Emlak Konut’s Quarterly Profit Plummets to TL 1 Billion

Emlak Konut Real Estate Investment Partnership Inc. reported a TL 1 billion net profit for Q2 2026, marking a steep decline of 26% quarter‑on‑quarter and 87% year‑on‑year from TL 7.9 billion in the same period last year.

Profit and EBITDA Breakdown

■Net profit: TL 1 billion (‑26% QoQ, ‑87% YoY)

■EBITDA: TL 6.1 billion (+7% QoQ, ‑38% YoY)

■EBITDA margin: 22% (‑440 basis points YoY)

■Gross profit margin: 28% (‑900 basis points YoY)

Revenue and Sales Performance

■Revenue: TL 30.7 billion (+35% QoQ, ‑2% YoY)

■Residential & commercial unit sales revenue: TL 9 billion (below last year’s TL 17 billion)

■Pre‑sales units: 950 units (down from 1,658 units in Q1)

■Land sales revenue: TL 5.5 billion (H1) – target TL 10.6 billion by year‑end

Cost and Expense Pressures

■Land costs surged, pulling the gross profit margin down to 28%.

■General administrative expenses rose 43% QoQ and 34% YoY.

■Net cash position gains remained limited compared with prior quarters.

Strategic Outlook for 2026

■Independent unit sales: H1 TL 45.2 billion, year‑end target TL 135.2 billion.

■Net profit target: H1 TL 2.3 billion, year‑end TL 13.1 billion.

■Land sales: H1 TL 5.5 billion, year‑end TL 10.6 billion.

Murat Yıldız – The profit slump at Emlak Konut reflects a mix of rising land costs and escalating administrative expenses. While the company’s year‑end targets assume a strong rebound, the current cost pressures and continued weakness in residential sales revenues suggest investors should adopt a cautious stance on profitability and cash flow. With interest rate volatility and broader economic uncertainty shaping housing demand, Emlak Konut’s strategic shift toward cost control and high‑margin land projects will be pivotal.