Sabancı Holding
Q3 2025 Financial Results Earnings Release
November 4, 2025
Sabancı Holding has announced its consolidated financial results for the third quarter of 2025, delivering another period of positive bottom-line performance amid a slower pace of policy easing in Türkiye and ongoing global uncertainty.
Resilient operational performance was maintained in the third quarter, supported by improved margins in energy and financial services, driving a 35bps yoy improvement in non-bank EBITDA margin. Banking's contribution to the combined EBITDA increased in Q3'25 with higher net interest margin and fee income generation. However, monetary losses on banking continued to weigh on bottom line due to high September inflation print. As a result, the Group recorded TL 679million consolidated net income in Q3'25 (TL 1.3billion income in non-bank) - a strong turnaround from the TL 3.8billion net loss in Q3'24 (TL 22million income in non-bank).
In the first nine months, energy and financial services remained the main contributors to the annual non-bank EBITDA margin expansion, which was at 134bps yoy. Across all business segments, tight cost control and efficiency initiatives also delivered a meaningful non-bank EBITDA margin improvement of 115bps in 9M'25. Consequently, consolidated bottom line came in at a TL 789million net loss in 9M'25 versus TL 14.8billion net loss in 9M'24 while inflation accounting effects continued to weigh on banking results, limiting the recovery. At the non-bank level, the recovery was more visible, with TL 398million net income in 9M'25 versus a TL 4.5billion loss a year ago.
Non-bank operational cash flow remained broadly stable at TL 53billion yoy, in line with the change in non-bank EBITDA. Holding-only net cash remained at TL 12billion, slightly down qoq due to capital increase-related cash outflows. Net debt/EBITDA1 stood at 1.7x, well below the 2.0x Group policy threshold. Alongside 12% of capex to sales ratio in Q3, strategic flexibility in capital allocation was maintained while preserving cash flow discipline.
Sabancı Holding continued to navigate global and domestic volatility with resilience, maintaining its strategic focus through prudent financial discipline and strict cost control.
1Non-bank
Financial Highlights (Q3'25)
The combined revenue2 reached TL 394billion, down 3% yoy, mainly due to a 4% decline in non-bank revenues. The revenue mix hasn't changed dramatically, recorded at 53% bank / 47% non-bank. The energy segment led to an annual decline in non-bank revenues, followed by financial services.
Combined EBITDA was TL 40billion, with an EBITDA margin of 10.1%, up by 188 bps yoy. The improvement was supported by a strong operational recovery in banking operations, with bank EBITDA rising from TL 9billion to TL 16billion. Non-bank EBITDA margin also improved to 12.8%, mainly driven by financial services and energy. Material technologies and digital showed better qoq margin performance.
Group posted TL 679million net income in Q3'25, with a strong turnaround from the TL
3.8billion net loss recorded in Q3'24. Banking segment's loss narrowed from TL
3.8billion to TL 574million yoy, mainly driven by higher EBITDA with yoy stable monetary loss and tax expenses. Non-bank net income increased from TL 22million to TL 1.3billion, supported by stronger bottom-line performance across all businesses (exc. other) despite lower EBITDA on an annual basis.
Consolidated ROE was -1.5% in Q3'25, compared to -5.1% at the end of 2024. Non-bank ROE was -0.2%, versus -2.3% at the end of 2024.
Combined non-bank operational cash flow was at TL 53billion in 9M'25, remaining flat
yoy, in line with change in EBITDA.
Non-bank Net Debt/EBITDA stood at 1.7x, well below the Group's policy threshold of
2.0x.
Holding-only Net Cash was TL 12billion at the end of Q3'25.
Non-bank Capex/Sales was at 12%, in line with the mid-term target range of 15%-20%.
Strategic Highlights (Q3'25)
Sabancı Renewables Inc. has expanded its U.S. renewable energy portfolio in the U.S. with the acquisition of Pepper Solar Farm LLC (156 MW) and Lucky 7 Solar Farm LLC (130 MW), of both are scheduled for commissioning in Q3'27. Together with Cutlass II, and the recently commissioned Oriana solar project, these acquisitions brought the company's total U.S. renewable capacity to 790 MW, in line with Sabancı Group's new economy-driven growth and sustainability strategy. Total capital commitment to our
U.S. business will reach USD 395million by the end of 2025.
The Board of Directors of Kordsa has resolved to increase the company's issued capital by TRY 289.8 million in cash. Following the completion of the capital increase, Sabancı Holding is expected to maintain its 71.11% stake in Kordsa, reaffirming its commitment to supporting the company's growth and financial flexibility.
Bulutistan is expanding across Europe and Central Asia-launching cloud services in the UK with its own infrastructure and strengthening its regional presence in Uzbekistan following Azerbaijan.
2Revenue excludes Holding dividend income
Subsequent Events Highlights After the Balance Sheet Date
In line with its international growth strategy, Sabancı Holding increased the share capital of its wholly owned subsidiary, Sabancı Climate Technologies A.Ş., by USD 50.9million (equivalent to TL 2.1billion), raising its capital from TL 7.76billion to TL
9.87billion.
Sabancı Holding's energy generation business, Enerjisa Üretim has increased its total generation capacity to 4.2 GW over the past two years, with 414 MW added through YEKA WPP-2 projects. By the end of the year, the company is planning to have at least two more power plants commissioned and aims to reach a total generation capacity of at least 6,250 MW by the end of 2028.
Enerjisa Üretim has signed a contract with Elektrik Üretim Anonim Şirketi (EÜAŞ) to sell electricity produced from domestic coal plants at a minimum price of USD 75 per MWh, with a purchase guarantee indexed to USD, valid until the end of 2029.
As part of its global expansion strategy, Çimsa commissioned its new 600 kt annual capacity grey cement grinding plant in Houston, an investment initiated in 2023. The project strengthens Çimsa's global presence, supports the Group's goal to increase hard-currency revenues, and enables Çimsa to expand its U.S. operations beyond white cement production.
In accordance with Sabancı Group's portfolio optimization and intra-group synergy focus, Afyon Çimento acquired Kordsa's Kratos construction solutions business for USD 10million to strengthen collaboration and create operational efficiencies within the Group's materials segment, enhancing overall competitiveness and value creation.
Segments Highlights (Q3'25)
Banking: Net interest income provides support to core revenues
Financial Services: Sharp improvement in net income realized as non-life's contribution
gained momentum post restructuring
Energy: Distribution & customer solutions drove EBITDA growth, while generation further strengthened both topline and bottom-line
Material Technologies: Margin contraction, particularly in building materials, was due to last year's high base, while higher monetary gains & lower tax expenses supported bottom-line
Digital & Other: Mixed operating performance coupled with ongoing pressure from financial expenses
ENERJİSA ÜRETİM (ENERGY GENERATION AND TRADING) KEY FINANCIALS
in millions TL | Q3'24 | Q3'25 | YoY | 9M'24 | 9M'25 | YoY |
Combined Revenue | 21,405 | 25,361 | 18% | 50,429 | 68,290 | 35% |
Combined EBITDA | 4,480 | 3,864 | -14% | 8,561 | 11,982 | 40% |
EBITDA Margin | 21% | 15% | -569bps | 17% | 18% | 57bps |
Combined Net Income | 1,684 | 2,995 | 78% | 4,503 | 6,064 | 35% |
*USD equivalent of EBITDA as of Q3: USD95M, 9M: USD311M (based on period-end fx rates)
In the generation business, the company achieved an 18% year-on-year revenue growth in Q3'25, driven by higher generation volumes. However, EBITDA and margin performance declined yoy, due to a combination of factors including weak hydrology, lower electricity prices and a reduced contribution from trading activities amid illiquid market conditions. Income recognized from derivative transactions in Q3'25 continued as seen in Q2, although with a reduced impact on a quarter basis, compared to the derivative losses incurred in Q3'24. On a more positive note, net income increased by 78% year-on-year, supported by higher monetary gains and deferred tax income.
SABANCI HOLDING COMBINED SEGMENT RESULTS
SABANCI HOLDING COMBINED RESULTS | 9M | 9M | CHANGE | Q3 | Q3 | CHANGE |
in thousands TL | 2025 | 2024 | % | 2025 | 2024 | % |
REVENUES(1) | 1,161,213,501 | 1,145,276,840 | 1.4 | 393,503,792 | 405,449,313 | -2.9 |
Bank | 633,576,429 | 605,725,839 | 4.6 | 206,817,663 | 210,547,876 | -1.8 |
Non-Bank | 527,637,072 | 539,551,001 | -2.2 | 186,686,129 | 194,901,437 | -4.2 |
Material Technologies | 108,455,531 | 111,815,430 | -3.0 | 36,784,132 | 34,594,492 | 6.3 |
Digital | 3,815,455 | 2,828,186 | 34.9 | 989,885 | 1,138,633 | -13.1 |
Energy | 247,488,817 | 244,725,917 | 1 | 91,692,557 | 96,578,320 | -5.1 |
Financial Services | 49,200,402 | 55,030,407 | -10.6 | 16,378,979 | 19,528,386 | -16.1 |
Other | 118,676,867 | 125,151,061 | -5.2 | 40,840,575 | 43,061,606 | -5.2 |
EBITDA | 122,127,084 | 123,142,154 | -0.8 | 39,898,116 | 33,471,268 | 19.2 |
Bank | 56,431,163 | 63,185,337 | -10.7 | 15,964,332 | 9,160,074 | 74.3 |
Non-Bank | 65,695,921 | 59,956,817 | 9.6 | 23,933,783 | 24,311,194 | -1.6 |
Material Technologies | 13,178,232 | 16,372,807 | -19.5 | 5,556,590 | 5,938,177 | -6.4 |
Digital | 32,406 | -411,865 | n.m. | 50,656 | -38,506 | n.m. |
Energy | 43,217,421 | 37,621,277 | 14.9 | 14,045,216 | 14,258,442 | -1.5 |
Financial Services | 6,903,815 | 3,767,491 | 83.2 | 2,604,309 | 2,160,556 | 20.5 |
Other | 2,364,046 | 2,607,106 | -9.3 | 1,677,013 | 1,992,525 | -15.8 |
NET INCOME | 783,858 | -30,167,718 | n.m. | 2,718,410 | -8,842,095 | n.m. |
Bank | -2,928,265 | -25,373,041 | 88.5 | -1,415,768 | -9,267,430 | 84.7 |
Non-Bank | 3,712,123 | -4,794,677 | n.m. | 4,134,178 | 425,335 | 872.0 |
Material Technologies | 2,202,666 | 5,376,103 | -59.0 | 2,003,726 | 1,685,204 | 18.9 |
Digital | -407,490 | -693,930 | 41.3 | -37,924 | -205,537 | 81.5 |
Energy | 7,761,605 | -1,172,101 | n.m. | 3,614,989 | 591,416 | 511.2 |
Financial Services | 2,557,837 | -733,860 | n.m. | 924,264 | -35,721 | n.m. |
Other | -8,402,495 | -7,570,889 | -11.0 | -2,370,877 | -1,610,027 | -47.3 |
Combined figures do not include Holding dividend income
Inflation accounting is applied to financial statements in accordance with TAS 29 Financial Reporting in Hyperinflationary Economies
SABANCI HOLDING CONSOLIDATED SEGMENT RESULTS
SABANCI HOLDİNG CONSOLIDATED RESULTS | 9M | 9M | CHANGE | Q3 | Q3 | CHANGE |
in thousands TL | 2025 | 2024 | % | 2025 | 2024 | % |
REVENUES(1) | 846,836,605 | 833,809,121 | 1.6 | 277,886,593 | 287,084,540 | -3.2 |
Bank | 633,576,429 | 605,725,839 | 4.6 | 206,817,663 | 210,547,876 | -1.8 |
Non-Bank | 223,489,503 | 237,507,978 | -5.9 | 74,858,281 | 80,080,104 | -6.5 |
Material Technologies | 55,862,025 | 54,302,809 | 2.9 | 17,391,471 | 16,182,067 | 7.5 |
Digital | 3,545,929 | 2,677,006 | 32.5 | 905,608 | 1,122,634 | -19.3 |
Energy | 533,897 | 361,273 | 48 | 263,112 | 195,211 | 35 |
Financial Services | 44,877,423 | 55,030,407 | -18.4 | 15,457,959 | 19,528,386 | -20.8 |
Other | 118,670,229 | 125,136,482 | -5.2 | 40,840,132 | 43,051,807 | -5.1 |
Intersegment eliminations | -10,229,327 | -9,424,695 | -8.5 | -3,789,351 | -3,543,440 | -6.9 |
EBITDA | 76,438,658 | 77,788,970 | -1.7 | 25,308,828 | 16,600,302 | 52.5 |
Bank | 56,431,163 | 63,185,337 | -10.7 | 15,964,332 | 9,160,075 | 74.3 |
Non-Bank | 20,007,495 | 14,603,633 | 37.0 | 9,344,496 | 7,440,227 | 25.6 |
Material Technologies | 7,216,092 | 8,485,041 | -15.0 | 3,087,828 | 2,931,071 | 5.3 |
Digital | 32,406 | -411,864 | n.m. | 50,656 | -38,504 | n.m. |
Energy | 3,491,134 | 155,860 | 2,139.9 | 1,924,688 | 394,580 | 387.8 |
Financial Services | 6,903,815 | 3,767,491 | 83.2 | 2,604,309 | 2,160,555 | 20.5 |
Other | 2,364,047 | 2,607,105 | -9.3 | 1,677,014 | 1,992,526 | -15.8 |
NET INCOME | -788,743 | -14,833,585 | 94.7 | 678,803 | -3,754,280 | n.m. |
Bank | -1,186,989 | -10,339,514 | 88.5 | -573,734 | -3,776,478 | 84.8 |
Non-Bank | 398,246 | -4,494,071 | n.m. | 1,252,536 | 22,198 | 5,542.6 |
Material Technologies | 1,228,353 | 2,405,448 | -48.9 | 1,014,824 | 687,762 | 47.6 |
Digital | -378,475 | -598,559 | 36.8 | -32,947 | -181,863 | 81.9 |
Energy | 4,215,320 | -233,353 | n.m. | 1,623,585 | 455,910 | 256.1 |
Financial Services | 1,030,803 | -258,848 | n.m. | 362,999 | 10,129 | 3,483.7 |
Other | -5,697,755 | -5,808,759 | 1.9 | -1,715,924 | -949,741 | -80.7 |
Consolidated figures do not include Holding dividend income
Inflation accounting is applied to financial statements in accordance with TAS 29 Financial Reporting in Hyperinflationary Economies
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, completeness or correctness. No undue reliance may be placed for any purposes whatsoever on the information contained in this presentation or on its completeness, accuracy or fairness. This document contains forward-looking statements by using such words as "may", "will", "expect", "believe", "plan" and other similar terminology that reflect the Holding management's current views, expectations, assumptions and forecasts with respect to certain future events. As the actual performance of the companies may be affected by risks and uncertainties, all opinions, information and estimates contained in this document constitute the Holding's current judgement and are subject to change, update, amend, supplement or otherwise alter without notice. Although it is believed that the information and analysis are correct and expectations reflected in this document are reasonable, they may be affected by a variety of variables and changes in underlying assumptions that could cause actual results to differ materially. Holding does not undertake any obligation and disclaims any duty to update or revise any forward-looking statements, whether as a result of new information or future events. Neither this document nor the information contained within can construe any investment advice, invitation or an offer to buy or sell Holding and/or Its group companies' shares. Holding cannot guarantee that the securities described in this document constitute a suitable investment for all investors and nothing shall be taken as an inducement to any person to invest in or otherwise deal with any shares of Holding and its group companies. The information contained in this document is published for the assistance of recipients but is not to be relied upon as authoritative or taken in substitution for the exercise of judgment by any recipient. You must not distribute the information in this document to, or cause it to be used by, any person or entity in a place where its distribution or use would be unlawful. Neither Holding, its board of directors, directors, managers, nor any of its employees shall have any liability whatsoever for any direct or consequential loss arising from any use of this document or its contents.