3 SECTORS 3 BALANCE SHEETS
Turk Telekom’s net plunges amid lira’s depreciation
Landline operator Turk Telekom’s net profit in the first quarter was 65.7 million lira, a decline of 84 percent compared to the same period of last year, due to rise in its financial expenses and despite an improvement in income and its margins. The company said on Tuesday, sales rose 13.3 percent to 4.3 billion liras. Turk Telekom, which has high dollar- and eurodenominated debt, lost 1.39 billion lira as a result of the exchange rate. Net income was 408 million lira and revenue was 3.8 billion lira in the first quarter of 2016.
Arcelik’s profit jumps as tax break boosts sales
The white-goods maker said on April 24 its first-quarter net profit rose by 54 percent to 240.3 million lira. Revenue rose 31 percent to 4.6 billion liras. Sales beat market expectations due to a government stimulus package that slashed special consumption taxes on white goods.
This helped Arcelik keep net income high, even as raw materials constrained earnings before interest, taxes, depreciation, and amortization (EBITDA) margin to 9.9 percent. Arcelik said it expects revenue to rise more than 20 percent this year and EBITDA margins to be about 11 percent.
Rally in commodity prices pushes Erdemir profit up more than fivefold
Steelmaker Erdemir’s first-quarter net profit jumped more than fivefold year on year due to the increase in steel prices and the depreciation of the lira. The company said on April 20 net profit was 902 million lira in the first three months of the year, compared with 164 million lira in the same period a year ago. Revenue rose 63 percent to 4.2 billion lira, despite an 11 percent contraction in the the volume of sales, thanks to the increase in steel prices.