Slide 1: 1H 2024 Earnings Results Presentation
1H 2024 EARNINGS RESULTS PRESENTATION
Slide 2: Disclaimer Regarding IAS 29
Disclaimer Regarding IAS 29 The Company’s financial statements dated 30.06.2024, which were disclosed to public on 20.08.2024, have been subject to inflation accounting within the framework of the “Financial Reporting in Hyperinflationary Economies Standard” (IAS 29). Financial figures given in this
Slide 3: Business growth in key indicators despite two major headwinds
We achieved business growth in key indicators despite two major headwinds; decrease in demand after election especially in Q2 & continuing high interest rates Growth Across all Key Indicators 1H’24 Key Highlights Despite the market slowdown in Türkiye, we achieved better revenue growth than the mark
Slide 4: 1H 2024 Results
1H 2024 RESULTS Teknosa | Genel (Halka Açık) | Public
Slide 5: Market overview: fast-paced growth has slowed down in 2024
Figures are shown w/ IAS 29 Market overview: Fast-paced market growth has slowed down in 2024, yet still has a 7% real growth in the panel market Market Revenue1 Demand Growth by Categories1 Inflation-indexed, Billion TL Real, Y-o-y% 18% Panel 38% 7% 8% Market 367 393 1% 265 -3% -4% White Goods Tele
Slide 6: Growth above the panel market, solid e-commerce growth
Figures are shown w/ IAS 29 Despite the slowdown in the market, we were able to grow above the panel market, while maintaining a solid growth in e-commerce Teknosa Total Revenues* E-Commerce GMV (Mn TL) (Mn TL) Teknosa has shown a higher growth Controlled growth strategy in e-commerce than panel mar
Slide 7: Gross profit affected by competition, opex increase from logistics and personnel
Figures are shown w/ IAS 29 Gross profit was affected by intensified competition, while opex increase was mainly driven by logistics & personnel costs… Gross Profit margin GPM decreased slightly due to price competition & retail mix EBITDA margin 13.1% 12.3% 12.1% 11.1% 11.3% 11.7% 4.7% 3.7% 1Q23 2Q
Slide 8: AI-based sales advisor tool
In response, to boost our sales and margins, we developed Türkiye’s first and most comprehensive AI-based sales advisor tool Pilot execution in 30+ stores, currently Digitally Enabled Salesforce active in all stores Our new AI-supported sales assistant "Bilge" analyzes individual sales performance a
Slide 9: The impact of Bilge on KPIs is encouraging
Higher Larger Conversion Rates Basket Size The impact of Bilge on KPIs is encouraging, giving signals Higher complementary More for future product & service sales Profitable Mix success Best Target Realization Rate
Slide 10: Credit card costs main driver of higher financial expenses
Figures are shown w/ IAS 29 Credit card costs with high interest rates is still the main driver for higher financial expenses; yet mitigation actions are being taken… Increasing interest rates & …have increased the financial ... impacting net profit... ... yet measures credit commission rates... pre
Slide 11: Net loss attributable to higher finance expenses
Figures are shown w/ IAS 29 Net loss was primarily attributable to higher finance expenses mostly driven by interest rate increase 471 200 1,081 -663 441 751 926 469 1H 2023 EBITDA Net Discount Credit Card Net Interest Monetary Tax 1H 2024 Net Income Difference Expenses & Expenses Expenses Gain Diff
Slide 12: NWC affected by frontloading in Q1; mitigation actions
Figures are shown w/ IAS 29 NWC was affected by frontloading in the Turkish electronics sector in Q1, while mitigation actions are being taken to restore negative level Net Working Capital (TL Mn) Yet a series of measures are being taken… 733 1,469 Manage inventory more efficiently & stricter 9,381
Slide 13: Closing Remarks
Aiming to sustain growth and improve operational performance KPIs through comprehensive transformation initiatives Boosting revenues with AI tool to drive sales & increase complementary products and services while optimizing COGS and OPEX efficiency Focusing on working capital with a series of actio
Slide 14: Q&A
Q&A TEKNOSA INVESTOR RELATIONS Ümit Kocagil CFO Dilek Aktaş Head of Finance & IR Sibel Turhan IR Manager Investor Relations e-mail: yatirimciiliskileri@teknosa.com Teknosa | Genel (Halka Açık) | Public
Slide 15: Appendix
APPENDIX Teknosa | Genel (Halka Açık) | Public
Slide 16: Key Financials w/o IAS 29
Key Financials w/o IAS 29 Revenues (Mn TL) EBITDA (Mn TL) Net Income (Mn TL) Teknosa has shown a higher nominal growth than panel market (82%*) +10% +129% +86%* 28,884 2,678 26,899 26,171 471 299 8.9% 14,452 1,171 -21% 959 758 -610 -663 1H23 1H24 1H23 1H24 1H23 1H24 1H23 1H24 1H23 1H24 1H23 1H24 Nom
Slide 17: NWC & CAPEX w/o IAS 29
NWC & CAPEX w/o IAS 29 Net Working Capital (TL Mn) CAPEX (TL Mn) Inventories Trade Receivables Trade Payables 311 679 733 1,469 291 283 130 9,054 9,381 9,844 200 5,169 496 819 852 819 5,536 9,193 9,500 9,193 1H23 1H24 1H23 1H24 1H23 1H24 1H23 1H24 Nominal Nominal Indexed Indexed Nominal Nominal Inde
Slide 18: FY2024 Guidance (w/o IAS 29)
FY2024 Guidance (w/o IAS 29) Our Guidance Beklentilerimiz 2023F2023T w/o IAS 29 2023A w/o IAS 29 2024F w/o IAS 29 2024T E-Commerce GMV* 7.5 bln TL 8.3 bln TL 15 bln TL CAPEX 500 mln TL 487 mln TL 1 bln TL Target to maintain EBITDA Margin (%) High single digit 8.9% at high single digit E-Commerce NMV
Slide 19: Income Statement w/ IAS 29
Income Statement w/ IAS 29 2Q24 2Q23 Change (%) 1H24 1H23 Change (%) Net Sales (Mn TL) 13,042 13,792 -5% 28,884 26,171 10% Gross Profit (Mn TL) 1,608 1,806 -11% 3,392 3,179 7% Gross Profit Margin (%) 12.3% 13.1% -6% 11.7% 12.1% -3% Opex/Sales (%) 11.9% 10.4% 14% 11.2% 10.4% 8% EBITDA (Mn TL) 355 642
Slide 20: Balance Sheet w/ IAS 29
Balance Sheet w/ IAS 29 Jun 24 Dec 23 Assets (Mn TL) Current Assets 12,749 15,501 Cash and Cash Equivalents 1,704 3,416 Trade Receivables 819 1,162 Inventories 9,844 10,431 Other Current Assets 383 491 Non-current Assets 3,112 2,823 Property, Plant and Equipment 1,034 938 Intangible Assets 315 307 I
Slide 21: Disclaimer
Disclaimer The information and opinions contained in this document have been compiled by Teknosa İç ve Dış Ticaret A.Ş. (“Teknosa”) from sources believed to be reliable and in good faith, but no representation or warranty, expressed or implied, is made as to their accuracy, completeness or correctne