and Administrative Expenses

Selling, general and administrative expenses for the years ended December 31 were as follows:

	2015*		2016*		2017
Compensation to employees, related taxes and other personnel expenses		1,511		1,682		2,227
Rent of premises and related utility expenses		338		346		391
Bad debt expense		362		215		220
Advertising, client acquisition and related expenses		242		165		1,294
Advisory and audit services		357		297		433
Tax expenses, except of income and payroll relates taxes		155		175		407
IT related services		176		180		236
Other expenses		328		363		1,035
Total selling, general and administrative expenses		3,469		3,423		6,243

* Since 1 January 2017, general and administrative expenses have been revised to present more detailed classification of items based on their nature to provide the users of the financial statements with more relevant information. Certain comparative amounts have been reclassified to conform to the current period’s presentation.

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Dividends paid and proposed (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Dividends Paid and Proposed

Dividends paid and proposed by the Group to the shareholders of the parent are presented below:

	2015		2016		2017
Proposed, declared and approved during the year:
2017: Final dividend for 2016: U.S.$ 11,520,798, Interim dividend for 2017: U.S.$ 26,113,788 (2016: Final dividend for 2015: U.S.$ 30,210,153, Interim dividend for 2016: U.S.$ 39,943,003 2015: Interim dividend for 2015: U.S.$ 13,640,343)		694		4,843		2,207
Paid during the period*:
2017: Final dividend for 2016: U.S.$ 11,520,798, Interim dividend for 2017: U.S.$ 26,113,788 (2016: Final dividend for 2015: U.S.$ 30,210,153, Interim dividend for 2016: U.S.$ 39,943,003 2015: Interim dividend for 2015: U.S.$ 13,640,343)		699		4,628		2,148
Proposed for approval (not recognized as a liability as of December 31):
2017: nill 2016: Final dividend for 2016: U.S.$ 11,513,436 2015: Final dividend for 2015: U.S.$ 30,209,301		2,237		679		—
Dividends payable as of December 31		—		—		—

* The difference between paid and declared dividends represents foreign exchange movement

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Income tax (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Deferred Income Tax Assets and Liabilities

Deferred income tax assets and liabilities as of December 31, 2017 and 2016, relate to the following:

	Consolidated statement of financial position as of December 31						Consolidated statement of profit or loss for the year ended
	2017			2016			2017			2016
Intangible assets		(719	)		(784	)		65			265
Trade and other payables		166			130			36			9
Trade and other receivables		101			138			(37	)		(20	)
Loans issued		48			27			21			7
Taxes on unremitted earnings		(184	)		(75	)		(109	)		19
Other		7			(17	)		24			(27	)
Net deferred income tax asset/(liability)		(581	)		(581	)		–			253
including:
Deferred tax asset		245			270
Deferred tax liability		(826	)		(851	)

Summary of Reconciliation of Deferred Income Tax Assets (Liability), Net

Reconciliation of deferred income tax asset/(liability), net:

	2015			2016			2017
Deferred income tax asset/(liability), net as of January 1		203			(834	)		(581	)
Effect of acquisitions of subsidiaries		(1,037	)		–			–
Deferred tax benefit/(expense)		–			253			–
Deferred income tax asset/(liability), net as of December 31		(834	)		(581	)		(581	)

Summary of Income Tax Expense

For the year ended December 31 income tax expense included:

	2015			2016			2017
Total tax expense
Current income tax expense		(877	)		(871	)		(698	)
Deferred tax benefit/(expense)		–			253			–
Income tax expense for the year		(877	)		(618	)		(698	)

Reconciliation of Theoretical and Actual Income Tax Expense

Theoretical and actual income tax expense is reconciled as follows:

	2015			2016			2017
Profit before tax		6,151			3,107			3,840
Theoretical income tax expense at the domestic rate in each individual jurisdiction		(802	)		(278	)		(370	)
(Increase)/decrease resulting from the tax effect of:
Non-taxable income		200			39			12
Non-deductible expenses		(105	)		(269	)		(222	)
Income tax associated with earnings of foreign subsidiaries		(102	)		(95	)		(109	)
Unrecognized deferred tax assets		(68	)		(15	)		(9	)
Total income tax expense		(877	)		(618	)		(698	)

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Commitments, contingencies and operating risks (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Future Minimum Lease Rentals Under Non Cancellable Operating Lease Commitments for Office Premises

Future minimum lease rentals under non-cancellable operating lease commitments for office premises as of December 31, 2017 and December 31, 2016    are as follows:

	As of December 31, 2016		As of December 31, 2017
Within one year		244		397
After one year but not more than five years		583		693

Schedule of Outstanding Credit Limits Possible to Be Used and Related Commitments

Outstanding credit limits possible to be used including credit limits not yet activated by the customers and related commitments are as follows:

	As of December 31, 2016		As of December 31, 2017
Unused limits on instalment card loans		127		8,603

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Risk management (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Change in US Dollar and Euro Exchange Rates Against Ruble, with all Other Variable Held Constant

The following tables demonstrate the sensitivity to a reasonably possible change in US Dollar and Euro exchange rates against Ruble, with all other variables held constant. The impact on the Group’s profit before tax is due to changes in the carrying amount of monetary assets and liabilities denominated in US Dollar and Euro when these currencies are not functional currencies of the respective Group subsidiary. The Group’s exposure to foreign currency changes for all other currencies is not material.

	change in US Dollar	Effect on profit before tax Gain/(loss)
2017	+11%	83
	- 11%	(83)
2016	+20%	655
	- 20%	(655)

	change in Euro	Effect on profit before tax Gain/(loss)
2017	+12.5%	36
	- 12.5%	(36)
2016	+20%	40
	- 20%	(40)

Summary of Maturity Profile of Company's Financial Liabilities Based on Contractual Undiscounted Payments

from its operations. The table below summarizes the maturity profile of the Company’s financial liabilities based on contractual undiscounted payments.

			Due:
	Total		On demand		Within a year		More than a year
Trade and other payables (Note 19)		19,599		19,599		—		—
Customer accounts and amounts due to banks (Note 20)		3,182		3,071		111		—
Total as of December 31, 2017		22,781		22,670		111		—
			Due:
	Total		On demand		Within a year		More than a year
Trade and other payables (Note 19)		16,328		16,328		—		—
Customer accounts and amounts due to banks (Note 20)		2,342		2,342		—		—
Total as of December 31, 2016		18,670		18,670		—		—

Summary of Largest Counter Parties Balance as Percentage of Respective Totals

type of receivables (Note 14). The table below demonstrates the largest counterparties’ balances, as a percentage of respective totals:

	Trade and other receivables
	As of December 31, 2016			As of December 31, 2017
Concentration of credit risks by main counterparties, % from total amount
Top 5 counterparties		60	%		47	%
Others		40	%		53	%

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Financial instruments (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Summary of Fair Value of Type Financial Instrument

The fair value of the Group’s financial instruments as of December 31, 2017 and 2016 is presented by type of the financial instrument in the table below:

		As of December 31, 2016				As of December 31, 2017
		Carrying amount		Fair value		Carrying amount		Fair value
Financial assets
Debt instruments	HTM		2,171		2,195		1,804		1,827
Long-term loans	LAR		120		120		164		164
Total financial assets			2,291		2,315		1,968		1,991

Summary of Fair Value Measurement Hierarchy of Assets and Liabilities

The following table provides the fair value measurement hierarchy of the Group’s assets and liabilities:

					Fair value measurement using
					Quoted prices in active markets		Significant observable inputs		Significant unobservable inputs
	Date of valuation		Total		(Level 1)		(Level 2)		(Level 3)
Assets for which fair values are disclosed
Debt instruments		December 31, 2017		1,827		1,827		—		—
Long-term loans		December 31, 2017		164		—		—		164
Assets for which fair values are disclosed
Debt instruments		December 31, 2016		2,195		2,195		—		—
Long-term loans		December 31, 2016		120		—		—		120

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Share-based payments (Tables)

12 Months Ended

Dec. 31, 2017

Text block1 [abstract]

Schedule of Option Plans

	2012 Employee Stock Option Plan (ESOP)	2015 Restricted Stock Unit Plan (RSU Plan)
Adoption date	October, 2012	July, 2015
Type of shares	class B shares	class B shares
Number of options or RSUs reserved	Up to 7 % of total amount of shares	Up to 7 % of total amount of shares
Exercise price	Granted during:	Granted during:
	Year 2012: U.S. $13.65	Year 2016: n/a
	Year 2013: U.S. $41.24 – 46.57	Year 2017: n/a
	Year 2014: U.S. $34.09 – 37.89 Year 2017: U.S. $ 23.94
Exercise basis	Shares	Shares
Expiration date	December 2020	December 2022
Vesting period	Up to 4 years	Three vesting during up to 2 years
Other major terms	The options are not transferrable	- The units are not transferrable
		- All other terms of the units under 2015 RSU Plan are to be determined by the Company’s BOD or the CEO, if so resolved by the BOD, acting as administrator of the Plan

Schedule of Changes in Outstanding Options

31.2. Changes in outstanding options

The following table illustrates the movements in share options during the year ended December 31, 2017:

	As of December 31, 2016		Granted during the period		Forfeited during the period			Exercised during the period			As of December 31, 2017
2012 ESOP		1,929,089		27,743		(282,000	)		(146,692	)		1,528,140
2015 RSU Plan		414,035		512,108		(66,732	)		(314,033	)		545,378
Total		2,343,124		539,851		(348,732	)		(460,725	)		2,073,518

Schedule of Valuations of Share-based Payments

The valuation of all equity-settled options granted are summarized in the table below:

Option plan/ Grant date	Number of options/ RSUs		Dividend yield, %	Volatility,%	Risk-free interest rate, %			Expec- ted term, years		Weighted average share price (U.S. $)		Weighted average fair value per option/ RSU (U.S. $)		Valuation method
2012 ESOP		4,128,521	0-5.03%	28%- 49.85%		0.29 3.85	%-  %		2-4		28.10		7.14	Black- Scholes- Merton
2015 RSU Plan		1,095,708	0-5.03%	50.65%- 64.02%		2.89 3.19	%-  %		0-2		15.04		14.41	Binominal

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Principles Underlying Preparation of Consolidated Financial Statements - Summary of Provisional Impact of IFRS 9 Adoption (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Assets
Cash and cash equivalents	₽ 18,406	₽ 18,997
Trade and other receivables	9,648	5,679
Deferred tax assets	245	270
Total assets	45,059	39,674
Liabililies
Net impact on equity, Including	21,157	19,969	₽ 22,436	₽ 8,334
Retained earnings	5,715	₽ 4,808
In accordance with IFRS 9 [member]
Assets
Cash and cash equivalents	(130)
Trade and other receivables	(38)
Loans issued	(93)
Debt instruments	(5)
Deferred tax assets	75
Total assets	(191)
Liabililies
Other current liabilities	(111)
Total Liabililies	(111)
Net impact on equity, Including	(302)
Retained earnings	₽ (302)

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Summary of Significant Accounting Policies - Schedule of Exchange Rates of Russian Ruble to Each Respective Currency (Detail)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
US Dollar [member]
Disclosure of significant accounting policies [line items]
Average exchange rate	58.3529	67.0349
Exchange rates	57.6002	60.6569
Euro [member]
Disclosure of significant accounting policies [line items]
Average exchange rate	65.9014	74.2310
Exchange rates	68.8668	63.8111
Kazakhstan Tenge (100) [member]
Disclosure of significant accounting policies [line items]
Average exchange rate	17.8959	19.5980
Exchange rates	17.3184	18.1637
Belarussian Ruble [member]
Disclosure of significant accounting policies [line items]
Average exchange rate	30.2125	33.7165
Exchange rates	29.1013	30.9474
Moldovan Leu (10) [member]
Disclosure of significant accounting policies [line items]
Average exchange rate	31.6871	33.6961
Exchange rates	33.6548	30.5269
New Romanian Leu [member]
Disclosure of significant accounting policies [line items]
Average exchange rate	14.4216	16.5315
Exchange rates	14.7822	14.0722

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Summary of Significant Accounting Policies - Schedule of Depreciation and Estimated Useful Lives (Detail)	12 Months Ended
	Dec. 31, 2017
Bottom of range [member] | Processing servers and engineering equipment [member]
Disclosure of significant accounting policies [line items]
Estimated useful lives	P3Y
Bottom of range [member] | Computers and office equipment [member]
Disclosure of significant accounting policies [line items]
Estimated useful lives	P3Y
Bottom of range [member] | Other equipment [member]
Disclosure of significant accounting policies [line items]
Estimated useful lives	P2Y
Top of range [member] | Processing servers and engineering equipment [member]
Disclosure of significant accounting policies [line items]
Estimated useful lives	P10Y
Top of range [member] | Computers and office equipment [member]
Disclosure of significant accounting policies [line items]
Estimated useful lives	P5Y
Top of range [member] | Other equipment [member]
Disclosure of significant accounting policies [line items]
Estimated useful lives	P20Y

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Summary of Significant Accounting Policies - Additional Information (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Russia [member]
Disclosure of significant accounting policies [line items]
Defined contributions to pension fund	₽ 473	₽ 315	₽ 270
Bottom of range [member]
Disclosure of significant accounting policies [line items]
Percentage of defined contributions to pension fund	10.00%
Bottom of range [member] | Software and Other Intangible Assets [member]
Disclosure of significant accounting policies [line items]
Amortization period of intangible assets	P3Y
Top of range [member]
Disclosure of significant accounting policies [line items]
Percentage of defined contributions to pension fund	30.00%
Top of range [member] | Software and Other Intangible Assets [member]
Disclosure of significant accounting policies [line items]
Amortization period of intangible assets	P5Y

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Summary of Significant Accounting Policies - Summary of Useful Lives of Intangible Assets (Detail)	12 Months Ended
	Dec. 31, 2017
Bank license [member]
Disclosure of significant accounting policies [line items]
Useful lives of intangible assets	indefinite
Bottom of range [member] | Customer relationship and contract rights [member]
Disclosure of significant accounting policies [line items]
Useful lives of intangible assets	4 years
Bottom of range [member] | Computer software [member]
Disclosure of significant accounting policies [line items]
Useful lives of intangible assets	3 years
Bottom of range [member] | Trademarks and other intangible assets [member]
Disclosure of significant accounting policies [line items]
Useful lives of intangible assets	3 years
Top of range [member] | Customer relationship and contract rights [member]
Disclosure of significant accounting policies [line items]
Useful lives of intangible assets	15 years
Top of range [member] | Computer software [member]
Disclosure of significant accounting policies [line items]
Useful lives of intangible assets	10 years
Top of range [member] | Trademarks and other intangible assets [member]
Disclosure of significant accounting policies [line items]
Useful lives of intangible assets	6 years

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Significant Accounting Judgments, Estimates and Assumptions - Additional Information (Detail)	3 Months Ended	9 Months Ended	12 Months Ended
	Dec. 31, 2017	Sep. 30, 2017	Dec. 31, 2017	Dec. 31, 2013	Dec. 31, 2012
Significant Accounting Judgments Estimates And Assumptions [Line Items]
Major sources of payment processing fee revenues			Two major sources
Expected dividend yield	0.00%	5.03%		2.83%	0.00%
Estimated forfeiture rate			0.00%
RSU [Member]
Significant Accounting Judgments Estimates And Assumptions [Line Items]
Estimated forfeiture rate			9.00%

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Consolidated Subsidiaries - Description of Subsidiaries and Ownership Interest (Detail)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Flocktory Ltd (Cyprus) [member]
Disclosure of subsidiaries [line items]
Ownership interest in joint ventures	82.00%
Flocktory Spain S.L. (Spain) [member]
Disclosure of subsidiaries [line items]
Ownership interest in joint ventures	82.00%
FreeAtLast LLC (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in joint ventures	82.00%
JSC QIWI (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
QIWI Bank JSC (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
QIWI Payments Services Provider Ltd (UAE) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
QIWI International Payment System LLC (USA) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
Qiwi Kazakhstan LP (Kazakhstan) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
JLLC OSMP BEL (Belarus) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	51.00%	51.00%
QIWI-M S.R.L. (Moldova) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	51.00%	51.00%
QIWI ROMANIA SRL [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
QIWI WALLET EUROPE SIA (Latvia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
QIWI Retail LLC (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
QIWI Management Services FZ-LLC (UAE) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
CIHRUS LLC (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries		100.00%
Attenium LLC (Russia) [Member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
Rapida LTD (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries		100.00%
Postomatnye Tekhnologii LLC (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
Future Pay LLC (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
Qiwi Blockchain Technologies LLC (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%	100.00%
QIWI Shtrikh LLC (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	51.00%
QIWI Platform LLC (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%
QIWI Processing LLC (Russia) [member]
Disclosure of subsidiaries [line items]
Ownership interest in subsidiaries	100.00%

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Acquisition of Joint Venture - Additional Information (Detail) - RUB (₽)	Dec. 31, 2017	Mar. 22, 2017
Disclosure of detailed information about business combination [line items]
Percentage of voting equity interests acquired		82.00%
Flocktory Ltd (Cyprus) [member]
Disclosure of detailed information about business combination [line items]
Percentage of equity held with acquiree	18.00%
Percentage of minority shareholders put option exercisable after one year from acquisition date	50.00%
Percentage of minority shareholders put option exercisable after one and half year from acquisition date	25.00%
Percentage of minority shareholders put option exercisable after two years from acquisition date	25.00%
Fair value of call option	₽ 0
Fair value of put option	0
Goodwill arising on acquisition	₽ 192,000,000

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Acquisition of Joint Venture - Disclosure of Detailed Information About Business Combinations Cash Consideration (Detail) - Flocktory Ltd (Cyprus) [member] ₽ in Millions	Dec. 31, 2017 RUB (₽)
Disclosure of detailed information about business combination [line items]
Cash consideration paid	₽ 794
Cash payable for Flocktory's stock option plan cancelation	37
Total purchase consideration transferred	₽ 831

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Acquisition of Joint Venture - Disclosure of Detailed Information About Business Combinations Cash Consideration (Parenthetical) (Detail) shares in Millions	Mar. 22, 2017 shares
Disclosure of detailed information about business combination [abstract]
ESOP rights for cancellation	504
ESOP rights cancelled at acquisition date	259
ESOP rights offered for cancellation	120
ESOP rights offered for cancellation	125

XML

Acquisition of Joint Venture - Summary of Fair Value of the Identifiable Assets and Liabilities as of the Date of Acquisitions (Detail) - Flocktory Ltd (Cyprus) [member] ₽ in Millions	Mar. 22, 2017 RUB (₽)
Net assets acquired:
Property and equipment	₽ 1
Intangible assets	720
Accounts receivable	26
Cash and cash equivalents	55
Trade and other payables	(21)
Other liabilities	(1)
Total identifiable net assets at fair value	780
Group's share of net assets (82%)	639
Goodwill arising on acquisition	₽ 192

XML

Acquisition of Joint Venture - Summary of Fair Value of the Identifiable Assets and Liabilities as of the Date of Acquisitions (Parenthetical) (Detail)	Mar. 22, 2017
Flocktory Ltd (Cyprus) [member]
Disclosure of detailed information about business combination [line items]
Ownership interest	82.00%

XML

Disposals of Subsidiaries and Disposal Groups Held for Sale - Additional Information (Detail) - RUB (₽)	1 Months Ended	12 Months Ended
	Dec. 01, 2016	Dec. 31, 2017	Dec. 31, 2016
Processingovyi Tsentr Rapida LLC (Russia) [member]
Disclosure of subsidiaries [line items]
Percentage of ownership interest in subsidiary	100.00%
QIWI WALLET EUROPE SIA (Latvia) [member]
Disclosure of subsidiaries [line items]
Percentage of ownership interest in subsidiary		100.00%	100.00%
QIWI WALLET EUROPE SIA (Latvia) [member] | Disposal Groups Classified as Held for Sale [member]
Disclosure of subsidiaries [line items]
Impairment loss		₽ 0

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Disposals of Subsidiaries and Disposal Groups Held for Sale - Gain/Loss on Disposal of Subsidiaries (Detail) - Disposal Groups Classified as Held for Sale [member] - Processingovyi Tsentr Rapida LLC (Russia) [member] ₽ in Millions	12 Months Ended
	Dec. 31, 2016 RUB (₽)
Disclosure of subsidiaries [line items]
Net liabilities of Processingovyi Tsentr Rapida LLC derecognized on disposal	₽ 230
Disposal of indemnity asset related to the subsidiary	(240)
Loss on disposal	₽ (10)

XML

Disposals of Subsidiaries and Disposal Groups Held for Sale - Assets and Liabilities of Disposal Group as of Disposal Date (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Assets:
Other current assets	₽ 458	₽ 661
Total assets	₽ 45,059	39,674
Processingovyi Tsentr Rapida LLC (Russia) [member] | Disposal Groups Classified as Held for Sale [member]
Assets:
Other current assets		13
Total assets		13
Liabilities:
Income tax payable		240
Other current liabilities		3
Total liabilities		₽ 243

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Operating Segments - Schedule of Segments Statement of Comprehensive Income (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of operating segments [line items]
Segment net revenue	₽ 20,897	₽ 17,880	₽ 17,717
Segment profit/(loss) before tax	3,840	3,107	6,151
Segment net profit/(loss)	3,142	2,489	5,274
Operating segments [member] | PS [member]
Disclosure of operating segments [line items]
Segment net revenue	12,580	10,583	10,198
Segment profit/(loss) before tax	8,795	6,454	6,066
Segment net profit/(loss)	7,543	5,612	5,242
Operating segments [member] | CFS [member]
Disclosure of operating segments [line items]
Segment net revenue	9	(3)
Segment profit/(loss) before tax	(2,704)	(259)
Segment net profit/(loss)	(2,164)	(219)
Operating segments [member] | CO [member]
Disclosure of operating segments [line items]
Segment net revenue	604	31	30
Segment profit/(loss) before tax	(1,273)	(605)	(995)
Segment net profit/(loss)	(1,325)	(679)	(1,100)
Operating segments [member] | Total [member]
Disclosure of operating segments [line items]
Segment net revenue	13,193	10,611	10,228
Segment profit/(loss) before tax	4,818	5,590	5,071
Segment net profit/(loss)	₽ 4,054	₽ 4,714	₽ 4,142

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Operating Segments - Schedule of Segment Net Revenue (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of operating segments [abstract]
Revenue under IFRS	₽ 20,897	₽ 17,880	₽ 17,717
Cost of revenue (exclusive of depreciation and amortization)	(9,763)	(8,646)	(8,695)
Payroll and related taxes	2,059	1,377	1,206
Total segment net revenue, as presented to CODM	₽ 13,193	₽ 10,611	₽ 10,228

XML

Operating Segments - Schedule of Reconciliation of Segment Profit before Tax (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of operating segments [line items]
Profit before tax	₽ 3,840	₽ 3,107	₽ 6,151
Amortization of fair value adjustments to intangible assets recorded on acquisitions	344	396	270
Share - based payments	398	224	88
Foreign exchange gain/(loss) from revaluation of cash proceeds received from secondary public offering	236	975	(1,476)
Impairment of intangible assets recorded on acquisitions		878
Loss on disposal of subsidiaries, net		10	38
CODM [member]
Disclosure of operating segments [line items]
Total segment profit before tax	₽ 4,818	₽ 5,590	₽ 5,071

XML

Operating Segments - Schedule of Reconciliation of Segment Net Profit (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of operating segments [line items]
Net profit	₽ 3,142	₽ 2,489	₽ 5,274
Amortization of fair value adjustments to intangible assets recorded on acquisitions	344	396	270
Share - based payments	398	224	88
Foreign exchange gain/(loss) from revaluation of cash proceeds received from secondary public offering	236	975	(1,476)
Impairment of intangible assets recorded on acquisitions		878
Loss on disposal of subsidiaries, net		10	38
Effect from taxation of the above items	(66)	(258)	(52)
CODM [member]
Disclosure of operating segments [line items]
Total segment net profit	₽ 4,054	₽ 4,714	₽ 4,142

XML

Operating Segments - Schedule of Revenue from External Customers (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of geographical areas [line items]
Total revenue per consolidated statement of comprehensive income	₽ 20,897	₽ 17,880	₽ 17,717
Russia [member]
Disclosure of geographical areas [line items]
Total revenue per consolidated statement of comprehensive income	15,556	13,274	13,737
CIS [member]
Disclosure of geographical areas [line items]
Total revenue per consolidated statement of comprehensive income	1,098	1,099	1,019
EU [member]
Disclosure of geographical areas [line items]
Total revenue per consolidated statement of comprehensive income	989	807	566
Other [member]
Disclosure of geographical areas [line items]
Total revenue per consolidated statement of comprehensive income	₽ 3,254	₽ 2,700	₽ 2,395

XML

Operating Segments - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Major customer [member]
Disclosure of operating segments [line items]
Percentage of entity's revenue	10.00%	10.00%	10.00%

XML

Earnings Per Share - Calculation of Basic and Diluted Earnings Per Share Amounts (Detail) - RUB (₽) ₽ / shares in Units, ₽ in Millions, shares in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Earnings per share [abstract]
Net profit attributable to ordinary equity holders of the parent for basic earnings	₽ 3,114	₽ 2,474	₽ 5,187
Weighted average number of ordinary shares for basic earnings per share	60,755,706	60,477,840	57,819,164
Effect of share-based payments	404,357	167,197	147,851
Weighted average number of ordinary shares for diluted earnings per share	61,160,063	60,645,037	57,967,015
Basic, profit attributable to ordinary equity holders of the parent	₽ 51.25	₽ 40.91	₽ 89.72
Diluted, profit attributable to ordinary equity holders of the parent	₽ 50.92	₽ 40.79	₽ 89.49

XML

Property and Equipment - Summary of Property and Equipment (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	₽ 593	₽ 366
Ending balance	724	593
Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	1,029	676
Transfer between groups	0	0
Additions	365	388
Disposals	(157)	(31)
Foreign currency translation		(4)
Ending balance	1,237	1,029
Accumulated Depreciation and Impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	(436)	(310)
Depreciation charge	(206)	(149)
Disposals	129	23
Foreign currency translation		0
Ending balance	(513)	(436)
Processing servers and engineering equipment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	367	264
Ending balance	466	367
Processing servers and engineering equipment [member] | Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	695	498
Transfer between groups	77	11
Additions	196	215
Disposals	(146)	(27)
Foreign currency translation		(2)
Ending balance	822	695
Processing servers and engineering equipment [member] | Accumulated Depreciation and Impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	(328)	(234)
Depreciation charge	(150)	(113)
Disposals	122	20
Foreign currency translation		(1)
Ending balance	(356)	(328)
Computers and office equipment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	30	29
Ending balance	54	30
Computers and office equipment [member] | Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	91	71
Transfer between groups	1	0
Additions	45	19
Disposals	(7)	2
Foreign currency translation		(1)
Ending balance	130	91
Computers and office equipment [member] | Accumulated Depreciation and Impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	(61)	(42)
Depreciation charge	(21)	(17)
Disposals	6	(3)
Foreign currency translation		1
Ending balance	(76)	(61)
Other equipment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	115	58
Ending balance	93	115
Other equipment [member] | Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	162	92
Transfer between groups	0	0
Additions	16	76
Disposals	(4)	(6)
Foreign currency translation		0
Ending balance	174	162
Other equipment [member] | Accumulated Depreciation and Impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	(47)	(34)
Depreciation charge	(35)	(19)
Disposals	1	6
Foreign currency translation		0
Ending balance	(81)	(47)
Construction in Progress (CIP) and Advances for Equipment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	81	15
Ending balance	111	81
Construction in Progress (CIP) and Advances for Equipment [member] | Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	81	15
Transfer between groups	(78)	(11)
Additions	108	78
Disposals	0	0
Foreign currency translation		(1)
Ending balance	111	81
Construction in Progress (CIP) and Advances for Equipment [member] | Accumulated Depreciation and Impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	0	0
Depreciation charge	0	0
Disposals	0	0
Foreign currency translation		0
Ending balance	₽ 0	₽ 0

XML

Property and Equipment - Additional Information (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about property, plant and equipment [line items]
Gross book value of fully depreciated assets	₽ 184	₽ 141
Otkritie Bank [member]
Disclosure of detailed information about property, plant and equipment [line items]
Property plant and equipment purchased	₽ 104

XML

Intangible Assets - Summary of Intangible Assets (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	₽ 11,022	₽ 12,254
Impairment	104	878
Transfer between groups	0	(101)
Ending Balance	10,807	11,022
Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	13,440	13,315
Additions	484	292
Additions from business combinations		12
Transfer between groups	0	0
Disposals	(632)	(179)
Ending Balance	13,292	13,440
Accumulated Amortization [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	(2,418)	(1,061)
Amortization charge	(590)	(647)
Impairment	(104)	(886)
Disposals	627	176
Ending Balance	(2,485)	(2,418)
Goodwill [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	6,285	6,285
Ending Balance	6,285	6,285
Goodwill [member] | Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	6,285	6,285
Additions	0	0
Additions from business combinations		0
Transfer between groups	0	0
Disposals	0	0
Ending Balance	6,285	6,285
Goodwill [member] | Accumulated Amortization [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	0	0
Amortization charge	0	0
Impairment	0	0
Disposals	0	0
Ending Balance	0	0
Licences [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	225	284
Ending Balance	183	225
Licences [member] | Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	284	284
Additions	0	0
Additions from business combinations		0
Transfer between groups	0	0
Disposals	(101)	0
Ending Balance	183	284
Licences [member] | Accumulated Amortization [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	(59)	0
Amortization charge	(42)	(28)
Impairment	0	(31)
Disposals	101	0
Ending Balance	0	(59)
Computer software [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	474	530
Ending Balance	547	474
Computer software [member] | Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	910	898
Additions	244	182
Additions from business combinations		0
Transfer between groups	54	3
Disposals	(125)	(173)
Ending Balance	1,083	910
Computer software [member] | Accumulated Amortization [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	(436)	(368)
Amortization charge	(220)	(233)
Impairment	0	(8)
Disposals	120	173
Ending Balance	(536)	(436)
Customer relationships [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	3,802	4,955
Ending Balance	3,508	3,802
Customer relationships [member] | Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	5,338	5,326
Additions	0	0
Additions from business combinations		12
Transfer between groups	0	0
Disposals	(12)	0
Ending Balance	5,326	5,338
Customer relationships [member] | Accumulated Amortization [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	(1,536)	(371)
Amortization charge	(286)	(345)
Impairment	(8)	(820)
Disposals	12	0
Ending Balance	(1,818)	(1,536)
Trademarks [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	126	193
Ending Balance	92	126
Trademarks [member] | Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	216	216
Additions	0	0
Additions from business combinations		0
Transfer between groups	0	0
Disposals	0	0
Ending Balance	216	216
Trademarks [member] | Accumulated Amortization [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	(90)	(23)
Amortization charge	(36)	(40)
Impairment	0	(27)
Disposals	2	0
Ending Balance	(124)	(90)
Contract rights [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	0	0
Ending Balance	0	0
Contract rights [member] | Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	295	295
Additions	0	0
Additions from business combinations		0
Transfer between groups	0	0
Disposals	(295)	0
Ending Balance	0	295
Contract rights [member] | Accumulated Amortization [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	(295)	(295)
Amortization charge	0	0
Impairment	0	0
Disposals	295	0
Ending Balance	0	(295)
Advances for intangibles CIP and others [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	110	7
Ending Balance	192	110
Advances for intangibles CIP and others [member] | Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	112	11
Additions	240	110
Additions from business combinations		0
Transfer between groups	(54)	(3)
Disposals	(99)	(6)
Ending Balance	199	112
Advances for intangibles CIP and others [member] | Accumulated Amortization [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning Balance	(2)	(4)
Amortization charge	(6)	(1)
Impairment	(96)	0
Disposals	97	3
Ending Balance	₽ (7)	₽ (2)

XML

Intangible Assets - Additional Information (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Amount of fully amortized intangible assets	₽ 169	₽ 109
Otkritie Bank [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Intangible assets purchased	₽ 254

XML

Impairment Testing of Goodwill and Intangible Assets - Additional Information (Detail) - Cash-generating units [member] - RUB (₽)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of Impairment of Assets [line items]
Carrying amount of goodwill	₽ 6,285,000,000	₽ 6,285,000,000
Goodwill impairment	0	0
Carrying amount of intangible assets with an indefinite useful life	183,000,000	183,000,000
Impairment loss recognized	89,000,000	847,000,000
QIWI Bank JSC (Russia) [member] | Licences [member]
Disclosure of Impairment of Assets [line items]
Impairment loss recognized	₽ 0	₽ 0

XML

Impairment Testing of Goodwill and Intangible Assets - Summery of Movements in Intangible Assets (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of Impairment of Assets [Abstract]
Beginning balance	₽ 6,468	₽ 6,569
Transfer to intangible assets with definite useful life	0	(101)
Ending balance	₽ 6,468	₽ 6,468

XML

Long-Term and Short-Term Loans Issued - Summary of Long-Term and Short-Term Loans Issued (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about financial instruments [line items]
Total long-term loans	₽ 164	₽ 120
Total short-term loans	1,691	19
Loans to individuals [member]
Disclosure of detailed information about financial instruments [line items]
Total long-term loans	1	7
Total short-term loans		17
Loans to legal entities [member]
Disclosure of detailed information about financial instruments [line items]
Total long-term loans	163	113
Total short-term loans	1	2
Loans to financial institutions [member]
Disclosure of detailed information about financial instruments [line items]
Total short-term loans	0	0
Installment card loans [member]
Disclosure of detailed information about financial instruments [line items]
Total short-term loans	1,690
Gross carrying amount [member]
Disclosure of detailed information about financial instruments [line items]
Total long-term loans	167	120
Total short-term loans	2,009	135
Gross carrying amount [member] | Loans to individuals [member]
Disclosure of detailed information about financial instruments [line items]
Total long-term loans	1	7
Total short-term loans		17
Gross carrying amount [member] | Loans to legal entities [member]
Disclosure of detailed information about financial instruments [line items]
Total long-term loans	166	113
Total short-term loans	94	115
Gross carrying amount [member] | Loans to financial institutions [member]
Disclosure of detailed information about financial instruments [line items]
Total short-term loans	3	3
Gross carrying amount [member] | Installment card loans [member]
Disclosure of detailed information about financial instruments [line items]
Total short-term loans	1,912
Accumulated impairment [member]
Disclosure of detailed information about financial instruments [line items]
Total long-term loans	(3)	0
Total short-term loans	(318)	(116)
Accumulated impairment [member] | Loans to individuals [member]
Disclosure of detailed information about financial instruments [line items]
Total long-term loans	0	0
Total short-term loans		0
Accumulated impairment [member] | Loans to legal entities [member]
Disclosure of detailed information about financial instruments [line items]
Total long-term loans	(3)	0
Total short-term loans	(93)	(113)
Accumulated impairment [member] | Loans to financial institutions [member]
Disclosure of detailed information about financial instruments [line items]
Total short-term loans	(3)	₽ (3)
Accumulated impairment [member] | Installment card loans [member]
Disclosure of detailed information about financial instruments [line items]
Total short-term loans	₽ (222)

XML

Long-Term and Short-Term Loans Issued - Summary of Provision for Impairment of Loans Movement (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about financial instruments [line items]
Beginning balance	₽ (116)	₽ (202)
(Charge)/reversal for the year	(219)	(53)
Utilisation	14	139
Ending balance	(321)	(116)
Installment card loans [member]
Disclosure of detailed information about financial instruments [line items]
Beginning balance	0
(Charge)/reversal for the year	(222)
Utilisation	0
Ending balance	(222)	0
Loans to legal entities [member]
Disclosure of detailed information about financial instruments [line items]
Beginning balance	(113)	(199)
(Charge)/reversal for the year	3	(53)
Utilisation	14	139
Ending balance	(96)	(113)
Loans to financial institutions [member]
Disclosure of detailed information about financial instruments [line items]
Beginning balance	(3)	(3)
(Charge)/reversal for the year	0	0
Utilisation	0	0
Ending balance	₽ (3)	₽ (3)

XML

Long-Term and Short-Term Loans Issued - Analysis of Loans by Credit Quality (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Less: Provision for loan impairment	₽ (321)	₽ (116)	₽ (202)
Installment card loans [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Less: Provision for loan impairment	(222)	0
Total loans issued	1,690
Installment card loans [member] | Expected credit losses collectively assessed [member] | Non-overdue [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Total loans issued	1,668
Installment card loans [member] | Expected credit losses collectively assessed [member] | Up to 30 days overdue [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Total loans issued	88
Installment card loans [member] | Expected credit losses collectively assessed [member] | 30 to 60 days overdue [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Total loans issued	35
Installment card loans [member] | Expected credit losses collectively assessed [member] | 60 to 90 days overdue [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Total loans issued	25
Installment card loans [member] | Expected credit losses collectively assessed [member] | Over 90 days overdue [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Total loans issued	96
Loans to individuals [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Total loans issued	1	24
Loans to individuals [member] | Expected credit losses individually assessed [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Total loans issued	1	24
Loans to legal entities [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Less: Provision for loan impairment	(96)	(113)	₽ (199)
Total loans issued	164	115
Loans to legal entities [member] | Expected credit losses individually assessed [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Total loans issued	260	228
Loans to credit Institutions [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Less: Provision for loan impairment	(3)	(3)
Loans to credit Institutions [member] | Expected credit losses individually assessed [member]
Disclosure Of Analysis Of Loans By Credit Quality [Line Items]
Total loans issued	₽ 3	₽ 3

XML

Trade and Other Receivables - Summary of Trade and Other Receivables (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Disclosure of trade and other receivables [line items]
Total trade and other receivables	₽ 9,648	₽ 5,679
Cash receivable from agents [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	4,240	2,998
Deposits issued to merchants [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	3,906	2,315
Commissions receivable [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	809	155
Advances issued [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	239	143
Rent receivables [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	28	11
Other receivables [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	426	57
Gross carrying amount [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	10,193	6,458
Gross carrying amount [member] | Cash receivable from agents [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	4,666	3,657
Gross carrying amount [member] | Deposits issued to merchants [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	3,919	2,318
Gross carrying amount [member] | Commissions receivable [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	827	162
Gross carrying amount [member] | Advances issued [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	240	144
Gross carrying amount [member] | Rent receivables [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	101	106
Gross carrying amount [member] | Other receivables [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	440	71
Provision for impairment of receivables [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	(545)	(779)
Provision for impairment of receivables [member] | Cash receivable from agents [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	(426)	(659)
Provision for impairment of receivables [member] | Deposits issued to merchants [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	(13)	(3)
Provision for impairment of receivables [member] | Commissions receivable [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	(18)	(7)
Provision for impairment of receivables [member] | Advances issued [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	(1)	(1)
Provision for impairment of receivables [member] | Rent receivables [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	(73)	(95)
Provision for impairment of receivables [member] | Other receivables [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	₽ (14)	₽ (14)

XML

Trade and Other Receivables - Summary of Trade and Other Receivables (Parenthetical) (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Disclosure of trade and other receivables [line items]
Total trade and other receivables	₽ 9,648	₽ 5,679
Other receivables [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	426	₽ 57
Other receivables [member] | Otkritie Bank [member]
Disclosure of trade and other receivables [line items]
Total trade and other receivables	₽ 336

XML

Trade and Other Receivables - Summary of Ageing Analysis of Trade Receivables That Are Past Due but Not Impaired (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	₽ 9,648	₽ 5,679
Cash receivable from agents [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	4,240	2,998
Commissions receivable [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	809	155
Rent receivables [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	28	11
Financial assets past due but not impaired [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	5,077	3,164
Financial assets past due but not impaired [member] | Cash receivable from agents [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	4,240	2,998
Financial assets past due but not impaired [member] | Commissions receivable [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	809	155
Financial assets past due but not impaired [member] | Rent receivables [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	28	11
Less than 30 [member] | Financial assets past due but not impaired [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	5,033	2,716
Less than 30 [member] | Financial assets past due but not impaired [member] | Cash receivable from agents [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	4,217	2,568
Less than 30 [member] | Financial assets past due but not impaired [member] | Commissions receivable [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	797	141
Less than 30 [member] | Financial assets past due but not impaired [member] | Rent receivables [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	19	7
30-60 [member] | Financial assets past due but not impaired [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	31	436
30-60 [member] | Financial assets past due but not impaired [member] | Cash receivable from agents [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	20	423
30-60 [member] | Financial assets past due but not impaired [member] | Commissions receivable [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	5	10
30-60 [member] | Financial assets past due but not impaired [member] | Rent receivables [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	6	3
60-90 [member] | Financial assets past due but not impaired [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	8	3
60-90 [member] | Financial assets past due but not impaired [member] | Cash receivable from agents [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	1	1
60-90 [member] | Financial assets past due but not impaired [member] | Commissions receivable [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	5	1
60-90 [member] | Financial assets past due but not impaired [member] | Rent receivables [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	2	1
90-180 [member] | Financial assets past due but not impaired [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	1	5
90-180 [member] | Financial assets past due but not impaired [member] | Cash receivable from agents [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	0	3
90-180 [member] | Financial assets past due but not impaired [member] | Commissions receivable [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables		2
90-180 [member] | Financial assets past due but not impaired [member] | Rent receivables [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	1
180-360 [member] | Financial assets past due but not impaired [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	3	2
180-360 [member] | Financial assets past due but not impaired [member] | Cash receivable from agents [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	2	1
180-360 [member] | Financial assets past due but not impaired [member] | Commissions receivable [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	1	1
>360 [member] | Financial assets past due but not impaired [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	1	2
>360 [member] | Financial assets past due but not impaired [member] | Cash receivable from agents [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	0	₽ 2
>360 [member] | Financial assets past due but not impaired [member] | Commissions receivable [member]
Disclosure of Trade Receivables that are Past Due But Not Impaired [line items]
Total trade and other receivables	₽ 1

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Trade and Other Receivables - Summary of Provision for Impairment of Receivables Movement (Detail) - Provision for impairment of receivables [member] - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of provision for impairment of receivables [Line items]
Provision for impairment of receivables beginning balance	₽ (779)	₽ (794)	₽ (564)
(Charge)/ reversal for the period	(1)	(142)	(299)
Utilisation	235	157	69
Provision for impairment of receivables ending balance	(545)	(779)	(794)
Cash receivable from agents [member]
Disclosure of provision for impairment of receivables [Line items]
Provision for impairment of receivables beginning balance	(659)	(660)	(506)
(Charge)/ reversal for the period	16	(125)	(204)
Utilisation	217	126	50
Provision for impairment of receivables ending balance	(426)	(659)	(660)
Deposits issued to merchants [member]
Disclosure of provision for impairment of receivables [Line items]
Provision for impairment of receivables beginning balance	(3)	(1)	(6)
(Charge)/ reversal for the period	(11)	(2)	(1)
Utilisation	1		6
Provision for impairment of receivables ending balance	(13)	(3)	(1)
Commissions receivable [member]
Disclosure of provision for impairment of receivables [Line items]
Provision for impairment of receivables beginning balance	(7)	(21)	(3)
(Charge)/ reversal for the period	(11)	(1)	(19)
Utilisation		15	1
Provision for impairment of receivables ending balance	(18)	(7)	(21)
Advances issued [member]
Disclosure of provision for impairment of receivables [Line items]
Provision for impairment of receivables beginning balance	(1)	(1)	(2)
(Charge)/ reversal for the period			1
Provision for impairment of receivables ending balance	(1)	(1)	(1)
Rent receivables [member]
Disclosure of provision for impairment of receivables [Line items]
Provision for impairment of receivables beginning balance	(95)	(95)	(29)
(Charge)/ reversal for the period	10	(15)	(70)
Utilisation	12	15	4
Provision for impairment of receivables ending balance	(73)	(95)	(95)
Other receivables [member]
Disclosure of provision for impairment of receivables [Line items]
Provision for impairment of receivables beginning balance	(14)	(16)	(18)
(Charge)/ reversal for the period	(5)	1	(6)
Utilisation	5	1	8
Provision for impairment of receivables ending balance	₽ (14)	₽ (14)	₽ (16)

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Cash and Cash Equivalents - Schedule of Cash and Cash Equivalents (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Subclassifications of assets, liabilities and equities [abstract]
Correspondent accounts with Central Bank of Russia (CBR)	₽ 6,522	₽ 1,877
Correspondent accounts with other banks	2,890	2,789
Short-term CBR deposits	6,500	9,201
Other short-term bank deposits	1,322	3,857
RUB denominated cash with banks and on hand	600	294
Other currency denominated cash with banks and on hand	572	979
Total cash and cash equivalents	₽ 18,406	₽ 18,997

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Cash and Cash Equivalents - Additional Information (Detail) $ in Millions	Dec. 31, 2017 USD ($)
Subclassifications of assets, liabilities and equities [abstract]
Cash deposit	$ 2.5

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Other Assets - Summary of Other Current Assets (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Other Current Assets [abstract]
Indemnification asset	₽ 30	₽ 60
Reserves at CBR	229	312
Prepaid expenses	99	204
VAT and other taxes receivable	51	22
Other	49	63
Total other current assets	₽ 458	₽ 661

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Other Assets - Summary of Other Current Assets (Parenthetical) (Detail)	Aug. 01, 2016
Mandatory reserves with Central Bank of Russia for deposits in RUB [member]
Disclosure Of Other Current Assets [Line Items]
Mandatory reserves that constitutes percentage of liability of the Company for deposits	5.00%
Change in value of mandatory reserves with Central Bank of Russia for deposits in foreign currency [member] | Bottom of range [member]
Disclosure Of Other Current Assets [Line Items]
Mandatory reserves that constitutes percentage of liability of the Company for deposits	6.00%
Change in value of mandatory reserves with Central Bank of Russia for deposits in foreign currency [member] | Top of range [member]
Disclosure Of Other Current Assets [Line Items]
Mandatory reserves that constitutes percentage of liability of the Company for deposits	7.00%

XML

Share Capital, Additional Paid-in Capital, Share Premium and Other Reserves - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2017 € / shares
Class A ordinary shares [member]
Disclosure of Share Capital Reserves and Other Equity Interest [Line Items]
Nominal value per shares	€ 0.0005
Description of voting right	Each class A share has the right to ten votes
Class B ordinary shares [member]
Disclosure of Share Capital Reserves and Other Equity Interest [Line Items]
Nominal value per shares	€ 0.0005
Description of voting right	Each class B share has the right to one vote

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Share Capital, Additional Paid-in Capital, Share Premium and Other Reserves - Summary of Authorised, Issued and Fully Paid Shares (Detail) - shares shares in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of classes of share capital [line items]
Total authorised shares	230,850	230,850	230,850
Total issued and fully paid shares	60,933	60,597	60,419
Class A ordinary shares [member]
Disclosure of classes of share capital [line items]
Total authorised shares	131,778	133,017	133,017
Total issued and fully paid shares	14,278	15,517	15,517
Class B ordinary shares [member]
Disclosure of classes of share capital [line items]
Total authorised shares	99,072	97,833	97,833
Total issued and fully paid shares	46,655	45,080	44,902

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Share Capital, Additional Paid-in Capital, Share Premium and Other Reserves - Summary of Share Capital and Share Premium Movements (Detail) - RUB (₽) shares in Thousands, ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of Share Capital and Share Premium [Abstract]
Number of shares issued, beginning balance	60,597	60,419
Increase of share capital due to exercise of options by employees during the year	336	178
Number of shares issued, ending balance	60,933	60,597
Share capital, beginning balance	₽ 1	₽ 1
Share capital, increase of share capital due to exercise of options by employees during the year	0	0
Share capital, ending balance	1	1
Share premium, beginning balance	12,068	12,068
Share premium, increase of share capital due to exercise of options by employees during the year	0	0
Share premium, ending balance	₽ 12,068	₽ 12,068

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Borrowings - Additional Information (Detail) ₽ in Millions	12 Months Ended
	Dec. 31, 2017 RUB (₽)
Disclosure of Borrowing Costs [Line Items]
Credit facility amount	₽ 1,460
Credit lines balance payable	₽ 0
Bottom of range [member]
Disclosure of Borrowing Costs [Line Items]
Borrowings maturity	May 2018
Top of range [member]
Disclosure of Borrowing Costs [Line Items]
Borrowings maturity	June 2020
Borrowings interest rate	30.00%

XML

Trade and Other Payables - Summary of Trade and Other Payables (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Disclosure of trade and other payables [Line Items]
Trade and other payables	₽ 19,599	₽ 16,328
Payables to merchants [member]
Disclosure of trade and other payables [Line Items]
Trade and other payables	9,178	6,696
Deposits received from agents [member]
Disclosure of trade and other payables [Line Items]
Trade and other payables	3,638	4,030
Deposits received from individual customers [member]
Disclosure of trade and other payables [Line Items]
Trade and other payables	4,726	3,961
Payment processing fees payable [member]
Disclosure of trade and other payables [Line Items]
Trade and other payables	469	504
Unsettled money remittances [member]
Disclosure of trade and other payables [Line Items]
Trade and other payables	586	433
Accrued personnel expenses and related taxes [member]
Disclosure of trade and other payables [Line Items]
Trade and other payables	353	323
Payables to vendors [member]
Disclosure of trade and other payables [Line Items]
Trade and other payables	536	338
Payables for rent [member]
Disclosure of trade and other payables [Line Items]
Trade and other payables	37	24
Other advances received [member]
Disclosure of trade and other payables [Line Items]
Trade and other payables	₽ 76	₽ 19

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Customer Accounts and Amounts Due to Banks - Summary of Customer Accounts and Amounts Due to Banks (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Disclosure of Customer Accounts and Amounts Due to Banks [Abstract]
Due to banks	₽ 1,390	₽ 1,207
Due to individuals	110	34
Due to legal entities	1,571	1,101
Term deposits	111
Total customer accounts and amounts due to banks	₽ 3,182	₽ 2,342

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Customer Accounts and Amounts Due to Banks - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2017
Top of range [member]
Disclosure of Amounts Due To Customers and Amounts Due to Banks [Line Items]
Interest rate of customer accounts and amounts due to banks	7.00%

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Investment in Joint Ventures - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2017
Disclosure of joint venture financial information [Abstract]
Number of joint ventures	1

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Investment in Joint Ventures - Summary of Financial Information of Group's Investment in Flocktory Joint Venture (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Share of the joint control companies' statement of financial position:
Non-current assets	₽ 13,936	₽ 12,444
Current assets	31,094	27,205
including cash and cash equivalents	18,406	18,997
Current liabilities	23,062	₽ 18,850
Joint operations [member] | Flocktory Ltd (Cyprus) [member]
Share of the joint control companies' statement of financial position:
Non-current assets	666
Current assets	125
including cash and cash equivalents	80
Current liabilities	(11)
including financial liabilities	(9)
Net assets	780
Group's share (82%) of net assets	640
Goodwill	192
Joint operations [member] | Joint ventures [member]
Share of the joint control companies' statement of financial position:
Carrying amount of investment in joint venture companies	₽ 832

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Investment in Joint Ventures - Summary of Financial Information of Group's Investment in Flocktory Joint Venture (Parenthetical) (Detail) - Flocktory Ltd (Cyprus) [member]	12 Months Ended
	Dec. 31, 2017
Disclosure of joint venture financial information [Line Items]
Percentage of group's share in joint venture	82.00%
Joint operations [member]
Disclosure of joint venture financial information [Line Items]
Percentage of group's share in joint venture	82.00%

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Investment in Joint Ventures - Summary of Joint Venture's Revenue and Net Income (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of joint ventures [line items]
Revenue	₽ 20,897	₽ 17,880	₽ 17,717
Cost of revenues	9,763	8,646	8,695
including selling, general and administrative expenses	6,243	3,423	3,469
including depreciation and amortization	796	796	689
Total comprehensive income	3,009	₽ 2,159	₽ 5,561
Joint ventures [member]
Disclosure of joint ventures [line items]
Revenue	187
Cost of revenues	(79)
Other income and expenses, net	(107)
including selling, general and administrative expenses	(55)
including depreciation and amortization	(59)
Total comprehensive income	1
Group's share (82%) of total comprehensive income	₽ 1

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Investment in Joint Ventures - Summary of Joint Venture's Revenue and Net Income (Parenthetical) (Detail)	12 Months Ended
	Dec. 31, 2017
Joint ventures [member]
Disclosure of joint ventures [line items]
Percentage of group's share in joint venture	82.00%

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Revenue - Schedule of Revenue (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Analysis of income and expense [abstract]
Payment processing fees	₽ 18,575	₽ 16,289	₽ 14,935
Interest revenue	1,052	899	731
Cash and settlement services	670	130	557
Other revenue	600	562	1,494
Total revenue	₽ 20,897	₽ 17,880	₽ 17,717

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Revenue - Schedule of Interest Income Net (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Analysis of income and expense [abstract]
Interest revenue	₽ (1,052)	₽ (899)	₽ (731)
Interest expense classified as part of cost of revenue	42	37	79
Interest income from non-banking loans classified separately in the consolidated statement of comprehensive income	(35)	(36)	(16)
Interest expense from non-banking loans classified separately in the consolidated statement of comprehensive income	29	64	109
Interest income, net, for the purposes of consolidated cash flow statement	₽ (1,016)	₽ (834)	₽ (559)

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Cost of Revenue Exclusive of Depreciation and Amortization - Schedule of Cost of Revenue Excluding Depreciation and Amortization (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosures of Cost of Revenue [Abstract]
Transaction costs	₽ 6,756	₽ 6,490	₽ 6,300
Payroll and related taxes	2,059	1,377	1,206
Other expenses	948	779	1,189
Total cost of revenue (exclusive of depreciation and amortization)	₽ 9,763	₽ 8,646	₽ 8,695

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Selling, General and Administrative Expenses - Summary of Selling, General and Administrative Expenses (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of selling general and administrative expenses [Abstract]
Compensation to employees, related taxes and other personnel expenses	₽ 2,227	₽ 1,682	₽ 1,511
Rent of premises and related utility expenses	391	346	338
Bad debt expense	220	215	362
Advertising, client acquisition and related expenses	1,294	165	242
Advisory and audit services	433	297	357
Tax expenses, except of income and payroll relates taxes	407	175	155
IT related services	236	180	176
Other expenses	1,035	363	328
Total selling, general and administrative expenses	₽ 6,243	₽ 3,423	₽ 3,469

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Selling, General and Administrative Expenses - Additional Information (Detail) ₽ in Millions	12 Months Ended
	Dec. 31, 2017 RUB (₽)
Otkritie Bank [member] | Other expense [member]
Disclosure of general and administrative expense [Line items]
Recognized loss	₽ 350

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Dividends Paid and Proposed - Summary of Dividends Paid and Proposed (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of Dividends Paid and Proposed [Abstract]
Dividends proposed, declared and approved during the year	₽ 2,207	₽ 4,843	₽ 694
Dividends paid during the period	2,148	4,628	699
Dividends proposed for approval (not recognized as a liability as of December 31 )		679	2,237
Dividends payable as of December 31	₽ 0	₽ 0	₽ 0

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Dividends Paid and Proposed - Summary of Dividends Paid and Proposed (Parenthetical) (Detail) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of Dividends Paid and Proposed [Abstract]
Final dividend proposed, declared and approved	$ 11,520,798	$ 30,210,153
Interim dividend proposed, declared and approved	26,113,788	39,943,003	$ 13,640,343
Final dividend paid	11,520,798	30,210,153
Interim dividend	26,113,788	39,943,003	13,640,343
Final dividends proposed for approval	$ 0	$ 11,513,436	$ 30,209,301

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Income Tax - Additional Information (Detail) - RUB (₽)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of income taxes [line Items]
Accumulated undistributed foreign earnings	₽ 2,473,000,000	₽ 2,690,000,000
Tax payable to distribute the earnings	124,000,000	149,000,000
Foreign exchange gain	0	0
Unused tax losses [member]
Disclosure of income taxes [line Items]
Deferred tax asset	₽ 9,000,000	₽ 15,000,000	₽ 68,000,000
CYPRUS [member]
Disclosure of income taxes [line Items]
Corporate income tax rate	12.50%
Capital gains tax	20.00%
CYPRUS [member] | Top of range [member]
Disclosure of income taxes [line Items]
Corporate income tax rate	6.25%
Percentage of income not lead to investment income	50.00%
Russia [member]
Disclosure of income taxes [line Items]
Corporate income tax rate	20.00%
Tax rate on income received from Russia government bonds	15.00%
Withholding tax rate on payment of dividends	15.00%
Russia [member] | Top of range [member]
Disclosure of income taxes [line Items]
Corporate income tax rate	10.00%
Reduced withholding tax rate on payment of dividends	5.00%
Kazakhstan [member]
Disclosure of income taxes [line Items]
Corporate income tax rate	20.00%

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Income Tax - Summary of Deferred Income Tax Assets and Liabilities (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Deferred tax assets and liabilities [abstract]
Intangible assets	₽ (719)	₽ (784)
Trade and other payables	166	130
Trade and other receivables	101	138
Loans issued	48	27
Taxes on unremitted earnings	(184)	(75)
Other	7	(17)
Net deferred income tax asset/(liability)	(581)	(581)
Deferred tax asset	245	270
Deferred tax liability	(826)	(851)
Intangible assets	65	265
Trade and other payables	36	9
Trade and other receivables	(37)	(20)
Loans issued	21	7
Taxes on unremitted earnings	(109)	19
Other	₽ 24	(27)
Net deferred income tax asset/(liability)		₽ 253

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Income Tax - Summary of Reconciliation of Deferred Income Tax Assets (Liability), Net (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of reconciliation of changes in deferred tax liability asset [line items]
Deferred income tax asset/(liability), net as of January 1	₽ (581)
Deferred tax benefit/(expense)		₽ 253
Deferred income tax asset/(liability), net as of December 31	(581)	(581)
Deferred income taxes [member]
Disclosure of reconciliation of changes in deferred tax liability asset [line items]
Deferred income tax asset/(liability), net as of January 1	(581)	(834)	₽ 203
Effect of acquisitions of subsidiaries	0		(1,037)
Deferred tax benefit/(expense)	0	253
Deferred income tax asset/(liability), net as of December 31	₽ (581)	₽ (581)	₽ (834)

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Income Tax - Summary of Income Tax Expense (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Total tax expense
Current income tax expense	₽ (698)	₽ (871)	₽ (877)
Deferred tax benefit/(expense)	0	253	0
Income tax expense for the year	₽ (698)	₽ (618)	₽ (877)

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Income Taxes - Reconciliation between Theoretical and Actual income Tax Expense (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Reconciliation of accounting profit multiplied by applicable tax rates [abstract]
Profit before tax	₽ 3,840	₽ 3,107	₽ 6,151
Theoretical income tax expense at the domestic rate in each individual jurisdiction	(370)	(278)	(802)
(Increase)/decrease resulting from the tax effect of:
Non-taxable income	12	39	200
Non-deductible expenses	(222)	(269)	(105)
Income tax associated with earnings of foreign subsidiaries	(109)	(95)	(102)
Unrecognized deferred tax assets	(9)	(15)	(68)
Income tax expense for the year	₽ (698)	₽ (618)	₽ (877)

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Commitments, Contingencies and Operating Risks - Additional Information (Detail)	12 Months Ended					36 Months Ended
	Dec. 31, 2017 RUB (₽)	Dec. 30, 2017 RUB (₽)	Dec. 31, 2016 RUB (₽)	Dec. 31, 2015 RUB (₽)	Dec. 31, 2014 RUB (₽)	Oct. 31, 2017 RUB (₽)	Dec. 31, 2017 EUR (€)
Disclosure of contingent liabilities [line items]
Maximum effect of additional losses on consolidated financial statements	₽ 2,500,000,000		₽ 2,000,000,000
Customers undergone Simplified identification procedure electronic money transfer limit	15,000
Customers undergone fully identified procedure electronic money transfer limit per month	0
Lease expense	154,000,000		172,000,000
Commitments on lease expenses	461,000,000
Pledged debt instruments carrying amount	1,319,000,000		1,687,000,000
Coverage for supporting short-term overnight credit facility	486,000,000		484,000,000
Purchase of advertising services						₽ 260,000,000
Advertising expense		₽ 50,000,000	0	₽ 0	₽ 0
Within one year [member]
Disclosure of contingent liabilities [line items]
Commitments on lease expenses	307,000,000
Later Than Five Years [member]
Disclosure of contingent liabilities [line items]
Commitments on lease expenses	0
Office Buildings [member]
Disclosure of contingent liabilities [line items]
Lease Expense	₽ 357,000,000		₽ 307,000,000
Russia [member]
Disclosure of contingent liabilities [line items]
Withholding income tax rate	15.00%
Reduction in with holding taxes	10.00%
Applicable tax rate	20.00%
Withholding tax on dividends paid	15.00%
Russia [member] | Cypriot [member]
Disclosure of contingent liabilities [line items]
Minimal direct investments in subsidiary to apply 5% tax rate | €							€ 100,000
Top of range [member]
Disclosure of contingent liabilities [line items]
Customers not undergone any identification procedure electronic money account balance limit	₽ 15,000
Customers undergone Simplified identification procedure electronic money account balance limit	60,000
Customers undergone Simplified identification procedure electronic money transfer limit per month	200,000
Customers undergone fully identified procedure electronic money account balance per month	₽ 600,000
Top of range [member] | Office Buildings [member]
Disclosure of contingent liabilities [line items]
Average life of commercial lease agreement	5 years
Top of range [member] | Russia [member]
Disclosure of contingent liabilities [line items]
Applicable tax rate	10.00%
Bottom of range [member] | Office Buildings [member]
Disclosure of contingent liabilities [line items]
Average life of commercial lease agreement	1 year
Bottom of range [member] | Russia [member]
Disclosure of contingent liabilities [line items]
Applicable tax rate	5.00%

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Commitments, Contingencies and Operating Risks - Summary of Future Minimum Lease Rentals Under Non Cancellable Operating Lease Commitments for Office Premises (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Within one year [member]
Disclosure of finance lease and operating lease by lessee [line items]
Future minimum lease rentals	₽ 397	₽ 244
After one year but not more than five years [member]
Disclosure of finance lease and operating lease by lessee [line items]
Future minimum lease rentals	₽ 693	₽ 583

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Commitments, Contingencies and Operating Risks - Schedule of Outstanding Credit Limits Possible to Be Used and Related Commitments (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure Of Financial Commitments [Abstract]
Unused limits on instalment card loans	₽ 8,603	₽ 127

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Balances and Transactions with Related Parties - Additional Information (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of transactions between related parties [line items]
Benefits of key management and board of directors generally comprise of short-term benefits and share-based payments	₽ 137	₽ 136	₽ 142
Key Management Personnel of Entity or Parent [member]
Disclosure of transactions between related parties [line items]
Customer accounts	₽ 97	₽ 27

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Risk Management - Additional Information (Detail) ₽ in Millions, $ in Millions	1 Months Ended	12 Months Ended
	Jun. 30, 2014 USD ($)	Dec. 31, 2017 RUB (₽)	Dec. 31, 2016 RUB (₽)	Dec. 31, 2015 RUB (₽)
Disclosure of risk management [line Items]
Effect of exchange rate depreciation and appreciation		5.00%	17.00%
Foreign exchange (loss) gain		₽ 257	₽ 1,040	₽ 2,801
Description of functional currency		The following tables demonstrate the sensitivity to a reasonably possible change in US Dollar and Euro exchange rates against Ruble, with all other variables held constant. The impact on the Group's profit before tax is due to changes in the carrying amount of monetary assets and liabilities denominated in US Dollar and Euro when these currencies are not functional currencies of the respective Group subsidiary. The Group's exposure to foreign currency changes for all other currencies is not material.
Class B shares [member]
Disclosure of risk management [line Items]
Proceeds from issuance of shares | $	$ 89
Cash received upon Secondary Public Offering [Member]
Disclosure of risk management [line Items]
Foreign exchange (loss) gain		₽ 236	₽ 975

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Risk Management - Change in US Dollar and Euro Exchange Rates against Ruble, with all Other Variable Held Constant (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Foreign exchange rates [abstract]
Changes in US Dollar currencies gain on exchange rates	11.00%	20.00%
Changes in US Dollar currencies loss on exchange rates	(11.00%)	(20.00%)
Changes in Euro currencies gain on exchange rates	12.50%	20.00%
Changes in Euro currencies loss on exchange rates	(12.50%)	(20.00%)
Effect on profit before tax gain on US Dollar currencies	₽ 83	₽ 655
Effect on profit before tax loss on US Dollar currencies	(83)	(655)
Effect on profit before tax gain on euro currencies	36	40
Effect on profit before tax loss on euro currencies	₽ (36)	₽ (40)

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Risk Management - Summary of Maturity Profile of Company Financial Liabilities Based on Contractual Undiscounted Payments (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Disclosure of financial liabilities based on contractual undiscounted payments [line Items]
Trade and other payables	₽ 19,599	₽ 16,328
Customer accounts and amounts due to banks	3,182	2,342
Total as of December 31	22,781	18,670
On demand [member]
Disclosure of financial liabilities based on contractual undiscounted payments [line Items]
Trade and other payables	19,599	16,328
Customer accounts and amounts due to banks	3,071	2,342
Total as of December 31	22,670	₽ 18,670
Within one year [member]
Disclosure of financial liabilities based on contractual undiscounted payments [line Items]
Customer accounts and amounts due to banks	111
Total as of December 31	₽ 111

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Risk Management - Summary of Largest Counter Parties Balance as Percentage of Respective Totals (Detail) - Credit risk [member] - Other receivables [member]	Dec. 31, 2017	Dec. 31, 2016
Top five counter parties [member]
Concentration of credit risks by main counterparties, % from total amount
Concentration of credit risks by main counterparties, % from total amount	47.00%	60.00%
Individually insignificant counterparties [member]
Concentration of credit risks by main counterparties, % from total amount
Concentration of credit risks by main counterparties, % from total amount	53.00%	40.00%

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Financial Instruments - Summary of Fair Value of Type Financial Instrument (Detail) - RUB (₽) ₽ in Millions	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about financial instruments [line items]
Total financial assets	₽ 1,968	₽ 2,291
HTM [member]
Disclosure of detailed information about financial instruments [line items]
Debt instruments	1,804	2,171
LAR [member]
Disclosure of detailed information about financial instruments [line items]
Long-term loans	164	120
At fair value [member]
Disclosure of detailed information about financial instruments [line items]
Total financial assets	1,991	2,315
At fair value [member] | HTM [member]
Disclosure of detailed information about financial instruments [line items]
Debt instruments	1,827	2,195
At fair value [member] | LAR [member]
Disclosure of detailed information about financial instruments [line items]
Long-term loans	₽ 164	₽ 120

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Financial Instruments - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2017
Disclosure of detailed information about financial instruments [line items]
Marketable interest rate	10.00%
Government bonds [member]
Disclosure of detailed information about financial instruments [line items]
Debt instrument maturity date	2019-05
Bottom of range [member] | Government bonds [member]
Disclosure of detailed information about financial instruments [line items]
Debt instrument interest rate	6.70%
Top of range [member]
Disclosure of detailed information about financial instruments [line items]
Loans to legal entities due date	10 years
Top of range [member] | Government bonds [member]
Disclosure of detailed information about financial instruments [line items]
Debt instrument interest rate	7.50%

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Financial Instruments - Summary of Fair Value Measurement Hierarchy of Assets and Liabilities (Detail) - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about financial instruments [line items]
Fair value debt instruments	₽ 1,827	₽ 2,195
Long-term loans	₽ 164	₽ 120
Date of valuation, Debt instruments	Dec. 31, 2017	Dec. 31, 2016
Date of valuation, Long-term loans	Dec. 31, 2017	Dec. 31, 2016
Quoted prices in active markets (Level 1) [member]
Disclosure of detailed information about financial instruments [line items]
Fair value debt instruments	₽ 1,827	₽ 2,195
Significant unobservable inputs (Level 3) [member]
Disclosure of detailed information about financial instruments [line items]
Long-term loans	₽ 164	₽ 120

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Share-based Payments - Schedule of Option Plans (Detail) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
2012 Employee stock option plan (ESOP) [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Exercise price	$ 23.94			$ 13.65
Adoption date	2012-10
Type of shares	class B shares
Number of options or RSUs reserved	Up to 7 % of total amount of shares
Exercise basis	Shares
Expiration date	December 2020
Vesting period	Up to 4 years
Other major terms	The options are not transferrable
2012 Employee stock option plan (ESOP) [member] | Bottom of range [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Exercise price		$ 34.09	$ 41.24
2012 Employee stock option plan (ESOP) [member] | Top of range [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Exercise price		$ 37.89	$ 46.57
2015 Restricted stock unit Plan (RSU) [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Adoption date	2015-07
Type of shares	class B shares
Number of options or RSUs reserved	Up to 7 % of total amount of shares
Exercise basis	Shares
Expiration date	December 2022
Vesting period	Three vesting during up to 2 years
Other major terms	The units are not transferrable.All other terms of the units under 2015 RSU Plan are to be determined by the Company’s BOD or the CEO, if so resolved by the BOD, acting as administrator of the Plan.

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Share-based Payments - Schedule of Changes in Outstanding Options (Detail)	12 Months Ended
	Dec. 31, 2017
2012 Employee stock option plan (ESOP) [member]
Disclosure of number and weighted average exercise prices of stock options [line Items]
Ending Balance	4,128,521
2015 Restricted stock unit Plan (RSU) [member]
Disclosure of number and weighted average exercise prices of stock options [line Items]
Ending Balance	1,095,708
Share Option [Member] | 2012 Employee stock option plan (ESOP) [member]
Disclosure of number and weighted average exercise prices of stock options [line Items]
Beginning Balance	1,929,089
Granted	27,743
Forfeited	(282,000)
Exercised	(146,692)
Ending Balance	1,528,140
Share Option [Member] | 2015 Restricted stock unit Plan (RSU) [member]
Disclosure of number and weighted average exercise prices of stock options [line Items]
Beginning Balance	414,035
Granted	512,108
Forfeited	(66,732)
Exercised	(314,033)
Ending Balance	545,378
Share Option [Member] | Employee stock options [member]
Disclosure of number and weighted average exercise prices of stock options [line Items]
Beginning Balance	2,343,124
Granted	539,851
Forfeited	(348,732)
Exercised	(460,725)
Ending Balance	2,073,518

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Share-based Payments - Additional Information (Detail) ₽ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($)	Dec. 31, 2017 RUB (₽)	Dec. 31, 2016 RUB (₽)	Dec. 31, 2015 RUB (₽)
Disclosure of terms and conditions of share-based payment arrangement [line items]
Forfeiture rate used in valuation models granted	9.00%	9.00%
Equity-settled share-based payment transactions | ₽		₽ 398	₽ 224	₽ 88
Restricted stock units [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of share options outstanding	545,378	545,378
Number of share options vested	51,912	51,912
Number of share options unvested	493,466	493,466
Weighted average price, options unvested	$ 0
ESOP [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of share options outstanding	1,528,140	1,528,140
Number of share options vested	1,528,140	1,528,140
Weighted average price, options unvested	$ 13.65

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Share-based Payments - Schedule of Valuations of share-based payments (Detail)	3 Months Ended	9 Months Ended	12 Months Ended
	Dec. 31, 2017 USD ($)	Sep. 30, 2017	Dec. 31, 2017 USD ($)	Dec. 31, 2013	Dec. 31, 2012
Disclosure of terms and conditions of share-based payment arrangement [line items]
Dividend yield, percentage	0.00%	5.03%		2.83%	0.00%
2012 Employee stock option plan (ESOP) [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of options/ RSUs	4,128,521		4,128,521
Weighted average share price			$ 28.10
Weighted average fair value per option	$ 7.14		$ 7.14
Valuation method			Black- Scholes- Merton
2015 Restricted stock unit Plan (RSU) [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of options/ RSUs	1,095,708		1,095,708
Weighted average share price			$ 15.04
Weighted average fair value per option	$ 14.41		$ 14.41
Valuation method			Binominal
Bottom of range [member] | 2012 Employee stock option plan (ESOP) [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Dividend yield, percentage			0.00%
Volatility, percentage			28.00%
Risk-free interest rate, percentage			0.29%
Expected term, years			2 years
Bottom of range [member] | 2015 Restricted stock unit Plan (RSU) [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Dividend yield, percentage			0.00%
Volatility, percentage			50.65%
Risk-free interest rate, percentage			2.89%
Expected term, years			0 years
Top of range [member] | 2012 Employee stock option plan (ESOP) [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Dividend yield, percentage			5.03%
Volatility, percentage			49.85%
Risk-free interest rate, percentage			3.85%
Expected term, years			4 years
Top of range [member] | 2015 Restricted stock unit Plan (RSU) [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Dividend yield, percentage			5.03%
Volatility, percentage			64.02%
Risk-free interest rate, percentage			3.19%
Expected term, years			2 years