Polisan Holding Announces Financial Results

Polisan Holding announced its first quarter 2022 financial results. According to the announcement, the Holding's consolidated revenues increased by 132.6% compared to the same period of the previous year to TRY 826.1 million, EBITDA margin rose by 1.4 percentage points to 19.1% and net profit grew threefold to TRY 131.2 million. According to combined financial results including Polisan Kansai Boya, combined revenues grew by 87.5% and reached TRY 1,409.5 million. Combined EBITDA margin increased to 19.8%, while net profit was realized as TRY 144.7 million, with growth also threefold. Polisan Holding CEO Mehmet Hacıkamiloğlu commented on the financial results: "Turkey's economy faced its own challenges, and when the disruptions in global markets due to the Russia-Ukraine war and cost increases were added on top of this, it was indeed a difficult first quarter for everyone. However, during this period, our group companies achieved strong results by focusing on products in their portfolios that can respond to market dynamics and customer expectations, and through effective working capital management. With our strong supplier relationships and effective inventory management, we continued to make a difference in both customer satisfaction and profitability," he said. Polisan Holding, which operates in the chemistry, port, real estate and paints sectors, reported its 2022 first quarter financial results to the Public Disclosure Platform (KAP). Despite market risks increasing due to the war, inflationary pressures and rising raw material costs, the Holding had a successful first quarter.

Polisan Kansai Boya, Exporting to 27 Countries, Opens Its 127th Showroom in London

Polisan Holding CEO Mehmet Hacıkamiloğlu attributed the strong financial results to rigorous financial discipline at Polisan Kansai Boya, Polisan Kimya, Poliport and Polisan Hellas, the company's investment in Greece, as well as to an operational profitability-focused correct product mix. He also provided information about the group companies' new period activities and noted that they are working in line with the five-year strategy they set the previous year. Mehmet Hacıkamiloğlu noted the following regarding innovations at Polisan Kansai Boya: "Thanks to the correct product mix, effective raw material cost management, KAIZEN and Lean Six Sigma Green Belt techniques, we increased our operational profitability. In addition to our investments in brand perception, we are focusing on our e-commerce activities." Stating that as of the end of 2021 they exported paints to 26 countries and had 126 showrooms abroad, Mehmet Hacıkamiloğlu said, "We opened the 127th store in London in the first quarter of the year. We put emphasis on strengthening brand perception in all export markets where we operate, particularly in the United Kingdom."

Renewal Work at Poliport Expected to be Completed in the Final Quarter

Mehmet Hacıkamiloğlu said that digital transformation investments have been accelerated at Poliport, which Polisan Holding established in 1971 in the Kocaeli Gulf Region to conduct port operations, and provided clarification on renewal and expansion work related to capacity increase. Mehmet Hacıkamiloğlu said: "As a result of the renewal work we started in 2021 with an investment of TRY 81 million, our 200-meter pier recently became operational. We expect the tank repair and warehouse expansion work to be completed in the final quarter of the year. We anticipate that these investments will support our operational profitability," he said. Providing information about plans at Polisan Kimya, one of the sector's long-established investments in Turkey, Mehmet Hacıkamiloğlu said: "At Polisan Kimya, due to disruptions in raw material flow from China, we supplied raw materials to European manufacturers who began sourcing inputs from local sources. We increased the weight of high value-added phenol resin, which is used as a binder for stone wool in insulation activities and is in heavy demand by the furniture sector, in our product portfolio. Thanks to increased exports and sales of products indexed to foreign exchange, we grew our revenues and profitability. We plan to open our new resin plant, the foundations of which we laid in 2021 and construction of which is largely completed, this year. With the new production facility, we will achieve significant growth in capacity increase," he said.

Polisan Hellas Has the Capacity to Manage the Recycled PET Market

Mehmet Hacıkamiloğlu noted that Polisan Hellas, Polisan Holding's foreign investment which is one of the only Polyethylene Terephthalate (PET) and leading r-PET granule producers in Greece and the Balkans, is also recording operational profitability well above rational levels in the PET business. He said: "Thanks to our r-PET (Recycled PET) products, which we call the Eco series and which comply with EU SUP 2019/904 Directive, we have sufficient capacity to serve the PET market which has an obligation to use 25% r-PET by 2025 and 30% by 2030. Considering the changing regulations, we are making efficiency and technology-focused investments at our facility in line with our growth model, with recycled, preform and specialty PET products," he said.

In 2022 and They Will Halve Scope II Emissions

Polisan Holding CEO Mehmet Hacıkamiloğlu continued: "In the CDP Climate Change and Water Security programs, we elevated our global outlook ratings and achieved 'B-, Management Level,' and established new five-year sustainability strategies." On near-term activities, he provided the following information: "We continue our work on our absolute emissions and emission intensity reduction targets for 2025. As of the end of 2021, we reduced our Scope I and II emission intensity by 39% compared to 2012. In the second quarter of 2022, we will source 50% of our electricity consumption from renewable energy sources and we will halve our Scope II emissions."