09 May 2022

Turkey's leading industrial company, Tüpraş, announced the financial results for the first quarter of 2022. Within the scope of the Strategic Transformation Plan, that was implemented by Tüpraş back in November, necessary studies were initiated to take over the shares of electricity producer Entek Elektrik from Aygaz and Koç Holding

Tüpraş announced the financial results for the first quarter of 2022. Tüpraş had a capacity utilization of 85% while total production and sales realized as 6 and 6.5 million tons, respectively. Tüpraş recorded TL 76.5 Billion total revenue in the first quarter.

Tüpraş continues its investments in modernization and energy efficiency and has made a total investment of TL 240 Million in the first quarter, 45% of which is sustainability investments.

In the first quarter of the year, Brent prices surged fast with the uncertainty created by Russia and Ukraine war, expectations around oil supply shortages and imposed sanctions against Russia. Brent price ended March at $110/bbl.

In the first quarter, mid-distillate cracks came record levels with high Brent price levels, surge in energy costs and disruption in Russian diesel and semi-product exports to Europe. Gasoline cracks performed the similar upward trend especially during the end-of-quarter.

TL 896 Million net income was recorded in the first quarter

While the cracks reached 5-year historical averages within the two months of quarter, higher increase in natural gas limited the improvement in profitability. Tüpraş recorded a pre-tax profit of 896 million TL in the first quarter, with the outperformance in cracks during March and inventory gain resulting from elevated Brent prices.

While maintaining strong balance sheet with well-disciplined and effective financial policies Tüpraş's performance continues to approach pre-pandemic levels in terms of ratios with improved operating profitability as it was in 2021.

It is aimed to accelerate the steps taken in the field of zero carbon electricity

In line with Carbon Transition Program led by Koç Group and within the scope of the Strategic Transformation Plan, that was implemented by Tüpraş back in November, necessary studies were initiated to take over the shares of electricity producer Entek Elektrik from Aygaz and Koç Holding. Since a significant amount of zero-carbon electricity will be required for the production of green hydrogen, which is among the strategic priorities of Tüpraş, it is aimed to reach a zero-carbon electricity generation portfolio of approximately 1 GW by 2030. It is aimed to accelerate the steps taken in the field of zero carbon electricity, as Entek's existing renewable electricity capacity and growth plans fits well with Tüpraş's strategic goals.

Tüpraş successfully continued its mission of meeting the fuel needs of our country without any disruption and throughout its transformation journey, with the aim of leading the future of the energy industry and its safe operation approach, will continue to create value for its shareholders, business partners and our country with its strong human capital and global competitiveness.
Operational and Financial Results
Q1 2022 Q1 2021 Diff. (%)
Operational Total Production 6.0 4.6 30
(Million Tons) Total Sales 6.5 5.0 29
Financial (Million TL) Sales Revenue 76,541 19,821 286
Operating Profit 2,756 -614
Profit Before Tax 1,062 -960
Net Profit* 896 -760
*Excluding Minority Interest

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TUPRAS - Turkiye Petrol Rafinerileri AS published this content on 09 May 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 09 May 2022 09:31:03 UTC.