Koc Holding A.s. · BIST:KCHOL
Koc Holding A.s — H1 2023 Earnings Presentation
26 slides from Koc Holding A.s's earnings presentation, Aug 1, 2023
Slide 1: Koç Holding 1H 2023 Earnings Presentation
KOÇ HOLDING 1H 2023 EARNINGS PRESENTATION 1 AUGUST 2023 1H23 Earnings Presentation
Slide 2: Agenda
Agenda Koç Holding Key Indicators Highlights on Main Sectors Selected Unlisted Companies Historical NAV 2 1H23 Earnings Presentation
Slide 3: Agenda
Agenda Koç Holding Key Indicators Highlights on Main Sectors Selected Unlisted Companies Historical NAV 3 1H23 Earnings Presentation
Slide 4: Focus on Sustainability and Resilience: Sectoral & Geographical Diversification
Focus on Sustainability and Resilience Sectoral & Geographical Diversification Net Asset Value Breakdown by Sector1,2 International Revenues / Total Combined Revenues Auto 50% (PC & CV Manufacturing) 30% 30% including FX linked 37% revenues of Tüpraş Auto (Other) 12% Finance 17% Refining 13% Oil & G
Slide 5: Focus on Sustainability and Resilience: Solid Liquidity
Focus on Sustainability and Resilience Solid Liquidity Enhanced Net Cash Bridge TL Million As of 31 December 2022: As of 30 June 2023: ~USD 252mn = USD 74mn = USD 395mn ⁴ Net cash including 6,756 4 Net cash including YKB AT1 as of 2022YE -6.500 1 10.211 YKB AT1 as of 2Q23 956 + USD 1.5bn 14.363 + US
Slide 6: Key Metrics
Key Metrics⁴ Fundamentals Remain Intact on the Back of Prudent Management Strong Cash Position Solid Liquidity FX Position USD 395mn 1.3x +USD 376mn Solo Current Ratio Solo Net Cash on Combined Basis2 FX Position + USD 0.9bn Gross cash + USD 628mn Consolidated FX position TL 2% after natural hedge3
Slide 7: Agenda
Agenda Koç Holding Key Indicators Highlights on Main Sectors Selected Unlisted Companies Historical NAV 7 1H23 Earnings Presentation
Slide 8: Energy
Energy Sustained q/q Strength in Net Refining Margin Domestic Market Sales Volume Crack Margins 1H23 Highlights Million Tonnes USD/bbl, Monthly Strong domestic demand y/y +5% +23% +24% +28% Growth Above average cracks despite q/q softness in mid-distillates 32.8 9.5 9.9 Wider differentials 30.2 23.9
Slide 9: Automotive
Automotive Robust domestic market performance with recovery in export markets Monthly Trend Sales Volume 1H23 Highlights Thousand Units Thousand Units Koç Total Turkey Exports Market Share 20% 54% 25% 28% 37% Stellar domestic market Passenger Cars (Turkey) Light Commercial (Turkey) y/y Recovery in e
Slide 10: Consumer Durables
Consumer Durables Steady Revenue Growth, yet Higher Financial Expenses Reflected on Bottom Line Sales Volumes Across Markets Monthly Trend 1H23 Highlights Million Units Million Units " Koç 20% 68% 26% 30% 41% Buoyant domestic revenues, support of currency tailwinds including Market Share strength of
Slide 11: Finance
Finance Focus on Further Strengthening the Fundamentals in a Challenging Backdrop TL Lending Growth Sector’s Loans & Deposits 1H23 Highlights 13 Weeks Annualized TL, USD Billion 120% Private State Sector 1H23 q/q ytd y/y Well managed revenue performance, thanks to ALM and substantial 100% Loans 10.0
Slide 12: Group's 1H23 Financial Performance
Group’s 1H23 Financial Performance Robust y/y Performance at all Segments Financial Performance Consumer Energy Automotive Finance Other TOTAL TL Million Durables Combined Revenues1 307,307 247,251 103,353 118,506 35,744 812,161 Change (y/y) -1% 115% 47% 86% 57% 40% Segment Share in Total 38% 30% 13
Slide 13: Group's 2Q23 Financial Performance
Group’s 2Q23 Financial Performance Robust y/y Performance at all Segments Financial Performance Consumer Energy Automotive Finance Other TOTAL TL Million Durables Combined Revenues1 159,886 133,782 56,202 68,411 20,549 438,830 Change (y/y) -19% 106% 49% 88% 54% 26% Segment Share in Total 36% 30% 13%
Slide 14: Agenda
Agenda Koç Holding Key Indicators Highlights on Main Sectors Selected Unlisted Companies Historical NAV 14 1H23 Earnings Presentation
Slide 15: Value within Unlisted Companies
Value within Unlisted Companies Eye-catching Performance of Unlisted Companies Unlisted Financials TL Million An integrated player in the electricity market 1 Revenues EBITDA Book Value • ~75% of Entek’s 442MW total installed capacity is zero carbon electricity 1H23 y/y 1H23 y/y 1H23 y/y (ZCE) Arçel
Slide 16: Agenda
Agenda Koç Holding Key Indicators Highlights on Main Sectors Selected Unlisted Companies Historical NAV 16 1H23 Earnings Presentation
Slide 17: Historical NAV Discount
Historical NAV Discount Unwarranted NAV Discount Given Strong Fundamentals Relative Share Performance of Koç Holding vs. Koç Group1 Effective Ownership Adjusted Mcap Changes of the Listed Portfolio Companies Rebased at 2022YE USD Million 70% 60% 60% 50% 49% 14,899 13,757 Di scount to 40% Di scount t
Slide 18: Appendix
Appendix 1H23 Earnings Presentation
Slide 19: Focus on Sustainability and Resilience: Dividend Income
Focus on Sustainability and Resilience Business Model Ensures Sustainability of Dividend Income Dividend Income Dividend Payout1 TL Million Dividend TL Million 2020 2021 2022 2023 vs.2022 Tüpraş (inc. EYAŞ) - - - 5,235 n.m. Dividend 16% 6% 12% 15% Payout 14,363 Ford Otosan 421 1,382 2,536 1,933 -24%
Slide 20: Appendix - Consolidated Key Financial Figures
Appendix - Consolidated Key Financial Figures Consolidated Main Financial Indicators Consolidated Net Income TL Million TL Million 1H22 1H23 y/y + 1,568 Revenues 385,878 490,302 27% + 5,442 37,372 Gross Profit 87,900 126,851 44% + 458 + 6,610 Operating Profit 53,616 75,796 41% 22,162 + 1,132 Profit
Slide 21: Appendix - Unlisted Companies
Appendix - Unlisted Companies Unlisted 1H Summary Financials TL Million Koç Holding Revenues Operating Profit1 EBITDA Book Value (SHE) Direct Share 1H22 1H23 y/y 1H22 1H23 y/y 1H22 1H23 y/y 1H22 1H23 y/y Arçelik LG Klima 5.00% 3,439 4,463 30% 259 359 39% 271 378 40% 604 737 22% Bilkom 100.00% 4,315
Slide 22: Appendix - 2023 Expectations of the Listed Group Companies
Appendix - 2023 Expectations of the Listed Group Companies TÜPRAŞ 2022A 2023E - Feb'23 2023E - Jul'23 TOFAŞ 2022A 2023E - Feb'23 2023E - Apr'23 2023E - Jul'23 TÜRKTRAKTÖR 2022A 2023E - Feb'23 2023E - Apr'23 2023E - Jul'23 Sector ('000) Net Margin ($/bbl) 16.5 11.0-12.0 10.0-11.0 Total TR LV Sales 78
Slide 23: Appendix - Our ESG Journey
Appendix - Our ESG Journey We are committed to be carbon neutral by 2050 .The Koç Group Carbon Transition Roadmap: 11% reduction in 2022 vs. 2017 baseline year Sustainability Indicators 27% 49% One of the first signatories of Reduction in Scope 1 & 2 Reduction in Scope 1 & 2 UN Global Compact and U
Slide 24: Appendix - Shareholding Structures
Appendix - Shareholding Structures Koç Holding Koç Family: 63.7%1 Free Float: 26.7% Vehbi Koç Foundation: 7.3% Koç Pension Fund: 2% Share Buyback: 0.04% Consumer Energy Automotive Finance Other Durables Tüpraş Ford Otosan Tat Gıda EYAŞ: 46.4% Arçelik Yapı Kredi Bank KH: 39% KH: 41% KH: 20.22% 5 KH:
Slide 25: Contact Koç Holding Investor Relations
Contact Koç Holding Investor Relations investorrelations@koc.com.tr Visit our website at: www.koc.com.tr/investor-relations Nursel Ilgen, CFA, Coordinator, Head of IR Investor Relations nurseli@koc.com.tr +90 216 531 0414 Cansev Atak, Manager Investor Relations canseva@koc.com.tr +90 216 531 0516 İs
Slide 26: Disclaimer
Disclaimer This presentation does contain forward-looking statements that reflect the Company management’s current views with respect to certain future events based on the base-case assumptions. Although it is believed that the expectations reflected in these statements are reasonable, they may be a