EKSPO FAKTORİNG A.Ş.
2021 ANNUAL REPORT
Financial Advantages

Ekspo Faktoring, with its significant competitive advantages thanks to its strong capital structure, qualified human resources and solution-oriented business culture, is one of the few non-bank finance companies that can facilitate intermediary transactions with the world’s largest banks.

Ekspo Faktoring, one of the strongest financial partners of export and import-oriented companies with its innovative products and services, has been making an important contribution to the development and deepening of relations between global companies and Turkish companies for 22 years, continuously solidifying its presence in the international arena. Ekspo Faktoring, home to innovative products and services in the non-bank finance sector, offers its clients the opportunity to achieve world-class results from a global perspective and creates cost-effective resources with the strength of mutual trust and transparency.

A robust finance partner

Ekspo Faktoring has continued to elevate its position through successful strategic partnerships and further strengthened its correspondent relationships with domestic and foreign banks and financial institutions in 2021. With its strategic goals in sight, Ekspo Faktoring has expanded its product portfolio and developed effective solutions for foreign trade financing to become one of the strongest financial partners of its clients, mainly engaged in exports and imports.

Tailored finance solutions

The products and services that Ekspo Faktoring offers include a variety of international transactions such as Irrevocable Export Financing, Revocable Export Financing, Assignment of Export Letters of Credit and Import Letters of Credit, Assignment of Export Receivables with Acceptance Credit, Import Financing, and Direct Factoring. The products and services the Company offers to the domestic market also includes Assignment of Receivables with or without Notice, and Assignment of Receivables via Checks and Bonds, as well as products and services aimed at financing deferred trade transactions. With a significant competitive edge gained since 2011 by focusing on supplier finance, Ekspo Faktoring provides market consultancy services, industry analyses and project finance among other areas with its expertise in domestic and foreign transactions.

Competitive edge fortified with supplier finance

In addition to its expertise in domestic and international transactions, Ekspo Faktoring also provides consultancy services in areas such as market, industry analyses and project finance, thus offering customized financial solutions that are in line with the needs and expectations of its clients. The company provides services by meeting the strategic and financial needs of its clients with a proactive approach - just like a “business partner”.

A remarkable support for real economy

Ekspo Faktoring, offers fast and effective solutions in line with the needs and expectations of its clients, thanks to its expertise in the industry, strong fund structure and qualified human resources, and serves many companies operating in different industries at home and abroad. The company regards its clients as long-term and permanent business partners and offers the resources it obtains from domestic and foreign banks under attractive conditions by structuring it in line with the expectations of its clients. As a result of its activities with this approach, Ekspo Faktoring’s asset size is recorded at TRY 457.2 million as of the end of 2021. In 2022, it aims to reach an asset size of TRY 825 million. The company, whose financial superiority has also been confirmed by international rating agencies, aims to maintain its profitability and strong support to the real economy by offering swift and low-cost solutions for its clients in 2022.

TOTAL ASSETS (THOUSAND TRY)
457,220
2021
325,321
2020
309,561
2019

Steady growth

Focusing on sustainable success, Ekspo Faktoring continues its steady growth. The shareholders’ equity of the Company, founded in 2000 with TRY 1 million capital, has reached TRY 236.8 million by the end of 2021. The Company’s transaction volume of TRY 1.8 billion as of year-end 2020 has generated a profit before tax of TRY 60.8 million, completely from its main operations. As of year-end 2021, domestic transactions accounted for 64.5% of Ekspo Faktoring’s total turnover and international transactions for 35.5%. The Company carries manageable levels of maturity, liquidity, and currency risks. Traditionally, dividends are not distributed at Ekspo Faktoring, and the profits are retained in shareholders’ equity.

SHAREHOLDERS’ EQUITY (THOUSAND TRY)
236,779
2021
193,208
2020
173,787
2019

Sustainable profitability

Ekspo Faktoring carries out its operations depending heavily on its shareholders’ equity, and the Company’s effective business processes deliver high profitability. Pursuant to the Banking Regulation and Supervision Agency’s (BRSA) regulation of 24.04.2013, non-bank finance companies are required to continuously maintain a shareholders’ equity/total assets ratio of a minimum of 3%. Considering the changing market conditions in 2021, Ekspo Faktoring has achieved an outstanding ratio of 52%.

52%
Shareholders’ equity/total assets ratio

Reliable rating system

As a key factor that provides a competitive edge, the low leverage ratio of Ekspo Faktoring has enabled the Company to develop strong relationships with domestic and international correspondents and financial institutions. Ekspo Faktoring’s receivables are 98% revocable. Furthermore, the Company works with due diligence to ensure that a single party’s debt does not exceed 10% of the related client’s total outstanding risk. This is a clear indication of the Company’s high asset quality and the reliability of its rating system.

98%
Revocable receivables

Ekspo Faktoring continuously improves its risk evaluation system using methods applied by leading international rating agencies to assess its financial receivables in a healthy and consistent manner, which enables the Company to add low-risk clients to its portfolio to maintain the asset quality above the sector average.