Dogus Otomotiv Servis ve Ticaret (DOAS) Investor presentation summary

Macroeconomic and market environment

• Inflation and exchange rates remained high, with annual CPI at 79.6% and significant TRY depreciation against USD and EUR.

• Auto loan rates and CBRT interest rates increased, impacting consumer confidence and automotive demand.

• Retail sales and vehicle registrations showed resilience, but second-hand sales activity remained robust.

Operational performance and market share

• Wholesale sales volume for Jan-Aug 2024 was 111,831 units, down 1% YoY; Škoda and SEAT brands saw growth, while VW and Audi declined.

• Retail market share in passenger cars was 15.7% in Aug 2024, with light commercial vehicles at 9.0%.

• Total automotive market forecast for 2024 is 1,000,000 units, with company sales volume (excluding Škoda) expected to exceed 110,000 units.

Financial performance

• Revenue for H1 2024 was TRY 75.9 billion, down 10% YoY; net profit fell 58% to TRY 5.26 billion.

• Gross margin dropped to 18.5%, and net profit margin to 6.9%; operational expenses rose sharply.

• Net cash position worsened to -TRY 5.9 billion, and net debt/EBITDA increased to 32.6%.