Kalekim net profit in 2024 reaches 0.99 billion Turkish lira

As of the last quarter of 2024, Kalekim had a profit of 0.367 billion Turkish lira and annual net profit increased by 51% to 0.99 billion Turkish lira. Compared with the previous year, Kalekim's domestic sales increased by 7% and international sales by 13%. At the end of 2024, its total net sales also increased by 11% to 7.5 billion Turkish lira.

"We will continue our global brand journey at a stronger pace in 2025."
Alperat Haluk, chief financial officer of Kale Holding, said the Kalekim had achieved significant financial success in a difficult year, saying;

"The Kalekim Group continues to invest in 2024 and despite the difficulties encountered in our domestic and global markets, we remain committed to our objectives. With this philosophy, we have made important investments both at home and abroad. These investments are crucial to the global growth of our brand, which not only increases our production capacity, but also strengthens our leading position in the field. With the investment and development results for 2024, we achieved our annual target in line with expectations.

We extended the continued success of the first three quarters of the year into the fourth quarter and demonstrated excellent financial performance throughout the year. Together with the 0.367 billion Turkish Lira profit we achieved in the final quarter of last year, our 2024 net profit increased 51% from the previous year to 0.99 billion Turkish Lira. During this period, our domestic sales increased by 7% over the previous year and international sales increased by 13%. At the end of the year, our net sales increased by 11% to 7.5 billion Turkish lira. After completing a year in line with our goals, we will continue to move forward at a stronger pace in 2025, investing in Iraq and planning to start production soon."

"We started production in Istanbul and production in Iraq is in its final stages."
Kalekim General Manager Soner etinkaya highlighted that they had a successful year and noted the following:
2024 is the year in which we will further increase our production capacity through investment. The $10 million project we invested in in Iraq, our largest export market this year, has now been completed and put into production. We will build a new 27000-square-meter plant in Dohuk with a capacity of 100000 tons of dry mortar, 5000 tons of paint and liquid construction chemicals. In addition, in terms of overseas investment, we established a 50% joint venture relationship with a local Romanian partner in early 2023.

We are exploring local investment opportunities with Kalekim Romania companies. We plan to open a branch office in Rücksall, Romania, to further strengthen our presence in eastern Europe, and our work is moving at full speed. We are confident that the new branch will not only strengthen our presence in Romania and Europe, but will also make a significant contribution to our efficiency and visibility in these regions.

While carrying out overseas sales activities, we have also taken an important step in China. In order to achieve our national market target, we started large-scale production at the new plant of Lyksor Kimya Sanayi A. Şe, a subsidiary Kalekim located in Tuzla, Istanbul. We see this investment as an important milestone in achieving our growth targets for the concrete and cement chemicals market, which we aim to improve our efficiency in the regional market and further strengthen our leading position in this segment by providing innovative solutions to our customers. We have invested about $1.9 million to build a new plant with an annual production capacity of 150000 tons of concrete and cement chemicals. With this investment, we have increased the total production capacity of Lyksor Kalekim to 370000 tons.

"As Kalekim, we have a place in the BIST Sustainability Index."
in 2024, our work in the field of sustainable development also achieved significant success. As a Kalekim, we earned the right to enter the BIST Sustainability Index for our performance in the environmental, social and governance (ESG) field. According to Refinitiv evaluation results, we received 80 points, ranking 20th among the 477 evaluated chemical companies in the world.

We believe that through long-term environmental and social responsibility, we have been recognized as a leader in Turkey's construction chemicals industry, which will be an important driving force for our future development. In 2024, we renewed our strong commitment to sustainability by becoming a signatory to the United Nations Global Compact, the world's largest corporate sustainability initiative.

"We will continue our journey to become an industry leader in 2025 with innovation."
in addition, our solar power plant Kalekim (Kalekim) has started operating at 100 percent of capacity, which is one of the investments we highly value in line with our sustainable future goals. We initially met the energy needs of our group with a solar power plant project, which has been implemented in Yozgat Yerköy with an investment of US $6.3 million. In the coming period, our goal is to further expand these investments to create a better world.

However, after a successful year for the company, we aim to further strengthen our position as a pioneer in sustainability, innovative product development and digitalization in 2025. In this context, in addition to achieving greater success locally and globally, we will continue our journey to further develop our environmentally friendly and sustainable production model with a service approach based on customer satisfaction and become an industry leader.