Turkey’s leading mobility super app, Marti Technologies, Inc. has announced its financial and operational results for the first half of 2024.
Key Highlights – First Half of 2024:
- Ride-Hailing Success: Capital-efficient investments in ride-hailing surpassed operational targets, demonstrating high demand.
- Revenue and Losses: Revenue reached $8.4 million with a net loss of $21.9 million. Adjusted EBITDA was reported at $(11.3) million. The company remains on track for its full-year revenue guidance of $16.6 million and adjusted EBITDA of $(22.5) million.
- Operational Efficiencies: Marti achieved adjusted EBITDA neutrality in its two-wheeled electric vehicle rental business, marking a $4.4 million improvement over the first half of 2023.
- Market Leadership: Marti maintained its dominant position in Türkiye, holding 59% of the two-wheeled electric vehicle rental market.
CEO Remarks:
Oguz Alper Oktem, Founder and CEO of Marti, commented on the strong first half performance: “We exceeded ride-hailing targets and strengthened our market position. We’ve successfully attracted 1.1 million unique riders and 171,000 registered drivers, with ongoing investments to fuel growth in the second half of the year.”
Electric Vehicle Segment:
Marti continues to grow its two-wheeled electric vehicle fleet, now averaging 35,000 daily deployed vehicles. Operational efficiency projects reduced costs by $3.0 million in the first half of 2024.
In February, Marti acquired Zoba, an AI-powered SaaS platform for dynamic fleet optimization. This acquisition led to a significant increase in daily rides per vehicle, proving its value.
Financial Overview:
- Revenue: $8.4 million in H1 2024, a decrease of 11% from H1 2023, primarily due to a drop in daily rides per vehicle, partially offset by higher revenue per ride.
- EBITDA: Adjusted EBITDA was $(11.3) million, down 28% year-over-year due to increased ride-hailing investments.
- Liquidity: Cash and cash equivalents totaled $9.0 million at the end of H1 2024, down 54% from FY 2023, due to ride-hailing investments.
Share Repurchase and Acquisitions:
- Share Repurchase Program: Marti initiated a $2.5 million share repurchase program in January 2024, allowing share buybacks up to a price of $3.30 through October 2024.
- Zoba Acquisition: In February 2024, Marti acquired Zoba’s intellectual property, which helped increase ride efficiency and generate additional revenue.
Ride-Hailing Performance:
- Riders and Drivers: By the end of H1 2024, Marti exceeded its rider target with 1.1 million riders and surpassed its registered driver target with 171,000 drivers. The majority of drivers (142,000) are based in Istanbul, where there are fewer than 21,000 taxis in service.
- Growth Plans: Marti aims to expand its rider base to 1.6 million and its registered drivers to 245,000 by the end of 2024, continuing its capital-efficient growth strategy.
Two-Wheeled Electric Vehicle Segment:
- Fleet Efficiency: Marti maintained an average of 35,000 deployed vehicles daily. However, daily rides per vehicle dropped by 36% year-over-year due to inflationary pressures and pricing strategies. On the other hand, average revenue per ride increased by 38%, highlighting the company’s focus on profitability.
- Cost Reductions: Operational efficiencies led to a 35% reduction in costs, including lower expenses for field staff, maintenance, and refurbished parts.
Full-Year 2024 Guidance:
- Revenue: Marti reaffirmed its guidance of $16.6 million in revenue for FY 2024.
- Adjusted EBITDA: The company expects adjusted EBITDA to be $(22.5) million by year-end.
The company remains optimistic about the growth of its ride-hailing and electric vehicle segments, despite the ongoing challenges in the market.
Forward-Looking Statements: The financial and operational projections provided are subject to risks and uncertainties, as outlined in the company’s reports filed with the SEC.
