Slide 1: 2023 Financial Results
2023 Financial Results March 1, 2024 Sensitivity: Public
Slide 2: Disclaimer
Disclaimer 2023 Financial Results With the Capital Markets Board of Turkey’s Bulletin dated 28.12.2023 numbered 2023/81, CMB announced that issuers and capital market institutions shall prepare their annual financial statements ending on 31.12.2023 or later, in accordance with IAS 29 inflationary ac
Slide 3: Highlights
2023 Resilient demand in Türkiye, weakness in international markets. HIGHLIGHTS Margin expansion at all lines thanks to eased costs in 2023. TRY257.1bn Consolidated revenues were flattish in 2023 compared to 2022. Revenue 7.8% Wholesale & retail demand in Türkiye was solid throughout 2023 while the
Slide 4: Key Factors Sales/Margins
Key Factors Sales/Margins 2023 Financial Results REVENUE GROWTH GROSS MARGIN EBITDA MARGIN Flattish 29.3% 7.8% Strong unit growth in Türkiye Lower raw material costs Better gross profitability Strategic pricing initiatives Favorable EURUSD parity Increased OPEX/Sales Declined international MDA6 unit
Slide 5: Operational Performance
Operational Performance 2023 Financial Results Sensitivity: Public
Slide 6: Türkiye in 2023: Another year of sustained strong leadership
Türkiye in 2023: Another year of sustained strong leadership 2023 Financial Results as consumer demand remained robust throughout the year MDA6* Türkiye Revenue Growth ARÇELİK y/y growth (%) TÜRKİYE y/y growth (%) 23% 12% 12% 14% 5% 2% Unit growth in MDA6 (3%) (2%) Unit growth in A/C (7%) 96,152 78,
Slide 7: Europe in 2023: Consumer demand contracted in Western Europe, improved in Eastern Europe
Europe in 2023: Consumer demand contracted progressively at declining rates in Western Europe towards the end of the year, as it improved in Eastern Europe 2023 Financial Results 23% 16% Share in total revenue Western Europe Eastern Europe Share in total revenue y/y market growth in unit terms MDA6
Slide 8: Demand was under pressure in key regions in 2023
Demand was under pressure in key regions in 2023 2023 Financial Results 8% 14% Share in total revenue Africa & Middle East Asia-Pacific Share in total revenue • Revenues generated from Africa & Middle East decreased by c.6% • Revenues generated from APAC were down by c.18% in EUR terms y/y in 2023 i
Slide 9: Softened raw material prices throughout 2023
Softened raw material prices throughout 2023 2023 Financial Results Average Metal Prices Index - Market Average Plastic Prices Index - Market 2023 103 2023 147 4Q23 98 4Q23 146 3Q23 99 3Q23 141 2Q23 105 2Q23 147 1Q23 111 1Q23 154 2022 122 2022 175 4Q22 102 4Q22 156 • Metal raw material prices contra
Slide 10: Sales Performance
Sales Performance 2023 Financial Results Sensitivity: Public
Slide 11: Resilient revenue composition through diversification
Resilient revenue composition through diversification 2023 Financial Results Sales Bridge Sales Breakdown by Geography 2023 Flattish y/y Türkiye 275.000 11% 2% Western Europe 225.000 18,125 (23,301) 5,107 2% 14% 4% CIS & Eastern Europe 23.2% 2.9% 2% 30% 37% y/y 13.0% 160,952 3% 175. 000 179,145 y/y
Slide 12: Financial Performance
Financial Performance 2023 Financial Results Sensitivity: Public
Slide 13: Summary Financials
Summary Financials 2023 Financial Results TRYmn 2022 2023 y/y Revenue 257,172 257,104 (0%) Gross Profit 68,671 75,378 10% EBIT* 8,295 11,362 37% Net Financial Income/Expense (11,960) (12,354) 3% Monetary Gain/Loss 7,928 9,888 25% Profit Before Tax 7,239 7,158 (1%) Net Income** 7,008 8,395 20% EBITDA
Slide 14: Leverage maintained at healthy levels
Leverage maintained at healthy levels 2023 Financial Results Net Debt & Leverage Debt Currency & Rates Breakdown ** Currency Effective Interest Rate Original Currency TRY Equivalent p.a. (mn) (mn) TRY 41.3% 14,566 14,566 EUR 4.8% 1,326 43,201 2,71 2,67 62.000 3,00 USD 9.2% 117 3,453 GBP 7.1% 31 1,17
Slide 15: Key Performance Indicators
Key Performance Indicators 2023 Financial Results EBITDA Margin Working Capital/Sales 24.2% 23.0% 2022 2023 2022 2023 Non-cash GP Margin OPEX/Sales Items CAPEX/Sales Free Cash Flow 5.1% 3.8% (12,746) TRYmn (21,787) 2022 2023 2022 2023 Sensitivity: Public 15
Slide 16: Guidance
Guidance 2023 Financial Results Sensitivity: Public
Slide 17: 2024 Guidance
2024 Guidance 2023 Financial Results Guidance Revenue Turkey (in TRY) Flattish International (in FX) c.2% EBITDA Margin c.8% NWC/Sales <25% CAPEX c.300 EUR mio Sensitivity: Public 17 19
Slide 18: Q&A
Q&A 2023 Financial Results Sensitivity: Public
Slide 19: Appendix
Appendix 2023 Financial Results Sensitivity: Public
Slide 20: 2023 Guidance vs Actual w/o application of IAS 29
2023 Guidance vs Actual w/o application of IAS 29 2023 Financial Results Guidance Actual Revenue Turkey (in TRY) c.75% growth 87% International (in FX) c. (-) 4% (-) 6% EBITDA Margin c.10.5% 9.8% NWC/Sales <25% 23.4% CAPEX c.300 mio EUR 314 mio EUR Sensitivity: Public 20 19
Slide 21: Summary financial KPI's w/o application of IAS 29
Summary financial KPI’s w/o application of IAS 29 2023 Financial Results Revenue Gross Profit Margin 29.5% 31.8% 205,884 133,916 2022 2023 2022 2023 EBITDA Margin* Net Income Margin** 9.8% 9.0% 2.4% 2.2% 2022 2023 2022 2023 *EBITDA was calculated by deducting the impact of FX gains and losses arisin
Slide 22: Contacts
Contacts 2023 Financial Results Özkan Çimen Mine Şule Yazgan Öktem Söylemez Chief Financial Officer Finance & Enterprise Risk Executive Director Investor Relations Senior Lead (+90) 212 314 34 34 (+90) 212 314 30 60 (+90) 212 705 96 81 www.arcelikglobal.com investorrelations@arcelik.com Sensitivity:
Slide 23: Thank You!
Thank You! Sensitivity: Public