06.05.2021

Koç Holding Posts 57.3 Billion TL in Consolidated Revenue in the First Quarter of 2021 with a Combined Investment of 2.6 Billion TL

8 min

KOÇ HOLDING CEO LEVENT ÇAKIROĞLU:
 
“AS WE PASS THE 1-YEAR MARK IN THE FIGHT AGAINST THE PANDEMIC, WE STILL FEEL THE GLOBAL EFFECTS OF THE OUTBREAK IN MANY AREAS. DESPITE THESE CHALLENGING TIMES, WE HAVE ACHIEVED SUCCESSFUL RESULTS IN THE FIRST QUARTER OF 2021. WE MADE A COMBINED INVESTMENT OF TL 2.6 BILLION TL, REACHING A FIVE-YEAR TOTAL INVESTMENT OF 43.3 BILLION TL. AT KOÇ GROUP, WE ARE EMPOWERED BY THE EXCEPTIONAL COMMITMENT OF OUR COLLEAGUES, OUR AGILE MANAGEMENT APPROACH, ROBUST BALANCE SHEET, BALANCED PORTFOLIO STRUCTURE, STRONG DEALER NETWORK, FLEXIBLE SUPPLY CHAIN, DIGITAL CAPABILITIES AND ENVIRONMENTAL, SOCIAL AND GOVERNANCE PERFORMANCE TO CONTINUE TO PRODUCE AND CREATE VALUE.”
 
Koç Holding generated a consolidated revenue of 57.3 billion TL and made a combined investment of 2.6 billion TL in the first quarter of 2021. Evaluating the financial results, Koç Holding CEO Levent Çakıroğlu said, “As we pass the 1-year mark in the fight against the pandemic, we still feel the global effect of the outbreak in many areas. Despite these challenging times, we have achieved successful results in the first quarter. At Koç Group, we are empowered by the exceptional level of commitment of our colleagues, our agile management approach, robust balance sheet, balanced portfolio structure, strong dealer network, flexible supply chain, digital capabilities and environmental, social and governance (ESG) performance to continue to produce and create value.”
 
Levent Çakıroğlu: “We have had a strong start to 2021 across all industries.”
 
Noting that they had a strong start to 2021 across all industries, Levent Çakıroğlu said: “We succeeded in securing our strong position, which we had bolstered in 2020, in the first quarter of 2021 as uncertainties continued to prevail. During the first quarter, we saw that the strong domestic demand was carried over from last year, especially in consumer durables and automotive. In addition to the strong demand in the domestic market, Arçelik also gained momentum in exports, displaying a significant sales performance in all product groups, increasing its consolidated net revenue by 67 percent year-on-year (y-o-y) and reaching 13 billion TL. The automotive sector made a 61 percent jump in domestic sales. Renewing the Egea model family and adding the Egea Cross to its product family, Tofaş maintained its market leadership with the Fiat brand in this quarter, as it was the case in the previous two years. TürkTraktör, boasting a 14-year track record of unrivaled manufacturing leadership within the industry, maintained its strong performance in the tractor market. Domestic tractor sales increased by 126 percent y-o-y in the first quarter. We expect the tractor sales to maintain this successful trajectory for the rest of the year. Otokar, which signed significant export agreements in 2020, continued to take bold steps towards achieving its goal of becoming a global player by increasing its exports by 44 percent and revenues by 91 percent in the first quarter. Tüpraş, the largest refinery company in Turkey, succeeded in meeting the fuel demand of the country despite the challenges caused by the pandemic.
 
Evaluating the developments in the financial sector, Levent Çakıroğlu said, “Yapı Kredi continued to support Turkey's economy and our people by further boosting its contributions with 421.5 billion TL. Despite an atmosphere of uncertainty created by the pandemic, Yapı Kredi managed to increase its asset size by 23 percent y-o-y to 534.7 billion TL, and maintain its position by locking its focus on internal capital generation and the sustainability of its strong liquidity performance.”
 
Levent Çakıroğlu: “We continue to make investments."
 
Stating that Koç Holding made a combined investment of 2.6 billion TL in the first quarter of 2021, reaching a five-year total investment of 43.3 billion TL, Levent Çakıroğlu said, “Ford Otosan announced the major phase of its 20.5 billion TL investment, as part of which next-generation electric and connected commercial vehicle projects will be carried out in Kocaeli Plants, the largest commercial vehicle manufacturing hub in Europe. Within the scope of the largest investment of the automotive industry, Ford Otosan will manufacture the diesel, plug-in hybrid electric (PHEV), and all-electric variants of "Next-generation Transit Custom Family” as well as Volkswagen AG's next-generation 1-ton commercial vehicle in Kocaeli as part of the strategic alliance between Ford Motor Company and Volkswagen AG. With this investment, we aim to provide a significant competitive edge to Turkey in the automotive industry. Aygaz will focus on its investments in 2021 in order to improve its LPG sourcing, filling and distribution in Bangladesh and in the cargo industry with AyKargo. Aiming to be an integrated and pioneering energy market player, Entek continues its investments in renewable energy sources and furthers its efforts for implementing innovative technologies.”
 
Levent Çakıroğlu: “This commitment will make a contribution in sharing our ESG performance and progress transparently.”
 
Stating that they strove to transition to a low carbon economy with a carbon neutrality goal for 2050, Levent Çakıroğlu said, “The European Union, our most important foreign trade partner, has positioned the Green Deal as an economic growth model to accelerate digitalization and boost employment. The decisions to be made here will directly affect our ways of doing business and trade relations. We have shifted into higher gear to be prepared and resilient against this whole transformation process and to be able to seize any potential opportunities,” and added: “Koç Holding became the first company in Turkey to make a commitment to use the 'Stakeholder Capitalism Indicators' created by the International Business Council within the World Economic Forum (WEF) in its corporate reporting activities. This commitment, which will make a contribution in sharing our ESG performance and progress transparently, is a testament to our determination to integrate our sustainability vision into all our business strategies, operations and corporate statements."