Petkim maintains its powerful cash position with a net profit of 5.8...

Petkim completed the past 9-month period with a net profit of 5.8 billion liras, registering a 48 percent increase over the same period of the year before. Despite the decrease in profit margins and the increase in raw material prices, Petkim’s integrative perspective on effective planning enabled the company to maintain its strong cash position and increase profitability.
One of the companies in the SOCAR Türkiye Group and Türkiye’s largest industrial holdings corporation, Petkim closed off the first nine months of the year with a net profit of 5.8 billion dollars, a 48 percent increase over the same period of the previous year. Having recently completed its quadrennial planned maintenance operations, Petkim was able to maintain its profitability in a period in which profit margins were falling. Net sales, which had been 19.2 billion liras in the first 9 months of last year, increased by 109 in the same period of this year, rising to a level of 40.0 billion liras.
As from the first quarter of the year, Petkim turned the disadvantage of globally falling profit margins and increasing petrochemical raw material prices into an advantage thanks to the integration achieved at the STAR Refinery and the company’s program of effective planning and optimization. Petkim strengthened its cash position in preparation for its 2023 Eurobond repayments with the help of the financial instrument of Currency-protected Deposit Accounts. Petkim continued to invest in this period

The company made an investment of TRY 1.7 billion in the nine-month period in order to ensure the sustainability of its productive power. The Agile Transformation Model that had only been applied to production and maintenance operations on the field in previous periods was applied in this third quarter to all functions, including the SOCAR Türkiye Refinery and the administrative units of the Petrochemicals Business Unit. The impact of the agile transformation was seen in increased levels of reliability, integration, occupational health and safety, productivity, and employee motivation. With the transition of the Refinery and Petrochemicals Business Unit to the Agile Transformation Model, instead of rallying around functional goals, business teams united around common goals that would lead to the optimization of corporate assets. In this way, SOCAR Türkiye achieved a capacity increase of 2%-3% over what had been targeted, as well as a reduction in process parameter variables. With the transition to the Agile Transformation Model, teams working together were able to witness a 5% increase in motivation in a short period of time.