Haci Omer Sabanci Holding A.s. · BIST:SAHOL
Haci Omer Sabanci Holding A.s — Hacı Ömer Sabancı Holding A.Ş. — Q3 2024 Earnings Presentation
26 slides from Haci Omer Sabanci Holding A.s's earnings presentation, Nov 7, 2024
Slide 1: Q3 2024 Earnings Presentation
NOVEMBER 7, 2024 Q3 2024 EARNINGS PRESENTATION
Slide 2: Disclaimer
EARNINGS PRESENTATION Disclaimer The information and opinions contained in this document have been compiled by Hacı Ömer Sabancı Holding A.Ş. (“Holding”) from sources believed to be reliable and in good faith, but no representation or warranty, expressed or implied, is made as to their accuracy, com
Slide 3: Highlights
EARNINGS PRESENTATION Highlights Execution of new economy Strong Non-Bank Globally recognized strategy Operational Performance in Q3 ESG performance ✓ Acquisition of Mannok ✓ Holding-only cash: TL 12.2 billion ✓ “Outstanding Achievement for Sustainability” from EFQM ✓ Acquisition of Bulutistan ✓ Cap
Slide 4: Combined Financials 9M & Q3 Results
01 /03 Combined Financials 9M & Q3 Results
Slide 5: Despite challenging macro backdrop & mixed market conditions
COMBINED FINANCIALS Despite challenging macro backdrop & mixed market conditions… Bloomberg Commodity & Energy Index (YoY Change) Wage Increase (Minimum Wage, Gross) 71% Bloomberg Commodity Index Bloomberg Energy Index 67% 559 33% 32% 28% CAGR 375 94% 327 181 -6% -12% -13% -11% 100 -28% -29% 2021 20
Slide 6: 9M results fared better compared to first half despite high monetary losses
COMBINED FINANCIALS …9M results fared better compared to first half despite high monetary losses… Combined Revenue(1) (TL mn) Combined EBITDA (TL mn) Consolidated Net Income/Loss (TL mn) Non-bank Bank Non-bank Bank Non-bank Bank -46% 5% 859,211 169,922 33% 817,265 -59% 7,808 342,779 454,428 114,383
Slide 7: Material improvement in non-bank operating profitability in Q3
COMBINED FINANCIALS …driven by a material improvement in non-bank operating profitability in Q3 as well as net income excluding non-operational items Combined Revenue(1) (TL mn) Combined EBITDA (TL mn) Consolidated Net Income/Loss (TL mn) Non-bank Bank Non-bank Bank Non-bank Bank -55% 0% 304,174 55,
Slide 8: ROE under pressure, leverage a tad better compared to H1
COMBINED FINANCIALS ROE remained under pressure with higher financing cost, leverage a tad better compared to H1… Return on Equity (ROE) Combined Net Financial Debt to Non-Bank EBITDA (1) Consolidated ROE Non-Bank ROE Bank ROE 14.4% 1.7% -0.5% Target: ≤2x 24.7% 11.2% 1.1x 4.3% 0.8x 19.8% 0.5x 7.0% 2
Slide 9: Liquidity rock solid & cash flow sharply improved amid increasing capex
COMBINED FINANCIALS Liquidity remained rock solid & cash flow sharply improved amid increasing capex Holding Only - Net cash position (TL bn) Operational Cash Flow, Combined for Non-Bank (1) (TL bn) Non-Bank Capex/Sales 64.1 48.9 12.6% 12.2 40.1 39.0 10.5% 10.3% 9.4% 7.0 5.9 3.1 2022 2023 9M 2023 9M
Slide 10: NAV Performance
02 /03 NAV Performance
Slide 11: Solid NAV growth, attractive discount, portfolio recalibration
NAV PERFORMANCE Solid NAV growth, attractive discount with an increasing focus on portfolio recalibration NAV (USD mn) & NAV Discount(1) October 2024 NAV Breakdown Based on Independent Valuation for Unlisted Assets(1) 7% Energy & Climate Technologies 34% 9,351 8,750 Material Technologies & Mobility
Slide 12: Segment Financials
03 /03 Segment Financials
Slide 13: Bank segment financials
SEGMENT FINANCIALS Bank / Successfully navigating challenges in a transitionary year & empowered by resilience to achieve sustainable growth and profitability Key Financial Metrics Current Assessment Q2 2024 Q3 2024 Change 9M 2023 9M 2024 Change Preserved strong solvency ratios with 17.2% Leverage 1
Slide 14: Energy segment financials
SEGMENT FINANCIALS Energy / Generation business bottom-line improved, higher borrowing costs continued to pressure distribution & retail business in Q3 Energy Segment Summary Financials(1) MILLION TL Q3 2023 Q3 2024 Change 9M 2023 9M 2024 Change 9M24 Assessment SALES 80.253 68.466 -15% 231.945 171.2
Slide 15: Material Technologies segment financials
SEGMENT FINANCIALS Material Technologies / Domestic volume growth accelerated in building materials, tire reinforcement remained under pressure on prevailing global competition in Q3 Material Technologies Summary Financials(1) 9M24 Assessment MILLION TL Q3 2023 Q3 2024 Change 9M 2023 9M 2024 Change
Slide 16: Mobility Solutions segment financials
SEGMENT FINANCIALS Mobility Solutions / Volume contraction remained much limited in Q3 compared to H1 as market leadership sustained on replacement market Mobility Solutions Summary Financials(1) MILLION TL Q3 2023 Q3 2024 Change 9M 2023 9M 2024 Change 9M24 Assessment SALES 14,001 11,680 -17% 37,920
Slide 17: Financial Services segment financials
SEGMENT FINANCIALS Financial Services / Non-life profitability optimization more visible in Q3, life business continued to benefit from market leadership Financial Services Summary Financials(1) MILLION TL Q3 2023 Q3 2024 Change 9M 2023 9M 2024 Change 9M24 Assessment SALES 13.827 14.650 6% 42.071 41
Slide 18: Digital segment financials
SEGMENT FINANCIALS Digital / Effective cost management offset by higher financial expenses Digital Summary Financials(1) MILLION TL Q3 2023 Q3 2024 Change 9M 2023 9M 2024 Change 9M24 Assessment SALES 17,135 16,815 -2% 46,940 49,543 6% YoY topline growth exceed the panel market EBITDA -400 634 n.m 24
Slide 19: Retail segment financials
SEGMENT FINANCIALS Retail / Cost optimization efforts failed to ease the bottom-line pressure on high financial expenses Retail Summary Financials(1) MILLION TL Q3 2023 Q3 2024 Change 9M 2023 9M 2024 Change 9M24 Assessment SALES 16,213 16,162 0% 44,871 45,971 2% Improvement in alternative channels E
Slide 20: Highlights
EARNINGS PRESENTATION Highlights Execution of new economy Strong Non-Bank Globally recognized strategy Operational Performance in Q3 ESG performance ✓ Acquisition of Mannok ✓ Holding-only cash: TL 12.2 billion ✓ “Outstanding Achievement for Sustainability” from EFQM ✓ Acquisition of Bulutistan ✓ Cap
Slide 21: Appendix
Appendix
Slide 22: Dividend Performance
APPENDIX Dividend Performance TLmn 2020 2021 2022 2023 2024 Akbank - 255 494 3,666 4,063 Akçansa 18 42 36 99 457 Aksigorta 73 110 - - - Agesa 64 64 - 60 120 Brisa 12 107 270 479 452 Carrefoursa - - - - - Çimsa - - 109 218 545 Kordsa 35 - 114 41 - Teknosa - - - - - Enerjisa Enerji 283 454 586 1,087 1
Slide 23: Financials in detail
APPENDIX Financials in detail Combined Revenue(1) Combined EBITDA Consolidated Net Income MILLION TL Q3 2023 Q3 2024 Change 9M 2023 9M 2024 Change Q3 2023 Q3 2024 Change 9M 2023 9M 2024 Change Q3 2023 Q3 2024 Change 9M 2023 9M 2024 Change TOTAL 302,960 304,174 0% 817,265 859,211 5% 55,194 25,100 -55
Slide 24: Sabancı Holding Current NAV & Cash Breakdown
APPENDIX Sabancı Holding Current NAV & Cash Breakdown USDmn October 2024 December 2023 Companies Free Float Direct Stake Valuation Method Mcap Value to Sabancı Holding % of NAV Value to Sabancı Holding % of NAV Akbank 53% 41% Market value 7,698 3,137 35.4% 2,629 33.2% Enerjisa Enerji 20% 40% Market
Slide 25: Sabancı Holding NAV After Independent Valuation Reports
APPENDIX Sabancı Holding NAV After Independent Valuation Reports USDmn October 2024 Companies Free Float Direct Stake Valuation Method Mcap Value to Sabancı Holding % of NAV Akbank 53% 41% Market value 7,698 3,137 33.5% Enerjisa Enerji 20% 40% Market value 1,909 764 8.2% Aksigorta 28% 36% Market val
Slide 26: Investor Relations Contacts
Meet SirA, Sabancı Holding's digital INVESTOR RELATIONS CONTACTS investor relations assistant ! Kerem TEZCAN Investor Relations Director Türkiye’s First Investor Relations Dedicated Assistant ! Şule GENÇTÜRK KARDIÇALIOĞLU Investor Relations Manager ir.sabanci.com Sezgi ESER AYHAN Investor Relations
Hacı Ömer Sabancı Holding A.Ş. — Q3 2024 Earnings Presentation on 6ix