Page 32 - TURKRptDec19

The company’s operating profit dropped 24% y/y to TRY608mn. Financial expenses increased to TRY817mn from TRY171mn
“The decline in Q3 profit was driven by narrow differentials and natural gas price hikes,” Tupras said in a presentation on its website.
The company sold a total of 7.8mn tonnes of products (including exports) in Q3, down from 8.7m tonnes a year earlier. Its sales on the domestic market declined to 6.4mn tonnes from 7.7mn tonnes while shipments to foreign markets inched up to 1.4mn tonnes from 1mn tonnes.
The company also reported that its 9-month net income plunged to TRY340mn from TRY1.95bn in the same period of 2018 despite the 7% y/y increase in revenues to TRY68bn.
Data also showed that Tupras’s operating expenses soared 43% y/y in the first nine months of the year to hit TRY1.24bn.
Tupras is targeting the sale of around 30mn tonnes of products this year while its output target for 2019 is around 28mn tonnes. It has forecast that its capacity utilisation rate will be between 95% and 100% this year. The company is investing some $150mn in refining operations.
Turkish Airlines’ Q3 profit contracted by 6% y/y to TRY3.7bn in Q3
(market expectation: TRY3.63bn) despite turnover growth of 3% to TRY22.6bn in the quarter​,​ according to a stock exchange filing submitted on November 6.
The airline remains undermined by its move to the new mega airport—Istanbul Airport, located outside the Turkish business capital by the Black Sea coast—and the grounding of Boeing 737s worldwide following aircraft disasters, according to Fulin Onder of Seker Invest.
Turkey’s leading petrochemicals producer Petkim, controlled by Azerbaijan’s national oil company Socar, beat the market expectation for TRY174mn, even though its net income declined, moving down by 43% y/y to TRY236mn​. Petkim’s sales revenues were hit by lower product prices and the strengthening Turkish lira. Its turnover declined by 4% y/y to TRY2.94bn despite a 20% y/y expansion of sales volumes to 596,000 tonnes, according to Seker Invest.
Turkcell reported a significant jump in quarterly profit to TRY801mn and Turk Telekom swung to a profit of TRY1.12bn from a TRY2.85bn loss in Q3​ 2018, thanks to lira appreciation.
Foodmaker Ulker​ also beat the market consensus. The market forecast TRY209mn, but the company reported a 15% y/y gain to TRY254mn in the quarter.
Carmaker Ford Otosan managed to up its profit by 28% y/y to TRY454mn in Q3​ (market expectation: TRY431mn). That contrasted with the 4% y/y decline to TRY298mn (market expectation: TRY311mn) reported by auto producer ​Tofas​.
Turkish power company Enerjisa increased its net income to Turkish lira (TRY) 331mn (€52mn) in the third quarter ​from TRY265mn a year ago.
Enerjisa, a joint venture between local conglomerate Sabanci and E.On, is engaged in electricity distribution and sales. It provides power to more than 9mn customers in Turkey’s 14 provinces.
Revenues rose to TRY5.2bn in the quarter from TRY4.66bn in Q3 last year.
32​ TURKEY Country Report​ December 2019 ​ ​www.intellinews.com