Türkiye Sise Ve Cam Fabrikalari (SISE) Q4 2025 earnings summary

Executive summary

• 2025 financials reflect application of IAS 29 inflation accounting due to Türkiye's hyperinflationary environment, with all figures expressed in purchasing power of TRY as of December 31, 2025.

• Consolidated revenue for 2025 ranged from TRY 224.5 billion to TRY 242,921 million, with year-on-year changes reported as both an 8% decline and an 8% increase, reflecting differences in inflation accounting and segment performance.

• EBITDA rose up to 32% year-on-year to TRY 24 billion, with margin improving to 11% (20% adjusted), driven by efficiency and operational optimization.

• Net income attributable to owners increased up to 50% to TRY 9.9 billion, with a net income margin of 4.4%.

• International sales comprised up to 59% of consolidated revenue, with Europe accounting for up to 29% and the U.S. up to 11%.

Financial highlights

• Revenue for 2025 ranged from TRY 224.5 billion to TRY 242,921 million, with both declines and growth reported due to inflation accounting.

• EBITDA increased up to 32% to TRY 24 billion; adjusted EBITDA was TRY 43.7 billion.

• Net debt stood at $2.8 billion or TRY 120,713 million, with a net leverage ratio of 5x (2.8x adjusted).

• Free cash flow was negative, ranging from -TRY 31,762 million to -TRY 32 billion, mainly due to high CapEx.

• CapEx for 2025 was up to TRY 36 billion, focused on glass and packaging investments, with 47% allocated to architectural glass.

Outlook and guidance

• No major CapEx planned for 2026; expected CapEx is $500–600 million, mainly for payments from 2025 investments and maintenance.

• EBITDA from new investments expected at $150–200 million in 2026.

• Free cash flow expected to remain negative in 2026 due to ongoing CapEx, but asset sales may offset this.

• Management expects continued growth in coated glass and packaging segments, with new capacity in Bulgaria and Hungary coming online in 2026.

• Inflation accounting is expected to continue until Türkiye no longer meets IAS 29 criteria.