Joint Stock Company Kaspi.kz(KSPI) - 2025 Q4 - Earnings Call Transcript

Financial Data and Key Metrics Changes - The company's net income grew by 18% excluding external factors, while consolidated net profit grew around 10% including those factors [3] - For Q4, net income growth reached 13%, indicating solid performance despite headwinds [3] - Revenue growth for the full year was 19%, with a 15% growth in Q4 [41] Business Line Data and Key Metrics Changes - Payments in Kazakhstan saw a TPV growth of 14% year-over-year in Q4 and 19% for the full year [21] - Marketplace GMV growth was 12% in Q4 and 19% for the full year, with e-Commerce being the fastest-growing segment at 9% GMV growth in Q4 and 16% for the full year [22][25] - Fintech growth was 4% in Q4 and 13% for the full year, driven by merchant and micro business financing [33] Market Data and Key Metrics Changes - The smartphone category negatively impacted GMV, with a decline of around 24% in Q4, but it is expected to return to growth in 2026 [23] - e-Grocery is the fastest-growing e-Commerce business, with GMV growth of 53% for the year [26] Company Strategy and Development Direction - The company is focused on long-term growth and value creation while resuming dividends due to strong cash generation [2] - Emphasis on consumer engagement and the quality of products and services to drive repeat purchases and loyalty [6][19] - Plans to continue investing in technology and consumer engagement in Türkiye, aiming for EBITDA breakeven [20][54] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the impact of external factors such as high interest rates and tax changes on performance [3][35] - The company is optimistic about future growth, particularly in e-Commerce and fintech, despite current challenges [20][36] Other Important Information - The proposed dividend is KZT 850 per ADS, subject to shareholder approval [2] - The company has a strong brand presence, with significant consumer engagement metrics [4][5] Q&A Session Summary Question: Can you comment on the order trajectory and potential peak losses in Türkiye? - Management indicated that they will manage the Türkiye business around EBITDA breakeven while investing in consumer engagement and technology [50][52] Question: What is the nature of the $300 million investment from Rabobank? - The investment will support the launch of a wider range of financial products and is already factored into dividend considerations [54][55] Question: How does the company view the competitive environment in Türkiye? - The focus remains on product quality and consumer engagement rather than competition, with a commitment to improving services [66][71] Question: Can you clarify the sustainability of the dividend payout? - The company confirmed that the proposed dividend is sustainable for the remainder of the year, despite potential regulatory and tax impacts [67][69]