Haci Ömer Sabanci Holding (SAHOL) Q2 2025 earnings summary

Executive summary

• Leadership changes included the appointment of a new non-family Chair and CEO, marking a shift in board composition and management structure.

• Achieved a swing to profitability in Q2 2025 with TL 1.8b net income, reversing a prior year loss, supported by margin expansion and financial discipline.

• Strategic progress included the acquisition of the Pepper Solar Farm in Texas, expanding U.S. renewable capacity to 660 MW by 2027.

• Major business combinations included acquisitions of Bulutistan and Mannok Holdings, expanding digital and building materials segments.

• Interim consolidated financials for H1 2025 were prepared under Turkish Accounting Standards and inflation accounting, with no material misstatements found by auditors.

Financial highlights

• Combined revenue grew by 4% year-over-year in Q2 and H1 2025, reaching TL 357b in Q2 and TL 714b in H1; consolidated revenue for H1 was TRY 529.2b.

• Q2 2025 consolidated net income reached TL 1.8b, reversing a TL 2.4b loss in Q2 2024; H1 2025 net loss narrowed to TL 1.4b from TL 10.3b in H1 2024.

• Non-bank EBITDA margin expanded to 13.5% in Q2 2025; combined EBITDA margin rose by 325bps in Q2; non-bank operational cash flow doubled to TL 29b in H1 2025.

• Net asset value rebounded to $9.8b by July 2025 after dipping below $9b in April; NAV discount improved to 49.4%.

• Cash and cash equivalents increased to TRY 162.8b at June 2025; holding-only net cash at TL 13.3b post-dividend.

Outlook and guidance

• Cautiously optimistic outlook for the remainder of 2025, expecting improved performance as macro conditions normalize.

• Energy segment targets 2025 CapEx of TRY 21–24b, a 45% increase over last year, and aims for the upper end of net income guidance (TRY 5–6b).

• U.S. renewable energy capacity to reach 660 MW by 2027; total generation capacity targeted at 6,250 MW by end-2028.

• Capex/sales ratio at 13%, on track to meet mid-term guidance; non-bank Capex/Sales at 12.6%.

• No significant strategic changes expected under new board leadership; annual strategic planning to finalize in Q4 2025.