Kardemir Karabük Demir Çelik Sanayi Ve Ticaret (KRDMD) Q3 2025 earnings summary

Executive summary

• Crude steel production globally (excluding China) declined by 1.6% year-over-year in the first nine months of 2025, while Turkey's production rose by 1%, moving it to 7th place globally.

• The company remains Turkey's only rail and railway wheel producer and ranks 26th among Turkish industrial enterprises.

• Report covers the nine-month period ended 30 September 2025, prepared in accordance with Turkish Financial Reporting Standards and adjusted for high inflation as per TAS 29 requirements.

• Main operations include manufacturing and sales of iron, steel, coke, and by-products, with subsidiaries in steel construction, casting, energy, and logistics.

• All shares are publicly traded on Borsa Istanbul.

Financial highlights

• Revenue for 9M25 was 48.2 billion TRY, down from 54.7 billion TRY in 9M24.

• Gross profit increased to 3.14 billion TRY (margin 6.5%) from 2.83 billion TRY (margin 5.2%) year-over-year.

• Operating profit turned positive at 120 million TRY, compared to a loss of 1.38 billion TRY in 9M24.

• Net loss narrowed to 955 million TRY from 3.95 billion TRY in 9M24.

• EBITDA rose to 4.4 billion TRY (margin 9.1%) from 4.1 billion TRY (margin 7.5%) in 9M24.

• Total assets at 30 September 2025 were 99.5 billion TRY, down from 102.8 billion TRY at year-end 2024.

Outlook and guidance

• Ongoing investments include vacuum degassing, a new continuous casting machine, environmental projects, and R&D initiatives.

• Deferred tax assets recognized based on expectation of sufficient future taxable profit.

• No events after the reporting period affecting the outlook.