Abdi İbrahim Publishes Socioeconomic Impact Report

Abdi İbrahim releases socioeconomic impact report demonstrating contribution to Turkish pharmaceutical sector and national economy. According to the report titled "Abdi İbrahim's Socioeconomic Impact in Turkey – The Healing Force of a Changing World," prepared by Deloitte and covering the company's 2020 Turkey operations, Abdi İbrahim generated USD 645 million in added value to Turkey's economy. Simultaneously with the socioeconomic impact report, Abdi İbrahim released its fifth Sustainability Report covering 2019-2020, titled "The Healing Journey from Past to Future," with the public. Abdi İbrahim targets becoming a carbon-neutral company by 2030. Setting a first in the Turkish pharmaceutical sector, Abdi İbrahim presented the results of the report titled "Abdi İbrahim's Socioeconomic Impact in Turkey – The Healing Force of a Changing World," prepared by Deloitte. The report shows that in 2020, through Abdi İbrahim's Turkey operations, the company created approximately USD 645 million in added value to the country through employment provided, investments made, export volume achieved, and taxes paid. The report states that Abdi İbrahim's direct economic impact in 2020 was USD 287 million, indirect impact USD 63 million, while the triggered economic value reached USD 295 million. On 28 September 2021, in a meeting featuring Abdi İbrahim CEO Dr. Süha Taşpolatoğlu, Abdi İbrahim Director of Public Relations and Corporate Communications Dr. M. Oğuzcan Bülbül, and Deloitte Consulting Partner, Strategy, Analytics and M&A Leader Elif Düşmez Tek, both reports were shared with the public.

Reaching total employment of 20,000 people

Abdi İbrahim directly employs 3,918 people in Turkey and 4,452 globally. When supply chain impacts are included, this figure reaches 20,000 people. Abdi İbrahim places emphasis on efforts to increase women's participation in the workforce. Women constitute 31 percent of Abdi İbrahim's direct employment in Turkey and 37 percent of the management team.

Annual impact expected to roughly double by 2023

Abdi İbrahim paid USD 25 million in taxes resulting from the company's local operations. The company also secured USD 70 million in direct foreign investment into the country by establishing partnerships with global market leaders. Abdi İbrahim achieved USD 70 million in exports through its effective distribution network in international markets, apart from sales to more than 60 countries abroad. This annual impact is expected to roughly double by 2023 through domestic and sustainable supply chain efforts and new investment plans. Abdi İbrahim has become a market-leading company in holistic health with 21 preventive medicine products and medicines across 128 different treatment areas. By establishing collaborations with more than 30 licensors, the company enabled those in need in Turkey to access critical treatment alternatives. During 2019-2021, through only three first-equivalent medicines introduced to the Turkish pharmaceutical market by Abdi İbrahim and the company's first biosimilar medicine in oncology in 2018, the country achieved USD 80 million in healthcare savings. In 2020 alone, through medicines used from Abdi İbrahim, 15 million healthy years will be gained over the next 20 years.

Fifth Sustainability Report

The fifth Sustainability Report covering 2019-2020, titled "The Healing Journey from Past to Future," which the company first published in 2013, was also completed simultaneously with the Abdi İbrahim socioeconomic impact report. Abdi İbrahim's fifth Sustainability Report, which has passed through the Global Reporting Initiative's (GRI) SDG Mapping Service, is Turkey's first corporate sustainability report to achieve this distinction. The report also covers the 11th Progress Communication of UNGC, the Women's Empowerment Principles (WEPs) Progress Communication, and progress within the scope of UNGC CEO Water Mandate. The report, containing qualitative and quantitative data covering Abdi İbrahim's headquarters, production facilities in Turkey and field business units, includes detailed information on systematic and comprehensive projects and targets conducted with the company's internal and external stakeholders. Abdi İbrahim carries out significant sustainability efforts. In this context, the company achieved zero carbon footprint from electricity consumption by using 100 percent renewable energy at both its headquarters and production complex. Across all operations, the company achieved a 53 percent reduction in carbon footprint in just one year. Target to become one of the world's 100 largest pharmaceutical companies Abdi İbrahim CEO Dr. Süha Taşpolatoğlu, emphasizing the company's mission to be "the healing force of a changing world" and contribute positively to global change, stated: "We feel responsible for improving our world and society. We commit ourselves wholeheartedly to this work. We sincerely believe that this will benefit not only our company but our country, our society and our world." Expressing that the steps taken in efforts to be a responsible corporate citizen have been regularly shared with the public through published Sustainability Reports, Taşpolatoğlu announced that this year they decided to take another step and publish the impact report titled "Abdi İbrahim's Socioeconomic Impact in Turkey – The Healing Force of a Changing World" together with Deloitte. Taşpolatoğlu stated: "The decision to prepare the impact report was essentially a natural consequence of VISION 2025, which outlines the foundations of our company's growth strategy through 2025. In line with our 2025 vision guiding our company's five-year future, we are working with all our strength to continue our leadership by growing faster than the market in Turkey and to become twice as strong an Abdi İbrahim through ambitious growth on the international stage. At this point, in our VISION 2025 strategy, which we prioritized during the most difficult days of the pandemic period, we looked at the issue of societal contribution from a broader perspective and focused on the concept of impact. We have been producing pharmaceuticals for 109 years. But we do not view what we do as merely producing medicines. For 109 years, we have worked every day to provide millions of people with a better and healthier life. Our established and innovative structure is our greatest strength. We invest in R&D and technology, build facilities to international standards, increase our production, expand our export regions, and increase our contribution to employment with each passing year. Our long-term goal is to become one of the world's 100 largest pharmaceutical companies. Abdi İbrahim has held the sector's leading position for 19 years. In a market where we compete with international giants, I believe continuous 19-year leadership as a 100 percent domestic company is no small achievement and an important strength. But more importantly; the multifaceted positive impact created by this economic activity. We believe in the power of this impact and place great importance on strengthening our socioeconomic effect." Dr. Süha Taşpolatoğlu emphasized the USD 645 million in added value created through employment, investment, export volume, and taxes mentioned in Abdi İbrahim's impact report. Taşpolatoğlu stated: "We expect the added value we create to roughly double by 2023 with our new investment plans. With this mission, we are committed to shaping Turkey's sustainable prosperity both today and tomorrow through our '2030 Impact Targets'."

Abdi İbrahim targets carbon neutrality by 2030

Abdi İbrahim Director of Public Relations and Corporate Communications Dr. M. Oğuzcan Bülbül addressed the company's ambitious sustainability targets during his remarks at the meeting. Stating that Abdi İbrahim views its sustainability strategies built on environmental, social, and governance ("ESG") pillars and business strategies as parts of a complementary and mutually reinforcing whole, Bülbül noted that the company will continue its journey of contributing to the country in every way and transforming into a purpose-driven company without slowing down. Bülbül stated: "Our target is to become a carbon-neutral company by 2030. We believe this target has become far more important and meaningful following the President's statement at the 76th General Assembly meeting of the United Nations on 21 September, in which he noted that the Paris Agreement will be submitted to Parliament for approval in October. In all our operations, we view environmental protection, efficient use of natural resources, waste reduction and separation at source, and recycling as the foundation of our environmental policy and our goal of improving the future. With the awareness that human health depends on our planet's health, we conduct all our business processes with the goal of minimizing our carbon footprint. We took one of the most concrete steps of our sustainability-focused approach in 2020. We became the first Turkish pharmaceutical company to transition to 100 percent renewable energy use by meeting our electricity needs at our Esenyurt Production Complex in Istanbul and General Directorate from solar and wind power plants." Dr. M. Oğuzcan Bülbül emphasized that Abdi İbrahim attaches importance not only to economic value but also to social and environmental impacts in its operations. Bülbül stated: "In accordance with our strategy aligned with the Sustainable Development Goals, we aim to measure the impact of all our activities conducted with our 'life improvement' mission on our stakeholders, see the social impact we create through our operations, and carry our impact further by looking at the results we achieve. Noting that Abdi İbrahim always prioritizes leaving a positive mark on society and the world in which we live while pursuing economic activities, Bülbül said: "Within the scope of our sustainability efforts, we became the only pharmaceutical company in Turkey to report in the climate change and water security categories of the Carbon Disclosure Platform and receive a score. The distinction of being the only Turkish pharmaceutical company signatory to the Science Based Targets initiative (SBTi), where carbon emission reduction targets are provided and monitored, also belongs to Abdi İbrahim. Additionally, we are the only Turkish pharmaceutical company that is a signatory to the United Nations Global Principles Pact CEO Water Mandate initiative, has completed lifecycle assessments calculating environmental impacts throughout the entire lifecycle from acquisition of product raw materials through production, use, end-of-life and disposal, and has begun implementing projects to reduce carbon footprint at each stage of the value chain in parallel with the targets envisaged by the Paris Agreement. Through all these efforts, we aim to be an inspiring model for both our sector and the business world," he said. Sharing his views on research conducted in 2021, Dr. M. Oğuzcan Bülbül stated: "This year, as Abdi İbrahim, we conducted a sustainability study. The research results show that we are the best pharmaceutical company in sustainability in the eyes of healthcare professionals and the company that comes to mind first. With the awareness that we have much work to do and many areas to improve, we will continue our efforts," concluding his remarks.

Abdi İbrahim's impact report can be considered a milestone

Deloitte Consulting Partner, Strategy, Analytics and M&A Leader Elif Düşmez Tek, noting that through the impact report they prepared, Abdi İbrahim's effects on the sector, society, and Turkey's economy are presented from a sustainability perspective, indicated that in conducting the study, Abdi İbrahim's Turkey operations' direct added value generated in 2020 alone along with indirect and triggered effects created through supply chain and employee wages were calculated in terms of added value and employment. In her assessment, Elif Düşmez Tek stated: "Based on quantitative benefits and in line with the United Nations Sustainable Development Goals (SDGs); we conducted an analysis of Abdi İbrahim's activities aimed at emphasizing broader impacts relating to economic development, holistic health, disruptive innovation, local commitment, and end-to-end sustainability. The report, departing from Deloitte's 2025 global health and life sciences sector outlook and future of health perspective, highlights Abdi İbrahim's future targets and presents the 2030 Impact Commitment. It should also be noted that when looking at the sector as a whole, this report is one of the first publicly available studies specifically focused on Turkey operations. Considering the global challenges expected after the pandemic, the Abdi İbrahim 2020 Socioeconomic Impact Report has milestone characteristics in demonstrating the increasing role of Turkey's national pharmaceutical industry in the country's future prosperity."