Haci Omer Sabanci Holding A.s. · BIST:SAHOL
Haci Omer Sabanci Holding A.s — Hacı Ömer Sabancı Holding A.Ş. — Q1 2024 Earnings Presentation
27 slides from Haci Omer Sabanci Holding A.s's earnings presentation, Jun 6, 2024
Slide 1: Q1 2024 Earnings Presentation
JUNE 6, 2024 Q1 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: 2024 YTD Highlights
EARNINGS PRESENTATION 2024 YTD Highlights Execution on “new economy” Continued Focus on ESG Healthy financial position on prevails inflation adjusted basis ✓ Launch of 272 MW Cutlass Solar II ✓ Establishment of circular economy ✓ Holding-only cash: Doubling to TL14.4bn project in Texas ahead of sche
Slide 4: Combined Financials Q1 2024 Results
01 /03 Combined Financials Q1 2024 Results
Slide 5: Despite wage adjustments and prevailing inflationary pressures…
COMBINED FINANCIALS Despite wage adjustments and prevailing inflationary pressures… Bloomberg Commodity & Energy Index (YoY Change) Wage Increase(1) (Minimum Wage, Gross) Bloomberg Commodity Index Bloomberg Energy Index 67% 661 100% 33% 32% 28% 67% 94% 400 319 176 200 -8% -11% -12% -12% -6% -10% -9%
Slide 6: …solid non-bank operational performance maintained with EBITDA margin expansion
COMBINED FINANCIALS …solid non-bank operational performance maintained with EBITDA margin expansion Combined Revenue (TL mn) Combined EBITDA (TL mn) Consolidated Net Income (TL mn) Non-bank Bank Non-bank Bank Non-bank Bank 6% -17% 234,793 220,741 39,961 86,387 120,720 40% 33,307 -555 -2,059 27,763 -
Slide 7: ROE continues to reflect the impact of inflation accounting, indebtedness remained below target
COMBINED FINANCIALS ROE continues to reflect the impact of inflation accounting, indebtedness remained below target Return on Equity (ROE) Return on Equity (ROE) Combined Net Financial Debt to Non-Bank EBITDA (2) Excluding One-offs(1) Consolidated ROE Non-Bank ROE Bank ROE Consolidated ROE Non-Bank
Slide 8: Holding cash more than doubled, investments accelerated
COMBINED FINANCIALS Holding cash more than doubled, investments accelerated Holding Only - Net cash position (TL bn) Operational Cash Flow, Combined for Non-Bank (1) (TL bn) Non-Bank Capex/Sales 54.3 41.4 14.4 11.3% 10.5% 10.3% 8.3% 7.0 6.5 15.7 3.1 0.1 2022 2023 Q1 2023 Q1 2024 2022 2023 Q1 2023 Q1
Slide 9: NAV & Stock Performance
02 /03 NAV & Stock Performance
Slide 10: Strong NAV growth with an attractive discount
NAV & STOCK PERFORMANCE Strong NAV growth with an attractive discount NAV (USD mn) & NAV Discount(1) NAV Bridge(1) 28% 11,204 8,750 Dec 2023 May 2024 -43.0% -52.1% 9.1 pp (1) Please refer to page 26 for the details of NAV.
Slide 11: A more balanced portfolio with increasing share of new economy
NAV & STOCK PERFORMANCE A more balanced portfolio with increasing share of new economy May 2024 NAV Breakdown Based on Independent Valuation for Unlisted Assets(1) Energy & Climate Material Technologies Technologies & Mobility Solutions 30% 17% Digital USD11.2bn Technologies 2% Other 5% Cash Banking
Slide 12: Segment Financials
03 /03 Segment Financials
Slide 13: Bank / Superior customer acquisition with customer-driven revenue growth in focus
BANKING Bank / Superior customer acquisition with customer-driven revenue growth in focus Key Financial Metrics Current Assessment Q1 2023 2023 Q1 2024 Y/Y Change YTD Change Leverage 8.2x 9.0x 9.7x 1.5x 0.7x Started the year as projected with RoE of CIR (1) 40.3% 32.7% 52.8% -12.5 pp 20.1 pp 24.9% &
Slide 14: Energy / Increasing investments with the start of the new capex cycle
SEGMENT FINANCIALS Energy / Increasing investments with the start of the new capex cycle started to weigh on quarterly financial results Energy Segment Summary Financials(1) MILLION TL Q1 2023 Q1 2024 Change Current Assessment REVENUE 69,014 44,586 -35% EBITDA 7,945 8,108 2% Distribution & Retail &
Slide 15: Building Materials / Increasing inflationary pressures had an impact on profitability
SEGMENT FINANCIALS Building Materials/ Increasing inflationary pressures had an impact on profitability in short-term Building Materials Summary Financials(1) MILLION TL Q1 2023 Q1 2024 Change Current Assessment REVENUE 11,428 10,554 -8% Competition in export market EBITDA 1,829 1,135 -38% EBITDA MA
Slide 16: Industrials / Solid margin improvement on better sales mix
SEGMENT FINANCIALS Industrials / Solid margin improvement on better sales mix Industrials Summary Financials(1) MILLION TL Q1 2023 Q1 2024 Change Current Assessment REVENUE 18,963 18,453 -3% Strong domestic demand in tire business EBITDA 2,215 2,641 19% EBITDA MARGIN 11.7% 14.3% Higher contribution
Slide 17: Financial Services / Solid premium generation failed to pass through to the bottom-line
SEGMENT FINANCIALS Financial Services / Solid premium generation failed to pass through to the bottom-line due to high monetary assets Financial Services Summary Financials(1) MILLION TL Q1 2023 Q1 2024 Change Current Assessment REVENUE 11,574 13,258 15% EBITDA 959 -13 n.m Top-line growth in both bu
Slide 18: Digital / Solid top-line growth via Omnichannel structure
SEGMENT FINANCIALS Digital / Solid top-line growth via Omnichannel structure with a stable EBITDA margin Digital Summary Financials(1) MILLION TL Q1 2023 Q1 2024 Change Current Assessment REVENUE 12,014 15,234 27% Strong top-line growth beating panel & EBITDA 173 218 26% Techonline market growth EBI
Slide 19: Retail / Improvement in operational profitability failed to pass through to the bottom-line
SEGMENT FINANCIALS Retail / Improvement in operational profitability failed to pass through to the bottom-line on financial expenses Retail Summary Financials(1) MILLION TL Q1 2023 Q1 2024 Change Current Assessment REVENUE 11,321 11,939 5% Improvement in alternative channels EBITDA -81 83 n.m EBITDA
Slide 20: 2024 YTD Highlights
EARNINGS PRESENTATION 2024 YTD Highlights Execution on “new economy” Continued Focus on ESG Healthy financial position on prevails inflation adjusted basis ✓ Launch of 272 MW Cutlass Solar II ✓ Establishment of circular economy ✓ Holding-only cash: Doubling to TL14.4bn project in Texas ahead of sche
Slide 21: Appendix
06 /06 Appendix
Slide 22: Solid non-bank operational performance maintained with EBITDA margin expansion
APPENDIX Solid non-bank operational performance maintained with EBITDA margin expansion Combined Revenue (TL mn) Combined EBITDA (TL mn) Consolidated Net Income (TL mn) Non-bank Bank Non-bank Bank Non-bank Bank 6,580 234,793 220,741 4,602 86,387 39,961 120,720 40% 1,978 33,307 124,357 -555 -2,059 -1
Slide 23: 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 24: Financials in detail
APPENDIX Financials in detail Combined Revenue Combined EBITDA Consolidated Net Income MILLION TL Q1 2023 Q1 2024 Change Q1 2023 Q1 2024 Change Q1 2023 Q1 2024 Change TOTAL 220,741 234,793 6.4% 39,961 33,307 -17% -2,357 -5,366 -127.7% BANK 86,387 120,720 39.7% 27,763 21,495 -23% -1,801 -3,307 -83.6%
Slide 25: Sabancı Holding Current NAV & Cash Breakdown
APPENDIX Sabancı Holding Current NAV & Cash Breakdown USDmn May 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 10,745 4,379 41.8% 2,629 33.2% Enerjisa Enerji 20% 40% Market val
Slide 26: Sabancı Holding NAV After Independent Valuation Reports
APPENDIX Sabancı Holding NAV After Independent Valuation Reports USDmn May 2024 Companies Free Float Direct Stake Valuation Method Mcap Value to Sabancı Holding % of NAV Akbank 53% 41% Market value 10,745 4,379 39.1% Enerjisa Enerji 20% 40% Market value 2,222 889 7.9% Aksigorta 28% 36% Market value
Slide 27: 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. — Q1 2024 Earnings Presentation on 6ix