DESA Maintains Strong Financial Structure with 285 Million TL Net Profit in the First 9 Months of 2024
Foreks - With over half a century of experience in production, export, and retail, DESA, Turkey's leading leather brand, has shared its financial results for the third quarter of 2024 with the public. DESA combines steady revenue growth and operational efficiency, continuing to create long-term value for its investors with a solid EBITDA margin.
As Turkey's leading producer and retailer of leather and leather goods, DESA maintained its profitability in the third quarter of 2024, showcasing successful performance with a strong financial structure. DESA increased its net profit margin compared to the same period last year and recorded a steady rise in EBITDA margin, continuing to generate value for its investors.
Financial Robustness and Stability in Profitability In the first nine months of 2024, DESA’s total revenue reached 2,074.20 million TL. The net profit, which was 207 million TL in the first six months, rose to 285.2 million TL over the nine-month period, with an EBITDA margin recorded at 32.1%. The company’s net cash position remained strong, reaching 1,140 million TL. These results, supporting DESA's sustainable financial structure, continue to provide strong confidence to its investors.
Burak Çelet, General Manager of DESA, stated regarding the financial results, “As DESA, we demonstrate a strong presence in both domestic and international markets with our innovative business model. With our new facility in Italy reaching full capacity, we aim to offer our high value-added products to an even wider customer base in global markets. We will continue to take a leading role in our industry through our investments in sustainable growth and international partnerships.”
Investment in the Italian Facility and Global Market Expansion The R&D and production facility that became operational in the Tuscany region of Italy in 2023 has become a crucial component of DESA’s growth strategy in international markets. This facility enhances DESA's value-added exports by producing for brands positioned in the luxury segment worldwide. DESA has achieved a significant position in this sector by independently fulfilling 65% of Turkey's exports of leather goods and leather products to Italy. Speaking about the investment in Italy, Burak Çelet said, “This new facility, which combines craftsmanship with industrial production, is a significant step towards strengthening DESA’s global brand perception. We expect to see the balance sheet effects of our Italian facility by 2025 as it reaches full capacity in the coming days.”
Sustainability and Social Responsibility Projects DESA showcases a model approach in the sector with its pioneering efforts in environmental sustainability. The solar energy projects launched at its Düzce and Çorlu facilities, aimed at improving energy efficiency, stand out as part of the steps to reduce its carbon footprint. DESA also embodies its respect for the environment through its “Green Memory for the Future” afforestation project, targeting the planting of a total of 50,000 saplings by the end of 2024.
In the realm of social responsibility, DESA is making a difference in the industry with projects that increase women's employment. With 50% of its workforce consisting of women, the company is planning to ensure that 90% of the workforce at its facility in Italy will be women, aiming to increase the number of employees to 100 by the end of the year. Through the “Celentano Artisans” project in Turkey, DESA provides flexible working opportunities for over 100 women, empowering them with economic independence and contributing to society.
Export and Global Growth Strategy DESA holds a significant position in the global market within Turkey's leather and leather goods sector. With its new production facility in Europe, it continues to boost exports with value-added products by producing exclusively for luxury segment brands worldwide. This investment aims to increase the recognition of the Turkish leather sector in Europe and to further strengthen its global brand perception.
Burak Çelet, the General Manager of DESA, expressed the company’s forward-looking goals, stating: “As DESA, we are enhancing our competitive power in global markets by increasing our capacity for high-quality and value-added production. We will continue to elevate our international brand value through our sustainability projects and new investments. By leveraging the production capacity of our facility in Italy and expanding our collaborations with globally recognized brands, we aim to increase our global market share.”
In this context, DESA continues to grow by integrating environmentally conscious production and community-focused projects into its business model, not only achieving financial success but also fulfilling social and environmental responsibilities. This vision stands out as a key factor strengthening DESA’s leading position in the industry.