Chairman’s Message
Esteemed Stakeholders,
The global and Turkish economies faced extraordinary challenges in 2025, testing the resilience of businesses and financial institutions alike. While central banks around the world continued lowering interest rates, Türkiye maintained its tight monetary policy to combat inflation. Against this backdrop, Ekspo Faktoring further strengthened its position in the sector through its prudent management approach and strong capital structure.
Delivering Profitable Growth
By the end of 2025, our total assets reached TL 2.43 billion, up 39% year on year. Factoring receivables expanded by 38.3% to TL 2.22 billion from TL 1.60 billion, while operating income increased by 28.3% to TL 897.2 million. We generated a net profit of TL 225.4 million and achieved a gross interest margin of 40% during the year. The ratio of financing costs to operating income remained well below the sector average at 41.4%, reflecting our efficient funding structure and disciplined cost management.
In 2025, our return on equity (ROE) stood at 29.33% and our return on assets (ROA) at 9.3%. Our net profit margin of 17% reflects our competitive position in the sector. This performance was supported by our disciplined client selection process, prudent approach to balancing risk and return, and conservative provisioning policy.
Strong Equity
Capital preservation remains a cornerstone of our management philosophy. As of year-end 2025, shareholders’ equity reached TL 863.5 million, representing a 28.3% increase from the previous year. Our equity-to-assets ratio of 35.5% demonstrates the strength of our capital base, while our financial leverage ratio (debt-to-equity) of 2.16x reflects our limited reliance on external financing and our strong capacity to withstand potential stress scenarios.
According to the 2025 assessment conducted by JCR Eurasia Rating, we maintained our national credit rating of AA (tr). The rating agency highlighted our strong capital structure, disciplined provisioning policy, and sound corporate governance practices. Maintaining our AA (tr) rating reflects our reliability in the markets, the dedication of our team, and our commitment to corporate governance principles. It also supports our access to funding from the banking system while reinforcing the trust our customers place in Ekspo Faktoring.
Strengthening Our Position in the Sector
The Turkish factoring sector delivered strong growth in 2025. According to data published by the Financial Institutions Association (FKB), the sector’s transaction volume reached TL 1.73 trillion by year-end, while total assets increased to TL 457 billion. The sector, comprising 49 companies with 435 branches and nearly 5,000 employees, served more than 95,000 customers. At a time when credit growth in the banking sector remained limited, factoring became an increasingly important alternative source of financing for the real sector. Ekspo Faktoring continued to strengthen its position by capturing a greater share of this expanding market while maintaining strong financial performance. With total revenue of TL 7.43 billion, a capital adequacy ratio above the sector average, and a strong interest margin, we delivered growth supported by both operational efficiency and financial strength.
The number of factoring clients increased from 75,429 in March 2023 to 91,673 as of March 2025. This growth demonstrates that regulatory credit restrictions have significantly increased demand for factoring services. Ekspo Faktoring continues to meet this growing demand through its high-quality service approach.
Expanding Our International Financing Capabilities
Since 2002, international trade finance has been one of Ekspo Faktoring’s core business pillars. To date, we have provided our clients with more than USD 150 million in structured financing through international financial institutions.
In 2025, financing provided for exports totaled TL 692.5 million, while import financing reached TL 422.3 million. Together, these activities generated a foreign trade financing volume of TL 1.11 billion, with international transactions accounting for 15% of our revenue.
By sector, wholesale and retail trade motor vehicles aftersales services, accounted for the largest share of export revenue at 36.6%, followed by the transportation vehicles industry (27.4%) and the textile sector (21.4%). In import financing, wholesale trade remained the dominant sector, representing 73.6% of total import revenue. In domestic financing, textiles (20.9%), wholesale trade (19.9%), and financial brokerage (11.3%) ranked as the three largest sectors. This diversified portfolio, spanning 21 industries, enhances our resilience against cyclical fluctuations that could arise from concentration in a single sector.
We continue to support our exporter clients by financing raw material procurement and production while offering export factoring solutions on competitive terms through the assignment of receivables.
For import transactions, the guarantees we provide to support our clients’ deferred purchases are widely accepted by international banks. Recognized by leading banks across the Far East, Asia, Europe, and the United States, the Ekspo Faktoring guarantee enables our clients to conduct international trade securely and competitively. It also allows our importing clients to purchase goods from overseas suppliers on either cash-on- delivery or deferred payment terms.
The credit agreement signed with the Black Sea Trade and Development Bank (BSTDB) in 2013 remains one of the cornerstones of our international business model. BSTDB financing enables us to offer competitive financing solutions, particularly for export transactions involving the Black Sea region and neighboring markets. Further strengthening this long-standing partnership will be among our strategic priorities in the years ahead.
Ekspo Faktoring was among the first factoring companies to receive a credit line from Türk Eximbank in 2015 and continues to maintain this privileged position. Expanding our exporter customer base through this credit line remains one of our key strategic priorities for the coming period.
Our Strategic Priorities for the Future
As the Central Bank begins a gradual interest rate reduction cycle, the factoring sector is entering a new phase that presents both opportunities and new challenges. Lower interest rates are expected to stimulate economic activity and increase demand for financing. At the same time, pressure on margins will make operational efficiency and business diversification increasingly important.
In this environment, our Board of Directors will continue to focus on four strategic priorities:
First, maintaining portfolio quality. We will further strengthen our client-focused risk management practices to reverse the upward trend in non-performing loans while maintaining a diversified portfolio across sectors and customer segments.
Second, improving capital efficiency. We will continue optimizing portfolio returns to maximize the value of our strong equity base while maintaining leverage levels consistent with prudent industry practices and avoiding excessive leverage.
Third, investing in technology. We will significantly expand our investments in digitalization and process automation. End- to-end digital transformation, from customer onboarding and risk assessment to collections and reporting, will enhance operational efficiency while delivering a better customer experience. These investments will further differentiate Ekspo Faktoring in an increasingly competitive market.
Fourth, expanding our international business. We will accelerate growth in export and import financing by reactivating our Eximbank credit line and deepening our cooperation with BSTDB. The Black Sea region and neighboring markets will remain the primary geographic focus of this strategy.
I would like to express my sincere gratitude to the employees of Ekspo Faktoring for their dedication throughout a challenging year, to our clients for their continued trust, and to our business partners for their invaluable contributions.
Sincerely,
Murat Tümay
Chairman of the Board & CEO