In the first six months of 2015, consolidated sales of Sabancı Group was 14 billion 142 million TL.

12-08-2015

Zafer Kurtul

As total assets of Sabancı Group approaches to 250 billion TL as of 30 June 2015, total consolidated In the first six months of 2015, consolidated sales of Sabancı Group was 14 billion 142 million TL.

shareholder's equity has exceeded 20 billion TL.

Zafer Kurtul, the CEO of Sabancı Group, who evaluates the first six months of 2015 results, has expressed his opinions related to the subject as follows:

-"AKBANK MAINTAINS ITS STRONG POSITION IN THE SECTOR THANKS TO ITS HEALTHY GROWTH AND LOW NON-PERFORMING LOANS RATE"-

"In the first six months of 2015, consolidated net profit of Akbank was 1,512 million TL. In this period total of cash and non-cash loans has reached to 179 billion TL.  Real sector loans show increment of 13 per cent comparing to the same period of last year. Akbank has the lowest non-performing loan rate in the sector with 1.9 percent. Akbank continues to contribute our economy with the foreign borrowing actions. Akbank has exported syndicated loan, eurobond and mortgage-backed securities of 2.4 billion USA dollars within the first six months of the year".

-"HEALTHY GROWTH OF ENERJISA IS ESSENTIAL FOR SABANCI GROUP"-

Regarding to the activities on energy fields Kurtul said that "Enerjisa obtained more successful results with the effects of high hydroelectric production and optimization activities in 2015. Our inventions into the network for distribution activities contribute to our profitability. With the contribution of high work volume in our electrical retail and increasing collections, operational profitability of Enerjisa has increased 133% comparing to the same period of the last year".

Kurtul, made explanation regarding to the developments in energy sector, has continued as follows: "Government currently controls around 60% of the production and is determinant on determination of the electric price instead of supply demand mechanism of the market. Not removing free consumer limit blocks creating full competitive retail market. Briefly, both government is being active on determining prices over manufacturing and it also determines the prices on the retail side. Due to all of those reasons, a competitive market could not be created and electirc industry loses its attraction in terms of private industry. Our suggestion is to switch into a free competitive electric industry".

-"WE ACCELERATE OUR GROWTH IN CARREFOURSA BY PURCHASING IN ADDITION TO STORE OPENINGS"-

Kurtul continues as follows; "This year, we have completed three purchase in Carrefoursa. During the first months of the year, as Carrefoursa, we have incorporated 26 supermarkets of Ismar around Turkey and 29 1e1 supermarkets from Antalya. Second quarter of 2015 by purchasing Kiler, we have added 196 supermarkets to our store network which have 157,000 m2 net sales area. From now on, we are on 56 cities with our 706 supermarkets.

15 years of Turkey's leading technology retail Teknosa launched its own special brand of smart phones and clocks in addition to Teknosa Mobile service which is offered in February. Aiming to increase access to smart technology by everyone in Turkey, Teknosa shall improve its special brand products in the light of feedbacks from our customers."

-"AVIVASA IS PROMOTED TO THE FIRST PLACE IN PRIVATE PENSION SYSTEM FUND SIZE"-

"Avivasa became the largest company in the private pension industry with its fund size over 8.1 billion TL as of 30 th June 2015.

The reason of decrement on Aksigorta's profitability comparing to other periods is to reserve high policy reserves due to increasing policy reserves in traffic branch. We aim to increase profitability of the company within the upcoming period."

-"OUR CEMENT COMPANIES MAINTAINS THEIR PROFITABILITY"-

"During the first six months of 2015, cement demand was in rise. Combined net profit of our cement companies within the first six months has reached to 253 million TL by increasing 18% comparing to 2014".

-"OUR INDUSTRY COMPANIES INCREASE THEIR PROFITABILITY THANKS TO INCREASING DEMAND, LOW RAW MATERIAL COSTS AND EFFICIENCY"-

"Combined operational profitability of our industry companies has increased 30 per cent within the second three months period comparing to previous year thanks to recovered European demand, low raw material costs and operational efficiency. In this period, operational profitability of Kordsa Global of which sales are over Euro and USA Dollars and costs are partly developing countries' currency, increased 35 per cent.

In this period, Kordsa Global shares are sold in order to increase share liquidity in the market. After this action, free float rate of Kordsa Global has increased to 29%.

Within the same period, operational profitability of Temsa Buses has increased from 11% to 15% with the positive effect of export to USA and the effects of enhancements on costs".

-"IN 2015 SABANCI GROUP FOCUSES ON OPERATIONAL EFFICIENCY, BUSINESS CAPITAL AND COMPLETION OF INVESTMENTS"

Kurtul finished his words as follows: "Later on 2015, we focus on operational efficiency, business capital management and ongoing investments. I would like to thank all our employees, customers and shareholders for their contributions to our results."