Cimsa Cimento Sanayi Ve Ticaret A.s. · BIST:CIMSA
Cimsa Cimento Sanayi Ve Ticaret A.s — Q3 2024 Earnings Presentation
21 slides from Cimsa Cimento Sanayi Ve Ticaret A.s's earnings presentation, Oct 25, 2024
Slide 1: Financial Results 3Q24
FINANCIAL RESULTS ‘24 October 25, 2024
Slide 2: Disclaimer
Disclaimer The information and opinions contained in this document have been compiled by Çimsa Çimento Sanayi ve Ticaret A.Ş. (“CIMSA”) 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 corre
Slide 3: 3Q24 Snapshot
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Slide 4: Margin expansion at all lines; volume growth & proactive cost management
Margin expansion at all lines through; volume growth & proactive cost management NET SALES 3Q24 9M24 ➢ Cimsa’s share in CBS*’s capital increased to 68.3% from 50.1%. TRY5,9bn TRY18,9bn -6.3% y/y -7.7% y/y ➢ Acquisition of Mannok DAC has been completed as of October 2, 2024. ➢ Türkiye cement consumpt
Slide 5: Acquisition of Mannok DAC
Acquisition of Mannok DAC: “from pure cement to building materials, from local to global, from grey to green” LTM 1H’24 Financial Figures Rationales ✓ Expanding into new business lines leading to diversified product portfolio. 294 EBITDA Margin: ✓ Enhancing global footprint into promising markets &
Slide 6: Operational Update
OPERATIONAL UPDATE
Slide 7: Domestic demand continued to grow while exports remained weak
Domestic demand continued to grow while exports remained weak TÜRKİYE CEMENT CONSUMPTION* Domestic - mt Çimsa’s Regions - mt y/y y/y +17.2% +15.7% +16.9% +20.2% +15.4% +19.3% • Domestic consumption increased by 33.0 33.8 39.6 12.9 13.0 15.5 15.7% y/y in July, bringing July YTD annual 28.2 10.7 growt
Slide 8: Increased volumes thanks to resilient demand in Türkiye
Increased volumes thanks to resilient demand in Türkiye ÇİMSA SALES VOLUME Consolidated - kt y/y • Çimsa’s consolidated sales volume +13.6% -6.2% +4.3% +3.2% 5,028 increased by 4.3% y/y in 3Q24, driven 4,871 mainly by strong sales in Türkiye. 1,719 1,613 1,780 1,857 1,372 1,559 • Çimsa’s Türkiye sal
Slide 9: Stabilized energy and fuel prices continued to support margins
Stabilized energy and fuel prices continued to support margins Slight y/y decline in average electricity prices in 3Q24. Stable since January, 2024. 183.0 Average: Average: 148.9 USD78 USD75 112.2 91.8 97.1 83.6 74.6 81.0 70.3 74.9 72.4 71.5 64.8 63.8 68.7 78.8 76.8 70.6 54.7 63.6 64.6 ENERGY* Aroun
Slide 10: Benefiting from continuous high alternative fuel usage
Benefiting from continuous high alternative fuel usage Alternative Fuel Usage (%) - Spain 28.9% • Proactive cost management initiatives 28.6% 28.4% resulted in higher alternative fuel usage ratio in Bunol plant. 27.0% 26.8% 26.8% • Higher ratios reached in each quarter so far in 2024 supported margi
Slide 11: Financial Update
FINANCIAL UPDATE
Slide 12: Significant margin expansion driven by volume growth and cost management
Significant margin expansion driven by volume growth and proactive cost management despite inflationary adjustments NET SALES EBITDA & EBITDA MARGIN NET INCOME & NET INCOME MARGIN TRYmn TRYmn TRYmn 7.7% 8,000 28.0% 8,000 20.4% 17.9% 20.0% 20,022 21.1% 27.0% 7,000 15.0% 7,000 18,490 17.0% 9.5% 13.4%
Slide 13: Strong free cash flow generation thanks to increased profitability
Strong free cash flow generation thanks to increased profitability… Includes the amount that was borrowed for Mannok DAC acquisition which was closed on 2nd of October. FCF: TRY4,230mn FCF Margin: 23% EBITDA TRY3,898mn TRYmn 13
Slide 14: Leading to strong balance sheet
…leading to strong balance sheet NET WORKING CAPITAL NET DEBT & LEVERAGE 8,0 00 8,0 00 1.5 0x 13.2% 12.9% 14 .0% 7,0 00 7,0 00 1.0 0x 12 .0% 6,0 00 6,0 00 0.53x 0.50x 10 .0% 0.5 0x 5,0 00 5,0 00 4,0 00 3,680 3,384 8.0 % 4,0 00 0.0 0x 3,0 00 6.0 % 3,0 00 2,625 2,743 -0.5 0x 4.0 % 2,0 00 2,0 00 -1.0 0
Slide 15: Thank You! Q&A
ciM@® THANK YOU! Q&A
Slide 16: Appendix
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Slide 17: Profit & Loss Statement
Profit & Loss Statement TRY ('000) 3Q23 3Q24 9M23 9M24 Revenue 6,328,102 5,927,949 20,021,830 18,490,065 Cost of sales (5,422,146) (4,155,138) (16,331,854) (14,104,550) Gross Profit 905,956 1,772,811 3,689,976 4,385,515 General and administrative expense (332,873) (439,154) (1,262,414) (1,527,048) M
Slide 18: Balance Sheet
Balance Sheet TRY ('000) September-24 December-23 TRY ('000) September-24 December-23 Current Assets 27,922,995 16,420,160 Current Liabilities 23,176,348 12,060,049 Cash and cash equivalents 19,867,165 8,568,258 Borrowings* 16,974,192 4,901,867 Trade receivables 4,031,231 3,185,333 Trade payables 3,
Slide 19: Cash Flow Statement
Cash Flow Statement TRY ('000) September-23 September-24 A. CASH FLOWS FROM OPERATING ACTIVITIES 3,153,119 5,548,927 Profit before taxation 2,380,980 3,772,708 Adjustments to reconcile net profit/loss for the period 7,303,051 5,994,228 Changes in working capital (6,184,277) (4,053,729) Cash flows fr
Slide 20: Key Financial Metrics w/o IAS29
Key Financial Metrics w/o IAS29 NET SALES EBITDA NET INCOME TRYbn TRYbn TRYbn 20.0% 44.7% 49.8% SBS-TL Çimsa 3.1 16.9 3.9 2.6 10.4 11.7 2.6 32.0% 47.7% 5.8% 7.3 1.7 6.1 1.1 1.2 4.6 1.1 4.0 6.5 2.9 4.4 1.7 2.1 3Q23 3Q24 9M23 9M24 3Q23 3Q24 9M23 9M24 3Q23 3Q24 9M23 9M24 Important Disclosure: In line w
Slide 21: Thank You!
ciM@® THANK YOU!
Çimsa Çimento Sanayi ve Ticaret A.Ş. — Q3 2024 Earnings Presentation on 6ix