CEO Message

Esteemed Shareholders,

The year 2023 was characterized by highly challenging conditions, including economic stagnation across Europe, disruptions in global supply chains, and high inflation. Furthermore, on February 6, 2023, Türkiye endured a catastrophic earthquake.

Indeed, we left behind a notably difficult year marked by economic uncertainty on a global level. The conflicts in the Middle East, along with the ongoing Russia-Ukraine war and the negative impact of inflation on all markets, including those of developed economies, placed serious pressure on the global economy.

Despite the adversities of 2023, Brisa achieved strong and stable progress in line with its strategic road map. Operating under the long-established partnership of Sabancı Holding and Bridgestone, Brisa continued to prioritize adding value to its country and society.

In 2023, Brisa also demonstrated a strong financial performance. Upholding its success story in terms of cash management, the Company reached a total turnover of TL 26.5 million. Our operating profit increased by 38% compared to last year. Our export operations to more than 80 countries continued to grow stronger. With our Lassa brand, we expanded our market share in 21 countries.

We kept our balance sheet and profitability robust by diversifying our financing transactions in a rapidly changing macroeconomic setting and highly regulated environment. Thanks to our strength and leadership in the field of sustainability, we performed our first sustainable financing transaction with the European Bank for Reconstruction and Development (EBRD).

Throughout this period, Brisa continued to take strong steps in its journey of transformation from a tyre company into a mobility company, in accordance with both the goal set in the Company’s own 2030 vision, and in a manner aligned with its partners’ strategic road maps.

We increased the number of Otopratik and Propratik fast service points, which are positioned as mobility centres, reaching a total of 139 service points. At the same time, we implemented the Otopratik Midi concept as service points capable of providing service within a smaller footprint.

We enriched our products and service solutions for electric vehicles, the numbers of which are rising due to electrification trends in the automotive industry. Per our 2030 road map, which includes setting up e-charging stations at every Otopratik service point, we moved forward with the installation of e-charging stations across Türkiye. With our proficient and highly trained personnel, we are equipping Otopratik stores with the skills and competencies necessary to service and maintain electric vehicles that require special expertise.

Our mobility journey also incorporates the expansion of our tyre business by adapting to emerging trends. In 2023, we launched state-of-the-art products for hybrid and electric vehicles, a result of our agile R&D studies. The success of these studies is amply demonstrated by the TOGG Sport Utility Vehicle (SUV), i.e., Türkiye’s first smart vehicle, which was offered with Lassa tyres as standard.

With the upcoming introduction of the special compound technology, an outcome of the USD 34 million capacity expansion investment announced in 2023 for the Aksaray Plant, we aim to have the capacity to quickly launch state-of-the-art and world-class products aligned with emerging mobility trends such as electric vehicles, and reinforce our position as a mobility partner for vehicle manufacturers.

Through our acquisition of Arvento, Türkiye's leader in the field of vehicle tracking systems, in 2022, we deepened our cross-synergy efforts. Representing a key milestone in our mobility transformation, we broke new ground in mobility across the industry, offering services that integrate Brisa’s products and service network with Arvento’s fleet management platform.

During this period, we achieved significant success in the field of sustainability, an area prioritized in our 2030 road map. I can proudly say that Brisa, with its practices and high-level commitments that exceed expectations and requirements, is the leading company in sustainability across the entire tyre industry, both on a national and global level.

In 2023, we became the global leader in the Climate Change and Water Security categories in terms of the Carbon Disclosure Project (CDP) scores. We are the first and only company in the global tyre industry to achieve this success. During this period, we also signed a loan agreement of USD 100 million or equivalent with the European Bank for Reconstruction and Development (EBRD) to support “sustainable development” efforts.

Our sustainability efforts are designed to create value in concert with our entire ecosystem. Through the SUSPRO program for our suppliers, we ensured that suppliers, which are prioritized on a risk basis in terms of financial, climate and water-related risks, make science-based target commitments. We prioritized dealers with high environmental and social impact and certified 25 dealers under our Green Dealer program by assessing their store practices.

We conduct our activities conscious of our social responsibilities, reflecting the principles of the Sabancı Group, which views social responsibility awareness as an essential core element of its management approach across all operations.

We were shocked and deeply saddened by the earthquake in Kahramanmaraş. We mobilised all our resources to assist the region and quickly responded to the needs of local people and our dealers affected by the disaster. We supported the Sabancı Group’s aid efforts in the earthquake-affected areas with the volunteer participation of more than 500 employees.

In order to address the region’s education needs, which were among the most urgent, we built the Sabancı Lassa Secondary School in Hatay in less than three months, with the contributions of the Sabancı Foundation and our shareholder Bridgestone.

In 2023, which marks the 100th anniversary of the Republic of Türkiye, we completed a significant project that will lead the local development of the earthquake-stricken region as part of the Sabancı Republic Mobilisation. We launched the Sabancı Hatay Incubation Centre in cooperation with Habitat Association and with the contributions of Kordsa, Teknosa and Temsa, Sabancı Group companies. As part of its efforts to prevent migration from the region and to reintegrate young people and women into economic and social life, the centre provided training support to more than thousand people in Hatay and Adana.

Esteemed stakeholders,

Once again, Brisa’s valuable employees were key assets in enabling us to realize our achievements and shape our future plans. We aim to ensure that our employees are fully prepared for the future, equipping them with new skills and competencies while carrying out the mobility transformation of our Company in a dynamic and rapidly evolving setting.

I would like to thank all our employees who contributed to Brisa’s strong performance, as well as our partners, shareholders, suppliers, dealers and valued customers, who have steadfastly supported us along this journey.

Kind regards

Haluk Kürkçü
CEO