Beyond Design: 4 Surprising Truths Behind Koleksiyon Furniture’s Balance Sheet
Introduction
When we think of Koleksiyon Furniture, what often comes to mind are high-quality, aesthetic, and design-oriented pieces. With its elegant stores and distinctive style, the brand has positioned itself as an essential part of modern living spaces. However, looking beyond this refined façade and delving into the company’s public activity reports and financial statements reveals a much more layered and surprising business model, strategy, and financial reality.
This article examines four lesser-known and striking aspects of Koleksiyon Furniture.
1. More Than a Manufacturer: A Deep Design Legacy
One of the core dynamics behind Koleksiyon Furniture’s success lies in the company’s DNA — rooted not merely in furniture manufacturing, but in architecture. The company was founded in 1972 by architect Faruk Malhan, whose architectural perspective gave the brand a distinctive identity that blended aesthetics and functionality from day one.
This strong design heritage continues with the second generation, maintaining the same vision and achieving international recognition. Today, Koray Malhan, the company’s Design and Brand Director, continues to shape the brand’s identity and has earned prestigious international awards.
His “Gala” office chair, co-designed with Gerhard Reichert and Heinrich Iglseder, won both the Good Design Award and the Red Dot Product Design Award in 2012.
This legacy proves that Koleksiyon’s competitive advantage lies not only in what it produces but in how it thinks: its success is not merely due to production capacity but stems from a multi-generational, award-winning design vision.
2. Retail Is Just the Showcase: Where Does 81% of Revenue Come From?
Many recognize the Koleksiyon brand through its stylish retail stores in prime city locations — where individual customers select furniture for their homes. These stores form the brand’s visible face. However, the 2025 Q3 activity report, reflecting 2024 financial data, reveals just how misleading this perception can be.
The overwhelming majority of the company’s total revenue comes from an entirely different channel:
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Corporate Sales (Project-Based Work): 81% of total revenue
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Retail Sales: only 1% of total revenue
These figures clearly show that Koleksiyon’s main focus is not individual consumers, but rather large-scale corporate projects — furnishing offices, hotels, healthcare, and educational institutions.
This business model shields the company from the high rents and marketing costs of retail while ensuring a more stable and predictable income flow through long-term institutional partnerships and large projects.
3. The Factory Doesn’t Just Power Itself — It Sells Energy to the Grid
Sustainability and environmental responsibility have become key marketing slogans for many companies. At Koleksiyon, however, these concepts form the foundation of a tangible, measurable business strategy. The most striking evidence of this is the Solar Power Plant (SPP) installed on the roof of the company’s vast 86,000 m² production facility in Tekirdağ.
With a capacity of 2.57 MWp, the SPP is far more than a symbolic eco-friendly gesture. The data reveal the scale and impact of the investment:
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The solar plant meets 100% of the factory’s electricity needs.
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Even more impressively, in the first nine months of 2024, the facility generated 123% more electricity than it consumed, selling the surplus back to the grid.
These figures show that Koleksiyon has turned sustainability from a marketing slogan into a profitable operational strategy that directly strengthens its balance sheet.
4. The Profitability Paradox: Why Did Profit Drop While Revenue Rose?
When a company’s revenue increases while its profit plunges by over 80%, it’s a signal that calls for a deeper look into the balance sheet. Koleksiyon Furniture’s financial statements for the first nine months of 2025 reveal exactly such a paradox.
At first glance, the numbers appear positive:
Revenue in the first nine months of 2025 rose to 1,443,367,740 TL, compared to 1,398,746,462 TL in the same period of 2024.
However, a look further down the income statement tells a different story:
Despite the revenue increase, Net Profit dropped dramatically — from 261 million TL (261,426,549 TL) to 48 million TL (48,035,881 TL).
This suggests that while the company continues to grow, it is also facing significant cost pressures. Rising raw material costs, tighter competition reducing profit margins, or higher operational expenses could all help explain why net profitability declined so sharply despite higher sales.
This cost pressure also underscores the strategic importance of the solar power investment discussed in Section 3 — which not only eliminates energy costs but also creates additional income potential.
Conclusion
Koleksiyon Furniture is far more than a stylish design brand.
It embodies a rich architectural heritage, a business model focused on institutional projects rather than retail, a sustainability strategy that literally generates profit, and complex financial dynamics balancing growth and profitability.
So, how does knowing these strategic and financial truths hidden behind a brand’s elegant showcase change the way you see it?