The second-quarter profit of Ford Otosan came in above expectations

FORD OTOSAN

In the second quarter of 2023, Ford Otosan achieved a net profit of 6.727 billion TL, surpassing the market expectation of a net profit of 6.32 billion TL.

In the second quarter of 2023, the company’s net profit was 6.727 billion TL, exceeding the expectation of 6.32 billion TL. The EBITDA (FAVÖK) also exceeded expectations, reaching 8.45 billion TL compared to the expected 7.98 billion TL, while total sales were in line with expectations at 73.55 billion TL. Total revenue recorded a year-on-year increase of 124%, and EBITDA grew by 104% compared to the second quarter of the previous year.

The company stated that the factors supporting profitability in the second quarter of 2023 were strong domestic sales, increased international sales volumes despite supply chain challenges, continued pricing discipline, cost-saving measures, and efficient expense management, along with the impact of currency exchange rates. The average annual increase of 32% in EUR/TL exchange rate during the first half of this year supported the sales growth and profitability.

Ford Otosan has upwardly revised its total automotive market sales projections for the year 2023, which were initially shared to be in the range of 800,000 to 850,000 units. The new expectations now foresee reaching 1,000,000 to 1,100,000 units of total sales in Turkey.

Within Ford Otosan, domestic retail sales volume has been increased from the range of 90,000 to 100,000 units to 110,000 to 120,000 units. However, there were no changes made to the projections for international sales, expected to be between 550,000 to 570,000 units, and wholesale sales, projected to be in the range of 640,000 to 670,000 units. Production volume is still planned to be in the range of 630,000 to 660,000 units.

Additionally, the company is maintaining its investment outlook for new projects, with an expected fixed asset investment spending of 1,000 to 1,050 million euros.

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