Turk Traktor Ve Ziraat Makineleri A.s. · BIST:TTRAK

Turk Traktor Ve Ziraat Makineleri A.s — H1 2011 Earnings Presentation

25 slides from Turk Traktor Ve Ziraat Makineleri A.s's earnings presentation, Aug 4, 2011

  1. Slide 1: TürkTraktör Analyst Meeting

    TürkTraktör Analyst Meeting 04.08.2011

  2. Slide 2: Agenda

    TürkTraktör About Company Economic and Sectoral Developments 2011 First 6 Months Highlights Production & Sales Units Financial Results 2 2

  3. Slide 3: About Company

    TürkTraktör Local Products Import Products • Tractor • Tractor (New Holland – Case IH brand (New Holland – Case IH brand) 56-TT-TD/JX-T480 serial) • Combines • Transmission • Cotton Pickers • Engine • Balers • Sprayers • Other agricultural equipments 101 NH tractor sales dealers 88 spare part dealer

  4. Slide 4: Latest Developments in Turkish Economy & Agricultural Sector

    TürkTraktör LATEST DEVELOPMENTS IN TURKISH ECONOMY & AGRICULTURAL SECTOR Growth rate of Agriculture Sector 2009 3,6% 2010 1,6% Share of Agricultural Sector in GDP 2009 8,3% 2010 8,4% Share of Agricultural Employment 2009 24,6% 2010 25,2% ECONOMY INFLATION AGRICULTURAL SUPPORT 2009 -4,8% 2009 6,5% 20

  5. Slide 5: Highlights

    TürkTraktör HIGHLIGHTS At the beginning of the year, Ziraat Bank increased the subsidy rate applied to agricultural loans from 25% to 50% for one year period. Within the scope of the signed contract, we continue to have assembly service from Otokar. The capacity has been increased by recruiting new

  6. Slide 6: Tractor Market in Turkey (unit)

    TürkTraktör TRACTOR MARKET IN TURKEY (unit) 45.000 42.033 39.571 40.000 36.036 33.989 34.525 34.541 35.000 30.000 27.022 25.518 25.000 20.000 18.639 15.000 13.758 10.587 10.000 8.127 5.000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011/5 Source : TURKSTAT Parallel to suitable climate

  7. Slide 7: Market Share

    TürkTraktör MARKET SHARE @ LAST 12 MONTHS MARKET SHARE @ 2011/5 MARKET SHARE @ 2010 Import Import Import NH+CIH NH+CIH 3.971 6.094 NH+CIH 8.049 26.005 12.706 15% 17% 18.565 16% 52% 50% 51% Local Local MF MF Local MF 13.259 7.310 3.203 1.531 8.989 2.388 26% 29% 6% 6% 25% 7% Source : TURKSTAT In accor

  8. Slide 8: Tractor Production & Headcount

    TürkTraktör TRACTOR PRODUCTION & HEADCOUNT 2.500 20.796 13.438 14.310 28.348 6.523 379 2.000 1.837 353 330 1.500 1.464 1.354 2.216 308 1.000 1.817 314 1.684 938 1.246 1.004 690 500 0 June 2009 June 2010 June 2011 2009FY 2010FY Blue Collar White Collar Production (unit) 8

  9. Slide 9: Domestic Tractor Sales (unit)

    TürkTraktör DOMESTIC TRACTOR SALES (unit) 21.000 20.002 18.000 16.982 15.000 120,5% 188,0% 12.000 9.000 147,2% 7.701 6.000 6.946 3.000 3.115 0 June 2009 June 2010 June 2011 2009FY 2010FY TürkTraktör covers the expectations of the Turkish farmers with tractors, which have wide choice of specification

  10. Slide 10: Export Tractor Sales (unit)

    TürkTraktör EXPORT TRACTOR SALES (unit) 10.000 1,5% 8.808 8.938 8.000 6.000 5.508 4.000 4.488 3.311 2.000 0 June 2009 June 2010 June 2011 2009FY 2010FY Export firstly to USA, mostly Africa and the Asian markets, Australia, huge buyers like EU states, and in total export to 90 countries including lar

  11. Slide 11: Financial Statements Summary

    TürkTraktör FINANCIAL STATEMENTS SUMMARY Income Statement (mln TL) June 2009 June 2010 June 2011 2009FY 2010FY Sales Revenue 326,2 544,3 894,3 667,7 1193,4 Gross Profit 42,0 134,8 252,4 104,1 318,7 Operating Income 18,4 101,3 202,3 53,6 240,0 Net Income 5,5 69,3 168,1 31,0 179,7 EBITDA 22,1 105,3 20

  12. Slide 12: Sales Revenue

    TürkTraktör SALES REVENUE 1.400 1.193,4 1.200 314,9 78,7% 1.000 894,3 800 64,3% 139,7 878,5 ln TL 667,7 754,6 Mln 600 544,3 323,2 66,9% 190,0 400 326,2 164,4 354,3 344,5 200 161,8 0 June 2009 June 2010 June 2011 2009FY 2010FY Domestic Export 12

  13. Slide 13: Gross Profit & Net Profit

    TürkTraktör GROSS PROFIT & NET PROFIT 400 30% 28,2% 26,7% 360 24,8% 25% 320 318,7 280 18,8% 20% Mln TL 240 15,1% 252,4 200 15,6% 15% 12,9% 12,7% 160 179,7 168,1 10% 120 134,8 104,1 80 1,7% 5% 69,3 4,6% 40 42,0 5,5 31,0 0 0% June 2009 June 2010 June 2011 2009FY 2010FY Gross Profit Net Profit Gross Pr

  14. Slide 14: EBITDA & EBITDA Margin

    TürkTraktör EBITDA & EBITDA MARGIN 400 25% 23,2% 360 20,8% 19,3% 320 20% 280 240 248,2 15% Mln TL 200 207,4 160 10% 9,1% 120 6,8% 105,3 80 5% 40 61,0 22,1 0 0% June 2009 June 2010 June 2011 2009FY 2010FY EBITDA EBITDA Margin 14 14

  15. Slide 15: Financial & Operational Indicators: RoE, RoA

    TürkTraktör FINANCIAL & OPERATIONAL INDICATORS 42% 38,4% 36% 34,6% 30% 24% 20,3% 19,4% 17,4% 18% 12% 10,3% 9,0% 6% 4,3% 2,0% 0,7% 0% June 2009 2009FY June 2010 2010FY June 2011 RoE RoA 15

  16. Slide 16: Net Financial Position

    TürkTraktör FINANCIAL & OPERATIONAL INDICATORS NET FINANCIAL POSITION 200 100 79,6 48,4 0 Mln TL -101,3 -100 -200 -241,6 -300 -365,1 -400 June 2009 2009FY June 2010 2010FY June 2011 16

  17. Slide 17: Total Debt / Equity and Capex

    TürkTraktör FINANCIAL & OPERATIONAL INDICATORS T OT AL DEBT / EQUIT Y 2,1 1,8 1,8 1,5 1,2 1,4 1,1 0,9 1,0 0,9 0,6 0,3 0,0 June 2009 2009FY June 2010 2010FY June 2011 CAPEX 36 34,9 30 24 Mln TL 18 12 11,0 10,4 6 5,5 3,0 0 June 2009 2009FY June 2010 2010FY June 2011 17

  18. Slide 18: Current Ratio, Quick Ratio and Working Capital

    TürkTraktör FINANCIAL & OPERATIONAL INDICATORS 3,0 2,4 2,5 2,0 1,9 2,0 1,7 1,8 1,6 1,6 1,5 1,3 1,3 1,1 1,0 0,5 0,0 June 2009 2009FY June 2010 2010FY June 2011 Current Ratio Quick Ratio WORKING CAPITAL 700 600 592,4 500 494,2 Mln TL 400 415,9 373,2 300 320,9 200 100 0 June 2009 2009FY June 2010 2010F

  19. Slide 19: Trade Receivables, Inventories and Payables

    TürkTraktör June 2009 2009FY June 2010 2010FY June 2011 Trade Receivables 426,0 365,0 395,5 336,7 418,7 - Short Term 264,9 246,9 313,4 277,1 357,9 - Long Term 161,1 118,2 82,2 59,5 60,8 Inventories 182,1 140,3 129,2 129,8 214,2 Trade Payables 62,4 65,8 156,8 195,8 307,2 - Short Term 62,4 65,8 156,8

  20. Slide 20: Turnover Days of Receivables, Payables & Inventories

    TürkTraktör FINANCIAL & OPERATIONAL INDICATORS TURNOVER DAYS OF RECEIVABLES & PAYABLES & INVENTORIES 240 200 160 number of days 120 80 40 0 June 2009 2009FY June 2010 2010FY June 2011 Receivables Payables Inventories 20

  21. Slide 21: Share Performance

    TürkTraktör SHARE PERFORMANCE 1.000 ISE 100 TTRAK XMESY 31.12.2008 = 100 900 2010 June – 2011 June 800 207% return 700 Mcap (mln TL) Foreign Share (%) %547 2010 June 645,8 70,6 600 2010 FY 1.254,2 72,2 500 2011 June 1.985,3 70,8 400 300 %126 200 %71 100 Mar-11 Oct-09 Feb-10 Mar-10 Oct-10 Feb-11 Jun-

  22. Slide 22: ISE Sectoral Benchmark December 2010

    TürkTraktör ISE SECTORAL BENCHMARK 31 DECEMBER 2010 Ratios Sector Average* TürkTraktör EBITDA margin 5,6% 20,8% Net Profit Margin 2,0% 15,1% Current Ratio 1,3 2,0 Return on Assets (RoA) 4,3% 20,3% Return on Equity (RoE) 8,2% 38,4% * Includes IMKB automotive companies Source : Bloomberg 22

  23. Slide 23: Question & Answer

    TürkTraktör QUESTION & ANSWER 23

  24. Slide 24: Disclaimer

    TürkTraktör DISCLAIMER This presentation contains forward-looking statements that reflect the Company management’s current views with respect to certain future events. Although it is believed that the expectations reflected in these statements are reasonable, they may be affected by a variety of var

  25. Slide 25: Thank You...

    TurkTraktor GA Kos THANK YOU...

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