Menderes Tekstil Sanayi ve Ticaret Anonim Sirketi : Report 06.2023

MENDERES TEKSTİL SANAYİ VE TİCARET A.Ş.

CONSOLIDATED FINANCIAL STATEMENTS

AND AUDITORS' REVIEW REPORT FOR THE INTERIM PERIOD ENDED AT 30 JUNE 2023

CONTENTSPAGE

Review Report Related to the Interim Consolidated Financial Information………………………………………………………………………………

Consolidated Financial Statements…………………………………………………………………………………………………………………	1-2
Consolidated Income Statements and Other Comprehensive Income Statements………………………………………………………………	3-4
Consolidated Changes in Equity Statements………………………………………………………………………………………………………	5
Consolidated Cash Flows Statements ………………………………………………………………………………………………………………	6-7
Notes to the Consolidated Financial Statements……………………………………………………………………………………………………	8-79
NOTE 1 Organization and Nature of Activities………………………………………………………………………………………………………	8-9
NOTE 2 Basis of Presentation of Financial Statements………………………………………………………………………………………………	10-27
NOTE 3 Segment Reporting…………………………………………………………………………………………………………………………	28-31
NOTE 4 Cash and Cash Equivalents …………………………………………………………………………………………………………………	32
NOTE 5 Financial Investments………………………………………………………………………………………………………………………	32
NOTE 6 Related Party Transactions …………………………………………………………………………………………………………………	33-36
NOTE 7 Trade Receivables and Trade Payables……………………………………………………………………………………………………	37-38
NOTE 8 Financial Borrowings……………………………………………………………………………..........………………………..........……	39-41
NOTE 9 Other Receivables and Payables……………………………………………………………………………………………………………	42
NOTE 10 Derivative Instruments………………………………………………………………………………………………………………………	43
NOTE 11 Inventories…………………………………………………………………………………………………………………………………	43
NOTE 12 Biological Assets……………………………………………………………………………………………………………………………	43
NOTE 13 Prepaid Expenses and Deferred Income……………………………………………………………………………………………………	44
NOTE 14 Assets Related To Current Perıod Tax……………………………………………………………………………………………………	44
NOTE 15 Investments Valued with Equity Pick-up Method…………………………………………………………………………………………	45
NOTE 16 Investment Properties………………………………………………………………………………………………………………………	46
NOTE 17 Tangible Assets ……………………………………………………………………………………………………………………………	47-48
NOTE 18 Right of Use Assets ………………………………………………………………………………………………………………………	48
NOTE 19 Intangible Assets ……………………………………………………………………………………………………………………………	49
NOTE 20 Provisions, Contingent Assets and Liabilities………………………………………………………………………………………………	50-52
NOTE 21 Provisions…………………………………………………………………………………………………………………………………	53
NOTE 22 Employee Benefit Liabilities………………………………………………………………………………………………………………	54
NOTE 23 Other Current Assets and Liabilities………………………………………………………………………………………………………	54
NOTE 24 Share Capital………………………………………………………………………………………………………………………………	54-58
NOTE 25 Sales and Cost of Sales……………………………………………………………………………………………………………………	59-61
NOTE 26 Research and Development General Administrative Expenses and Marketing Expenses…………………………………………………	62-63
NOTE 27 Other Operating Income/(Expenses)………………………………………………………………………………………………………	64
NOTE 28 Investment Activities Income / (Expenses)…………………………………………………………………………………………………	65
NOTE 29 Finance Income / (Expenses)………………………………………………………………………………………………………………	66
NOTE 30 Tax Assets and Liabilities…………………………………………………………………………………………………………………	67-69
NOTE 31 Earnings Per Share…………………………………………………………………………………………………………………………	69
NOTE 32 Financial Instruments………………………………………………………………………………………………………………………	69
NOTE 33 Nature and Level of Risks Derived From Financial Instruments…………………………………………………………………………	70-76
NOTE 34 Financial Instruments (Fair Value Disclosures and Hedge Accounting Disclosures)………………………………………………………	77-79
NOTE 35 Post Balance Sheet Events…………………….……………………………………………………………………………………………	79

MENDERES TEKSTİL SANAYİ VE TİCARET ANONİM ŞİRKETİ

CONSOLIDATED BALANCE SHEETS AS OF 30 JUNE 2023

(Currency - Turkish Lira 'TRY' unless expressed otherwise)

		Unreviewed	Audited
	Footnote	Current Period	Prior Period
ASSETS	References	30.06.2023	31.12.2022
Current Assets		2.988.381.216	2.594.012.935
Cash and Cash Equivalents	4	114.679.403	117.868.895
Financial Investments	5	159.328.448	3.893.423
Trade Receivables		976.236.954	612.777.609
Trade Receivables from Related Parties	6-7	603.705.194	381.617.895
Trade Receivables from Third Parties	7	372.531.760	231.159.714
Other Receivables		31.362.739	9.503.234
Other Receivables from Related Parties	6-9	1.559.309	327.128
Other Receivables from Third Parties	9	29.803.430	9.176.106
Derivative Instruments	10	252.657	-
Inventories	11	1.624.026.537	1.706.234.192
Biological Assets	12	-	29.361.062
Prepaid Expenses	13	18.372.383	18.275.397
Current Tax Assets	14	937.834	2.778.947
Other Current Assets	23	63.184.261	93.320.176
Non-Current Assets		5.159.396.418	5.076.914.328
Other Receivables	9	168.827	153.411
Investments Valued by Equity Pick-up Method	15	241.175.894	240.244.300
Investment Properties	16	208.625.903	208.625.903
Tangible Assets	17	4.151.786.898	4.166.634.853
Intangible Assets	19	34.962.584	33.744.515
Prepaid Expenses	13	68.302.064	37.182.490
Deferred Tax Assets	30	454.374.248	390.328.856
TOTAL ASSETS		8.147.777.634	7.670.927.263

The accompanying notes form an integral part of these financial statements.

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MENDERES TEKSTİL SANAYİ VE TİCARET ANONİM ŞİRKETİ

CONSOLIDATED BALANCE SHEETS AS OF 30 JUNE 2023

(Currency - Turkish Lira 'TRY' unless expressed otherwise)

		Unreviewed	Audited
	Footnote	Current Period	Prior Period
LIABILITIES	References	30.06.2023	31.12.2022
Current Liabilities		2.492.905.064	2.126.592.052
Short Term Borrowings	8	1.466.896.481	1.127.642.073
Short-term portion of long-term borrowings	8	311.477.936	312.150.770
Trade Payables	7	555.525.703	536.253.306
Employee Benefit Liabilities	22	97.976.284	66.370.210
Other Payables	9	4.907.484	12.529.443
Deferred Income	13	28.265.716	50.496.052
Current Tax Liabilities of Period Profit	30	1.162.474	362.499
Current Provisions		26.692.986	20.787.699
Provision For Employee Benefits	21	20.311.039	16.924.978
Other Current Provisions	21	6.381.947	3.862.721
Non-Current Liabilities		1.847.480.702	1.579.854.557
Long Term Borrowings	8	1.039.703.905	852.220.128
Deferred Income	13	15.232.116	21.073.246
Long Term Provisions		116.578.290	118.684.242
Long Term Provisions for Employee Benefits	21	116.578.290	118.684.242
Deferred Tax Liabilities	30	675.966.391	587.876.941
Equity		3.807.391.868	3.964.480.654
Parent Company's Equity		3.759.636.875	3.920.088.804
Paid in Capital	24.1	250.000.000	250.000.000
Inflation Adjustments of Capital	24.2	860.487	860.487
Accumulated Other Comprehensive Income or Expenses not to be
Reclassified on Profit or Loss
Gains / Losses on Revaluation and Remeasurement
-Increase / Decrease on Revaluation of Tangible Assets	24.3	2.997.901.174	3.078.940.524
-Defined Benefit Plans Re-Measurement Gains / (Losses)	24.3	7.490.399	10.837.864
Accumulated Other Comprehensive Income or Expenses to be
Reclassified on Profit or Loss
Share of Other Comprehensive Income of Investments
Accounted for Using The Equity Method That Will Not Be
Reclassified to Profit or Loss	24.4	42.649.562	42.649.562
Restricted Reserves		10.340.261	10.340.261
Legal Reserves	24.5	10.340.261	10.340.261
Retained Earnings / Losses	24.6	526.460.106	(510.871.703)
Net Profit / (Loss) for the Period	31	(76.065.114)	1.037.331.809
Non-controlling interests	24.7	47.754.993	44.391.850
TOTAL LIABILITIES AND EQUITY		8.147.777.634	7.670.927.263

The accompanying notes form an integral part of these financial statements.

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