Lila Kagit Sanayi Ve Ticaret Anonim Sirketi · BIST:LILAK

Lila Kagit Sanayi Ve Ticaret Anonim Sirketi — Lila Kağıt Sanayi ve Ticaret A.Ş. — Q2 2026 Earnings Presentation

18 slides from Lila Kagit Sanayi Ve Ticaret Anonim Sirketi's earnings presentation, Aug 6, 2026

  1. Slide 1: 2Q 2026 Financial Results

    2Q 2026 Financial Results August 6, 2026 2Q 2026 Financial Results

  2. Slide 2: Legal Notice

    Legal Notice Pursuant to the Capital Markets Board (CMB) Bulletin dated December 28, 2023, and numbered 2023/81, it was publicly announced that issuers and capital market institutions subject to the CMB’s financial reporting regulations are required to implement inflation accounting in accordance wi

  3. Slide 3: Volume Growth Rebounded; Pricing and Currency Headwinds Weighed on Margins

    Volume Growth Rebounded; Pricing and Currency Headwinds Weighed on Margins 2Q26 Operational Performance 2Q26 Financial Performance (1) (1) Sales Sales Tonnage Converting Export Net Revenue EBITDA EBITDA Net Income Net Income Tonnage Growth Growth (million TL) (million TL) Margin (million TL) Margin

  4. Slide 4: 1H 2026 Market Dynamics: Export Markets

    1H 2026 Market Dynamics Soft and regionally divergent demand conditions put pressure on global pricing and industry margins Export markets • Tissue paper consumption in developed markets remained weak, as the high cost of living and (1) expenditures on energy, transportation and services continued t

  5. Slide 5: 1H 2026 Market Dynamics: Türkiye Market

    1H 2026 Market Dynamics In an increasingly price-sensitive market, our branded products achieved double-digit growth and gained market share Türkiye market 1H 2025–1H 2026 Türkiye Converting Product • The Turkish retail market was shaped by selective and highly price-sensitive consumer Category Sale

  6. Slide 6: 2Q 2026 Operational Performance

    2Q 2026 OPERATIONAL PERFORMANCE

  7. Slide 7: Volume Growth Strengthened in Export Markets in 2Q 2026

    Volume Growth Strengthened in Export Markets in 2Q 2026 • Lila Kağıt accounted for 29% of Türkiye’s 54% hygienic tissue paper exports in 2Q 2026 and 44% 35% 1H 2026. (1) 30% • Export sales accounted for 77% of total 2Q 2025 2Q 2026 sales tonnage in 2Q 2026.(2) 15% 2Q 2025 2Q 2026 3% 3% 9% • Total ex

  8. Slide 8: Strong Recovery in Production and Capacity Utilization Above the Sector Average

    Strong Recovery in Production and Capacity Utilization Above the Sector Average Lila Kağıt’s capacity utilization rate (CUR) increased by 8 pp to 92% in 2Q 2026, standing 12 pp above the Türkiye tissue paper sector average. In 1H 2026, Lila Kağıt’s CUR was 89%, 11 pp above the Türkiye tissue paper s

  9. Slide 9: 2Q 2026 Financial Performance

    2Q 2026 FINANCIAL PERFORMANCE

  10. Slide 10: Pressure on Operational Margins, Tax Support for Net Income

    Pressure on Operational Margins, Tax Support for Net Income Despite 6.3% sales volume growth, flat foreign currency-denominated selling prices and exchange rate increases trailing inflation exerted pressure on gross profit and EBITDA margins. GROSS MARGIN EBITDA MARGIN NET INCOME MARGIN 2Q 2026 28.4

  11. Slide 11: Volume Growth Partly Offset Pricing Pressure

    Volume Growth Partly Offset Pricing Pressure Net Revenue Bridge (TRY million) EBITDA Margin Bridge (%) 4,271 282 3,858 (498) (146) (50) -207 bps 19.7% -173 bps +78 bps 16.6% 2Q 2025 Price / Product Volume Price / Product Volume 2Q 2026 2Q 2025 Gross Profit Operating D&A 2Q 2026 Mix (Export) Mix (Dom

  12. Slide 12: Net Cash Position Strengthened by Effective Working Capital Management

    Net Cash Position Strengthened by Effective Working Capital Management Trade Receivables (Days) Inventories (Days) Net Cash (TRY mn) Net Debt / EBITDA Strong net cash position of TL Trade Payables (Days) Cash Conversion Cycle (Days) 5.4 billion -1.48x • A net cash position was 122 maintained despite

  13. Slide 13: Strong Free Cash Flow During an Intensive Investment Period

    Strong Free Cash Flow During an Intensive Investment Period Cash Flow from Operations (TRY million) CAPEX (TRY million) CAPEX / Net Sales Free Cash Flow (TRY million) 17.0% Free Cash Flow / Net Sales 14.1% 10.0% 1,240 2,262 851 0.9% 928 1,022 78 1H 2025 1H 2026 1H 2025 1H 2026 • Cash flow from opera

  14. Slide 14: Erzurum Phase I Facility Successfully Commissioned

    Erzurum Phase I Facility Successfully Commissioned Production and sales at the Phase I converting facility began on June 8, 2026, with a gradual capacity ramp-up expected during the second half of 2026. Erzurum Facility • Located on a 168 thousand m² site, the facility is the first tissue paper prod

  15. Slide 15: 2026 Guidance & Market Outlook

    2026 GUIDANCE & MARKET OUTLOOK

  16. Slide 16: 2H 2026 Outlook: Selective Growth and Margin Discipline

    2H 2026 Outlook: Selective Growth and Margin Discipline Supporting Factors Key Risks • Limited but structural growth in global tissue paper demand and • Geopolitical tensions, protectionist trade policies and slower differentiation across markets provide selective growth economic growth may weigh on

  17. Slide 17: We Are Revising Our 2026 Guidance

    We Are Revising Our 2026 Guidance Initial Revised Sales Tonnage Growth 7%-10% 7%-10% Türkiye Market High double-digit growth Mid-to-high single-digit growth Export Market Low-to-mid single-digit growth High single-digit growth EBITDA Margin >20% >19% Adjusted EBITDA Margin(*) >22% >21% Net Working C

  18. Slide 18: Thank You

    Contact Işıl Tireli Doruk Sazer, CFA Şevval Hacer Şenol Deputy General Manager of Financial Head of Investor Relations Affairs, Strategic Planning and Information Investor Relations Specialist Technologies +90 (216) 251 27 00 +90 (216) 251 27 00 +90 (216) 251 27 00 www.lilakagit.com yatirimciiliskil

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