Slide 1: 3Q24 Financial Results
3Q24 Financial Results October 25, 2024 Investor Relations Sensitivity: Internal / Non-Personal Data
Slide 2: Disclaimer
Disclaimer 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 accounting provisions. Ac
Slide 3: 3Q24 Highlights
3Q24 Weaker demand in major markets except Europe & Africa, inorganic HIGHLIGHTS growth with the contribution of Europe & MENA transactions. TRY 105.4bn Consolidated revenues grew by 13.8% y/y in real terms with the Revenue contribution of Europe and MENA transactions closed as of April 1st. 26.4% S
Slide 4: Key Factors / Sales & Margins
Key Factors / Sales & Margins REVENUE GROWTH GROSS MARGIN ADJ. EBITDA MARGIN 13.8% 26.4% 4.6% Inorganic growth due to Europe & MENA Challenging pricing environment Lower Gross Margin transactions Slowdown in local demand q/q Unfavorable product mix Growing OPEX Minor growth in international demand q
Slide 5: Operational Performance
Operational Performance 3Q24 Financial Results Sensitivity: Internal / Non-Personal Data
Slide 6: Sales Bridge and Sales Breakdown by Geography
Sales Bridge Sales Breakdown by Geography 39.7% y/y 3Q24 9M24 International TR 58.1% 10.5% y/y y/y 76 30% 30% 3.000 5 23% 23% 34% 34% 2.500 97 656 39% 11 39% 28 3Q23 9M23 2.000 1.943 15% 1.500 1.229 16% 1% 1.000 3% 1% 1% 5% 1% 4% 5% 12% 4% 14% 4% 3% 500 850 16% 770 4% EUR mn 9% 18% - 11% 3Q23 FX Imp
Slide 7: Slowdown in consumer demand and diminishing share of local sales in total revenue
Slowdown in consumer demand and diminishing share of local sales in total revenue MDA6 Türkiye Revenue Growth ARÇELİK y/y growth (%) TÜRKİYE y/y growth (%) -10% 10,9% Unfavorable product mix 6,6% 5,4% Declining volumes in MDA6 y/y 35.756 32.077 0,8% Strong unit growth in A/C 6M24 8M24 Flattish volum
Slide 8: Significant improvement in Western Europe, robust demand growth continues in Eastern Europe
Significant improvement in Western Europe, robust demand growth continues in Eastern Europe 34% 18% Share in total revenue Western Europe Eastern Europe Share in total revenue y/y market growth in unit terms y/y market growth in unit terms MDA6 Market MDA6 Market 8M24 6M24 8M24 6M24 • Substantial re
Slide 9: Robust demand in Africa whereas Middle East struggles, APAC recovers slightly y/y
Robust demand in Africa whereas Middle East struggles, APAC recovers slightly y/y 8% 9% Africa & Middle East Asia-Pacific Share in total Share in total revenue revenue • Revenues generated from Africa & Middle East grew by 28% y/y in • Challenges continue in APAC home appliance landscape due to risi
Slide 10: Eased off raw material costs in 3Q24
Eased off raw material costs in 3Q24 Average Metal Prices Index - Market Average Plastic Prices Index - Market 3Q24 99 3Q24 158 2Q24 102 2Q24 167 1Q24 100 1Q24 155 2023 103 2023 147 4Q23 98 4Q23 146 3Q23 99 3Q23 141 2Q23 105 2Q23 147 1Q23 111 1Q23 154 2022 122 2022 175 • Metal raw material prices re
Slide 11: Financial Performance
Financial Performance 3Q24 Financial Results Sensitivity: Internal / Non-Personal Data
Slide 12: Summary Financials
Summary Financials TRY mn 3Q24* 3Q23* y/y 2Q24* q/q 9M24* 9M23* y/y Revenue 105.391 92.649 14% 110.645 (5%) 301.362 264.019 14% Gross Profit 27.827 27.137 3% 30.625 (9%) 83.775 78.498 7% Operating Profit (426) 4.080 (110%) 1.760 (124%) 5.104 13.237 (61%) Adj. Operating Profit** 520 4.485 (88%) 1.052
Slide 13: Higher leverage due to increasing net debt and weaker Adj. EBITDA
Higher leverage due to increasing net debt and weaker Adj. EBITDA Net Debt* & Leverage** Debt Currency & Rates Breakdown *** Currency Effective Interest Rate Original Currency TRY Equivalent p.a. (mn) (mn) 120.000 5,00 EUR 4,9% 1.041 39.581 TRY 40,4% 25.641 25.641 110.000 4,29 USD 8,6% 297 10.112 BD
Slide 14: Key Performance Indicators
Key Performance Indicators Adj. EBITDA Margin Working Capital/Sales** 24,9% 22,7% 3Q23 Operating Non-cash One-off 3Q24 3Q23 3Q24 GP Margin Items Expenses* Adj. CAPEX/Sales*** Free Cash Flow 4,6% -2 3,8% TRY mn -25.116 9M23 9M24 9M23 9M24 * Includes Other Operating Inc./Exp. & Inc./Exp. from Investme
Slide 15: Guidance
Guidance 3Q24 Financial Results Sensitivity: Internal / Non-Personal Data
Slide 16: 2024 Guidance
2024 Guidance Q1 Guidance* Q2 Guidance New Guidance Revenue Türkiye (in TRY) Flattish Flattish Flattish International (in FX) ≈ 2% ≈ 50% ≈ 50% EBITDA Margin ≈ 8% ≈ 6.5%** ≈ 5.8% - 6.0%** NWC/Sales < 25% ≈ 22% ≈ 20% CAPEX ≈ EUR 300 mn ≈ EUR 350 mn*** ≈ EUR 400 mn*** * Impact of Europe & MENA transact
Slide 17: Efficiency improvements to deliver long-term sustainable growth and profitability
Efficiency improvements to deliver long-term sustainable growth and profitability Ongoing and planned investments would help to create operational efficiency after the merger, through: ▪ optimizing processes, Investing in technology and AI tools to work in ▪ maximizing resource utilization, an agile
Slide 18: Q&A
Q&A 3Q24 Financial Results Arçelik Investor Relations Sensitivity: Internal / Non-Personal Data
Slide 19: Contacts
Contacts Barış Alparslan Mine Şule Yazgan Delal Alver Sezer Ercan Chief Financial Officer Finance & Enterprise Risk Capital Markets Compliance Investor Relations (+90) 212 314 39 01 Executive Director Senior Lead Senior Lead (+90) 212 314 30 60 (+90) 212 314 39 56 (+90) 212 705 96 81 www.bekocorpora
Slide 20: Thank You!
Thank You! Investor Relations Sensitivity: Internal / Non-Personal Data