Turkey’s Ülker posts two-digit profit rise

Turkey’s Ülker posts two-digit profit rise

ISTANBUL - Hürriyet Daily News
Turkey’s Ülker posts two-digit profit rise

Ülker is the largest food firm.

Turkey’s Ülker enjoyed a surge in its profit and sales in the first six months of the year thanks to operational changes that boosted profitability, according to figures from the company.

The large domestic food firm’s operating margins jumped around 28 percent year-on-year to 201 million Turkish Liras ($103.6 million), the company said in a statement yesterday. Sales, meanwhile, grew to 1.3 billion liras, a 16 percent rise compared to the same period of last year.

The company’s profit was 157 million liras while its sales totaled 1.1 billion liras in the same period of 2012.

Ülker Chief Executive Officer Mehmet Tütüncü said the company was satisfied with the results that came “in line with the expectations.”

“The company’s financial performance in the past six quarters shows that an operationally and financially strong base for sustainable and profitable growth has been maintained,” Tütüncü was quoted as saying in the statement.

The food-maker said the positive rebound in Ülker’s financial outlook was driven by higher sales volumes and increased revenues, as well as operational margins.

Around 66 percent of the company is owned by one of the largest business groups in Turkey, Yıldız Holding, while around 14 percent of the company is owned by other subsidiaries of Yıldız Holding and the Ülker family. The remaining 20 percent of the company is owned by other shareholders.

Firm at sale raises sales

Last week, Yıldız Holding announced it would sell a 10 percent stake in Ülker’s biscuit-making subsidiary, Ülker Bisküvi, in a block sale within six months.

Yesterday, Ülker Bisküvi posted 46.3 million liras in net profit for the second quarter, a 6.2 percent rise over the same quarter last year.