Arcelik A.s. · BIST:ARCLK
Arcelik A.s — Investor Presentation (April 2025)
44 slides from Arcelik A.s's investor presentation, April 2025
Slide 1: Investor Presentation April 2025
Investor Presentation April 2025 Investor Relations Sensitivity: Internal / Non-Personal Data
Slide 2: Agenda
Agenda ▪ Company Overview ▪ Investment Highlights ▪ 1Q25 Highlights ▪ Guidance ▪ Sustainability ▪ Appendix Investor Presentation Sensitivity: Internal / Non-Personal Data
Slide 3: Company Overview
Company Overview Investor Presentation Sensitivity: Internal / Non-Personal Data
Slide 4: Arçelik: Such a great history
Arçelik Such a great history... • Establishing a new JV with Hitachi* (2021) • Acquisition of Whirlpool Türkiye Plants** (2021) • Issuance of EUR350mn Greenbond • Acquisition of Defy in South • Acquisition of Whirlpool’s Russian assets Africa (2011) (2022) • Beko starts marketing & sales • Establish
Slide 5: Arçelik key facts
122 57 subsidiaries countries 45 production 22 Brands* 30 R&D and design facilities center & offices 50K+ employees ≈ 11 BILLION EUR consolidated revenues As of 2024 year-end *Owned or used with a limited license Investor Presentation Sensitivity: Internal / Non-Personal Data
Slide 6: Production Network
Production Network 5,3% 7,2% 13,9% 2025 42,5% as % of Total Production Capacity Türkiye CIS & Eastern Europe 31,0% Asia-Pacific Western Europe Africa & Middle East 45 Manufacturing Facilities in13 Countries Investor Presentation Sensitivity: Internal / Non-Personal Data
Slide 7: Strong Global Footprint
Strong Global Footprint With strong partnerships and brands, we manage a diversified portfolio that reaches millions of households worldwide. *Licensee limited to certain jurisdictions Investor Investor Presentation Presentation Sensitivity: Internal / Non-Personal Data
Slide 8: Arçelik: A leading global household appliances company
Arçelik A leading global household appliances company with… Strong Ownership Structure Diversified Revenue Composition Leading Positions Founded in 1955, Arçelik has grown to become 57.24% Koç Group 2024 the largest white goods company in Europe! 19% Market leader in Türkiye. 24% 32% Market leader i
Slide 9: Investment Highlights
Investment Highlights Investor Presentation Sensitivity: Internal / Non-Personal Data
Slide 10: Investment Case
Investment Case Diversified Revenue Generation Serving customers in over 150 countries with a wide product range and enhanced brand portfolio including 22 brands. with a Wide Range of Products Lovemark in Türkiye as the leading white goods producer, number one player in Leading Positions in Key Mark
Slide 11: Diversified Revenue Generation with a Wide Range of Products
Diversified Revenue Generation with a Wide Range of Products Serving customers in over 150 countries with a wide product range including 22 brands Sales Breakdown Product Range 1Q25 Built-in & Freestanding Consumer Electronics 2024 Major Appliances ▪ TV’s ▪ Refrigerators ▪ Smart Phone’s ▪ Freezers ▪
Slide 12: Leading Positions in Key Markets
Leading Positions in Key Markets Lovemark in Türkiye, number one player in Europe, leading positions in EM markets Premium brand in Türkiye, continuously a significant market leader and Lovemark for consecutive years. Market leader in Europe as the fastest growing white goods brand in the European m
Slide 13: Proven Track Record of Inorganic Growth
Proven Track Record of Inorganic Growth Geographical expansion backed by smart strategy 2002 Acquisitions of Elektrabregenz, Blomberg, Leisure, Flavel, Arctic 2007 Acquisition of Grundig 2011 Multimedia and Grundig Brand Acquisition of Defy in South Africa 2016 Acquisition of Dawlance 2018 in Pakist
Slide 14: Cost Competitiveness with Huge Production Network
Cost Competitiveness with Huge Production Network Expanding production base through acquisitions and greenfield investments 5,3% Low-Cost Base 7,2% Most labor-intensive functions, including HQ, R&D and production facilities located in low-cost countries. 13,9% 2025 42,5% Economies of Scale as % of T
Slide 15: Financial Strength & Ratings in line with Türkiye Sovereign
Financial Strength & Ratings in line with Türkiye Sovereign Solid revenue growth and sustainable margins 33,8% 33,0% 31,8% 32,0% 31,2% 31,7% 32,0% 138.873 30,5% 30,0% 29,5% 29,3% 27,6% 138.823 40.765 13,1% 20.789 289.675 10,4% 11,0% 10,8% 11,0% 10,4% 10,5% 10,1% 9,4% 8,9% 232.380 8,2% 93.151 14.103
Slide 16: Financial Strength & Ratings in line with Türkiye Sovereign
Financial Strength & Ratings in line with Türkiye Sovereign Recognized diversification by rating agencies, ratings in line with the Türkiye sovereign S&P Global Ratings Fitch Ratings BB- BB- BBB BBB Stable Negative Negative BBB- Investment Grade Threshold BBB- Investment Grade Threshold Negative Neg
Slide 17: Leading R&D Capabilities & Sustainability Vision
Leading R&D Capabilities & Sustainability Vision Designing technologies that will improve the future We integrate rapidly developing technologies into our business model. We dream …and are taking concreate steps around the world toward our 2030 of a more goals to address the needs of the planet and
Slide 18: 1Q25 Highlights
1Q25 Highlights Investor Presentation Sensitivity: Internal / Non-Personal Data
Slide 19: 1Q25 Highlights
1Q25 Slowdown in Türkiye whereas Europe continues to recover, HIGHLIGHTS inorganic growth thanks to Europe and MENA transactions TRY 109,1bn Consolidated revenues grew by 9,3% y/y in real terms with the contribution of Consolidated Revenues Europe and MENA transactions. 28,7% Weaker demand in Türkiy
Slide 20: Key Factors / Sales & Margins
Key Factors / Sales & Margins REVENUE GROWTH GROSS MARGIN ADJ. EBITDA MARGIN* 9,3% 28,7% 5,3% Inorganic growth due to Europe & MENA Lower raw material costs y/y transactions Lower Gross Margin Decrease in demand in TR Lower capacity utilization Growing OPEX after EMEA transactions Weak international
Slide 21: Lower raw material prices y/y, and q/q
Lower raw material prices y/y, and q/q Average Metal Prices Index - Market Average Plastic Prices Index - Market 1Q25 97 1Q25 150 2024 100 2024 157 4Q24 101 4Q24 149 3Q24 99 3Q24 158 2Q24 102 2Q24 167 1Q24 100 1Q24 155 2023 103 2023 147 Source: Steel BB, Steel Orbis Source: ICIS - Chemical Industry
Slide 22: Summary Financials
Summary Financials TRY mn 1Q25* 1Q24* y/y (%) 4Q24* q/q (%) Revenue 109.118 99.801 9 119.187 -8 Gross Profit 31.275 29.619 6 32.000 -2 Operating Profit 1.003 4.355 -77 539 86 Other Operating Inc. / (Exp.) 225 54 314 6.276 -96 Income / (Exp.) From Investment 26 0 7044 (139) -119 Financial Income / (E
Slide 23: 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 p.a. Original Currency (mn) TRY Equivalent (mn) EUR 5,5 1.357 55.181 6,00 6,00 TRY 40,6 35.037 35.037 5,01 USD 7,4 310 11.716 BDT 12,5 17.073
Slide 24: Key Performance Indicators
Key Performance Indicators Adj. EBITDA Margin* Working Capital/Sales** 20,9% 20,2% 1Q24 Operating One-off 1Q25 2024 1Q25 GP Margin D&A Expenses* Adj. CAPEX/Sales*** Free Cash Flow 4.277 4,0% 3,0% TRY mn -12.909 1Q24 1Q25 1Q24 1Q25 * Adj. EBITDA: GP – OPEX (excluding one-off transaction expenses) + D
Slide 25: Guidance
Guidance Investor Presentation Sensitivity: Internal / Non-Personal Data
Slide 26: 2025 Guidance
2025 Guidance We maintain our guidance levels for 2025. 2025 Guidance Revenue Türkiye (in TRY) Flattish International (in FX) ≈ +15% Adj. EBITDA Margin* ≈ 6,5% NWC / Sales < 20% CAPEX ≈ EUR 300 mn * Adj. EBITDA: GP – OPEX (excluding one-off transaction expenses) + D&A. Sensitivity: Internal / Non-Pe
Slide 27: Sustainability
Sustainability Investor Presentation Sensitivity: Internal / Non-Personal Data
Slide 28: We design technologies that will improve the future
We design technologies that will improve the future We are determined to put our efforts into building a sustainable supply chain, developing a sustainable product range, improving the lives of people, and maintaining our leadership in sustainability In Touch With Our Planet In Touch With Human Need
Slide 29: Ambitious 2030 Targets
Ambitious 2030 Targets 50 MW 45% ISO 50001 $50M 100% Establish renewable Energy consumption Implement the Green electricity Additional investment energy systems per product in ISO 50001 Energy usage in global in renewable energy manufacturing Management Systems manufacturing and energy efficiency ac
Slide 30: Net zero emissions in our value chain by 2050
In Touch With Our Planet We are committed to achieving net zero emissions in our value chain by 2050 Net Zero Roadmap Net Zero Roadmap ▪ Base Year: 2022 ▪ Near Term Target: 2030 31.753.839,00 ▪ Long Term Target: 2050 ▪ Aligned with 1.5 degree-scenario 21.911.357,00 ▪ Invest in permanent carbon remov
Slide 31: Ambitious 2030 Targets: meet the needs of society
Ambitious 2030 Targets to meet the needs of society 450 M People* 400 M People* 4,700 Tons of Food Hero Brands** 15M People** Raise awareness Raise awareness Save food from Support the needs of Raise awareness on on healthy living on food waste being wasted local communities in climate change and Tü
Slide 32: Ambitious 2030 Targets: progressive global citizen
Ambitious 2030 Targets for being a progressive global citizen 35 hours 35% 32% ISO 50001 Training hours per Ratio of women Ratio of women in Ensure suppliers* employee in the total workforce top management exceeding 500 ToE obtain positions the ISO 50001 certificate 5000 90% Volume 100% ISO 14001 10
Slide 33: Green Financing
Green Financing Green Bond Green Loan Sustainability-Linked EUR 350 Million EUR 150 Million Financing Framework Arçelik has issued green bonds with a Arçelik has signed an eight-year EUR 150 Our Sustainability-Linked Financing nominal value of EUR 350 million and million loan agreement with the Euro
Slide 34: Among the top performers in global indices
Our success is recognized: We are among the top performers in global indices. Included WEF Global Lighthouse Network with Washing By scoring 86 (out of 100) in the 2023 S&P Global Machine Plant in Ulmi, Romania in 2018 and Eskişehir Corporate Sustainability Assessment, Arçelik Refrigerator Plant in
Slide 35: Among the top performers in global indices
Our success is recognized: We are among the top performers in global indices. Arçelik achieved 1st place in its sector Arçelik has obtained a score of 70/100, awarded a with 92/100 in Refinitiv 2022 ESG Gold EcoVadis Medal and placed in the top 5% of evaluation companies rated by EcoVadis Rated AAA
Slide 36: Our Partnerships
Our Partnerships: We support and guide the work of respected international and local organizations. Since 2021, we have been a member of WBCSD Arçelik became one of the 200+ companies that Support development of corporate finance and actively support the Council's workstreams. have signed the CEO Wa
Slide 37: Appendix: Beko Europe
Appendix Beko Europe Investor Presentation Sensitivity: Internal / Non-Personal Data
Slide 38: Beko Europe
Beko Europe Number one player in Europe market, with the launch of Beko Europe! ▪ Beko Europe is a leading home appliances business, dedicated to changing the lives of our customers through a wide range of innovative and sustainable household products and solutions. ▪ Newly formed Beko Europe’s 75%
Slide 39: Beko & Whirlpool Europe Transactions
BEKO & WHIRLPOOL Europe TRANSACTIONS ▪ Arçelik's and Whirlpool’s production, sales, and marketing subsidiaries operating in Europe was On January 17, 2023*, Arçelik A.Ş. and transferred under a structure where Arçelik will control a 75% majority stake, Arçelik's wholly- Whirlpool signed an agreement
Slide 40: Beko Europe
Beko Europe Number one player in Europe, with the launch of Beko Europe! Transaction: Facilities: Subsidiaries: Beko Europe has transferred Whirlpool Europe’s Beko Europe owns 11 production facilities, of Beko Europe now includes 69 subsidiaries, of white goods production, sales and marketing which
Slide 41: 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 42: 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.arcelikglob
Slide 43: Disclaimer
Disclaimer This presentation contains information and analysis on financial statements as well as forward-looking statements that reflect the Company management’s current views with respect to certain future events. Although it is believed that the information and analysis are correct and expectatio
Slide 44: Thank You!
Thank You! Investor Relations Sensitivity: Internal / Non-Personal Data