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3decades

 

MIRA INFORM REPORT

 

 

Report No. :

507321

Report Date :

09.05.2018

 

 

IDENTIFICATION DETAILS

 

Name :

ETI MADEN ISLETMELERI GENEL MUDURLUGU

 

 

Formerly Known As :

·         ETI HOLDING A.S.

·         ETI MADEN ISLETMELERI GENEL MUDURLUGU

 

 

Registered Office :

Ayvali Mah. Halil Sezai Erkut Cad. Afra Sok. No:1/A Kecioren 06010  Ankara /

 

 

Country :

Turkey

 

 

Financials (as on) :

31.12.2016

 

 

Date of Incorporation :

14.06.1935

 

 

Com. Reg. No.:

1192

 

 

Legal Form :

State Enterprise

 

 

Line of Business :

Mining of boron and its derivatives

 

 

No. of Employees :

4.200

 

 

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23rd January 2017)

 

MIRA’s Rating :

A+

 

Credit Rating

Explanation

Rating Comments

A+

Low Risk

Business dealings permissible with low risk of default

 

Status :

Good

 

 

Payment Behaviour :

No Complaints

 

 

Litigation :

Clear

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List

 

Country Name

Previous Rating

(30.09.2017)

Current Rating

(31.12.2017)

Turkey

B2

B2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

 

TURKEY - ECONOMIC OVERVIEW

 

Turkey's largely free-market economy is driven by its industry and, increasingly, service sectors, although its traditional agriculture sector still accounts for about 25% of employment. The automotive, petrochemical, and electronics industries have risen in importance and surpassed the traditional textiles and clothing sectors within Turkey's export mix. However, the recent period of political stability and economic dynamism has given way to domestic uncertainty and security concerns, which are generating financial market volatility and weighing on Turkey’s economic outlook.

Current government policies emphasize populist spending measures and credit breaks, while implementation of structural economic reforms has slowed. The government is playing a more active role in some strategic sectors and has used economic institutions and regulators to target political opponents, undermining private sector confidence in the judicial system. Between July 2016 and March 2017, three credit ratings agencies downgraded Turkey’s sovereign credit ratings, citing concerns about the rule of law and the pace of economic reforms.

Turkey remains highly dependent on imported oil and gas but is pursuing energy relationships with a broader set of international partners and taking steps to increase use of domestic energy sources including renewables, nuclear, and coal. The joint Turkish-Azerbaijani Trans-Anatolian Natural Gas Pipeline is moving forward to increase transport of Caspian gas to Turkey and Europe, and when completed will help diversify Turkey's sources of imported gas.

After Turkey experienced a severe financial crisis in 2001, Ankara adopted financial and fiscal reforms as part of an IMF program. The reforms strengthened the country's economic fundamentals and ushered in an era of strong growth averaging more than 6% annually until 2008. An aggressive privatization program also reduced state involvement in basic industry, banking, transport, power generation, and communication. Global economic conditions and tighter fiscal policy caused GDP to contract in 2009, but Turkey's well-regulated financial markets and banking system helped the country weather the global financial crisis, and GDP growth rebounded to around 9% in 2010 and 2011, as exports and investment recovered following the crisis.

The growth of Turkish GDP since 2016 has revealed the persistent underlying imbalances in the Turkish economy. In particular, Turkey’s large current account deficit means it must rely on external investment inflows to finance growth, leaving the economy vulnerable to destabilizing shifts in investor confidence. Other troublesome trends include rising unemployment and inflation, which increased in 2017, given the Turkish lira’s continuing depreciation against the dollar. Although government debt remains low at about 30% of GDP, bank and corporate borrowing has almost tripled as a percent of GDP during the past decade, outpacing its emerging-market peers and prompting investor concerns about its long-term sustainability.

 

Source : CIA

 

 

COMPANY summery

 

 

 

NAME

ETI MADEN ISLETMELERI GENEL MUDURLUGU

HEAD OFFICE ADDRESS

Ayvali Mah. Halil Sezai Erkut Cad. Afra Sok. No:1/A Kecioren 06010  Ankara / Turkey

PHONE NUMBER

90-312-231 36 41

90-312-294 20 00

 

FAX NUMBER

90-312-232 60 35

90-312-294 20 70

 

WEB-ADDRESS

www.etimaden.gov.tr

 

 

LEGAL STATUS AND HISTORY

 

 

TAX OFFICE

Hitit

TAX NO

3810071289

REGISTRATION NUMBER

1192

REGISTERED OFFICE

Ankara Chamber of Commerce

COMMERCIAL REGISTRY

Ankara Commercial Registry

DATE ESTABLISHED

14.06.1935

REMARKS ON DATE ESTABLISHED

The subject was established with law no: 2805.

LEGAL FORM

State Enterprise

TYPE OF COMPANY

Public

PAID-IN CAPITAL

TL   600.000.000

HISTORY

Previous Name   :  

In accordance with the decision of Council of Ministers dated 09.01.2004 no:2004/6731, the name of the subject was changed from "Eti Holding A.S." to "Eti Maden Isletmeleri Genel Mudurlugu"    / Changed on : 09.02.2004/(Commercial Gazette Date /Number 17.02.2004 /5988)

Previous Address   :  

Cihan Sok. No:2 Sihhiye Ankara    / Changed on : 16.12.2011/(Commercial Gazette Date /Number 21.12.2011 /7966)

 

 

OWNERSHIP / MANAGEMENT

 

 

 

SHAREHOLDERS

Turkiye Varlik Fonu Yonetimi A.S.

100 %

 

 

 

- Name Of Shareholder:

 

Turkiye Varlik Fonu Yonetimi A.S.

Origin of Shareholder:

Turkey

Tax Number Of Shareholder:

8590640287

Registration Number Of Shareholder:

55174-5

 

REMARKS ON SHAREHOLDERS

 

100 % shares which was held by Republic of Turkey Prime Ministry Undersecretariat of Treasury was transferred to Turkiye Varlik Fonu Yonetimi A.S. with decision number 2017/9756 dated 24.01.2017.  Turkiye Varlik Fonu Yonetimi A.S. is a public enterprise which is established on 07.11.2016.

 

 

 

 

SUBSIDIARIES

 

 

 

- AB ETI PRODUCTS O.Y.  ( Origin: Finland )

- ETI SODA URETIM PAZARLAMA NAKLIYAT VE ELEKTRIK URETIM SANAYI VE TICARET A.S.  ( Tax Number: 3810097924 ,  Registration Number: 1459-BEYPAZARI,  Origin: Turkey )

- ETIMINE S.A.  ( Origin: Luxembourg )

 

 

BOARD OF DIRECTORS

 

Serkan Keleser ( Chairman )

Ozgur Sac ( Member )

Dr. Tabip Gulbay ( Member )

Mithat Cansiz ( Member )

 

DIRECTORS

 

Serkan Keleser ( General Manager )

Abdurrahman Celiker ( Deputy General Manager )

Abdulaziz Unal ( Deputy General Manager )

Ozgur Sac ( Deputy General Manager )

Dr. Tabip Gulbay ( Deputy General Manager )

 

 

 

 

 

OPERATIONS

 

 

BUSINESS ACTIVITIES

Mining of boron and its derivatives.

 

NACE CODE

CB.14.30

 

SECTOR

Mining

 

NUMBER OF EMPLOYEES

4.200

 

NET SALES

516.131.249 TL

(2007) 

725.022.173 TL

(2008) 

694.859.981 TL

(2009) 

981.594.635 TL

(2010) 

1.474.648.042 TL

(2011) 

1.487.462.707 TL

(2012) 

1.628.735 TL Thousand

(2013) 

1.974.517 TL Thousand

(2014) 

2.181.071 TL Thousand

(2015) 

2.129.856 TL Thousand

(2016) 

 

EXPORT VALUE

434.511.000 USD

(2009)

627.167.000 USD

(2010)

828.564 USD Thousand

(2011)

778.185 USD Thousand

(2012)

790.354 USD Thousand

(2013)

871.433 USD Thousand

(2014)

767.799 USD Thousand

(2015)

 

EXPORT COUNTRIES

Italy

Spain

Greece

Taiwan

Korea

Germany

China

U.A.E.

Iran

Iraq

Uzbekistan

Egypt

Brazil

Austria

U.S.A.

U.K.

Belgium

France

 

MERCHANDISE  EXPORTED

Boric acid

Boron oxides

Metal

Mine

HEAD OFFICE ADDRESS

Ayvali Mah. Halil Sezai Erkut Cad. Afra Sok. No:1/A Kecioren  Ankara / Turkey

BRANCHES

Mine  :  Bandirma Balikesir/Turkey  

Mine  :  Kirka Eskisehir/Turkey  

Mine  :  Bigadic Balikesir/Turkey  

Mine  :  Emet Kutahya/Turkey  

                                                                                

SIZE OF BUSINESS

Giant

 

 

FINANCE

 

 

 

PAYMENT BEHAVIOUR

 

No payment delays have come to our knowledge.

 

KEY FINANCIAL ELEMENTS

 

(2012)                                                                                TL

(2013)                                                                                TL Thousand

(2014)                                                                                TL Thousand

(2015)                                                                                TL Thousand

(2016)                                                                                TL Thousand

Net Sales

1.487.462.707

1.628.735

1.974.517

2.181.071

2.129.856

Profit (Loss) Before Tax

779.076.724

841.796

1.032.916

1.262.296

1.229.635

Stockholders' Equity

1.735.237.771

1.847.322

2.271.574

2.699.738

2.848.506

Total Assets

1.942.111.390

2.353.767

2.520.699

3.172.945

3.344.527

Current Assets

726.806.349

897.188

956.487

1.332.352

1.477.734

Non-Current Assets

1.215.305.041

1.456.579

1.564.212

1.840.593

1.866.793

Current Liabilities

151.011.719

430.769

170.645

186.865

245.910

Long-Term Liabilities

55.861.900

75.676

78.480

286.342

250.111

Gross Profit (loss)

996.282.759

1.053.080

1.288.463

1.442.333

1.350.524

Operating Profit (loss)

749.879.910

773.965

938.556

1.231.408

1.020.540

Net Profit (loss)

629.133.737

679.463

833.135

1.010.632

1.018.583

 

 

COMMENT ON FINANCIAL POSITION

 

Capitalization

High As of 31.12.2016

Liquidity

High As of 31.12.2016

Remarks On Liquidity

 

The unfavorable gap between average collection and average payable period has an adverse effect on liquidity.                                                                                                                                                

 

Profitability

High Operating Profitability  in 2012

High Net Profitability  in 2012

High Operating Profitability  in 2013

High Net Profitability  in 2013

High Operating Profitability  in 2014

High Net Profitability  in 2014

High Operating Profitability  in 2015

High Net Profitability  in 2015

High Operating Profitability  in 2016

High Net Profitability  in 2016

 

Gap between average collection and payable periods

Unfavorable in 2016

General Financial Position

Good

 

 

Incr. in producers’ price index

 

Average USD/TL

Average EUR/TL

Average GBP/ TL

 ( 2007 )

5,94 %

1,3075

1,7901

2,6133

 ( 2008 )

8,11 %

1,2858

1,8876

2,3708

 ( 2009 )

5,93 %

1,5460

2,1529

2,4094

 ( 2010 )

8,87 %

1,5128

2,0096

2,3410

 ( 2011 )

13,33 %

1,6797

2,3378

2,6863

 ( 2012 )

2,45 %

1,7995

2,3265

2,8593

 ( 2013 )

6,97 %

1,9179

2,5530

3,0178

 ( 2014 )

6,36 %

2,1891

2,8989

3,6060

 ( 2015 )

5,71 %

2,7230

3,0254

4,1661

 ( 2016 )

9,94 %

3,0292

3,3349

4,1006

 ( 01.01-31.03.2018)

5,29 %

3,8255

4,6833

5,3266

 

 

Financials

 

BALANCE SHEETS

 

 

31.12.2012  ( Full Year  )  TL

 

31.12.2013  ( Full Year  )  TL Thousand

 

31.12.2014  ( Full Year  )  TL Thousand

 

31.12.2015  ( Full Year  )  TL Thousand

 

31.12.2016  ( Full Year  )  TL Thousand

 

CURRENT ASSETS

726.806.349

0,37

897.188

0,38

956.487

0,38

1.332.352

0,42

1.477.734

0,44

Not Detailed Current Assets

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Cash and Banks

110.270.188

0,06

159.654

0,07

128.060

0,05

291.214

0,09

175.624

0,05

Marketable Securities

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Account Receivable

264.164.835

0,14

278.240

0,12

282.639

0,11

389.144

0,12

494.874

0,15

Other Receivable

96.434.513

0,05

122.522

0,05

124.440

0,05

161.415

0,05

237.730

0,07

Inventories

218.755.579

0,11

292.748

0,12

359.108

0,14

397.342

0,13

462.493

0,14

Advances Given

247.368

0,00

56

0,00

384

0,00

0

0,00

0

0,00

Accumulated Construction Expense

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Other Current Assets

36.933.866

0,02

43.968

0,02

61.856

0,02

93.237

0,03

107.013

0,03

NON-CURRENT ASSETS

1.215.305.041

0,63

1.456.579

0,62

1.564.212

0,62

1.840.593

0,58

1.866.793

0,56

Not Detailed Non-Current Assets

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Long-term Receivable

800.789

0,00

1.315

0,00

843

0,00

908

0,00

1.138

0,00

Financial Assets

54.464.523

0,03

54.464

0,02

54.465

0,02

54.465

0,02

138.448

0,04

Tangible Fixed Assets (net)

866.798.736

0,45

1.024.000

0,44

1.126.876

0,45

1.362.531

0,43

1.249.363

0,37

Intangible Assets

200.585.788

0,10

271.724

0,12

247.899

0,10

268.437

0,08

298.915

0,09

Deferred Tax Assets

0

0,00

0

0,00

0

0,00

84.438

0,03

39.198

0,01

Other Non-Current Assets

92.655.205

0,05

105.076

0,04

134.129

0,05

69.814

0,02

139.731

0,04

TOTAL ASSETS

1.942.111.390

1,00

2.353.767

1,00

2.520.699

1,00

3.172.945

1,00

3.344.527

1,00

CURRENT LIABILITIES

151.011.719

0,08

430.769

0,18

170.645

0,07

186.865

0,06

245.910

0,07

Not Detailed Current Liabilities

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Financial Loans

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Accounts Payable

11.694.282

0,01

99.107

0,04

81.143

0,03

79.537

0,03

104.353

0,03

Loans from Shareholders

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Other Short-term Payable

65.212.384

0,03

245.623

0,10

6.890

0,00

70.361

0,02

114.921

0,03

Advances from Customers

17.359.280

0,01

19.644

0,01

11.888

0,00

0

0,00

0

0,00

Accumulated Construction Income

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Taxes Payable

52.736.318

0,03

60.858

0,03

61.944

0,02

301

0,00

2.564

0,00

Provisions

0

0,00

657

0,00

0

0,00

7.941

0,00

8.001

0,00

Other Current Liabilities

4.009.455

0,00

4.880

0,00

8.780

0,00

28.725

0,01

16.071

0,00

LONG-TERM LIABILITIES

55.861.900

0,03

75.676

0,03

78.480

0,03

286.342

0,09

250.111

0,07

Not Detailed Long-term Liabilities

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Financial Loans

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Securities Issued

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Long-term Payable

34.584.501

0,02

52.508

0,02

54.076

0,02

45.801

0,01

50.641

0,02

Loans from Shareholders

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Other Long-term Liabilities

0

0,00

0

0,00

72

0,00

76.935

0,02

9.933

0,00

Provisions

21.277.399

0,01

23.168

0,01

24.332

0,01

163.606

0,05

189.537

0,06

STOCKHOLDERS' EQUITY

1.735.237.771

0,89

1.847.322

0,78

2.271.574

0,90

2.699.738

0,85

2.848.506

0,85

Not Detailed Stockholders' Equity

0

0,00

1.847.322

0,78

0

0,00

0

0,00

0

0,00

Paid-in Capital

200.000.000

0,10

0

0,00

600.000

0,24

600.000

0,19

600.000

0,18

Cross Shareholding Adjustment of Capital

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Inflation Adjustment of Capital

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Equity of Consolidated Firms

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Reserves

906.104.034

0,47

0

0,00

838.439

0,33

1.170.332

0,37

1.307.122

0,39

Revaluation Fund

0

0,00

0

0,00

0

0,00

1.385

0,00

-6.022

0,00

Accumulated Losses(-)

0

0,00

0

0,00

0

0,00

-82.611

-0,03

-71.177

-0,02

Net Profit (loss)

629.133.737

0,32

0

0,00

833.135

0,33

1.010.632

0,32

1.018.583

0,30

TOTAL LIABILITIES AND EQUITY

1.942.111.390

1,00

2.353.767

1,00

2.520.699

1,00

3.172.945

1,00

3.344.527

1,00

 

 

 

INCOME STATEMENTS

 

 

(2012)  ( Full Year  )  TL

 

(2013)  ( Full Year  )  TL Thousand

 

(2014)  ( Full Year  )  TL Thousand

 

(2015)  ( Full Year  )  TL Thousand

 

(2016)  ( Full Year  )  TL Thousand

 

Net Sales

1.487.462.707

1,00

1.628.735

1,00

1.974.517

1,00

2.181.071

1,00

2.129.856

1,00

Cost of Goods Sold

491.179.948

0,33

575.655

0,35

686.054

0,35

738.738

0,34

779.332

0,37

Gross Profit

996.282.759

0,67

1.053.080

0,65

1.288.463

0,65

1.442.333

0,66

1.350.524

0,63

Operating Expenses

246.402.849

0,17

279.115

0,17

349.907

0,18

210.925

0,10

329.984

0,15

Operating Profit

749.879.910

0,50

773.965

0,48

938.556

0,48

1.231.408

0,56

1.020.540

0,48

Other Income

86.905.913

0,06

99.052

0,06

123.934

0,06

44.413

0,02

209.095

0,10

Other Expenses

57.709.099

0,04

31.221

0,02

29.574

0,01

0

0,00

0

0,00

Financial Expenses

0

0,00

0

0,00

0

0,00

13.525

0,01

0

0,00

Minority Interests

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Profit (loss) of consolidated firms

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Profit (loss) Before Tax

779.076.724

0,52

841.796

0,52

1.032.916

0,52

1.262.296

0,58

1.229.635

0,58

Tax Payable

149.942.987

0,10

162.333

0,10

199.781

0,10

248.805

0,11

230.950

0,11

Postponed Tax Gain

0

0,00

0

0,00

0

0,00

-2.859

0,00

19.898

0,01

Net Profit (loss)

629.133.737

0,42

679.463

0,42

833.135

0,42

1.010.632

0,46

1.018.583

0,48

 

FINANCIAL RATIOS

 

 

(2012)

(2013)

(2014)

(2015)

(2016)

LIQUIDITY RATIOS

 

Current Ratio

4,81

2,08

5,61

7,13

6,01

Acid-Test Ratio

3,12

1,30

3,14

4,50

3,69

Cash Ratio

0,73

0,37

0,75

1,56

0,71

ASSET STRUCTURE RATIOS

 

Inventory/Total Assets

0,11

0,12

0,14

0,13

0,14

Short-term Receivable/Total Assets

0,19

0,17

0,16

0,17

0,22

Tangible Assets/Total Assets

0,45

0,44

0,45

0,43

0,37

TURNOVER RATIOS

 

Inventory Turnover

2,25

1,97

1,91

1,86

1,69

Stockholders' Equity Turnover

0,86

0,88

0,87

0,81

0,75

Asset Turnover

0,77

0,69

0,78

0,69

0,64

FINANCIAL STRUCTURE

 

Stockholders' Equity/Total Assets

0,89

0,78

0,90

0,85

0,85

Current Liabilities/Total Assets

0,08

0,18

0,07

0,06

0,07

Financial Leverage

0,11

0,22

0,10

0,15

0,15

Gearing Percentage

0,12

0,27

0,11

0,18

0,17

PROFITABILITY RATIOS

 

Net Profit/Stockholders' Eq.

0,36

0,37

0,37

0,37

0,36

Operating Profit Margin

0,50

0,48

0,48

0,56

0,48

Net Profit Margin

0,42

0,42

0,42

0,46

0,48

Interest Cover

 

 

 

94,33

 

COLLECTION-PAYMENT

 

Average Collection Period (days)

64,13

61,79

51,69

64,38

83,84

Average Payable Period (days)

33,92

94,82

70,95

61,08

71,60

WORKING CAPITAL

575794630,00

466419,00

785842,00

1145487,00

1231824,00

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

INR 67.08

UK Pound

1

INR 91.14

Euro

1

INR 80.01

TRY

1

INR 15.72

 

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

KET

                                                


 

RATING EXPLANATIONS

 

Credit Rating

Explanation

Rating Comments

A++

Minimum Risk

Business dealings permissible with minimum risk of default

A+

Low Risk

Business dealings permissible with low risk of default

A

Acceptable Risk

Business dealings permissible with moderate risk of default

B

Medium Risk

Business dealings permissible on a regular monitoring basis

C

Medium High Risk

Business dealings permissible preferably on secured basis

D

High Risk

Business dealing not recommended or on secured terms only

NB

New Business

No recommendation can be done due to business in infancy stage

NT

No Trace

No recommendation can be done as the business is not traceable

 

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors are as follows:

 

·         Financial condition covering various ratios

·         Company background and operations size

·         Promoters / Management background

·         Payment record

·         Litigation against the subject

·         Industry scenario / competitor analysis

·         Supplier / Customer / Banker review (wherever available)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.