Sabancı Holding has announced its financial results for the first quarter of 2022. Sabancı, which increased its combined sales by 135% to 72 billion 704 million in the first quarter, achieved a consolidated net profit of 8 billion 251 million TL. Focusing on the 'new economy' with its strategic roadmap, which covers the next five years, Sabancı Holding continued to strengthen its balance sheet in the first quarter while achieving significant gains in digital and sustainability fields.
"Our target is to increase our global presence"
By stating, "With these developments, thinking globally and being receptive to customer needs has become crucial for companies," Sabancı Holding CEO Cenk Alper hints at recently emerging geopolitical risks, especially the Russia-Ukraine war and the worldwide inflationary threats, both of which have contributed to the global operating environment becoming more challenging. “While we shape our strategies in line with this approach, we continue our uninterrupted growth with foreign and domestic investments. The international steps we have taken with our building materials and industry business lines and the gathering of our global digital activities under a single umbrella are critical elements of our road map within the scope of our Group Purpose. With these steps, which emphatically demonstrate our target to develop our global presence further, we will ensure that Sabancı's position is more advantageous in a progressively competitive environment where borders are being lifted daily, and the situation as a whole becomes more demanding."
Cenk Alper continued: "Our quarterly financial results statements show that our operational and financial performance are advancing steadily according to our plans and expectations. Thanks to our earnings quality, increased return on equity, and good debt ratio, the three most important elements of the balance sheet management of our Holding company and all our Group companies, we are making significant breakthroughs that will ensure that Sabancı remains on course to realizing its ambition of becoming a global company while adding value for our shareholders. Our export revenues, which have risen as the pandemic has been brought under control worldwide and resulting normalization processes have gained momentum, provide us with a great advantage as we implement our global growth strategy. Our industry business line increased its dollar export revenues by 24% compared to the same period of the previous year. Therefore, we are delighted to contribute to our country's export mobilization. On the other hand, while our bank continued to support the economy and the real sector in this period, it increased loan support to 568 billion TL, 462 billion TL of which was in cash, during the first quarter."
"We made a total of 5 purchases in 2022"
Adding that the most effective way to stand out against the competition in the new world order is through a digital and sustainability-oriented management approach, Cenk Alper stated: "With this understanding, we will spend 75% of our total investments until the end of 2026 on energy and climate technologies, material technologies, and digital technologies all of which are categorized as 'new economy.' With the steps already taken in 2022, we have demonstrated our determination and vision for growth in digital technologies. In this context, we initiated acquisition processes to incorporate SEM, which operates in data-driven digital marketing, and Radiflow, one of the world's leading startups in cyber security (operational technologies). On the other hand, through the Sabancı Holding Corporate Venture Capital Fund (Sabancı Ventures), we invested in Bulutistan, a cloud technologies company, and Zack.ai, which specializes in artificial intelligence-focused smart assistant services. Furthermore, Teknosa successfully implemented a viable marketplace business model by accelerating steps to develop its digital side while maintaining its physical stores. In addition, we continued our global investments to become one of the world's leading companies in material technologies. Our company Kordsa has started the process of purchasing the majority shares of Italian Microtex Composites, one of the leading composite manufacturers in Europe. While this acquisition reinforces our global position in acquiring composites, one of the most important future material technologies, we are expanding our product range to serve the super luxury and electric automotive industries in advanced materials technologies. Sabancı company, Kordsa, has started the process of purchasing the majority shares of Italian Microtex Composites, one of the leading composite manufacturers in Europe. While this acquisition reinforces our global footprint when it comes to composites, one of the most important future material technologies, we are also expanding our advanced materials technologies product range to serve the super luxury and electric automotive industries. In addition to these investments, we recently completed the acquisition of Arvento, which we believe will enable Brisa to transform its current business portfolio into a mobility solutions business. As a result of these positive developments, our core businesses are becoming more profitable and sustainable. Sabancı Group is a constantly developing, intelligent, functional structure that always thinks digitally, creates added value from data, and is ready for the world of tomorrow now."
Underlining Sabancı's ongoing pioneering and exemplary practices in sustainability during this period, Cenk Alper remarked, "In the assessment published by Refinitiv, the solution partner of Borsa Istanbul's Sustainability Index, Sabancı Holding is now one of the highest performing companies when it comes to Environment, Social and Governance (ESG). In the category of Investment Holdings, this index covers 56 companies from many countries, including Turkey."