Sabancı Holding Completed First Quarter With Strong Financial Results
Sabancı Holding announced its financial results for the first quarter of 2021. Despite challenging conditions of the pandemic, Sabanci Holding maintained its strong financial performance by increasing its year-over-year consolidated net sales by 23 percent to TRY16.8 billion, while its net profit soared by 47 percent to TRY1.75 billion.
Sabancı Holding CEO Cenk Alper: “Our Companies Made Difference With Their Effective Cost and Demand Management”
Sabancı Holding CEO Cenk Alper said strong financial performance was maintained in the first three months period when the pandemic continued its negative impact on economic activity and noted: “As Group, with our strong risk management approach and practices, we once again demonstrated our financial resillience by being limitedly impacted by changing exchange rate and interest rate enviorenment. In this period, we strengthened our balance sheet by generating cash. While the pandemic deeply affacted all elements of the economy in the world and in our country, our Group companies passed a very successful test in terms of combatting uncertainities. Thanks to their effective cost and demand management, they have analyzed well transformations in markets where they are active. They have succedded in making difference in both sales and profitability with their strong supplier relationships and agile stock management approaches. The high success of our companies in this challenging period where costs tend to increase across the world, is an indicator of how right our investments we have made in areas such as digitalization and customer experience in recent period.
Cenk Alper underlined that non-bank combined revenues increased by 28 percent in that period, and continued: “While all our business lines increased their sales in the first quarter, our cement and industrial companies in particular achieved very strong financial results by meeting the strengthening domestic and international demand in the best way. In the first three months, our cement business line grew by 57 percent, industry business line by 36 percent. In the same period, our retail and insurance companies grew by 26 percent, supporting strong financial performance of our Group. Enerjisa Üretim started with two hydroelectric power plants to support the plant operations of others with its asset management capabilities by engaging Senkron, the facility where it can operate and manage remote plants. On the other hand, in the first quarter of the year, our bank provided 359 billion Turkish lira loan support to our economy, 299 billion of which was in cash.
“Our Sustainability Rating Upgraded By Two Notches In 9 Months”
Cenk Alper said Sabancı Group made very big investments in digitalization in recent years and reaped the fruits of that in pandemic period, and continued: “Thanks to these investments we made in the past, despite all nagetive conditions of the pandemic, we have succedded in remotely managing almost all our operations since the first day continously. This gave us the opportunity to think and design the future while maintaining our current business processes. With this approach, while we redefine our Group purpose as “We unite Turkey and the World for a sustainable life with leading enterprises and we completed our 2021-2025 roadmap, which will enable us to achieve this purpose, in the past year. In line with our pioneering and exemplary mission, we adopt sustainability issue at the highest level, at the heart of our Group purpose and future strategy. In this context, we became the first Holding in Turkey to promise long-term sustainability by committing the reaching ‘net zero’ level in greenhouse gas emissions by 2050. On the other hand, in the MSCI index, Sabancı Holding’s sustainability rating has been upgraded by two notches to BBB in 9 months. All these are indicators of our strong vision in terms of sustainability.”
“We Will Carry Out 1,500 Actions To Adapt To Future Of Work”
Cenk Alper underlined that one of the most significant elements of 2021-2025 strategic plan is adapting to future of work and said: “We have started a worldwide study on this subject and announced details of it in the past months. Our Group companies will have carried out 1,500 actions within 2 years under the plan that we have discussed with a total of 7 main headlines and 34 sub-headings. Our main goal in this study is, each Sabancı Group company becomes one of the best examples in the field of the future of work, in their respective sectors, nationally and internationally”
“1,100 Students From 74 Cities Applied To ‘Tomorrow Is Ours’ Project”
Cenk Alper emphasized that since the first day of the pandemic, all kinds of measures have been taken to protect the health of Group employees and continued to struggle with determination on this matter. “After all, as Sabancı of Turkey, we continue to stand by our country and support social life in this challenging period. As Sabancı Group, leading the social development of Turkey for more than 90 years, we always accept Hacı Ömer Sabancı’s principle of ‘We must share what we earn from this land with people of this land’ as our compass. With our belief that the road to stronger future passes trhough unity and goodness, we have recently conducted a very important project that will reinforce our social impact. We contribute to our youth to shape their future with “Tomorrow Is Ours” (“YarınBizim”) project, a mentoring and career progress program that we have developed for the children and siblings of our healthcare professionals, real heroes of pandemic period, who are studying in their 11th and 12th grade or preparing for university exams again this year. While our mentorhship matches have been completed in the scope of the project, which received 1,100 applications from 74 cities, our trainings have also started. I thank all Sabancı Volunteers for their contributions to this project”