www.turkcell.com.tr<\/a>).<\/p>\nCOMMENTS BY CEO, MURAT ERKAN<\/b><\/p>\n
The wounds of the earthquake have begun to heal<\/b><\/p>\n
\nThe wounds of the February earthquake epicentered in Kahramanmara\u015f, one of the worst disasters in our history, have been swiftly addressed. While all resources are being mobilized for the reconstruction and recovery of the affected region, as Turkiye\u2019s Turkcell we, too, are supporting the region with various employment and education-focused projects. As part of the \u201cTurkcell Employment Mobilization\u201d project we will, in the first stage, provide employment to 1,100 citizens and their families affected by the earthquake across 11 provinces. In addition, with our Call and Vocational Training Center to be established in Hatay, we aim to support earthquake victims not only with training, but also by providing areas for socialization. Meanwhile, with the technical and personal development programs of Turkcell Academy, we aim to provide the region with a qualified workforce of 5,000 people. As Turkcell, we will continue our efforts at full speed to improve the conditions of those affected by the earthquake and alleviate their suffering.<\/p>\n
Mobile ARPU growth outpaced inflation<\/b><\/p>\n
\nIn the first quarter, despite the new subscriber demand in the earthquake-affected region and regulatory tourist line closures, we saw a net total add of 48 thousand subscribers. On the mobile side, we achieved a net add of 342 thousand postpaid subscribers in line with our focus on this segment. On the other hand, we lost 367 thousand prepaid subscribers due to regulatory closures we made this quarter among such subscribers acquired in high numbers from tourists and visitors in 2022. The mobile churn rate slightly increased on an annual basis to 1.7%.<\/p>\n
\nRegarding market competition dynamics, it is fair to state that the first quarter of the year was more balanced compared to the same period of last year due to the earthquake impact. We saw the year-end aggressiveness continue in the early months of the year. Yet as the MNP market volume decreased during the earthquake period and aggressive campaigns subsided in march, the market became more rational.<\/p>\n
\nWe continued our infrastructure investments to provide our citizens with the internet speeds they deserve, and aware that the digitalization of our country depends on the fiber internet infrastructure. Within the framework of our goal of reaching 300 thousand new homepasses in 2023, we extended our end-to-end fiber service to 160 thousand new homepasses this quarter reaching a total of 5.5 million households. As a result of our strategic investments, we gained a net 38 thousand fiber customers in the first quarter of the year. The strong demand for our high-speed packages continued in this quarter. On the fiber side, the share among new customers of packages with speeds of over 100 Mbps increased by 22 percentage points compared to the same period of last year to 44%. Again, in this period, our customers also appreciated the no-commitment packages we offered for the first time in the fiber segment. On the other hand, due to the earthquake effect, fixed churn rate rose slightly on an annual basis. The fixed and fiber residential churn rates were 1.5% and 1.2%, respectively. Despite the earthquake impact, the subscribers of IPTV, which we especially offer to our fiber customers, increased by 28 thousand this quarter.<\/p>\n
\nIn line with our inflationary pricing policy, the sequential price adjustments since the end of 2021 and the slowdown in inflation led mobile ARPU growth to outpace inflation, as expected. Mobile ARPU1<\/sup>, which continued its upward momentum, increased by 67.9% in the first quarter of the year, while the average inflation rate during the period was 54.3%. On the fixed side, the revenue reflection of price adjustments is more extended when compared to mobile due to a longer contract period. In addition, with the actions we have taken for customers in the earthquake region, Residential Fiber ARPU grew 31.4% on a year-on-year basis.<\/p>\n\nIn the first quarter of 2023, our consolidated revenues increased by 61.5% year-on-year to TRY17.3 billion, while EBITDA2<\/sup> rose by 57.1% to TRY6.8 billion compared to the same period of last year. Our net profit rose by 250.8% to TRY2.8 billion, thanks to our strong operational performance, lower FX losses and an effective cash management.<\/p>\nStrong performance from our focus areas continued<\/b><\/p>\n
\nThe stand-alone paid users of our digital services and solutions, which is among our strategic focus areas, rose 24% year-on-year to 5.2 million, while their stand-alone revenues rose 65,2%. TV+, which enriches its offering with domestic and foreign content, continues to strengthen its market position in the through consistent improvement in service quality. In this regard, TV+’s net promoter score (NPS) has steadily increased over the past four quarters, and as of this quarter TV+ leads the market. TV+ has been steadily raising its share in the paid TV market since the second quarter of 2014, and according to the fourth quarter ICTA report, it has increased its market share to 16.5%. Despite the earthquake impact, IPTV subscribers have reached 1.3 million on a 16% year-on-year increase, while OTT TV subscribers maintained a similar yearly increase sustaining 1.0 million subscribers.<\/p>\n
\nThe revenues of digital business services that offer solutions for companies’ digital transformation increased by 103.9% year-on-year, exceeding TRY1.6 billion in the first quarter of 2023. The revenue of our data center and cloud business services, which increase their share in digital business services revenue each quarter, more than doubled in revenue year-on-year. In this quarter, we signed 1,163 new projects with a total contract size of 1.8 billion TRY, of which TRY1.2 billion comprised system integration and managed services projects. Through this project portfolio, we have a backlog of TRY2.5 billion in contract value to be collected after the second quarter of 2023.<\/p>\n
\nOur third focus area, techfin, where we provide services under the Financell and Paycell brands, continued to support group growth. Financell3<\/sup>\u2019s revenue reached TRY317 million, up 64.6% year on year. This performance was driven by a credit portfolio reaching TRY3.9 billion and an increase in average interest rates. Paycell, Turkiye’s digital payment platform, saw its revenues rise 79.4% year-on-year to TRY294 million. \u201cPay Later\u201d, which accounts for 71% of Paycell revenue, doubled its transaction volume compared to the same period of last year, thanks to a rising number of users, being preferred in digital content such as transactions in Apple and Android markets.<\/p>\n\nThe first deliveries of domestically produced smart device Togg T10X, for which pre-sales demand was exceed nine-fold of the production, began to be made in April. The T10X has the distinction of being the first vehicle in the world to be sold through an electronic wallet. During the presale period of T10X, which is the first vehicle to be sold via an electronic wallet, a volume of around TRY11 billion has been executed via Trumore wallet for which Paycell provided its infrastructure. Our Paycell virtual POS product, designed for corporate consumers, and enjoying high demand, will also mediate payments at “Trugo” charging stations.<\/p>\n
\nI take this opportunity to thank our Board of Directors and all our team members for their support in making a strong start to the year, despite the challenges we faced and grief we suffered together this quarter. I also express our gratitude to our customers and business partners who remain with us on our journey towards success.<\/p>\n
\n(1) Excluding M2M
\n
(2) EBITDA is a non-GAAP financial measure. See page 15 for the explanation of how we calculate Adjusted EBITDA and its reconciliation to net income
\n
(3) Following the change in the organizational structure, the revenues of Turkcell Sigorta Arac\u0131l\u0131k Hizmetleri A.\u015e. (Insurance Agency), which was previously managed under the Financell, has been classified from Financell to “Other” in the Techfin segment as of the first quarter of 2023. Within this scope, all past data have been revised for comparability purposes.<\/p>\n
FINANCIAL AND OPERATIONAL REVIEW<\/b><\/p>\n
Financial Review of Turkcell Group<\/b><\/p>\n\n\n| \n Profit & Loss Statement (million TRY)<\/b><\/p>\n<\/td>\n | \n Q122<\/b><\/p>\n<\/td>\n | \n Q422<\/b><\/p>\n<\/td>\n | \n Q123<\/b><\/p>\n<\/td>\n | \n y\/y%<\/i><\/b><\/p>\n<\/td>\n | \n q\/q%<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Revenue<\/b><\/p>\n<\/td>\n | \n 10,695.0<\/b><\/p>\n<\/td>\n | \n 16,043.9<\/b><\/p>\n<\/td>\n | \n 17,275.9<\/b><\/p>\n<\/td>\n | \n 61.5%<\/i><\/b><\/p>\n<\/td>\n | \n 7.7%<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nCost of revenue1<\/sup><\/p>\n<\/td>\n| \n \n(5,493.5)<\/p>\n<\/td>\n | \n \n(7,935.3)<\/p>\n<\/td>\n | \n \n(8,840.5)<\/p>\n<\/td>\n | \n 60.9%<\/i><\/p>\n<\/td>\n | \n 11.4%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Cost of revenue1<\/sup>\/Revenue<\/b><\/p>\n<\/td>\n| \n (51.4%)<\/b><\/p>\n<\/td>\n | \n (49.5%)<\/b><\/p>\n<\/td>\n | \n (51.2%)<\/b><\/p>\n<\/td>\n | \n 0.2pp<\/i><\/b><\/p>\n<\/td>\n | \n (1.7pp)<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Gross Margin1<\/sup><\/b><\/p>\n<\/td>\n| \n 48.6%<\/b><\/p>\n<\/td>\n | \n 50.5%<\/b><\/p>\n<\/td>\n | \n 48.8%<\/b><\/p>\n<\/td>\n | \n 0.2pp<\/i><\/b><\/p>\n<\/td>\n | \n (1.7pp)<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nAdministrative expenses<\/p>\n<\/td>\n | \n \n(303.7)<\/p>\n<\/td>\n | \n \n(473.4)<\/p>\n<\/td>\n | \n \n(560.5)<\/p>\n<\/td>\n | \n 84.6%<\/i><\/p>\n<\/td>\n | \n 18.4%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Administrative expenses\/Revenue<\/b><\/p>\n<\/td>\n | \n (2.8%)<\/b><\/p>\n<\/td>\n | \n (3.0%)<\/b><\/p>\n<\/td>\n | \n (3.2%)<\/b><\/p>\n<\/td>\n | \n (0.4pp)<\/i><\/b><\/p>\n<\/td>\n | \n (0.2pp)<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nSelling and marketing expenses<\/p>\n<\/td>\n | \n \n(540.7)<\/p>\n<\/td>\n | \n \n(899.8)<\/p>\n<\/td>\n | \n \n(911.8)<\/p>\n<\/td>\n | \n 68.6%<\/i><\/p>\n<\/td>\n | \n 1.3%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Selling and marketing expenses\/Revenue<\/b><\/p>\n<\/td>\n | \n (5.1%)<\/b><\/p>\n<\/td>\n | \n (5.6%)<\/b><\/p>\n<\/td>\n | \n (5.3%)<\/b><\/p>\n<\/td>\n | \n (0.2pp)<\/i><\/b><\/p>\n<\/td>\n | \n 0.3pp<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nNet impairment losses on financial and contract assets<\/p>\n<\/td>\n | \n \n(55.1)<\/p>\n<\/td>\n | \n \n(63.9)<\/p>\n<\/td>\n | \n \n(203.9)<\/p>\n<\/td>\n | \n 270.0%<\/i><\/p>\n<\/td>\n | \n 219.1%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n EBITDA2<\/sup><\/b><\/p>\n<\/td>\n| \n 4,302.0<\/b><\/p>\n<\/td>\n | \n 6,671.5<\/b><\/p>\n<\/td>\n | \n 6,759.2<\/b><\/p>\n<\/td>\n | \n 57.1%<\/i><\/b><\/p>\n<\/td>\n | \n 1.3%<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n EBITDA Margin<\/b><\/p>\n<\/td>\n | \n 40.2%<\/b><\/p>\n<\/td>\n | \n 41.6%<\/b><\/p>\n<\/td>\n | \n 39.1%<\/b><\/p>\n<\/td>\n | \n (1.1pp)<\/i><\/b><\/p>\n<\/td>\n | \n (2.5pp)<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nDepreciation and amortization<\/p>\n<\/td>\n | \n \n(2,084.5)<\/p>\n<\/td>\n | \n \n(2,515.7)<\/p>\n<\/td>\n | \n \n(2,685.8)<\/p>\n<\/td>\n | \n 28.8%<\/i><\/p>\n<\/td>\n | \n 6.8%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n EBIT3<\/sup><\/b><\/p>\n<\/td>\n| \n 2,217.5<\/b><\/p>\n<\/td>\n | \n 4,155.8<\/b><\/p>\n<\/td>\n | \n 4,073.4<\/b><\/p>\n<\/td>\n | \n 83.7%<\/i><\/b><\/p>\n<\/td>\n | \n (2.0%)<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n EBIT Margin<\/b><\/p>\n<\/td>\n | \n 20.7%<\/b><\/p>\n<\/td>\n | \n 25.9%<\/b><\/p>\n<\/td>\n | \n 23.6%<\/b><\/p>\n<\/td>\n | \n 2.9pp<\/i><\/b><\/p>\n<\/td>\n | \n (2.3pp)<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nNet finance income \/ (expense)<\/p>\n<\/td>\n | \n \n(3,038.4)<\/p>\n<\/td>\n | \n \n(3,424.2)<\/p>\n<\/td>\n | \n \n(2,104.2)<\/p>\n<\/td>\n | \n (30.7%)<\/i><\/p>\n<\/td>\n | \n (38.5%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nFinance income<\/p>\n<\/td>\n | \n \n72.3<\/p>\n<\/td>\n | \n \n(642.4)<\/p>\n<\/td>\n | \n \n4.6<\/p>\n<\/td>\n | \n (93.6%)<\/i><\/p>\n<\/td>\n | \n n.m<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nFinance expense<\/p>\n<\/td>\n | \n \n(3,110.7)<\/p>\n<\/td>\n | \n \n(2,781.8)<\/p>\n<\/td>\n | \n \n(2,108.8)<\/p>\n<\/td>\n | \n (32.2%)<\/i><\/p>\n<\/td>\n | \n (24.2%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nOther operating income \/ (expense)<\/p>\n<\/td>\n | \n \n1,494.1<\/p>\n<\/td>\n | \n \n1,028.9<\/p>\n<\/td>\n | \n \n1,070.6<\/p>\n<\/td>\n | \n (28.3%)<\/i><\/p>\n<\/td>\n | \n 4.1%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nInvestment activity income \/ (expense)<\/p>\n<\/td>\n | \n \n299.2<\/p>\n<\/td>\n | \n \n157.6<\/p>\n<\/td>\n | \n \n510.1<\/p>\n<\/td>\n | \n 70.5%<\/i><\/p>\n<\/td>\n | \n 223.7%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nNon-controlling interests<\/p>\n<\/td>\n | \n \n(0.0)<\/p>\n<\/td>\n | \n \n0.9<\/p>\n<\/td>\n | \n \n0.2<\/p>\n<\/td>\n | \n n.m<\/i><\/p>\n<\/td>\n | \n n.m<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nShare of profit of equity accounted investees<\/p>\n<\/td>\n | \n \n(23.4)<\/p>\n<\/td>\n | \n \n(10.0)<\/p>\n<\/td>\n | \n \n6.4<\/p>\n<\/td>\n | \n n.m<\/i><\/p>\n<\/td>\n | \n n.m<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nIncome tax expense<\/p>\n<\/td>\n | \n \n(146.0)<\/p>\n<\/td>\n | \n \n4,087.3<\/p>\n<\/td>\n | \n \n(739.8)<\/p>\n<\/td>\n | \n 406.7%<\/i><\/p>\n<\/td>\n | \n (118.1%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Net Income<\/b><\/p>\n<\/td>\n | \n 802.9<\/b><\/p>\n<\/td>\n | \n 5,996.3<\/b><\/p>\n<\/td>\n | \n 2,816.6<\/b><\/p>\n<\/td>\n | \n 250.8%<\/i><\/b><\/p>\n<\/td>\n | \n (53.0%)<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n(1) Excluding depreciation and amortization expenses.
\n
(2) EBITDA is a non-GAAP financial measure. See page 15 for the explanation of how we calculate Adjusted EBITDA and its reconciliation to net income.
\n
(3) EBIT is a non-GAAP financial measure and is equal to EBITDA minus depreciation and amortization expenses.<\/p>\n Revenue <\/b>of the Group rose 61.5% year-on-year in Q123. Turkcell Turkey played a significant role in this performance given its robust ARPU growth, which was positively impacted by price adjustments during 2022 aimed at reflecting inflationary effects, along with successful upsell efforts. Additionally, revenue growth was supported by our international operations and techfin business.<\/p>\n \nTurkcell Turkey revenues, comprising 78% of Group revenues, rose 69.7% year-on-year in Q123 to TRY13,491 million (TRY7,950 million).<\/p>\n \n– Consumer segment revenues rose 67.6% year-on-year on the back of an expanded postpaid subscriber base and price adjustments to offset the impact of inflation.<\/p>\n \n– Corporate segment revenues grew 85.1% year-on-year driven by the performance of digital business services, which grew 103.9% year-on-year.<\/p>\n \n– Standalone digital services revenues registered as part of the consumer and corporate segments rose 65.2% year-on-year in Q123. The primary drivers of this growth were the increased number of stand-alone paid users and adjustments to the prices of services.<\/p>\n \n– Wholesale revenues increased by 53.3% year-on-year to TRY894 million (TRY583 million), driven mainly by the positive impact of currency movements, as well as the traffic increase and capacity upgrades of customers.<\/p>\n \nTurkcell International revenues, comprising 11% of Group revenues, rose 31.0% year-on-year to TRY1,869 million (TRY1,427 million) due mainly to lifecell\u2019s performance.<\/p>\n \nTechfin segment revenues, comprising 4% of Group revenues, rose 71.7% year-on-year to TRY606 million (TRY353 million). This was driven by a 79.4% rise in Paycell revenues and 64.6% growth in Financell revenues. Please refer to the Techfin section for details.<\/p>\n \nOther subsidiaries’ revenues, at 8% of Group revenues, including mainly consumer electronics sales revenues, digital channels, non-group call center and energy business revenues, were up 35.7% year-on-year to TRY1,310 million (TRY966 million).<\/p>\n Cost of revenue<\/b> (excluding depreciation and amortization) decreased to 51.2% (51.4%) as a percentage of revenues in Q123. This was driven mainly by the decline in interconnection cost (2.2pp), despite the increase in employee expenses (1.6pp) and other cost items (0.4pp) as a percentage of revenues.<\/p>\n Administrative expenses <\/b>increased to 3.2% (2.8%) as a percentage of revenues in Q123.<\/p>\n Selling and marketing expenses<\/b> rose to 5.3% (5.1%) as a percentage of revenues in Q123. This was driven mainly by the increase in employee expenses (0.7pp) and energy expenses (0.1pp), despite the decline in selling expenses (0.4pp) and marketing expenses (0.2pp) as a percentage of revenues.<\/p>\n Net impairment losses on financial and contract assets <\/b>was at 1.2% (0.5%) as a percentage of revenues in Q123.<\/p>\n EBITDA1<\/sup><\/b><\/sup>rose by 57.1% year-on-year in Q123 leading to an EBITDA margin of 39.1% (40.2%).<\/p>\n\n– Turkcell Turkey\u2019s EBITDA grew by 64.1% to TRY5,391 million (TRY3,286 million) leading to an EBITDA margin of 40.0% (41.3%).<\/p>\n \n– Turkcell International EBITDA increased 41.1% to TRY1,007 million (TRY714 million) driving an EBITDA margin of 53.9% (50.1%) on 3.8pp improvement.<\/p>\n \n– Techfin segment EBITDA rose 36.3% to TRY248 million (TRY182 million) with an EBITDA margin of 40.9% (51.5%).<\/p>\n \n– The EBITDA of other subsidiaries decreased by 6.0% to TRY113 million (TRY121 million).<\/p>\n Depreciation and amortization expenses<\/b> increased 28.8% year-on-year in Q123.<\/p>\n Net finance expense <\/b>decreased to TRY2,104 million (TRY3,038 million) in Q123. This was driven mainly by lower FX losses from borrowings and issued bonds.<\/p>\n \nSee Appendix A for details of net foreign exchange gain and loss.<\/p>\n Net other operating income <\/b>decreased to TRY1,071 million (TRY1,494 million) in Q123.<\/p>\n \nSee Appendix A for details of net foreign exchange gain and loss.<\/p>\n Net investment activity income <\/b>was TRY510 million in Q123 compared to TRY299 million in Q122.<\/p>\n Income tax expense <\/b>increased to TRY740 million (TRY146 million) due mainly to a higher deferred tax expense incurred in Q123.<\/p>\n Net income <\/b>of the Group increased by 250.8% to TRY2,817 million (TRY803 million) in Q123. This was driven mainly by robust topline growth on the back of strong operational performance, lower fx losses from borrowings and issued bonds in addition to positive impact from currency-protected time deposits.<\/p>\n \n(1) EBITDA is a non-GAAP financial measure. See page 15 for the explanation of how we calculate adjusted EBITDA and its reconciliation to net income<\/p>\n Total cash & debt: <\/b>Consolidated cash as of March 31, 2023 increased to TRY27,317 million from TRY25,961 million as of December 31, 2022. This was driven mainly by the positive impact of currency movements. Excluding FX swap transactions, 57% of our cash is in US$, 15% in EUR, and 26% in TRY.<\/p>\n \nConsolidated debt as of March 31, 2023 increased to TRY58,486 million from TRY53,854 million as of December 31, 2022 mainly due to the impact of currency movements and new borrowings. Please note that TRY3,391 million of our consolidated debt is comprised of lease obligations. Please note that 44% of our consolidated debt is in US$, 26% in EUR, 2% in CNY, 5% in UAH, and 22% in TRY.<\/p>\n \nNet debt1<\/sup> as of March 31, 2023 was at TRY23,166 million with a net debt to EBITDA ratio of 0.9 times. Excluding finance company consumer loans, our telco only net debt was at TRY19,284 million with a leverage of 0.8 times.<\/p>\n\nTurkcell Group had a short FX position of US$31 million as at the end of the first quarter. (Please note that this figure takes hedging portfolio and advance payments into account). The short FX position of US$31 million is in line with our FX neutral definition, which is between -US$200 million and +US$200 million.<\/p>\n Capital expenditures: <\/b>Capital expenditures, including non-operational items, amounted to TRY5,439 million in Q123.<\/p>\n \nFor Q123, operational capital expenditures (excluding license fees) at the Group level were at 19.9% of total revenues.<\/p>\n \n\n| \n Capital expenditures (million TRY)<\/b><\/p>\n<\/td>\n | \n \n\u00a0<\/p>\n<\/td>\n | \n Q122<\/b><\/p>\n<\/td>\n | \n Q422<\/b><\/p>\n<\/td>\n | \n Q123<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nOperational Capex<\/p>\n<\/td>\n | \n \n\u00a0<\/p>\n<\/td>\n | \n \n1,845.3<\/p>\n<\/td>\n | \n \n4,454.3<\/p>\n<\/td>\n | \n \n3,442.7<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nLicense and Related Costs<\/p>\n<\/td>\n | \n \n\u00a0<\/p>\n<\/td>\n | \n \n–<\/p>\n<\/td>\n | \n \n317.5<\/p>\n<\/td>\n | \n \n14.4<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nNon-operational Capex (Including IFRS15 & IFRS16)<\/i><\/p>\n<\/td>\n | \n \n\u00a0<\/p>\n<\/td>\n | \n \n1,073.1<\/p>\n<\/td>\n | \n \n1,662.5<\/p>\n<\/td>\n | \n \n1,981.4<\/p>\n<\/td>\n<\/tr>\n | \n| \n Total Capex<\/b><\/p>\n<\/td>\n | \n \n\u00a0<\/p>\n<\/td>\n | \n 2,918.3<\/b><\/p>\n<\/td>\n | \n 6,434.3<\/b><\/p>\n<\/td>\n | \n 5,438.5<\/b><\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n(1) Starting from Q421, we have revised the definition of our net debt calculation to include “financial assets\u201d reported under current and non-current assets. Required reserves held in CBRT balances are also considered in net debt calculation. We believe that these assets are highly liquid and can be easily converted to cash without significant change in value.<\/p>\n Operational Review of Turkcell Turkey<\/b><\/p>\n\n\n| \n Summary of Operational Data<\/b><\/p>\n<\/td>\n | \n Q122<\/b><\/p>\n<\/td>\n | \n Q422<\/b><\/p>\n<\/td>\n | \n Q123<\/b><\/p>\n<\/td>\n | \n y\/y%<\/i><\/b><\/p>\n<\/td>\n | \n q\/q%<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Number of subscribers (million)<\/i><\/b><\/p>\n<\/td>\n | \n 40.0<\/b><\/p>\n<\/td>\n | \n 41.7<\/b><\/p>\n<\/td>\n | \n 41.7<\/b><\/p>\n<\/td>\n | \n 4.3%<\/i><\/b><\/p>\n<\/td>\n | \n –<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nMobile Postpaid (million)<\/p>\n<\/td>\n | \n \n24.1<\/p>\n<\/td>\n | \n \n25.6<\/p>\n<\/td>\n | \n \n25.9<\/p>\n<\/td>\n | \n 7.5%<\/i><\/p>\n<\/td>\n | \n 1.2%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Mobile M2M <\/i>(million)<\/i><\/p>\n<\/td>\n | \n \n3.5<\/p>\n<\/td>\n | \n \n4.0<\/p>\n<\/td>\n | \n \n4.1<\/p>\n<\/td>\n | \n 17.1%<\/i><\/p>\n<\/td>\n | \n 2.5%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nMobile Prepaid (million)<\/p>\n<\/td>\n | \n \n12.0<\/p>\n<\/td>\n | \n \n12.0<\/p>\n<\/td>\n | \n \n11.6<\/p>\n<\/td>\n | \n (3.3%)<\/i><\/p>\n<\/td>\n | \n (3.3%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nFiber (thousand)<\/p>\n<\/td>\n | \n \n1,941.0<\/p>\n<\/td>\n | \n \n2,121.8<\/p>\n<\/td>\n | \n \n2,159.7<\/p>\n<\/td>\n | \n 11.3%<\/i><\/p>\n<\/td>\n | \n 1.8%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nADSL (thousand)<\/p>\n<\/td>\n | \n \n755.7<\/p>\n<\/td>\n | \n \n751.4<\/p>\n<\/td>\n | \n \n759.0<\/p>\n<\/td>\n | \n 0.4%<\/i><\/p>\n<\/td>\n | \n 1.0%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nSuperbox (thousand)1<\/sup><\/p>\n<\/td>\n| \n \n612.4<\/p>\n<\/td>\n | \n \n670.7<\/p>\n<\/td>\n | \n \n676.5<\/p>\n<\/td>\n | \n 10.5%<\/i><\/p>\n<\/td>\n | \n 0.9%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nCable (thousand)<\/p>\n<\/td>\n | \n \n51.1<\/p>\n<\/td>\n | \n \n43.9<\/p>\n<\/td>\n | \n \n42.4<\/p>\n<\/td>\n | \n (17.0%)<\/i><\/p>\n<\/td>\n | \n (3.4%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nIPTV (thousand)<\/p>\n<\/td>\n | \n \n1,126.4<\/p>\n<\/td>\n | \n \n1,281.7<\/p>\n<\/td>\n | \n \n1,309.3<\/p>\n<\/td>\n | \n 16.2%<\/i><\/p>\n<\/td>\n | \n 2.2%<\/i><\/p>\n<\/td>\n<\/tr>\n\n | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |