Tat Gida Sanayi A.s. · BIST:TATGD
Tat Gida Sanayi A.s — Tat Gıda Sanayi A.Ş. — Q1 2023 Earnings Presentation
21 slides from Tat Gida Sanayi A.s's earnings presentation, Apr 28, 2023
Slide 1: Tat Gıda 1Q2023 Financial Results Review
Tat Gıda 1Q2023 Financial Results Review April 28, 2023
Slide 2: Agenda
1 Key messages and Highlights 2 1Q2023 Financial Results Agenda
Slide 3: Key messages and Highlights
1 Key messages and Highlights Tat’s Purpose: We exist to lead the change that will deliver good and healthy food for all
Slide 4: Key Messages & Financial Highlights
Key Messages & Financial Highlights Domestic sales supported top-line growth in 1Q2023 1Q2023 Highlights ▪ First quarter Net Sales increased 109% yoy to TL1.1 bn. Net Sales ▪ Domestic sales increased by 178% yoy, thanks to higher sales volume and TL 1,123 mn prices. (109% yoy growth) ▪ Exports came
Slide 5: Global tomato processing figures expected to increase in FY2023
Global tomato processing figures expected to increase in FY2023 Global warming, water scarcity and higher costs of growing tomatoes as farmers are paying more for fuel and fertilizer led to a 3% decline in overall global tomato production to 37 mn tons in 2022. In 2023, global tomato for process
Slide 6: Turkey's tomato paste exports came down in 2023
Turkey’s tomato paste exports came down in 2023 Despite rising raw material costs in TL, the pressure on fx rates led to a drop in Turkey’s tomato paste exports in volume terms in the first two months of 2023. Turkey’s Monthly Tomato Paste exports (000 tons) -86% -71% 39.0 32.7 30.2 29.7 29.1 21.5
Slide 7: Growth continued in production
Growth continued in production Tat Gıda’s production increased by 36% and reached 12K tons in 1Q2023. The increase is attributable to sauces and ready-to eat food segments contribution. Tat’s Quarterly Production (000 tons) Tat’s Breakdown of production (1Q 2023) +35,6% Other 102 7% Ready-to Eat F
Slide 8: Market Leader: Ranks #1 in almost all its categories in local market
Market Leader: Ranks #1 in almost all its categories in local market Tat #1 Tat #1 51% Tomato Tomato 35% Products Paste Others Others #1 Tat #3 Tat 25% Mayonnaise 18% Ketchup Others Others Tat #1 #1 Tat 26% Ready-to 20% Others eat food Pickles Others *Based on Nielsen 1Q2023 Report excluding Hard Di
Slide 9: 1Q2023 Financial Results
2 1Q2023 Financial Results Balance Sheet – Summary (TL mn) Income Statement - Summary (TL mn) Dec 31, 2022 Mar 31, 2023 1Q2022 1Q2023 Current Assets 3.915 3.978 Net Sales 537 1.124 Non-Current Assets 522 612 EBITDA 85 164 Total Assets 4.437 4.590 Net Income from Other operations 19 63 Current Liabil
Slide 10: Revenues TL1.1 bn, up by 109% yoy
▪ Net sales was TL1.1 bn in 1Q23; up by Net Sales (TL Mn) 109% yoy. +109% Revenues ▪ On top of a strong 1Q22 figures; total sales volume in 1Q23 1.124 TL1.1 bn, up by decreased yoy to 36K tons, due to 109% yoy lower exports. ▪ Domestic sales increased by 178% 537 in 1Q23, yoy, owing to higher volume
Slide 11: Export growth slowed down in 1Q
▪ Exports in 1Q23 were at TL319 mn Turkey’s Tomato Paste exports (000 tons) Export growth (US$17mn ), displaying 29% growth yoy 39 in TL terms and 4% decline in US$ terms. 33 slowed down 30 29 30 ▪ Despite soaring input prices, the Turkish 21 21 in 1Q lira's stability is hurting exporters' 16 11 14
Slide 12: Last harvesting season costs kept COGS higher
▪ Elevated last harvesting season costs led COGS (TL Mn) Last harvesting to a pressure on margins in 2H22 and +135% 1Q23 results. season costs ▪ Agricultural input price index increased 832 kept COGS by 70% yoy and by 115% compared to higher twelve months moving averages, in 354 February 2023. The h
Slide 13: Gross profit up by 60% in 1Q23 yoy
▪ Elevated harvesting season costs put Gross Profit (TL Mn) pressure on gross margin since 3Q2022. +60% Gross profit up Trying to minimize the impact with effective sales mix and price 292 by 60% in management, together with productivity 183 improvements and cost saving initiatives. 1Q23 yoy ▪ Gross
Slide 14: EBITDA at TL164 mn, up by 94%
▪ Operating expenses increased by 34% year on Operating Profit (TL Mn) year in 1Q23. Opex-to-Net Sales ratio was +92% EBITDA at 12% in 1Q23 vs. 14% in 4Q2022 and 19% in 1Q22. 156 TL164 mn, ▪ Operating profit was up by 92% in 1Q23, yoy 81 to TL16 mn thanks to cost saving initiatives. up by 94% ▪ EBIT
Slide 15: Net Financial debt at TL2.2 bn
TL mn 1Q2022 FY2022 1Q2023 ▪ Due to seasonality and elevated Cash and cash equivalents 252 288 565 harvesting season costs, Net Financial Net Financial Debt reached TL2.2 bn at FY2022-end, ST Financial Debt 294 2.322 2.001 debt at and remained intact in 1Q23-end. ▪ Diversify funding sources, via EBR
Slide 16: Net Profit came in at TL97 mn
Net Profit (TL mn) +3% ▪ Net Profit at TL98 mn in 1Q23, Net Profit remained intact at the levels 95 98 came in at attained in 1Q22 due to higher financial expenses. TL97 mn 1Q2022 1Q2023 Net Profit (TL mn) from Ongoing Operations Net Profit (TL mn) & Net Profit Margin (%) 2 Net Profit Margin Net Pro
Slide 17: Margin recovery will depend on market conditions and new season costs
Margin recovery will depend on market conditions and new season costs Solid top-line growth owing to domestic sales performance; while financial expenses limited bottom-line growth. Last harvesting season’s elevated costs had pressure on margins. Inflation indices continue to grow but at a lower p
Slide 18: Income Statement - Summary (TL mn)
Income Statement - Summary (TL mn) FY2022 D YoY 1Q2022 1Q2023 D YoY Net Sales 2.787 155% 537 1.124 109% Cost of Sales (-) 1969 155% 354 832 135% Gross Profit 817 156% 183 292 60% Operating Expenses (-) 433 130% 102 136 34% Operating Profit 384 193% 81 156 92% EBITDA 418 177% 85 164 94% Net Income(Ex
Slide 19: Balance Sheet - Summary (TL mn)
Balance Sheet -Summary (TL mn) 1Q2022 1H2022 9M2022 FY2022 1Q2023 Current Assets 1.388 1.788 3.669 3.915 3.978 Cash 252 301 85 288 565 Trade receivables 467 597 748 844 1.079 Inventories 474 596 2.456 2.392 1.876 Non-current Assets 297 369 458 522 612 Total Assets 1.685 2.157 4.127 4.437 4.590 Curre
Slide 20: Disclaimer
This presentation does contain information and analysis on financial statements that reflect the Company management’s current views. Although it is believed that the information and analysis are correct and expectations reflected in these statements are reasonable, they may be affected by a variety
Slide 21: Thank you
Thank you For further questions please contact: Banu Çamlıtepe - head of IR banu.camlitepe@tat.com.tr Tat Gıda A.Ş. investorrelations@tat.com.tr Taşdelen Mahallesi Sırrı Çelik Bulvarı No: 7 Çekmeköy - İstanbul 21