Mavi Giyim Sanayi ve Ticaret (MAVI) Q1 2027 earnings summary

Executive summary

• Q1 2026 saw heightened geopolitical tensions, inflationary pressures in Türkiye, and subdued consumer demand due to tight monetary policy, but the business maintained strong operational margins, robust cash flow, and a solid balance sheet through agile pricing, sourcing, and disciplined inventory management.

• Continued investment in retail expansion, including plans for 15 net new stores, 15 expansions, and 30 upgrades in Türkiye, plus 6 new US stores by year-end.

• Share buyback program completed, with 1.83% of share capital repurchased and to be cancelled via capital reduction.

• The Group operates in Türkiye and international markets, with retail, wholesale, and e-commerce channels.

Financial highlights

• Consolidated revenue declined 1.9% year-on-year to TRY 12.7 billion in Q1 2026.

• EBITDA was TRY 2.5 billion, with a 19.7% margin; net income was TRY 543 million.

• Gross margin improved to 53.3% from 52.2% year-over-year.

• Net cash position exceeded TRY 7 billion as of end-April, with cash and cash equivalents at period end of TL 9,134,502.

• Türkiye retail sales declined 0.8% and online sales declined 4.3% year-on-year.

Outlook and guidance

• Full-year guidance remains unchanged: revenue growth of 5% ±1%, EBITDA margin of 18.0% ±0.5%, net cash position maintained, and capex at 6% of consolidated sales.

• Early Q2 trends are positive, with Türkiye retail sales up 40% during Eid and 37.5% between May 1 and June 7; online sales up 31%.

• Quarterly results are affected by seasonality and are not indicative of full-year performance.