In This Article:
-
Revenue: TRY196 billion (approximately USD5.9 billion) in Q3 2024, down 33% year-on-year.
-
Gross Profit: TRY19 billion, impacted by weak margins and narrow differentials.
-
Net Income: TRY7.7 billion in Q3 2024.
-
EBITDA: TRY15.1 billion, with a positive inventory effect of TRY2.2 billion.
-
Cash Position: USD3 billion, supported by strong EBITDA generation and working capital management.
-
Dividend Payment: Total of TRY43 billion in 2024 with an 80% payout ratio.
-
Production Volume: 7.3 million tons in Q3 2024.
-
Capacity Utilization Rate: 101.4% in Q3 2024, highest since Q3 2019.
-
Domestic Sales: 6.9 million tons, with an 18% increase in gasoline sales.
-
Exports: Decreased by 27% year-on-year.
-
Net Cash: TRY58 billion at the end of Q3 2024.
-
CapEx: USD261 million spent in the first nine months of 2024.
Release Date: November 05, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
-
Tupras-Turkiye Petrol Rafineleri AS (IST:TUPRS) achieved the highest capacity utilization rate since the third quarter of 2019, reaching 101.4%.
-
The company recorded all-time high domestic gasoline sales in the third quarter, driven by rising demand in Turkey.
-
Tupras-Turkiye Petrol Rafineleri AS maintained a strong cash position with USD3 billion, supported by solid EBITDA generation and effective working capital management.
-
The company completed a significant dividend payment of TRY43 billion in 2024, maintaining an 80% payout ratio.
-
Tupras-Turkiye Petrol Rafineleri AS renewed its contract with Istanbul Airport to supply 1.8 million tons of jet fuel annually for five years, reinforcing its market presence.
Negative Points
-
The company experienced a decrease in diesel cracks, averaging $15.7 per barrel, due to high inventory levels and a global industrial slowdown.
-
Gasoline cracks were lower year-on-year at $14.1 per barrel, impacted by high utilization rates and competitive pressures.
-
Tupras-Turkiye Petrol Rafineleri AS reported a 33% decline in revenues compared to the previous year, attributed to weakening crack margins.
-
Exports decreased by 27% year-on-year as the company prioritized domestic sales, particularly in gasoline.
-
The financial results were affected by a TRY3.6 billion expense due to the revaluation of deferred tax, impacting the net income.
Q & A Highlights
Q: After the maintenance, do you expect utilization rates to remain above usual levels in the fourth quarter and beyond? Also, can you provide details on the jet fuel contract pricing? A: (Dolan Corp Mas, CFO) Post-maintenance, we typically see a temporary increase in utilization rates, but they tend to normalize over time. We will provide capacity utilization targets at the start of each year. Regarding the jet fuel contract with Istanbul Airport, the terms are similar to the previous agreement, but we cannot disclose specific trade terms.