Ulker Bisküvi Sanayi (ULKER) Q1 2026 earnings summary

Executive summary

• Q1 2026 began in a challenging macro and geopolitical environment, with resilient performance in core markets and strengthened regional competitiveness.

• Net income for Q1 2026 was TL 1.59 billion, demonstrating resilience despite a 49.8% year-over-year decline.

• Consolidated volumes remained stable at 182,000 tons, with disciplined profitability management and a 15.1% EBITDA margin.

• International operations supported volume-led growth despite regional tensions and market contraction.

• Innovation, new product launches, and ESG leadership contributed to growth and global recognition.

Financial highlights

• Q1 2026 consolidated revenue was TL 33.9 billion, down 3.9% year-over-year (IAS 29 adjusted).

• Gross profit was TL 9.45 billion, a 19.9% decrease year-over-year, with a margin of 27.9%.

• EBITDA was TL 5.1 billion, down from TL 7.2 billion year-over-year, with a margin of 15.1%.

• Net income reached TL 1.6 billion, a 49.8% decline compared to Q1 2025.

• Sequentially from Q4 2025, revenue and EBITDA increased by 12.2% and 36.8%, respectively.

Outlook and guidance

• 2026 guidance projects flat net sales and an EBITDA margin of 13.5% ±1.5%, reflecting caution due to ongoing regional risks.

• Focus areas include protecting core brands, affordability, innovation, and operational efficiency.

• Management monitors leverage and interest coverage ratios, remaining compliant with loan covenants.

• Inflation accounting continues to impact reported results, with financials presented in terms of purchasing power as of March 2026.

• Risks include demand softness, commodity timing, FX volatility, and geopolitical uncertainty.