Profit Increase at Reysaş GYO: But What is Really Happening?

Income Issues at Reysaş GYO

Although Reysaş GYO's net profit has increased from 2.5 billion TL to 10.4 billion TL, this figure may be misleading. The market value of only 57 billion TL overlooks all this profit. The problem arises from a serious imbalance between the value of the properties the company owns and the cash flow it generates.

Property Value vs. Cash Flow

Reysaş GYO's real estate portfolio is valued at 94 billion TL. However, the income received in the nine months of 2025 has decreased from 3.6 billion TL to 2.6 billion TL. The market is trading the stock down by 40% due to the effect of this decline. The view that "%40 discount is not an opportunity but a penalty" summarizes the situation.

Real Source of Net Profit

The increase in net profit observed at Reysaş GYO comes from 8.26 billion TL in deferred tax income. This indicates that the company has not made a real sale and has not generated cash income. The gross profit has also decreased from 3.4 billion TL to 2.1 billion TL, which is another factor negatively affecting investors.

New Contracts and Investor Expectations

Escar Filo has entered into a deal valued at 259 million TL with a single signature. However, this figure accounts for only 10% of the company's current income and will provide income spread over three years. The annual impact is estimated to be approximately 86 million TL. This situation explains why the market's reaction to this news has been negative.

Market Cash Expectations

The market is approaching new business information with caution, considering the limited revenue and current financial performance. The situation of Reysaş GYO showing an operating loss of 686 million TL and a net loss of 1.5 billion TL increases concerns that new business acquisitions may only reinforce the losses.

Investors Be Cautious: Focus on Profit Margin

For Reysaş GYO's stock price to rise above 28 TL, it is necessary for the profit margin to show improvement. It is crucial to not only focus on new business acquisitions but also on how these jobs will contribute to the company’s profitability.