In the face of losses, falling sales and increased competition Vestel is having to restructure their business quite significantly to combat £2.6 billion of debts.
Marketing General Manager Duygu Badem Uylukcuoglu said Vestel’s approach was building stability rather than quick results. “This is not a sprint, it is a marathon,”.
“Even with ups and downs, we have broken the balance upward,” she added, stressing that despite some issues, the company is moving in a positive direction. “I cannot go into detail on figures, but I can say that every quarter we will get better. The way we operate has changed, and teams are being restructured,”
Vestel reported its biggest quarterly loss in the second quarter of this year of ₺12.64 billion (£220 million).
Vestel’s total liabilities were nearly four times larger than its equity capital of ₺38.94 billion (just under £70 million).
The company’s production volume in the first half of this year declined by 35% compared with 2024, with net sales falling 16% in monetary terms and 21% in units.
Vestel’s sales totalled ₺75.41 billion, of which ₺43.84 billion came from exports.
Of the total, 46% of sales were to European countries, 42% to Türkiye’s domestic market, and 12% to other destinations.
Exports are key to Vestel, contributing £1.69 billion annually to the company’s overall £2.93 billion turnover.
Vestel employs around 16,000 people.
The company is pumping a lot of money into R&D, roughly 4& of revenue, in order to catch up with rivals.
Vestel also faces problems in Europe including rising energy costs, logistics issues, and intense price pressure from Asian imports.
According to GfK, the largest German market research company, the European white goods market across 24 countries grew by 2% in the first half of 2025 compared with a year earlier. Among the five largest EU markets, the United Kingdom, Italy, and Spain expanded by around 4%, while Germany and France contracted by about 1%, leaving overall EU5 growth at 1%.
