Turkish pipe maker Erciyas Çelik Boru Sanayi A.Ş. has announced its financial results for the first half of this year.
In the given period, the company registered a net profit of TRY 30.65 million ($903,358), compared to a net profit of TRY 38.27 million in the same period of 2023, while its sales revenues declined by 14.7 percent year on year to TRY 3.62 billion ($106.69 million). Moreover, Erciyas recorded an operating profit of TRY 610.84 million ($18 million), compared to an operating profit of TRY 629.75 million in the first half of the previous year.
In the first half, 59.0 percent of the company’s total pipe sales tonnage consisted of export sales. Since Erciyas mainly shipped pipes with large specifications and weights to foreign markets, the shipment and export costs of the company accounted for as much as 80.0 percent of its total marketing, sales and distribution costs in the first six months of the year.
In addition, in the January-June period of this year, the company’s gas and piling pipe sales accounted for 63.0 percent of the total sales volume, while water pipe sales accounted for 37.0 percent.
Erciyas also stated that economic indicators show a slowdown trend for this year and that the insufficient incentives recently announced by the Chinese government have eliminated the expectation of a recovery in the markets.
