Continued resilience of revenue growth.. Raw material costs eased on both y/y & q/q while higher OPEX/Sales pressured EBITDA margin..
Revenue growth of 42% y/y driven by price increases, TRY depreciation and inorganic revenue contribution. Organically, annual growth was 36%.
Strong wholesale market in Türkiye in 2M23 while consumer demand has been negatively affected by the earthquake in Türkiye in February, following an annual growth in January.
Demand remained under pressure in international markets, particularly in Western & Eastern Europe.
EBITDA margin was 9.3%, up by 11 bps q/q while contracted by 137 bps y/y due to higher OPEX/Sales.
Net Working Capital/Sales was 22.7% as of 1Q23, up by 1.7% compared to 2022 year-end mainly as a result of increased receivables.
Leverage was 2.56x, up by 0.32x (including 0.20x of FX conversion impact) compared to 2022 year-end due to increased funding needs.
2
Key Factors Sales / Margins
1Q23
Financial Results
REVENUE GROWTH
42%*
Price increases on both q/q & y/y
TRY depreciation on y/y
Slightly higher MDA6 units sold in Turkey on a yearly basis
Inorganic revenue growth on y/y
39,192
39,891
28,162
TRYmn
1Q22
4Q22
1Q23
GROSS MARGIN
31.1%
Lower raw material costs on both q/q & y/y
Favorable EURUSD parity on q/q
Lower capacity utilisation on y/y
30.9% 29.0% 31.1%
1Q22
4Q22
1Q23
EBITDA MARGIN
9.3%
Better gross profitability on both q/q & y/y
Increased OPEX/Sales on both q/q & y/y due to higher G&A
10.5%
9.1% 9.3%
1Q22
4Q22
1Q23
*Includes inorganic revenue contribution of Indesit International JSC and Whirlpool RUS LLC and Asogem acquisitions. Organically, annual revenue growth was 36% in 1Q23.
3
Operational Performance
1Q23 Financial Results
Steady solid revenue growth momentum maintained in Türkiye
1Q23
Financial Results
driven by higher units sold and strategic pricing initiatives
MDA6*
ARÇELİK y/y growth (%)
TÜRKİYE y/y growth (%)
7% 13%
Türkiye Revenue Growth
79%
20%
(12%) (11%)
2M222M23
AIR CONDITIONER*
15,024
12,522
8,379
TRYmn
1Q22
4Q22
1Q23
Unit growth in MDA6 (sell-in)
Price increases
ARÇELİK y/y growth (%)
TÜRKİYE y/y growth (%)
14% 26%
(17%)
(3%)
Türkiye Share in Total Revenue
1Q23
2M222M23
TELEVISION**
ARÇELİK y/y growth (%)
TÜRKİYE y/y growth (%)
18%
6%6%
(13%)
2M222M23
30% 38%
1Q22
*MDA6 and A/C data (sell-in, in unit terms) is based on WGMA for 2M23 period on a cumulative basis.
5
**TV market reflects the data of a retail panel market for 2M23 period in unit terms on a cumulative basis.
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Arcelik AS published this content on 19 April 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 19 April 2023 16:05:04 UTC.
Arcelik AS is a Turkey-based company, which is engaged in the production, sales and marketing, customer services after sales, exportation and importation of consumer durable goods and consumer electronics. The Group operates more than 17 manufacturing plants in Turkey, Romania, Russia, China, Republic of South Africa, Thailand and Pakistan. It operates under the following business segments: White Goods, Consumer Electronics and Other. The White Goods segment comprises washing machines, dryers, dish washers, refrigerators, ovens, cookers and the services provided for these products. The Consumer Goods segment comprises televisions primarily with flat screens, computers, cash registers, other electronic devices and the services provided to consumers for these products. The Other segment comprises the revenues from air conditioners, home appliances and furniture and kitchen gadgets except products included in White Goods and Consumer Electronics.
ARÇELIK ANONIM SIRKETI 
