Mavi Giyim Sanayi ve Ticaret (MAVI) Q2 2027 earnings summary

Executive summary

• Revenue for H1 2026 declined 1.1% year-over-year to TL 25,831,681, with EBITDA at TL 4,678,648 and net income at TL 807 million.

• Operating environment in Türkiye remains challenging due to persistent high inflation and soft consumer demand, but disciplined execution and brand strength supported performance.

• Profit before tax more than doubled year-on-year, up 117%, with strong operational cash generation and robust balance sheet.

• Türkiye retail sales were flat, online sales declined 2.9%, and international revenue grew 1.4% in constant currency; U.S. operations delivered 18% growth in H1 and 24% in Q2.

• The Group continued to operate in a high-inflation environment, applying inflation accounting as per TAS 29.

Financial highlights

• Gross margin improved to 53.1% in H1 2026, up from 51.3% in H1 2025.

• Q2 EBITDA was TL 2,065 million, up 4% year-on-year; EBITDA margin improved by 70 bps to 16.4%.

• Q2 net income was TL 239 million, up 9% year-on-year; H1 net income was TL 807 million, margin 3.1%.

• Operational cash flow in H1 2026 was TL 4,216 million, with inventory levels 7% lower year-on-year.

• Cash and cash equivalents at period end were TL 9,329,265, up from TL 7,704,589 in the prior year.

Outlook and guidance

• Full-year 2026 revenue guidance revised to flat or low single-digit decline in real terms due to higher-than-expected inflation.

• EBITDA margin guidance maintained at 18.0% ± 0.5%; retail investment plans unchanged.

• Early Q3 trading shows strong nominal growth in Türkiye retail and online sales, with back-to-school season gaining momentum.

• Management notes that the six-month results are not indicative of the full year due to seasonality.

• The Group continues to monitor inflationary impacts and currency volatility.