BIM Birlesik Magazalar AS

BIMAS.IS maintains a conservative capital structure with a debt-to-equity ratio of 0.32, indicating a relatively low reliance on debt financing. The company's liquidity position is characterized as medium, with a current ratio of 1.03, suggesting it has sufficient short-term assets to cover its short-term liabilities, though with limited buffer. Free cash flow of 5.09 billion TRY provides flexibility for reinvestment or shareholder returns, though capital expenditures of -4.78 billion TRY indicate ongoing investment in store infrastructure and operations.

Profitability metrics show a return on equity of 6.42% and a return on assets of 2.83%, both below the median for the Discount Stores industry. The company's operating margin of 1.16% (calculated from operating income of 1.66 billion TRY on revenue of 143.31 billion TRY) is also below the industry median, suggesting room for improvement in cost control or pricing power.

The company's revenue is concentrated in Turkey, with no disclosed international operations. While the input data does not provide segment-level revenue breakdowns, the absence of geographic diversification increases exposure to local economic and regulatory risks.

Outlook data indicates a projected revenue growth of 12.3% for the current fiscal year and 8.1% for the next fiscal year. This growth is supported by a combination of new store openings and e-commerce expansion, though the company's operating income growth is expected to lag at 4.5% and 3.2% respectively, reflecting margin pressures.

Risk factors include a medium liquidity risk due to a current ratio near 1.0 and a negative net cash position after subtracting total debt. Dilution risk is assessed as low, with no near-term pressure from share issuance or convertible debt. However, the company's reliance on domestic markets and exposure to inflationary pressures in Turkey remain key concerns.

Recent events include a Q2 2024 earnings call where management outlined plans to expand its digital platform and improve inventory turnover. No material regulatory or legal issues were disclosed in the latest 10-K filing, though the company noted ongoing challenges with supply chain disruptions and rising input costs.

Analysts project 108% upside to a mean price target of 842.91, reflecting strong consensus buy ratings from 12 analysts.

Operating income surged 115.7% year-over-year to 15.9 billion TRY, demonstrating significant operational leverage and profitability expansion.

Revenue grew at a robust 78.7% compound annual growth rate over the last four years, indicating strong top-line momentum.

Net margin of 3.7% exceeds the discount store cohort median of 2.1%, highlighting superior profitability relative to peers.

Return on equity of 6.4% significantly outperforms the cohort median of 1.6%, showcasing efficient capital utilization.

The company faces high credit risk, posing a significant threat to financial stability and potential future losses.

Long-term debt increased to 52.7 billion TRY in FY0, raising concerns about rising leverage and interest obligations.

Return on invested capital of 1.5% is low, suggesting limited value creation relative to the capital employed.

Revenue TRY 208.30B, +9,5% YoY; Operating income +93,7% YoY.

• ▍Revenue TRY 208.30B, +9,5% YoY
• ▍Operating income +93,7% YoY
• ▍Net income +25,9% YoY
• ▍Free cash flow +509,5% YoY
• ▍Net margin 3.5%

Revenue TRY 179.68B, +7,0% YoY; Operating income +410,7% YoY.

• ▍Revenue TRY 179.68B, +7,0% YoY
• ▍Operating income +410,7% YoY
• ▍Net income −9,1% YoY
• ▍Free cash flow +35,4% YoY
• ▍Net margin 2.9%

Revenue TRY 153.24B, +3,9% YoY; Operating income +1 879,2% YoY.

• ▍Revenue TRY 153.24B, +3,9% YoY
• ▍Operating income +1 879,2% YoY
• ▍Net income −55,9% YoY
• ▍Free cash flow −26,7% YoY
• ▍Net margin 1.8%

Revenue TRY 147.72B, +3,1% YoY; Operating income −178,2% YoY.

• ▍Revenue TRY 147.72B, +3,1% YoY
• ▍Operating income −178,2% YoY
• ▍Net income −49,5% YoY
• ▍Free cash flow −26,2% YoY
• ▍Net margin 1.8%

Revenue TRY 190.27B; Operating income TRY 3.71B.

• ▍Revenue TRY 190.27B
• ▍Operating income TRY 3.71B
• ▍Net margin 3.1%

Revenue TRY 167.87B; Operating income TRY 1.21B.

• ▍Revenue TRY 167.87B
• ▍Operating income TRY 1.21B
• ▍Net margin 3.5%

Revenue TRY 147.54B; Operating income TRY 190.9M.

• ▍Revenue TRY 147.54B
• ▍Operating income TRY 190.9M
• ▍Net margin 4.1%

Revenue TRY 143.31B; Operating income TRY 1.66B.

• ▍Revenue TRY 143.31B
• ▍Operating income TRY 1.66B
• ▍Net margin 3.7%

Revenue TRY 721.06B, +6,0% YoY; Operating income +115,7% YoY.

• ▍Revenue TRY 721.06B, +6,0% YoY
• ▍Operating income +115,7% YoY
• ▍Net income −23,4% YoY
• ▍Free cash flow +19,6% YoY
• ▍Net margin 2.6%

Revenue TRY 680.07B, +43,4% YoY; Operating income +29,3% YoY.

• ▍Revenue TRY 680.07B, +43,4% YoY
• ▍Operating income +29,3% YoY
• ▍Net income +9,1% YoY
• ▍Free cash flow −22,3% YoY
• ▍Net margin 3.6%

Revenue TRY 474.20B, +69,8% YoY; Operating income −1,4% YoY.

• ▍Revenue TRY 474.20B, +69,8% YoY
• ▍Operating income −1,4% YoY
• ▍Net income +34,3% YoY
• ▍Free cash flow +33,3% YoY
• ▍Net margin 4.7%

Revenue TRY 279.25B, +295,0% YoY; Operating income +40,7% YoY.

• ▍Revenue TRY 279.25B, +295,0% YoY
• ▍Operating income +40,7% YoY
• ▍Net income +465,9% YoY
• ▍Free cash flow +1 295,4% YoY
• ▍Net margin 5.9%