Global Investment Holdings (GIH or the Group) reports consolidated revenues of TL158.5mn for the first half of 2014, representing an increase of 48% compared to the same period last year.

GIH announced its financial results for the first half of 2014. According to the disclosure, the consolidated net revenues reached TL158.5mn compared to TL107.0mn in H1 2013, representing an increase of 48%. This increase is due to robust operating performance of energy and port segments in the Group portfolio.

GIH also announced that, at the end of the first half of 2014, Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA) amounted to TL41.3mn, compared to TL72.8mn for the same period last year, which included TL54.5mn in goodwill gains from asset acquisitions. Excluding these, the Group’s Cash EBITDA in H1 2014 rose by 139% over the H1 2013.

On a divisional basis, the Group’s Port Division revenues reached TL85.3mn in the first half of 2014, representing a 40% increase over the same period in 2013. Robust operational performance of various ports, higher per TUE revenue in Port Akdeniz and positive contribution from exchange rate differences were instrumental in the increase. The Group’s Port Division reported an EBITDA of TL46.5mn in H1 2014, compared to an EBITDA of TL28.3mn for the same period in 2013, representing an improvement of 64%. Particularly noteworthy was the 52% EBITDA surge of the Turkish ports over H1 2013, contributing TL42.9mn to the division’s overall EBITDA. A 24% expansion in container operations of the Port of Bar and dividend income from the Barcelona Port were the additional contributing factors.

The Energy Division’s revenues posted an impressive turnaround in the first half of the year, surging 142% over the same period of 2013. Division revenues consisted of sales from CNG and mining operations, yet the major contribution came from Naturelgaz where CNG sales volume more than doubled to 35.3mn m3 in H1 2014. Reported EBITDA of the Division totaled TL12.3mn in the first half of 2014 compared to a TL53.2mn in the same period of 2013, yet last year’s figures included TL54.5mn in goodwill gains from asset acquisitions.

GIH reported a consolidated net loss of TL-33.1mn in the first half of 2014, compared to a net profit of TL3.5mn in H1 2013. The main reasons behind the decrease were lower goodwill gains from acquisitions as well as higher depreciation and amortization charges. Specifically, 2013 profits included goodwill contribution amounting to 54.5mnTL arising from asset acquisitions and TL17.7mn lower depreciation charges.
The Chief Financial Officer of the Group, Kerem Eser, commented on the highlights of the first half of the year, indicating that following the undisputable success of its Turkish ports, the Port Division has been maintaining its focus on inorganic growth overseas. “Consequently, after the acquisition of 43% of the Barcelona Port in partnership with RCCL, the Division signed a binding and final Share Purchase Agreement to increase its effective stake to 62% in Creuers, subject to regulatory approval. The container volume of the Port of Bar which was acquired last year, grew by 24% and contributed TL10.8mn to consolidated revenues. In July 2014, a concession agreement was signed between Lisbon Port Authority and a consortium, of which Global Ports is the leading investor with 40% ownership. The share transfer will be completed upon securing the necessary permissions.” Mr. Eser indicated that, in addition to the newly acquired ports, the Turkish Ports continued with their stellar performance and contributed significantly to the Group’s overall success.
Furthermore, Mr. Eser underlined that, the Energy Division made substantial progress in the first half of 2014. “Naturelgaz finally had a breakthrough in CNG sales volumes, with an increase of 127% in H1 2014. Compared with the same period last year, the Divisions” profitability and hence contribution to Group EBITDA improved substantially in the first half.”
Finally, Mr. Eser indicated that Tres Enerji, the Group’s power solution company (tri/co-generation) and Straton, the feldspar mining company, which were acquired last year started to contribute positively to consolidated figures in the first half of 2014. Also helped with the ongoing investments, both companies were expected to show substantial volume improvements during the year.

www.globalyatirim.com.tr

Further Information:
investor@global.com

About GIH
Global Yatırım Holding A.Ş. (Global Investment Holdings) was regrouped as a holding company on October 2004 (www.globalyatirim.com.tr) to hold a diversified portfolio of investments in a number of businesses, including infrastructure, real estate, energy, and financial services. Global Investment Holdings is listed on the Borsa Istanbul (as “GLYHO.IS”) and utilizes its experience in the finance industry for industrial business opportunities.

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