ASELSAN's financial results for the first quarter of 2020 have been announced. The company maintained its growth trend in its turnover in the first quarter of 2020 as well. ASELSAN's 3-month turnover grew 30% compared to the same period last year and reached 2,6 billion TL.
The first quarter of the year was a period in which ASELSAN's development in profitability indicators exceeded growth in turnover. The company's gross profit increased by 61% compared to the first quarter of last year; Interest, Depreciation and Pre-Tax Profit (EBITDA) profit also increased by 57% compared to the same period of the previous year and reached TL 621 million. The EBITDA margin exceeded the 20-22% range, which is the company's shared forecast for the end of the year, reaching 23,9%. ASELSAN's net profit increased by 46% compared to the same period of the previous year and reached the level of 920 million TL.
ASELSAN continued to add new products to its products in both defense and non-defense areas in 2020 and to receive new orders within this framework. In the first quarter of 2020, the amount of orders received was 350 Million USD and the balance orders totaled 9,7 Billion USD.
“We Work by Observing the Whole Ecosystem”
ASELSAN Chairman of the Board and General Manager Dr. Haluk GÖRGÜN stated the following in his evaluation regarding the financial results of the company in the first quarter of 2020:
“We completed the first quarter of 2020, where the world is going through a difficult process, with strong turnover and profitability rates. Our own resources, which have reached 2020 billion TL as of the end of the first quarter of 14,5, constitute 55% of our balance sheet. Our equity is very strong compared to similar companies operating in the international arena and many industrial companies in our country. As ASELSAN, we sustain our profitability by supporting our equities with effective working capital and cash management strategies. In this way, we have preserved both our growth and our profitability in the last few years, which have been financially challenging for many sectors worldwide; We also managed to keep our indebtedness rates at the lowest levels.
We are confident that we will realize our expectations for the end of 2020 year endorsement of our company's financials, with a 40-50% increase in turnover and 20-22% EBITDA margin.
Since the beginning of 2020, we have implemented every step that can be taken to financially support our stakeholders and suppliers. In this context, we have contributed to the continuity of our suppliers by paying approximately 5 billion TL to our suppliers. As ASELSAN, we realized our initiatives in this challenging period by keeping our net cash position at the end of the first quarter of the year. "
ASELSAN Ready After Pandemic
“We have taken all necessary measures during the crisis period for the continuity and sustainability of production and design in all our areas of strategic importance. We have successfully managed this process in accordance with the decisions taken and the directions made by our Ministry of Health and other institutions, especially our Presidency, quickly and early. Thanks to the continuity of our government's uninterrupted work with the devotion, we kept the stable course of our balance orders by receiving new orders as much as our sales in the first quarter of the year.
We are expanding our 45 years of experience in the field of defense electronics every day. Achieving this growth with a healthy profitability enables us to increase our contributions to the Turkish defense industry day by day and to transfer this experience to non-defense areas such as health, energy and finance. We work hard to reduce the dependency of our country abroad in every field that our competencies allow.
These challenging days have revealed how important it is for both countries and companies to be self-sufficient. In this period, we also accelerated our nationalization efforts. As the public closely follows, we will soon offer many of our designs that we will turn into products, especially in the field of health. As ASELSAN, we continue our journey with the mission of both adding more value to our country and being a company that creates trust worldwide and responds to the needs of allied countries in defense and non-defense areas. ”