D-MARKET Electronic Services & Trading Reports Strong Q1 Operational Growth and EBITDA Improvement Amid Widening Net Loss

summarizeSummary

D-MARKET Electronic Services & Trading reported strong Q1 2026 operational growth and a significant EBITDA increase, but net loss widened due to financial expenses and growth investments.

check_boxKey Events

• Strong Operational Growth

  Gross Merchandise Value (GMV) increased by 28.4% to TRY 57.8 billion, and revenue grew by 22.9% to TRY 23,136.6 million in Q1 2026 compared to Q1 2025.

• Significant EBITDA Improvement

  EBITDA increased by 195.1% to TRY 420.3 million, with EBITDA as a percentage of GMV rising by 0.4 percentage points to 0.7%, indicating enhanced operational efficiency.

• Widening Net Loss

  The net loss for the period widened by 113.5% to TRY 992.0 million, primarily driven by a TRY 943.1 million increase in net financial expenses and fees, alongside investments in growth initiatives.

• Improved Free Cash Flow

  Free cash flow improved by 8.1% to negative TRY 1,120.2 million from negative TRY 1,219.5 million in the prior year, though it remains an outflow.

auto_awesomeAnalysis

D-MARKET Electronic Services & Trading (Hepsiburada) reported a mixed first quarter, demonstrating robust operational growth with a 28.4% increase in Gross Merchandise Value (GMV) and a 22.9% rise in revenue. Notably, EBITDA surged by 195.1% to TRY 420.3 million, indicating significant operational efficiency gains and a positive shift from the declining EBITDA reported in the prior annual filing. However, the company's net loss widened by 113.5% to TRY 992.0 million, primarily due to increased financial expenses and investments in growth initiatives. While the operational momentum and EBITDA turnaround are positive signals for the underlying business, the substantial net loss and continued negative free cash flow highlight ongoing profitability challenges in a hyperinflationary environment. Investors will be watching for sustained EBITDA growth and a path to reduced net losses.