Arcelik A S Unsp/Adr (ACKAY) Q1 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Ladies and gentlemen, thank you for standing by. I'm Polina, your course call operator. Welcome and thank you for joining the Archelik conference call and live webcast to present and discuss the first quarter 2026 financial results. At this time, I would like to turn the conference over to Mr. Baris Alparslan, Chief Finance Officer, Mrs. Ninez Hule Yazgan, Finance and ERM Executive Director, Mr. Sezer Ercan, Investor Relations Senior Lead, and Mr. Sakin Aymak, IR, Capital Market Compliance Lead. Mr. Alparslan, you may now proceed. Thank you very much. Good morning and good afternoon, ladies and gentlemen. Welcome to our first quarter 2026 financial results webcast. This presentation contains the company's financial information prepared according to TFRS by application of IAS 29 inflation accounting provisions. Here are the highlights of the first quarter of 2026. We generated 130.3 billion Turkish Lira in revenues, reflecting 8.8% real year-on-year decline. Despite suffered top-line performance, we delivered a meaningful improvement in profitability through disciplined execution and proactive procurement actions that protected our raw material cost base, resulting in a 1.1 percentage point year-on-year improvement in gross margin and a 0.8 percentage point improvement versus the previous quarter. Our UK margin improved by 1.1 percentage points year-on-year, with sequential quarter-on-quarter performance even stronger at over 1.2 percentage points. Post-merger integration across our European operations continues to support operational improvement in the first quarter and helps to partially offset weak demand conditions through ongoing cost actions. Synergy delivery remains on track and in line with our initial targets. Seasonal Network and Capital Investments Temporar...