Haci Omer Sabanci Holding A.s. · BIST:SAHOL
Haci Omer Sabanci Holding A.s — Hacı Ömer Sabancı Holding A.Ş. — Q2 2024 Earnings Presentation
27 slides from Haci Omer Sabanci Holding A.s's earnings presentation, Aug 29, 2024
Slide 1: Q2 2024 Earnings Presentation
AUGUST 29, 2024 Q2 2024 EARNINGS PRESENTATION
Slide 2: Disclaimer
EARNINGS PRESENTATION Disclaimer The information and opinions contained in this document have been compiled by Hacı Ömer Sabancı Holding A.Ş. (“Holding”) from sources believed to be reliable and in good faith, but no representation or warranty, expressed or implied, is made as to their accuracy, com
Slide 3: 2024 YTD Highlights
EARNINGS PRESENTATION 2024 YTD Highlights Execution of new economy Maintaining financial flexibility Globally recognized strategy and high liquidity ESG performance ✓ Acquisition of Bulutistan ✓ “Outstanding Achievement for Sustainability” ✓ Acquisition of Mannok ✓ Holding-only cash: TL12 bn from EF
Slide 4: Material improvements achieved in key sustainability metrics
EARNINGS PRESENTATION Material improvements achieved in key sustainability metrics Environmental Social Economic Progress on USD 5bn SDG-related 20%↓ GHG Reduction in 2023 vs. 20211 41% Women Managers Ratio 24% Investment and Expenditure Commitment since 2022 Water Consumption Increase in the # of S
Slide 5: Combined Financials H1 2024 Results
01 /03 Combined Financials H1 2024 Results
Slide 6: Challenging macro backdrop…
COMBINED FINANCIALS Challenging macro backdrop… Bloomberg Commodity & Energy Index (YoY Change) Wage Increase (Minimum Wage, Gross) 100% Bloomberg Commodity Index Bloomberg Energy Index 67% 559 33% 32% 28% CAGR 375 +55% 280 181 -5% -6% -12% -14% 100 -28% -28% 2021 2022 2023 H1 2023 H1 2024 2021 2022
Slide 7: …coupled with mixed market conditions weigh on non-bank operational performance
COMBINED FINANCIALS …coupled with mixed market conditions weigh on non-bank operational performance Combined Revenue(1) (TL mn) Combined EBITDA (TL mn) Consolidated Net Income/Loss (TL mn) Non-bank Bank Non-bank Bank Non-bank Bank 8% -41% 105,333 10,812 45% 509,583 472,186 -48% 5,706 187,823 272,193
Slide 8: ROE continues to reflect the impact of inflation accounting, indebtedness remained below target
COMBINED FINANCIALS ROE continues to reflect the impact of inflation accounting, indebtedness remained below target Return on Equity (ROE) Return on Equity (ROE) Combined Net Financial Debt to Non-Bank EBITDA (2) Excluding One-offs(1) Consolidated ROE Non-Bank ROE Bank ROE Consolidated ROE Non-Bank
Slide 9: Balance sheet flexibility maintained on continued momentum in investments
COMBINED FINANCIALS Balance sheet flexibility maintained on continued momentum in investments Holding Only - Net cash position (TL bn) Operational Cash Flow, Combined for Non-Bank (1) (TL bn) Non-Bank Capex/Sales 58.9 44.9 12.0 11.3% 10.5% 10.3% 8.9% 26.0 7.0 4.5 3.1 9.0 2022 2023 H1 2023 H1 2024 20
Slide 10: NAV & Stock Performance
02 /03 NAV & Stock Performance
Slide 11: Strong NAV growth with an attractive discount
NAV & STOCK PERFORMANCE Strong NAV growth with an attractive discount NAV (USD mn) & NAV Discount(1) NAV Bridge(1) 23% 10,757 8,750 Dec 2023 Jul 2024 -41.4% -52.1% 10.8 pp (1) Please refer to page 26 for the details of NAV.
Slide 12: A more balanced portfolio with increasing share of new economy
NAV & STOCK PERFORMANCE A more balanced portfolio with increasing share of new economy July 2024 NAV Breakdown Based on Independent Valuation for Unlisted Assets(1) Energy & Climate Material Technologies Technologies & Mobility Solutions 32% 18% USD10.8bn Digital Technologies 2% Other 4% Cash Bankin
Slide 13: Segment Financials
03 /03 Segment Financials
Slide 14: Bank / Successfully navigated through the toughest challenges & well-positioned for sustainable profitability
BANKING Bank / Successfully navigated through the toughest challenges & well-positioned for sustainable profitability Key Financial Metrics Current Assessment H1 2023 H1 2024 Change Q1 2024 Q2 2024 Change Preserved strong solvency ratios with Leverage 9.0x 10.4x 1.4x 9.7x 10.4x 0.7x 16.4% CAR; 13.9%
Slide 15: Energy / Lower prices coupled with higher financial expenses pressured profitability
SEGMENT FINANCIALS Energy / Lower prices coupled with higher financial expenses pressured profitability Energy Segment Summary Financials(1) MILLION TL Q2 2023 Q2 2024 Change H1 2023 H1 2024 Change Current Assessment SALES 64,454 46,075 -29% 139,269 94,408 -32% EBITDA 13,303 6,271 -53% 21,916 15,060
Slide 16: Mobility Solutions / Challenging pricing flexibility despite solid volumes
SEGMENT FINANCIALS Mobility Solutions / Challenging pricing flexibility despite solid volumes Mobility Solutions Summary Financials(1) MILLION TL Q2 2023 Q2 2024 Change H1 2023 H1 2024 Change Current Assessment SALES 10,891 10,661 -2% 21,961 22,817 4% Net debt/EBITDA remained below sector EBITDA 2,2
Slide 17: Material Technologies / Increased global competition & soft domestic market dynamics
SEGMENT FINANCIALS Material Technologies / Increased global competition & soft domestic market dynamics Material Technologies Summary Financials(1) MILLION TL Q2 2023 Q2 2024 Change H1 2023 H1 2024 Change Current Assessment SALES 21,541 18,864 -12% 43,416 38,153 -12% Export pricing competition for b
Slide 18: Financial Services / Losses from monetary assets offset strong life premium generation
SEGMENT FINANCIALS Financial Services / Losses from monetary assets offset strong life premium generation Financial Services Summary Financials(1) MILLION TL Q2 2023 Q2 2024 Change H1 2023 H1 2024 Change Current Assessment SALES 13,385 10,081 -25% 25,931 24,453 -6% EBITDA 971 1,121 15% 2,010 1,107 -
Slide 19: Digital / Sales growth outpaced the market yet bottom line pressured by higher financial expenses
SEGMENT FINANCIALS Digital / Sales growth outpaced the market yet bottom line pressured by higher financial expenses Digital Summary Financials(1) MILLION TL Q2 2023 Q2 2024 Change H1 2023 H1 2024 Change Current Assessment SALES 14,340 13,533 -6% 27,365 30,048 10% Despite weak demand, top-line growt
Slide 20: Retail / Bottom-line pressures on high financial expenses despite real top-line growth
SEGMENT FINANCIALS Retail / Bottom-line pressures on high financial expenses despite real top-line growth and cost optimization efforts Retail Summary Financials(1) MILLION TL Q2 2023 Q2 2024 Change H1 2023 H1 2024 Change Current Assessment SALES 14,038 14,425 3% 26,311 27,368 4% Improvement in alte
Slide 21: 2024 YTD Highlights
EARNINGS PRESENTATION 2024 YTD Highlights Execution of new economy Maintaining financial flexibility Globally recognized strategy and high liquidity ESG performance ✓ Acquisition of Bulutistan ✓ “Outstanding Achievement for Sustainability” ✓ Acquisition of Mannok ✓ Holding-only cash: TL12 bn from EF
Slide 22: Appendix
Appendix
Slide 23: Dividend Performance
APPENDIX Dividend Performance TLmn 2020 2021 2022 2023 2024 Akbank - 255 494 3,666 4,063 Akçansa 18 42 36 99 457 Aksigorta 73 110 - - - Agesa 64 64 - 60 120 Brisa 12 107 270 479 452 Carrefoursa - - - - - Çimsa - - 109 218 545 Kordsa 35 - 114 41 - Teknosa - - - - - Enerjisa Enerji 283 454 586 1,087 1
Slide 24: Financials in detail
APPENDIX Financials in detail Combined Revenue(1) Combined EBITDA Consolidated Net Income MILLION TL Q2 2023 Q2 2024 Change H1 2023 H1 2024 Change Q2 2023 Q2 2024 Change H1 2023 H1 2024 Change Q2 2023 Q2 2024 Change H1 2023 H1 2024 Change TOTAL 232,891 255,055 10% 472,186 509,583 8% 62,013 25,667 -5
Slide 25: Sabancı Holding Current NAV & Cash Breakdown
APPENDIX Sabancı Holding Current NAV & Cash Breakdown USDmn July 2024 December 2023 Companies Free Float Direct Stake Valuation Method Mcap Value to Sabancı Holding % of NAV Value to Sabancı Holding % of NAV Akbank 53% 41% Market value 9,729 3,965 39.3% 2,629 33.2% Enerjisa Enerji 20% 40% Market val
Slide 26: Sabancı Holding NAV After Independent Valuation Reports
APPENDIX Sabancı Holding NAV After Independent Valuation Reports USDmn July 2024 Companies Free Float Direct Stake Valuation Method Mcap Value to Sabancı Holding % of NAV Akbank 53% 41% Market value 9,729 3,965 36.9% Enerjisa Enerji 20% 40% Market value 2,412 965 9.0% Aksigorta 28% 36% Market value
Slide 27: Investor Relations Contacts
Meet SirA, Sabancı Holding's digital INVESTOR RELATIONS CONTACTS investor relations assistant ! Kerem TEZCAN Investor Relations Director Türkiye’s First Investor Relations Dedicated Assistant ! Şule GENÇTÜRK KARDIÇALIOĞLU Investor Relations Manager ir.sabanci.com Sezgi ESER AYHAN Investor Relations
Hacı Ömer Sabancı Holding A.Ş. — Q2 2024 Earnings Presentation on 6ix