Page 60 - TURKRptJun20

The company also revised down its domestic market forecast to 480,000-520,000 units from 560,000-600,000.
Tofas also decreased its 2020 investment budget, reducing it to €200mn from €250mn.
The company also reported 7% y/y in Q1 profit growth to TRY346mn, with revenues up 12% y/y to TRY4.4bn.
Tofas on April 30 said that it had extended its production halt, brought in amid the coronavirus (COVID-19) market disruption, to May 11 from May 4. Tofas ceased operations on April 15.
Fitch Ratings on May 19 ​affirmed​ the long-term issuer default rating (IDR) at 'BB-' with a stable outlook on Turkish Volkswagen car financing and warranty provider VDF Faktoring​.
At the same time, all ratings on the company were withdrawn for commercial purposes, Fitch added.
VDFF is 51%-owned by VW (via VWFS) and 49% by Turkey’s Dogus Holding. Dogus, a large conglomerate, is the sole importer of VW vehicles in Turkey and has significant involvement in running VDFF. Dogus has been loss-making since 2015 and has reportedly been renegotiating its debt with local banks. “Nevertheless, we expect no contagion risk for VDFF and therefore no adverse rating implication as the company is associated predominantly with the VW group and is run independently without relying on Dogus for funding or business origination,” Fitch said.
A subsidiary of PPF investment group, owned by the richest Czech Petr Kellner, and the Turkish group Sabanci, plan to acquire 100% of the Turkish bus manufacturer Temsa​ Ulasim Araclari, the Czech company announced​ in a press release on May 22.
9.2.3​ Transport corporate news
TAV’s revenues plunged 22% on an annual basis to €119mn in Q1​ while Ebitda dropped nearly 60% to €16.1mn. The Ebitda margin fell to 13.6% in the first quarter from 24.6% a year earlier.
The company’s investments were down more than 70% y/y to €6.5mn. TAV also reduced its workforce by 11% to 15,200.
“The guidance that we disclosed for 2020 is thus no longer valid and due to the uncertainties, we cannot share a revised guidance for 2020 at this time,” the company said in a filing with Borsa Istanbul.
“The number of commercial flights at the airports we operate has been greatly reduced due to the flight restriction decisions taken by the relevant authorities in the fight against the Covid-19 [coronavirus] pandemic, which is a force majeure event.”
The operator added that it has taken significant measures to mitigate the effects of the drop in passenger numbers and has achieved material decreases in fixed operating costs.
According to Sani Sener, its CEO, almost all TAV’s terminals were now closed, something which has helped the company reduce costs. One third of TAV employees will be on unpaid leave until air traffic restarts, Sener added.
60​ TURKEY Country Report​ June 2020 ​ ​www.intellinews.com