Kordsa Continues Growth in First Quarter of 2021

Despite pandemic conditions in 2020, Kordsa closed the year strongly and continued its sustainable growth in the first quarter of 2021. The company increased sales by 26 percent compared to the same period last year, closing the first quarter of 2021 with revenue of TRY 1.5 billion. In the same period, EBITDA reached TRY 268 million and net profit was TRY 144 million. Tire reinforcement to space and aerospace industries, Kordsa manufactures reinforcement materials across a wide range. The company announced that it closed the first quarter of the year with a strong capital structure. In the first quarter of 2021, the company's revenue was TRY 1.5 billion and net profit was TRY 144 million in the first three months of the year. In the same period, earnings before interest, tax and amortization was TRY 268 million. Operating with the vision "Our passion strengthens life," Kordsa navigated the first quarter of 2021 through the pandemic by managing its tire sector activities with a strong global footprint. During this period, the company responded positively to raw material access difficulties in the market and ensured customer continuity and security.

Kordsa announced its expectations for 2021. Including the effects of force majeure, the company expects sales growth in the range of 35-45 percent compared to 2020, and growth in earnings before interest, tax and amortization (EBITDA) in the range of 55-65 percent.

During this period, within the scope of sustainability targets, Kordsa began using recycled nylon yarns in tire reinforcement technologies. It certified the sustainability of this technology produced from recycled materials. The company obtained Global Recycled Standard (GRS) certification, which sets requirements for third-party certification of recycled content. This technology is an important step in line with the company's sustainability goals while also contributing to the sustainability targets of Kordsa's customers.

Kordsa continued to add new products and technologies to its portfolio in composite materials, which are critical for the mobility market. Carbon fiber fabrics developed by Kordsa have begun to be used in reinforcing battery boxes for electric vehicles, viewed as the future of mobility. In construction reinforcement technologies, the company strengthened its position in existing markets with new projects while expanding its scope by entering new markets.

The company, which holds the sector's first domestic product certificate with its KraTos brand, continues its work on developing new technologies. Last year, in addition to innovative KraTos Fibers macro and micro synthetic fiber reinforcements, it added KraTos Rebound Minimizer, a spray concrete additive that reduces rebound in tunnel boring and mining applications, and KraTos Pool Fiber used in pool coating applications to the fiber reinforcement product group. The company also introduced the KraTos Structural Reinforcement product group to the sector, providing a practical and high-performance solution for strengthening structures by reinforcing building columns. Expressing satisfaction with the growth shown in the first quarter of 2021, Kordsa CEO Ali Çalışkan evaluated the financial results and spoke about Kordsa's targets: "We are a global company with operations in five different countries. This multicultural structure and the flexibility brought by different working methods allowed us to adapt easily to changes and take quick action. Thanks to our strong global supply and sales structure, we managed pandemic conditions by addressing regional problems with our strength in other regions. Despite raw material supply difficulties in the tire market, we ensured customer continuity and satisfaction and achieved growth. In all the business lines in which we operate, we will continue our sustainable growth through our investments, collaborations and innovation efforts while continuing to strengthen every aspect of life."