Aselsan’s goal is to reduce Turkey’s dependence on imports by producing high-standard technological products and services in all areas it operates
Turkish defence giant Aselsan’s revenue increased last year by 24 per cent, reaching around six billion Turkish Lira (US$2 billion), as the company signed export contracts worth over US$450 million. The net profit of the company reached 4.5 billion with an increase of 33 per cent compared to the previous year.
Aselsan’s acceleration in exports continued in 2020, when the mobility between countries stopped completely due to the pandemic. In 2020, the company signed contracts with six new countries for a total amount of US$446 million and contributed to the export volume of our country. With the contribution of new orders received from abroad, export backlog reached its historical peak by exceeding the US$1 billion threshold. Total backlog is US$9.5 billion.
Aselsan Chairman, President and CEO Prof. Dr. Haluk GÖRGÜN said, “Being aware of the responsibility we bear for our country, in 2020, when the negative effects of the pandemic are felt in every field, our motto was “Aselsan does not stop, cannot stop!” and we did not stop our activities for a single day. We have implemented a very effective decision mechanism within Aselsan since the first effects of the pandemic began to appear. While observing the needs and expectations of our government on the one hand, we also tried to take all kinds of precautions for the health of our employees. In 2020, Aselsan continued its activities in the field of technology and R&D by making R&D expenditures of 3.3 Billion TL. We mobilized all our financial and operational resources to ensure that more than four thousand suppliers, who provide products and services to Aselsan, are not adversely affected by the pandemic. Our high revenue and profitability figures by the end of 2020 are the result of these management strategies that we have implemented with the awareness of being a family.”
The new conditions brought by the pandemic have completely reshaped the ways of doing business around the world that have been accustomed to for decades. The fact that this change took place at an unaccustomed speed negatively affected companies that were unprepared in terms of infrastructure and human resources. Aselsan has been a change leading company for many years and invested in qualified human resources, which it sees as its most valuable asset. “With approximately 1,500 employees, who joined our Aselsan family in 2020, we further strengthened this ring of values and completed the year with the highest employment rate of all time,” he added.
Referring to global presence, he said: “As Aselsan, we continue to rapidly expand our global activity with our sales and production network spanning over 12 countries in 3 continents. We are pleased to start gaining from our global leadership vision that we initiated 2 years ago. 2020 has been a very productive year in which the highest export receivable collection was made, the most export orders were received and the number of export countries was increased to 70. As part of our strategy to resolve our processes with our overseas customers in the country where they are located, in a timely and effective manner, we established companies, opened offices and branches in 3 countries last year. With these breakthroughs, our total number of offices and branches at home and abroad reached 28.
Turkish defence giant Aselsan’s revenue increased last year by 24 per cent, reaching around US$2 billion, with signed export contracts worth over US$450 million
EXCLUSIVE INTERVIEW: Chairman, President and CEO Prof. Dr. Haluk GÖRGÜN
Aselsan signed a new sales contract for Remote Controlled Weapon Stations in Bahrain last year. How is Aselsan planning to further increase its market share?
GÖRGÜN: Over the last year, we have introduced our wide range of products and solutions to a large number of countries including those in the Middle East and Gulf region. We have signed significant number of contracts in Bahrain and other Gulf countries. We will expand our activities in the region through supply of high-end products as well as customized solutions as per specific requirements of our clients.
Furthermore, localization will be one of our key principles. Serving our clients through our local offices, manufacturing facilities, design houses, maintenance – repair and overhaul centers will increase contribution of Aselsan in the region.
Kindly provide an update on demand for Aselsan RCWS such as SMASH especially in the Middle East and South East Asia?
GÖRGÜN: Aselsan Remote Controlled Weapon Stations (RCWS) fulfill the high performance requirements of the users while offering a high quality and combat proven solution. As of today, over 3500 RCWS have been successfully deployed to the 35 land and naval platforms worldwide covering clients in Middle East and South East Asia regions.
Due to the needs of our clients, demand for RCWS continue with an increasing rate. High performance requirements of the Land Forces for their Main Battle Tanks and Armored Vehicles are fulfilled by RCWSs.
Does the company have plans to further invest in Malaysia for the serial production and R&D?
GÖRGÜN: We give top priority to Asia-Pacific by presenting our customized solutions to the users in the region especially against common threats that the region has been facing with. Specifically, our EW, MPA, RCWS and communication solutions, which are combat proven, are ready to support Malaysian Armed Forces.
For the past 3 decades, we have always extended our unwavering support, focus and commitment to Malaysia in the field of defense. In this context, we have plans to make further investments and enhance our field of activities in the region.
Our special mission aircrafts business line offers best-of-its-class platforms utilizing various Aselsan payloads that operates in fully integrated fashion with the world-class aircrafts. In this aspect, we are strongly willing to meet the long term needs of Royal Malaysian Air Force (RMAF) with particular focus on the RMAF’s Maritime Patrol Aircraft Program.
With our wide range of engineering and defense solutions, we expect significant progress in the Asia-Pacific market and will continue seeking for the opportunities of developing local cooperation. We dedicate our resources to offer the value for our clients in all over the world.
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