Arcelik A.s. · BIST:ARCLK
Arcelik A.s — Q1 2022 Earnings Presentation
23 slides from Arcelik A.s's earnings presentation, 2022
Slide 1: 1Q22 Financial Results
1Q22 Financial Results Sensitivity: Public
Slide 2: 1Q22 Highlights
1Q22 Robust revenue growth through pricing resulted in HIGHLIGHTS margin expansion in all lines q/q… TRY28.2bn Robust sales growth of 117% y/y & 25% q/q, the organic growth was 84% y/y Revenue Strong sell-out in Turkey and Eastern Europe in the first two months of 10.6% 2022, while weaker sell-in in
Slide 3: Key Factors Sales / Margins
Key Factors Sales / Margins 1Q22 Financial Results REVENUE GROWTH GROSS MARGIN EBITDA MARGIN 117% 30.8% 10.6% Price increases on both quarterly & yearly basis Price increases on a quarterly basis Improved gross margin on a quarterly basis TRY depreciation on both quarterly & yearly basis Higher capa
Slide 4: Operational Performance
Operational Performance 1Q22 Financial Results Sensitivity: Public
Slide 5: More than doubled revenue from Turkish business y/y
More than doubled revenue from Turkish business y/y in 1Q22 Financial Results a declining MDA6 (sell-in) demand environment MDA6* Turkey Revenue Growth ARÇELİK y/y growth (%) 79% TURKEY y/y growth (%) 42% 73% 50% Strong price increases on y/y & q/q 8.379 Unit growth in A/C y/y & q/q 5.912 Unit growt
Slide 6: Strong revenue growth in Europe y/y in 1Q22 backed by price increases & inorganic growth
Strong revenue growth in Europe y/y in 1Q22 1Q22 Financial Results backed by price increases & inorganic growth 27% 11% Share in total Western Europe Eastern Europe Share in total revenue revenue MDA6 Market MDA6 Market y/y market unit growth • Demand in the majority of Western European • Significan
Slide 7: APAC sales more than doubled thanks to Arçelik-Hitachi
APAC sales more than doubled thanks to Arçelik-Hitachi 1Q22 Financial Results Middle East sales growth driven by Egypt operations 11% 19% Share in total Africa & Middle East Asia-Pacific Share in total revenue revenue • Revenues from Africa & Middle East increased by c.59% y/y in 1Q22 in EUR terms t
Slide 8: Stable raw material prices until late February, started to increase after war
Stable raw material prices in the market until late 1Q22 Financial Results February, started to increase after war Average Metal Prices Index - Market Average Plastic Prices Index - Market 1Q22 141,8 1Q22 175,1 2021 126,9 2021 158,8 4Q21 131,7 4Q21 Info-Text 166,4 3Q21 133,6 3Q21 157,5 2Q21 134,2 2Q
Slide 9: Sales Performance
Sales Performance 1Q22 Financial Results Sensitivity: Public
Slide 10: Resilient revenue composition through diversification
Resilient revenue composition 1Q22 Financial Results through diversification Sales Bridge Sales Breakdown by Geography 1Q22 Turkey 15% 116.9% y/y Western Europe 4.260 6% 3% 30% TRYm 2% 4% 3% CIS & Eastern Europe 6.763 51.3% 4% y/y 6% 36% 19.786 464 Africa 3.692 5.6% 81.5% 6% y/y 1Q21 78.8% y/y 13% M
Slide 11: Financial Performance
Financial Performance 1Q22 Financial Results Sensitivity: Public
Slide 12: Summary financials
Summary financials 1Q22 Financial Results TRYmn 1Q22 1Q21 y/y 4Q21 q/q Revenue 28.164 12.984 117% 22.519 25% Gross Profit 8.687 4.483 94% 6.477 34% EBIT 2.282 1.545 48% 1.156 97% Profit Before Tax 1.451 1.294 12% 974 49% Net Income 1.224 1.100 11% 893 37% Net Income - exc. one-off items 1.224 1.100
Slide 13: Increased working capital requirement and share buyback resulted in higher leverage
Increased working capital requirement and share 1Q22 Financial Results buyback resulted in higher leverage in 1Q22 Net Debt & Leverage Debt Currency & Rates Breakdown 2.81 Currency Effective Interest Rate Original Currency TRY Equivalent p.a. (mn) (mn) Buyback impact: 0.43x 2.40 TRY 19.2% 8,558 8,55
Slide 14: Negative FCF in 1Q22 mainly due to NWC
Negative FCF in 1Q22 mainly due to NWC 1Q22 Financial Results EBITDA Margin Working Capital/Sales 1Q21 Non-cash 1Q22 2021 1Q22 GP Margin OPEX/Sales Rec. Inv. Pay. Others Items CAPEX/Sales Free Cash Flow 3.0% 2.7% (1.801) TRYmn (2.108) 1Q21 1Q22 1Q21 1Q22 Sensitivity: Public 14
Slide 15: Guidance
Guidance 1Q22 Financial Results Sensitivity: Public
Slide 16: 2022 Guidance
2022 Guidance 1Q22 Financial Results Revenue • Turkey (in TRY) c.60% growth • International (in FX) c.25% growth • Consolidated (in TRY) >80% growth EBITDA Margin c.10.5% WC/Sales c.25% CAPEX c.220 mio EUR Sensitivity: Public 16 19
Slide 17: Q&A
Q&A 1Q22 Financial Results Sensitivity: Public
Slide 18: Appendix
Appendix 1Q22 Financial Results Sensitivity: Public
Slide 19: Margins by segments
Margins by segments 1Q22 Financial Results Consolidated 34,5% 35,0% 30,8% 35.000 28,8% 30,0% 28.164 30.000 25,0% 22.519 25.000 20,0% 20.000 15,0% 12.984 15.000 10,0% 10.000 5,0% 5.000 0,0% 0 2021 1Q 2021 4Q 2022 1Q Revenue Gross Margin White Goods Consumer Electronics Other 40,0% 30,0% 5.000 7.000 3
Slide 20: Close watch on FX risk, proactively taken actions
Close watch on FX risk, proactively taken actions 1Q22 Financial Results 1.000 6,0% 3,9% 4,0% TRYm Before Hedge Hedged Position Net Position 2,9% 500 2,0% EUR (7,892) 7,720 (172) 0 0,7% 0,0% USD (3,170) 2,484 (685) 0,4% 0,3%0,3% -0,5% -1,1% -1,2% -1,2% -1,2% -2,0% GBP 2,001 (1,839) 162 -500 -2,1% -2
Slide 21: Contacts
Contacts 1Q22 Financial Results Özkan Çimen Öktem Söylemez CFO Senior IR Specialist (+90) 212 314 34 34 (+90) 212 705 96 81 Investor Relations App www.arcelikglobal.com [email protected] Sensitivity: Public 21 24
Slide 22: Disclaimer
Disclaimer 1Q22 Financial Results This presentation contains information and analysis on financial statements as well as forward- looking statements that reflect the Company management’s current views with respect to certain future events. Although it is believed that the information and analysis ar
Slide 23: Thank You!
Thank You! Sensitivity: Public