1Q23 Results

Investor Presentation

1Q23 financial highlights

Sales

TL9.2bn

3% QoQ

TL47mn

EBITDA 1% margin -75% QoQ

Net

TL131mn

0,06 TL/share

Income

-83% QoQ

TL5.7bn

Cash

1.4x current ratio

-60% QoQ

TL16.1bn

Net

6.73x net debt/

Debt

EBITDA

14% QoQ

Hizmete Özel (Dış Taraflar)

2

Managing the risks and opportunities during the downcycle

1Q23 highlights

The global petrochemical industry has experienced one of the most prolonged and severe downcycles

Profitability opened 2023 at lower end of historic range, facing consistent pressure from a harsh operating environment over previous year

Optimization-based strategies have been used for efficient operations and profitability

Petkim reduced its production capacity to 64% due to economic reasons and stagnation in the global petrochemicals

Petkim has redeemed USD500mn 2023 Eurobonds and coupon due in January 2023

Petkim was able to utilize USD300mn credit facility from JP Morgan

Cost optimization and integrated production with STAR Refinery

Approx. USD7mn inventory gain

Managing operating cash flow despite challenging market environment

Cash flow from operating activities decreased to negative USD40mn, mainly driven by declining EBITDA but cushioned by stringent working capital management

Hizmete Özel (Dış Taraflar)

3

Industry Environment

Global petrochemical market Petrochemical market in Turkey

Hizmete Özel (Dış Taraflar)

Industry environment

Monthly naphtha - ethylene spread (CIF MED spot prices)

USD/tonne

1.461

1.532

1.424

1.433

2.600

1.271

1.380

2.400

1.123

1.200

2.200

942

1.001

2.000

899

783

872

1.800

781

819

812

900

1.600

1.400

651

1.200

600

855 1.048

937

928

854

1.000

600

800

300

783

417

412

595

496

527

754

661

610

642

654

580

672

694

644

400

369

238

232

200

248

357

171

141

165

200

0

0

Spread Naphtha Ethylene

Monthly average Platts index*

USD/tonne

1.320

1.292

1.249

1.173

1.218

1.115

1.040

928

924

932

890

878

873

869

843

(*) compilation of ethylene, propylene, benzene, toluene, PX, LDPE and PP.

Ethylene prices increased

Ethylene-naphtha spread

Margins were exposed to full cost

1Q23 PLATTs index increased

by 17%, while the cost of

increased by 50% from

burden, as ethylene and propylene

by 5% from the previous

naphtha raised by 7% in

USD184/ton in 4Q22 to

prices were stagnated against

quarter, remain burdened with

1Q23 compared with the

USD275/ton in 1Q23

firming naphtha costs

fragile demand

4Q22

Hizmete Özel (Dış Taraflar)

5

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Disclaimer

Petkim Petrokimya Holding AS published this content on 09 May 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 09 May 2023 05:29:02 UTC.