Karsan (KARSN) Q4 2024 earnings summary

Executive summary

• Revenue reached 10,867,324 TL, up slightly from 10,717,162 TL year-over-year, with a gross profit of 2,180,589 TL, up from 1,843,853 TL.

• Net profit attributable to equity holders was 55,484 TL, a significant decrease from 556,164 TL in the prior year.

• Total assets stood at 15,122,657 TL, with equity of 5,490,273 TL as of year-end.

• The company implemented inflation accounting (TMS 29) due to high inflation in Turkey, impacting all financials.

Financial highlights

• Operating profit was 1,016,011 TL, down from 1,615,191 TL year-over-year.

• Net financial expenses were (1,996,781) TL, improved from (3,032,757) TL in the previous year.

• Net cash from operating activities was 546,438 TL, a sharp decline from 3,061,125 TL in 2023.

• EBITDA and gross margin figures are not explicitly stated but gross margin improved year-over-year.

• Earnings per share dropped to 0.062 TL per 100 shares from 0.618 TL.

Outlook and guidance

• Management expects increased scale and operating profitability from revenue growth to strengthen working capital.

• No net working capital risk is anticipated for the coming year.