Ulker Bisküvi Sanayi (ULKER) Q4 2025 earnings summary

Executive summary

• Maintained market leadership in Turkey and MENA, supported by successful refinancing, strong ESG performance, and recognition as a top employer with high employee engagement and equal pay certifications.

• Innovation and new product launches contributed 12% to net sales, demonstrating agility in capturing consumer trends and driving growth.

• Achieved top ESG scores, leading the food sector in Turkey and ranking among the world's top 10 in chocolate sustainability, with 100% recycle-ready packaging.

• Revenue increased slightly to TL 111.9 billion in 2025, but net profit attributable to equity holders dropped to TL 4.87 billion, reflecting margin pressures and higher financial expenses.

• Operating profit declined to TL 16.7 billion from TL 18.7 billion year-over-year, with EBITDA margin at 17.4% in 2025 versus 18.5% in 2024.

Financial highlights

• IAS 29 adjusted revenues reached TRY 112 billion for 2025, with 70% domestic and 30% international mix; FY'25 total revenue rose 1.7% year-over-year to TRY 111.9B.

• Full-year net sales grew 2% year-over-year; domestic net sales up 2.1%, exports up 8.3%.

• Net income for 2025 was TRY 4.9 billion, down 49.7% year-over-year; Q4 net income at TRY 81 million.

• Full-year EBITDA margin at 16.5%-17.4%, down from prior year; Q4 EBITDA margin dropped to 12.4%-24.9% due to market contraction and higher marketing spend.

• Gross profit was TL 32.3 billion, nearly flat year-over-year.

Outlook and guidance

• 2025 closed slightly below initial guidance of 2%-4% revenue growth and 17%-18% EBITDA margin due to Q4 demand slowdown and weak Middle East sales.

• Management expects normalization of demand and improved performance in 2026, with a strong start to Q1 reported and a focus on sustainable, profitable growth and innovation.

• Strategic focus for 2026 includes brand strength, core category growth, high-impact innovation, field execution, and operational excellence.

• No explicit forward guidance provided, but refinancing and new loan agreements aim to optimize debt maturity and cost.