US sanctions kill Russia’s oldest electronics store after 30 years

2023-05-25 13:02:24

The Russian store of electronics and electronic components “DKO elektronshchik” closed in the year of its 30th anniversary. The reasons are kept secret, but less than a week earlier, the legal entity of the store was on the US sanctions list. The store promises to fulfill all obligations to customers, including warranty service.

Anniversary and closing

In Russia, one of the oldest domestic online stores of computer electronics, DKO Elektronshchik (Electronics Components and Equipment House), closed without prior notice. It was one of the largest trading platforms in its segment, it has been operating since 1993. For comparison, Ozon has existed since 1998, Wildberries launched in 2004.

According to Tadviser, DKO Elektronshchik’s clients in recent years have been mainly small companies, individual entrepreneurs and radio amateurs.

The UAV Developer Telegram channel was the first to draw attention to the termination of the activities of DKO Electronics Engineer. At the time of the publication of the material, the store’s website was not functioning – instead of the main page or catalog, the visitor encounters a notice of closure – such a message will be seen by users with both Russian and foreign IP addresses.

All that remains of the once popular store

The editors of CNews made sure that the store was really closed by calling its “hot line”. The technical support operator confirmed the information indicated on the website and additionally emphasized that DKO Electronics will fulfill all previously undertaken obligations. A similar phrase is present on the main page of the store.

The operator told CNews that the store does not accept new orders, but will definitely deliver the previously ordered goods. When asked by the editors regarding the warranty for purchased devices, he said that it would work.

Sanctions or no sanctions

When asked regarding the reasons for the closure, the DKO Electronics Support Operator did not answer, indicating that the management does not provide this information. According to subscribers of the UAV Developer Telergam channel, this is due to US sanctions. The CNews editors made sure that the legal entity behind the store was indeed on the US sanctions list at the time the material was published.

The store appeared on this list quite recently, on May 19, 2023. It stopped working less than a week from that day.

Potential start to something bigger

DKO Electronics is far from the only Russian company that the US authorities have included in their “black list”. The same fate befell, among others, Elitan Trade LLC (a major distributor and warehouse aggregator of electronic components, according to Tadviser), Symmetron Electronic Components (a distributor of electronic components in Russia and Belarus), Trade House Promelectronica (a major supplier electronic components), etc.

“DKO electronics engineer” in the US sanctions list

At the time of publication, none of these companies have announced their closure or temporary suspension of work. But this may very well change.

Legally everything is fine

Legal entity “DKO Elektronshchik” – LLC “House of Components and Equipment Electronics”, founded in April 2005 and having an authorized capital of 10 thousand rubles. Since November 2015, the company has been wholly owned by Rba-group LLC, which also owns the electronic components retailer BELIV and the contract electronics manufacturer Compel-SPB.

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As of May 25, 2023, the Unified State Register of Legal Entities and Kontur.Focus did not contain information regarding the commencement of the liquidation process of Dom komponenti i oborudovaniya elektronshchik LLC. The general director of the company was also not indicated – according to the information of Kontur.Focus, the ultimate owners of the company, presumably, are Boris Rudyakwhich probably owns 95 percent, and Natalia Ivanen by 5%.

Was everything expected?

DKO Electronics is not the most successful company among the assets of Rba-Group. According to the statistics of Kontur.Focus, 2022 ended for her with an 8% increase in revenue (compared to 2021) to 978 million rubles. and at the same time a net loss of 9.4 million rubles.

DKO Elektronshchik customers will have to look for a new supplier

If we turn to the data for previous years, we can see a rapid decline in the company’s net profit. In 2021, it was at the level of 81 thousand rubles, in the covid 2020 – regarding 16.6 million rubles, and a year earlier – over 23.5 million rubles.

The company’s revenue over the years, on the contrary, has been constantly growing: 424.4 million rubles. in 2019, 486.4 million in 2020 and 904.9 million in 2021

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JSC “Compel” from the “Rba-group” demonstrates much more confident financial results. The company’s revenue for 2022 amounted to 15.1 billion rubles. (4% year-on-year drop) with a net profit of RUB 594.2 mln. (down 51%).


Georgy Dorofeev

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