2015 ASELSAN Annual Report
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40 Years Old Companion 2015 Annual Report ASELSAN is a company of Turkish Armed Forces Foundation. Reliable Technology In order to access ASELSAN corporate website: Content Management Field of Activities • Chairman’s Message • Communications and Information • Members of the Board of Directors Technologies Business Sector • Corporate Governance • Defense System Technologies Business Sector • CEO’s Message • Microelectronics, Guidance and Electro-Optics • Members of the Execution Board Business Sector • Radar and Electronic Warfare Systems Business In 2015 Sector • Strategy and Business Development • Transportation, Security, Energy and • R&D and Technology Automation Systems Business Sector • ASELSAN Research Center • Human Resources at ASELSAN Financial Information • ASELSAN Academy • Consolidated Statement of Financial Position • Integrated Logistic Support (ELD) • Consolidated Statement of Financial Profit or • Highlights in 2015 Loss • Awards in 2015 • Consolidated Statement of Financial Comprehensive Income • Consolidated Statement of Changes in Equity • Consolidated Statement of Cash Flow Abbreviations Contact ASELSAN at a Glance 3 Our Vision Our Mission Being a national technology company that By focusing primarily on the needs of the Turkish maintains its sustainable growth by creating Armed Forces; to provide high-value-added, value in the global market; preferred due to its innovative and reliable products and solutions to both competitiveness, trusted as a strategic partner, and local and foreign customers in the fields of electronic caring for the environment and people. technologies and system integration; continuing activities in line with global targets as well as increasing brand awareness and contributing to the technological independence of Turkey. Our Values; • National consciousness • Honesty and trustworthiness • Customer oriented • Respect to people and nature • Innovation and creativeness • Modesty • Corporate loyalty • Research and entrepreneurial spirit • Objective driven • Team spirit and solidarity • Work discipline • Cost consciousness ASELSAN 2015 Annual Report 4 ASELSAN at a Glance Management in 2015 Field of Activities ASELSAN’S Shareholder Structure Our Shareholders ASELSAN, which is Our Shareholders Share Amount (TL) Share (%) one of the companies TAFF 422,912,812.23 84.58 owned by the Turkish Armed Forces Quoted on the BIST 76,509,342.32 15.30 84.58% Foundation (TAFF), TAFF Axa Insurance Inc. 577,845.45 0.12 is a public limited Total 500,000,000.00 100.00 company with 84.58% of its shares belonging to TAFF and 15.3% of the 15.30% Quoted on the BIST shares quoted on the 0.12% Axa Insurance Inc. Borsa İstanbul (BIST). ASELSAN 2015 Annual Report ASELSAN at a Glance 5 Financial Status of ASELSAN Sales ASELSAN realized 52% of its TL 2,780 million in total sales to the TAF with private companies and other corporate customers accounting for 28% of sales. Exports accounted for 20% of sales. 52% ASELSAN signed contracts/orders amounting to USD 3,879 million in 2015, TAF while its backlog stood at USD 4.3 billion at the end of the year. ASELSAN’s share price varied from a minimum of TL 11.20 and a maximum of TL 17.16, ending the year at TL 16.87, posting a gain of 40.58%. Accordingly, the Company’s market value ended the year 2015 at USD 2.9 billion. 52% Turkish Armed Forces 20% Exports 28% Public and Private Institutions Exports Exports (TL million) The total number of countries ASELSAN exports to reached 63 with the 548 deliveries made to Bahrain, Chile and Vietnam in 2015. 600 548 A total of TL 548 million in new contracts and orders were signed in 460 foreign markets in 2015, marking an important success. 400 ASELSAN was ranked as 62nd in global defense industry in 2015. The Company continued to move forward in line with its growth targets in 200 the global market. 2014 2015 0 TL million ASELSAN 2015 Annual Report 6 ASELSAN at a Glance Management in 2015 Field of Activities Local Affiliates ASELSANNET Electronic and Mikroelektronik R&D Design ROKETSAN Rocket Industry Communication Systems and Trading Ltd. Co. and Trade Inc. Industry, Trade, Construction Mikroelektronik was established in ROKETSAN was established in Ankara in İstanbul to design and develop integrated 1988 to manufacture all types of missiles, and Contracting Ltd. Co. circuit and electronic systems. The rockets, rocket launchers and rocket fuel ASELSANNET was established in 2006 partnership with this Company was and their engines, warheads and other to meet the needs of civilian companies established through the purchase of 85% components, while also undertaking the and institutions for electronic and of the shares in 2010. manufacture, marketing and sales of all communication devices. Its operations types of military and civilian products have also included communication that require high level and sensitive system infrastructure turn-key deliveries technology. ASELSAN holds a 14.897% and installation work since 2009. stake in the Company. ASELSAN is the 100% shareholder in this company. ASELSAN Precision Optics Industry and ASELSAN Bilkent Micro Nano Technologies Trade Inc. Industry and Trade Inc. ASELSAN PRECISION OPTICS was established in Sivas ASELSAN BİLKENT MICRO NANO TECHNOLOGIES was in 2014 to conduct research and development studies established in Ankara, Bilkent in 2014 to conduct research and for optics, optical sets and optical devices in relation to development studies related to all types of semi-conductors ultraviolet, visible and near infrared bandwidths and to and similar applications for technological materials and to manufacture and sell these optical devices. ASELSAN manufacture and sell micro- and nano- scaled devices which holds 50% of the shares in this company. include these materials. ASELSAN holds 50% of the shares of the company. Subsidiaries, Affiliates and Marketable Securities Subsidiaries, Affiliates and Marketable Securities Share Amount Share (%) ASELSANNET Electronic and Communication Systems Industry, 1,000,000.00 TL 100.00 Trade, Construction and Contracting Ltd. Co. ASELSAN Baku Company 1,735,212.00 US Dollar 100.00 Microelectronics R&D Design and Trading Ltd. Co. 55,250.00 TL 85.00 ASELSAN Precision Optics Industry and Trade Inc. 6,500,000.00 TL 50.00 ASELSAN BİLKENT Micro Nano Technologies Industry and Trade Inc. 9,000,000.00 TL 50.00 ASELSAN 2015 Annual Report ASELSAN at a Glance 7 Global Affiliates ASELSAN Baku Company Kazakhstan ASELSAN ASELSAN Middle East Psc. (Baku - Azerbaijan) Engineering LLP. Ltd. (Amman - Jordan) The Company, 100% owned by (Astana - Kazakhstan) The Company was established as a joint ASELSAN, was established in 1998 to The Company was established in venture company to meet the night carry out the publicity/marketing and Kazakhstan in 2011 to carry out the vision needs of the Jordanian Military sales activities of military and civilian manufacturing, development and Force with the KADDB Investment communication devices. maintenance-repair of electronic devices Group (KIG) holding a 51% stake in the and systems to meet military and civilian Company and ASELSAN holding 49% of needs in a partnership between ASELSAN the shares. 49%, the Undersecretariat for Defense Industries (UDI) 1% and Kazakhstan Engineering 50%. IGG ASELSAN Integrated Systems LLC. ASELSAN South Africa Branch (Abu Dhabi - UAE) (Pretoria - Republic of South Africa) IGG ASELSAN Integrated Systems was established with the This Company is the branch we established to operate in aim of manufacturing, testing, and integrating ASELSAN’s the fields of design of optical systems and introduction and products in the UAE and selling and providing after-sales marketing of ASELSAN’s products in South Africa and nearby support in Gulf countries, and the UAE in particular, in 2011 in countries in 2011. a partnership between ASELSAN 49% and IGG 51%. Subsidiaries, Affiliates and Marketable Securities Share Amount Share (%) IGG ASELSAN Integrated Systems LLC 98,000.00 UAE Dirham 49.00 Kazakhstan ASELSAN Engineering LLP 2,974,300,000.00 KAZAKHSTAN Tenge 49.00 ASELSAN Middle East PSC. Ltd. 1,225,000.00 JORDANIAN Dinar 49.00 ROKETSAN Rocket Industry and Trade Inc. 21,906,222.86 TL 14.897 ASPİLSAN Military Battery Industry Trading Inc. 56,000.00 TL 1.00 ASELSAN 2015 Annual Report 8 ASELSAN at a Glance Management in 2015 Field of Activities Facilities in Turkey Macunköy Facility The Macunköy Facility was established over a total area of 186,000 m2, of which 110,000 m2 is closed. ASELSAN Macunköy Facility is home to the President & CEO, Communications and Information Technologies Business Sector and Defense System Technologies Business Sector and Transportation, Security Energy and Automation Sector. Akyurt Facility The Akyurt Facility was established on a total area of 231,000 m2 of which 54,000 m2 is closed. The Microelectronics Guidance and Electro-Optic Business Sector is located in the ASELSAN Akyurt Facility. Gölbaşı Facility The Facility was established in the Gölbaşı district of Ankara, and houses production plants for radar and electronic warfare systems for land, air, sea, space and unmanned platforms. This Facility was established on a total area of 350,000 m2, of which 75,000 m2 is closed. The Facility of which construction began in 2013, was inaugurated in 2015. ASELSAN 2015 Annual Report ASELSAN at a Glance 9 Organization Board of Directors Internal Audit Board Office President & CEO Head of Science and Head of Strategy Information Dept. Technology Information Dept. Financial Management Vice Presidency Shared