Building Tomorrow

Ferdağ Ildır

Chief Financial Officer

Dear Stakeholders,

As Global Yatırım Holding (GYH), we continue our operations with a strong sense of responsibility towards our society and the world.

We manage all of our operations across various sectors, including port operations, power generation, gas, mining, real estate, and finance, in compliance with environmental regulations and international standards.

As stated in our Environmental Policy, we are committed to effectively managing the environmental impacts of our activities, reducing these impacts, and continuously improving our environmental performance.

In the fight against climate change, we aim to reduce our greenhouse gas emissions, and we take measures to increase energy efficiency and reduce energy consumption at every stage of our operations. Additionally, we are taking all necessary steps to minimize the use of water and natural resources, ensuring that these resources are used in the most efficient way possible. Within the framework of our sustainability approach, while fulfilling our environmental responsibilities, we aim to leave a clean and livable world for future generations.

While contributing to sustainable development goals with our affiliates, we continue to strongly enhance our financial performance. With our robust corporate governance, integrated risk management, and internal control mechanisms, we leverage the competitive advantage of being “the first mover” and seize attractive investment opportunities in growing sectors. Our strategic approach allows us to quickly adapt to the constantly changing business environment and market conditions, enabling us to capitalize on sectoral growth opportunities in the most efficient way.

In line with our vision for sustainable growth, we not only focus on operational and financial growth but also keep track of technological advancements to align with future trends. We are making investments in R&D and innovation to create value for all our stakeholders and to manage our value chain in an integrated manner.

2023 was a highly successful year for our Group despite the market conditions. Despite continuous growth and significant investments, we managed to maintain our financial ratios at reasonable levels. According to the 2023 financial results of GYH, which are in accordance with inflation accounting, our consolidated net profit increased by 76% compared to the previous year, reaching 2,007.8 million TL.

GYH’s consolidated revenues, excluding the impact of IFRIC 12, reached 12,175.9 million TL in 2023. Consolidated earnings before interest, tax, depreciation, and amortization (EBITDA) amounted to 4,690.3 million TL.

Port operation revenues in 2023 increased by 42% compared to 2022, reaching 4,848 billion TL, while EBITDA increased by 55% to 3,124 billion TL. In our port business, the average occupancy rate of ships visiting our ports reached 105% in December 2023, and in July and October, we even saw occupancy rates as high as 116% and 118%, respectively. In 2023, the number of ships visiting our ports increased by 23% compared to 2022, while passenger movements were 67% higher than the previous year.

In the gas division, sales volume increased by 10% to reach 251 million Sm3 in 2023. The sales volume in the city gas business increased by 68% in 2023 compared to the previous year, reaching 117 million Sm3, whilethe number of districts and towns served reached 128 by the end of 2023. However, due to inflation accounting and the decline in natural gas prices, revenues decreased by 42% to 4,019 million TL, despite the volume increase. EBITDA also decreased by 57% to 712.2 million TL during the same period.

The power division’s revenues, operations of which include distributed power (cogeneration/ trigeneration), biomass and solar based renewable energy production, and wholesale energy services, have risen 6% in 2023 compared to 2022, generating 1,170.1 million TL. Power division’s EBITDA decreased by 16% in 2023 compared to 2022 to 290.9 million TL, mainly due to high TL inflation which caused operating margins to shrink for business lines with hard currency earnings and the narrowing margin between electricity prices and natural gas prices in the Distributed Power segment, as well.

We are actively capitalizing on opportunities in the asset management and brokerage division. In this sector, our revenues increased by 9% YoY, and annual EBITDA reached 498.1 million TL in 2023.

In mining and real estate sectors, we have continued our strong development and expanded our portfolio diversification.

In line with our strategic vision, we aim to add new ports to our portfolio and operate these ports in accordance with our sustainability policies.

In the upcoming period, we will continue to create value for all our stakeholders by adopting sustainable business models.