Chairman’s Message

Dear Stakeholders,

As one of the leading Textile and Tourism companies of Turkey and Çukurova region, we are honored to reach our financial and operation milestones for 2017 and share the end results with you.

Global economic and political volatilities throughout 2017 had a direct impact on the financial markets of both developed and emerging nations.

Despite global economic hardships, along with the precautionary economic policies revamped by the Government, Turkish economy has continued its growth momentum. Global instability and regional conflicts caused a strong depreciation in Turkish Lira. Therefore, economic and political stability in Turkey and regional conflict resolutions will play a fundamental role for the economy throughout 2018.

In parallel to the growth in economy, Turkish Textile has continued its growth in 2017. In 2017, total textile and raw material export grew by 3% and reached $10.1 Billion. Turkish Textile’s export target for 2018 is approximately $12 Billion.

Our operations in textiles division have reached to fruition; mainly through vivid economic activity and increase in demand to our product range in macro level, and our continuous investments in R&D as well as machinery in micro level. Net Sales in our textiles division grew by 75% and reached 144 Million TL. Albeit appreciation in foreign currencies against Turkish Lira had a positive impact on our net sales, we also experienced a 40% growth in sales by meters/kilos.

Commenced in 2016 with a total investment amount of $30 Million, the two-phased yarn spinning capacity increase and machinery renewal investment has been undertaken. The first phase of the investment, compact cotton yarn spinning facility has started its operations in 2016. The second phase, polyester-viscose yarn spinning and yarn twisting facility, is completed in the first quarter of 2017 and fully operational.

Despite the constrained atmosphere we have experienced due to regional conflicts, the demand in Turkish tourism has strengthened and rejuvenated. Since 2016, Tourism related income grew by 19% and reached $26.2 Billion. 77% of such income is derived from foreign nationalities, whilst remaining amount is derived from Turkish nationals residing abroad.

In parallel to these positive outcomes, Hotel Divan Adana, our very-first co-investment with TSKB GYO, has captured its share in its region’s tourism by its well-awareness and excellent 5-star service. Furthermore, we firmly believe that Ceyhan-Yumurtalık region will recoup its position in Turkey’s industry and tourism, especially with the recent investment incentives given by President Recep Tayyip Erdoğan.

Our primary mission in 2018 will be to preserve our family values and transparency, continue our investments in human resources and R&D in order to achieve sustainable growth.

As Bilici Investments, we will strive to work for our shareholders, employees, customers, suppliers, and Turkish economy.

Sincerely,
Mehmet Ali Bilici
Chairman