\n| \n TRY million<\/b><\/p>\n<\/td>\n | \n Q224<\/b><\/p>\n<\/td>\n | \n Q225<\/b><\/p>\n<\/td>\n | \n y\/y%<\/i><\/b><\/p>\n<\/td>\n | \n H124<\/b><\/p>\n<\/td>\n | \n H125<\/b><\/p>\n<\/td>\n | \n y\/y%<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nRevenue<\/p>\n<\/td>\n | \n \n47,150<\/p>\n<\/td>\n | \n \n53,022<\/p>\n<\/td>\n | \n 12.5%<\/i><\/p>\n<\/td>\n | \n \n92,274<\/p>\n<\/td>\n | \n \n103,866<\/p>\n<\/td>\n | \n 12.6%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nEBITDA1<\/sup><\/p>\n<\/td>\n| \n \n20,105<\/p>\n<\/td>\n | \n \n23,086<\/p>\n<\/td>\n | \n 14.8%<\/i><\/p>\n<\/td>\n | \n \n38,777<\/p>\n<\/td>\n | \n \n45,304<\/p>\n<\/td>\n | \n 16.8%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nEBITDA Margin (%)<\/p>\n<\/td>\n | \n \n42.6%<\/p>\n<\/td>\n | \n \n43.5%<\/p>\n<\/td>\n | \n 0.9pp<\/i><\/p>\n<\/td>\n | \n \n42.0%<\/p>\n<\/td>\n | \n \n43.6%<\/p>\n<\/td>\n | \n 1.6pp<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nEBIT2<\/sup><\/p>\n<\/td>\n| \n \n6,322<\/p>\n<\/td>\n | \n \n8,818<\/p>\n<\/td>\n | \n 39.5%<\/i><\/p>\n<\/td>\n | \n \n11,479<\/p>\n<\/td>\n | \n \n17,525<\/p>\n<\/td>\n | \n 52.7%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nEBIT Margin (%)<\/p>\n<\/td>\n | \n \n13.4%<\/p>\n<\/td>\n | \n \n16.6%<\/p>\n<\/td>\n | \n 3.2pp<\/i><\/p>\n<\/td>\n | \n \n12.4%<\/p>\n<\/td>\n | \n \n16.9%<\/p>\n<\/td>\n | \n 4.5pp<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nNet Income<\/p>\n<\/td>\n | \n \n3,922<\/p>\n<\/td>\n | \n \n4,201<\/p>\n<\/td>\n | \n 7.1%<\/i><\/p>\n<\/td>\n | \n \n7,779<\/p>\n<\/td>\n | \n \n7,468<\/p>\n<\/td>\n | \n (4.0%)<\/i><\/p>\n<\/td>\n<\/tr>\n<\/table>\n SECOND QUARTER HIGHLIGHTS<\/b><\/p>\n\n- \nIn line with the dividend resolution adopted at the 2024 Annual General Assembly, the first installment of dividend, amounting TRY4.0 billion, was distributed to shareholders on June 20, 2025.<\/p>\n<\/li>\n
- \nSolid financial performance surpassed expectations<\/p>\n
\n- \nGroup revenues increased by 12.5% year-on-year primarily due to Turkcell T\u00fcrkiye\u2019s strong ARPU growth as well as the increase in hardware revenues supported by digital business services. The Techfin segment also contributed positively to group revenues, posting a solid 23.1% growth. Meanwhile, our Data Center & Cloud business \u2014 a key pillar of our strategy \u2014 delivered 53.2% year-over-year growth, further reinforcing our confidence in its long-term potential.<\/p>\n<\/li>\n
- \nEBITDA1<\/sup> increased by 14.8%, leading to an EBITDA margin of 43.5%, marking a yearly improvement of 0.9pp; EBIT2<\/sup> was up by 39.5%, resulting in an EBIT margin of 16.6%.<\/p>\n<\/li>\n
- \nProfit from continuing operations recorded remarkable growth of 36.8%, generating TRY4.4 billion. Net income rose by 7.1% to TRY4.2 billion.<\/p>\n<\/li>\n
- \nNet leverage3<\/sup> level at 0.29x, indicating a healthy position compared to peers<\/p>\n<\/li>\n
- \nNet short FX position of US$102 million in line with our neutral FX definition, which is between plus and minus US$200 million<\/p>\n<\/li>\n<\/ul>\n<\/li>\n
- \nSupporting both engines of growth \u2013 proactively managing the subscriber portfolio in intense market conditions and consistently delivering real ARPU growth<\/p>\n
\n- \nRecorded the highest mobile postpaid net additions in 5.5 years \u2013 816 thousand<\/p>\n<\/li>\n
- \nDedicated postpaid focus \u2013 78% postpaid subscriber base share<\/p>\n<\/li>\n
- \n20 thousand total fiber net additions, including resell operations<\/p>\n<\/li>\n
- \nSustained real ARPU growth in a volatile environment; Mobile ARPU4 <\/sup>growth of 9.8%, residential fiber ARPU growth of 17.5%<\/p>\n<\/li>\n
- \n6.1 million total homepasses; 67 thousand new fiber homepasses this quarter<\/p>\n<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n
\n(1) EBITDA is a non-GAAP financial measure. See page 14 for the explanation of how we calculate Adjusted EBITDA and its reconciliation to net income.
\n
(2) EBIT is a non-GAAP financial measure and equals EBITDA minus depreciation and amortization expenses.
\n
(3) Our net debt calculation includes financial assets at fair value, whether through other comprehensive income or through profit and loss, reported under current and non-current assets, as well as financial assets at amortized cost. Required reserves held in CBRT balances are not included in total cash and net debt calculation, and this change has been reflected in previous quarters\u2019 figures
\n
(4) Excluding M2M<\/p>\n COMMENTS BY CEO, AL\u0130 TAHA KO\u00c7, PhD<\/b><\/p>\n Delivering Strong Results in the Second Quarter of 2025<\/b><\/p>\n \nWe closed the first half of 2025 with robust results, supported by our superior infrastructure, the trust we have earned from our customers, and our steadfast commitment to strategic priorities. Even in a highly competitive environment, we sustained healthy and profitable growth while advancing T\u00fcrkiye’s digital transformation through targeted technology and infrastructure investments. This solid financial and operational performance strengthens our confidence in achieving our year-end targets.<\/p>\n \nIn the second quarter, through tailored offers and pricing strategies designed specifically for each segment, we delivered the highest quarterly net subscriber additions on the postpaid side in the past five and a half years, while maintaining our profitability focus. Consolidated revenues in the second quarter rose 12.5% year-on-year to TRY 53.0 billion, driven by strong ARPU growth, an expanding subscriber base, and substantial contributions from our Techfin and digital business services. EBITDA1<\/sup> increased 14.8% to reach TRY 23.1 billion, with the EBITDA margin improving by 0.9 percentage points year-on-year to 43.5%. Net income grew 7.1% compared with the previous year, reaching TRY 4.2 billion.<\/p>\nHealthy Growth Driven by Outstanding Subscriber Net Additions and Strong ARPU Performance<\/b><\/p>\n \nThe competitive environment in the telecommunications sector remained as anticipated in the second quarter. Building on strong ARPU growth from the first quarter and leveraging the granular subscriber management model introduced this quarter, we executed our campaigns and offers with greater agility and precision, delivering a strong performance. By focusing on our customers\u2019 needs and tailoring differentiated value propositions for specific sub-segments, we achieved 816 thousand net postpaid mobile subscriber additions in the second quarter – the highest figure in the past five and a half years. The share of postpaid subscribers in our total mobile base rose by 5 percentage points year-on-year to reach 78%. This increase, combined with targeted pricing adjustments and effective upselling efforts, drove a 9.8% rise in mobile ARPU (excluding M2M) in the second quarter. Reflecting our customer-focused innovation approach, we embraced the \u201cTurkcell Solves It\u201d mindset and, with the launch of the Tumbara service, continued to deliver solutions that make our customers\u2019 daily lives easier. At the heart of our market-differentiating dynamic pricing and campaign strategies is our commitment to meeting customer demands and expectations. Guided by this focus, we will continue enhancing the service we provide to each customer in the coming period.<\/p>\n \nMeanwhile, by expanding our capacity and accelerating the fiberization of our base stations, we continued to strengthen our infrastructure for the arrival of 5G and invest in T\u00fcrkiye\u2019s digital future. On the fixed broadband side, we grew our network by connecting 67 thousand new households to our end-to-end fiber infrastructure. Including fiber services delivered over other ISPs’ infrastructures (resell), we connected a total of 20 thousand new subscribers to fiber internet. The share of subscribers using speeds of 100 Mbps and above in our fixed segment rose by 16 percentage points year-on-year. Supported by our growth-driven strategy in the Turkcell fiber business, targeted price adjustments, and rising customer demand for high-speed internet, residential fiber ARPU posted a strong year-on-year increase of 17.5% in the second quarter.<\/p>\n Paycell: Driving Growth in the Techfin Segment<\/b><\/p>\n \nOur Techfin business, comprising the Paycell and Financell brands, accounts for 6% of our consolidated revenues and continued to make a strong contribution to group performance, growing by 23.1% in the second quarter. Paycell, which enables customers to securely manage their daily financial needs – from mobile payments to investments, and from bill payments to money transfers – all within a single app, has become the driving force of our Techfin segment, achieving revenue growth of 35.8%. This performance was fueled primarily by increased volume in our POS business and the addition of new customers.<\/p>\n \nAddressing the diverse financing needs of its customers, Financell continued to expand its product portfolio during the period with loan offerings designed to improve access to consumer technology. In the first quarter, we launched the foreign currency loan module. In addition, the \u201cSmall Business Device Loan\u201d product – tailored for sole proprietors within the consumer segment – now provides access to both financing and device insurance. Supported by higher average interest rates, Financell\u2019s revenues rose 4.7% year-on-year, while net interest margin (NIM) improved by 2.9 percentage points to reach 4.9%.<\/p>\n Leading T\u00fcrkiye\u2019s Tech and Communications Landscape with a Clear Sense of Responsibility<\/b><\/p>\n \nWe continue to see rising demand in the data center and cloud business, where we have been investing for years with the aim of positioning our country as a regional data hub. Each quarter provides further confirmation of the strength of our strategic positioning. Backed by years of expertise, Turkcell maintains its leadership and continues to expand in the data center industry. Driven by strong market demand and the successful monetization of past capacity investments, data center and cloud revenues rose by a solid 53.2% year-on-year.<\/p>\n \nAs part of our investment strategy in key areas such as data centers, cloud technologies, and renewable energy, we signed murabaha financing agreements with leading financial institutions in the Gulf region during the second quarter. These agreements – our first based on interest-free (Islamic) financing from the Gulf region – both diversify our debt portfolio and underscore Turkcell\u2019s strong reputation in international markets. We are confident these steps will strengthen our long-term strategic investments and make a significant contribution to our country\u2019s development.<\/p>\n \nAs T\u00fcrkiye\u2019s leading technology and communications company, we continue forward with determination, fully aware of the responsibilities entrusted to us. I would like to extend my sincere thanks to our Board of Directors for their strategic guidance, to all Turkcell employees for their dedication, and to our customers and partners for their continued trust and collaboration.<\/p>\n \n(1) EBITDA is a non-GAAP financial measure. For details on how we calculate Adjusted EBITDA and its reconciliation to net income, please refer to page 14.<\/p>\n FINANCIAL AND OPERATIONAL REVIEW<\/b><\/p>\n Financial Review of Turkcell Group<\/b><\/p>\n\n\n| Profit & Loss Statement<\/b><\/td>\n | \n Quarter<\/b><\/p>\n<\/td>\n | \n Half Year<\/b><\/p>\n<\/td>\n<\/tr>\n\n| (million TRY)<\/b><\/td>\n | \n Q224<\/b><\/p>\n<\/td>\n | \n Q225<\/b><\/p>\n<\/td>\n | \n y\/y%<\/i><\/b><\/p>\n<\/td>\n | \n H124<\/b><\/p>\n<\/td>\n | \n H125<\/b><\/p>\n<\/td>\n | \n y\/y%<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Revenue<\/b><\/p>\n<\/td>\n | \n 47,150.2<\/b><\/p>\n<\/td>\n | \n 53,021.9<\/b><\/p>\n<\/td>\n | \n 12.5%<\/i><\/b><\/p>\n<\/td>\n | \n 92,273.9<\/b><\/p>\n<\/td>\n | \n 103,865.5<\/b><\/p>\n<\/td>\n | \n 12.6%<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nCost of revenue1<\/sup><\/p>\n<\/td>\n| \n \n(22,041.1)<\/p>\n<\/td>\n | \n \n(24,311.2)<\/p>\n<\/td>\n | \n 10.3%<\/i><\/p>\n<\/td>\n | \n \n(43,925.1)<\/p>\n<\/td>\n | \n \n(47,202.5)<\/p>\n<\/td>\n | \n 7.5%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Cost of revenue1<\/sup>\/Revenue<\/b><\/p>\n<\/td>\n| \n (46.7%)<\/b><\/p>\n<\/td>\n | \n (45.9%)<\/b><\/p>\n<\/td>\n | \n 0.8pp<\/i><\/b><\/p>\n<\/td>\n | \n (47.6%)<\/b><\/p>\n<\/td>\n | \n (45.4%)<\/b><\/p>\n<\/td>\n | \n 2.2pp<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Gross Margin1<\/sup><\/b><\/p>\n<\/td>\n| \n 53.3%<\/b><\/p>\n<\/td>\n | \n 54.1%<\/b><\/p>\n<\/td>\n | \n 0.8pp<\/i><\/b><\/p>\n<\/td>\n | \n 52.4%<\/b><\/p>\n<\/td>\n | \n 54.6%<\/b><\/p>\n<\/td>\n | \n 2.2pp<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nAdministrative expenses<\/p>\n<\/td>\n | \n \n(1,617.2)<\/p>\n<\/td>\n | \n \n(1,975.4)<\/p>\n<\/td>\n | \n 22.1%<\/i><\/p>\n<\/td>\n | \n \n(3,317.0)<\/p>\n<\/td>\n | \n \n(4,095.9)<\/p>\n<\/td>\n | \n 23.5%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Administrative expenses\/Revenue<\/b><\/p>\n<\/td>\n | \n (3.4%)<\/b><\/p>\n<\/td>\n | \n (3.7%)<\/b><\/p>\n<\/td>\n | \n (0.3pp)<\/i><\/b><\/p>\n<\/td>\n | \n (3.6%)<\/b><\/p>\n<\/td>\n | \n (3.9%)<\/b><\/p>\n<\/td>\n | \n (0.3pp)<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nSelling and marketing expenses<\/p>\n<\/td>\n | \n \n(3,047.8)<\/p>\n<\/td>\n | \n \n(3,341.5)<\/p>\n<\/td>\n | \n 9.6%<\/i><\/p>\n<\/td>\n | \n \n(5,621.4)<\/p>\n<\/td>\n | \n \n(6,749.5)<\/p>\n<\/td>\n | \n 20.1%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Selling and marketing expenses\/Revenue<\/b><\/p>\n<\/td>\n | \n (6.5%)<\/b><\/p>\n<\/td>\n | \n (6.3%)<\/b><\/p>\n<\/td>\n | \n 0.2pp<\/i><\/b><\/p>\n<\/td>\n | \n (6.1%)<\/b><\/p>\n<\/td>\n | \n (6.5%)<\/b><\/p>\n<\/td>\n | \n (0.4pp)<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nNet impairment losses on financial and contract assets<\/p>\n<\/td>\n | \n \n(339.5)<\/p>\n<\/td>\n | \n \n(308.0)<\/p>\n<\/td>\n | \n (9.3%)<\/i><\/p>\n<\/td>\n | \n \n(633.6)<\/p>\n<\/td>\n | \n \n(513.7)<\/p>\n<\/td>\n | \n (18.9%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n EBITDA2<\/sup><\/b><\/p>\n<\/td>\n| \n 20,104.6<\/b><\/p>\n<\/td>\n | \n 23,085.8<\/b><\/p>\n<\/td>\n | \n 14.8%<\/i><\/b><\/p>\n<\/td>\n | \n 38,776.7<\/b><\/p>\n<\/td>\n | \n 45,303.9<\/b><\/p>\n<\/td>\n | \n 16.8%<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n EBITDA Margin<\/b><\/p>\n<\/td>\n | \n 42.6%<\/b><\/p>\n<\/td>\n | \n 43.5%<\/b><\/p>\n<\/td>\n | \n 0.9pp<\/i><\/b><\/p>\n<\/td>\n | \n 42.0%<\/b><\/p>\n<\/td>\n | \n 43.6%<\/b><\/p>\n<\/td>\n | \n 1.6pp<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nDepreciation and amortization<\/p>\n<\/td>\n | \n \n(13,782.6)<\/p>\n<\/td>\n | \n \n(14,267.8)<\/p>\n<\/td>\n | \n 3.5%<\/i><\/p>\n<\/td>\n | \n \n(27,298.0)<\/p>\n<\/td>\n | \n \n(27,779.0)<\/p>\n<\/td>\n | \n 1.8%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n EBIT3<\/sup><\/b><\/p>\n<\/td>\n| \n 6,321.9<\/b><\/p>\n<\/td>\n | \n 8,817.9<\/b><\/p>\n<\/td>\n | \n 39.5%<\/i><\/b><\/p>\n<\/td>\n | \n 11,478.7<\/b><\/p>\n<\/td>\n | \n 17,524.8<\/b><\/p>\n<\/td>\n | \n 52.7%<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n EBIT Margin<\/b><\/p>\n<\/td>\n | \n 13.4%<\/b><\/p>\n<\/td>\n | \n 16.6%<\/b><\/p>\n<\/td>\n | \n 3.2pp<\/i><\/b><\/p>\n<\/td>\n | \n 12.4%<\/b><\/p>\n<\/td>\n | \n 16.9%<\/b><\/p>\n<\/td>\n | \n 4.5pp<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nNet finance income \/ (costs)<\/p>\n<\/td>\n | \n \n(2,011.5)<\/p>\n<\/td>\n | \n \n(1,341.2)<\/p>\n<\/td>\n | \n (33.3%)<\/i><\/p>\n<\/td>\n | \n \n(1,776.1)<\/p>\n<\/td>\n | \n \n(1,720.8)<\/p>\n<\/td>\n | \n (3.1%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nFinance income<\/p>\n<\/td>\n | \n \n2,122.2<\/p>\n<\/td>\n | \n \n2,891.5<\/p>\n<\/td>\n | \n 36.3%<\/i><\/p>\n<\/td>\n | \n \n5,522.4<\/p>\n<\/td>\n | \n \n7,085.3<\/p>\n<\/td>\n | \n 28.3%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nFinance costs<\/p>\n<\/td>\n | \n \n(5,759.9)<\/p>\n<\/td>\n | \n \n(5,058.9)<\/p>\n<\/td>\n | \n (12.2%)<\/i><\/p>\n<\/td>\n | \n \n(12,800.8)<\/p>\n<\/td>\n | \n \n(10,648.7)<\/p>\n<\/td>\n | \n (16.8%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nMonetary gain \/ (loss)<\/p>\n<\/td>\n | \n \n1,626.2<\/p>\n<\/td>\n | \n \n826.1<\/p>\n<\/td>\n | \n (49.2%)<\/i><\/p>\n<\/td>\n | \n \n5,502.3<\/p>\n<\/td>\n | \n \n1,842.6<\/p>\n<\/td>\n | \n (66.5%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nOther income \/ (expenses)<\/p>\n<\/td>\n | \n \n(283.6)<\/p>\n<\/td>\n | \n \n(194.5)<\/p>\n<\/td>\n | \n (31.4%)<\/i><\/p>\n<\/td>\n | \n \n(603.3)<\/p>\n<\/td>\n | \n \n(671.2)<\/p>\n<\/td>\n | \n 11.3%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nShare of loss of equity accounted investees<\/p>\n<\/td>\n | \n \n(1,028.9)<\/p>\n<\/td>\n | \n \n(1,204.2)<\/p>\n<\/td>\n | \n 17.0%<\/i><\/p>\n<\/td>\n | \n \n(1,110.8)<\/p>\n<\/td>\n | \n \n(2,120.1)<\/p>\n<\/td>\n | \n 90.9%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nIncome tax expense<\/p>\n<\/td>\n | \n \n209.4<\/p>\n<\/td>\n | \n \n(1,690.1)<\/p>\n<\/td>\n | \n (907.1%)<\/i><\/p>\n<\/td>\n | \n \n(1,723.7)<\/p>\n<\/td>\n | \n \n(5,357.6)<\/p>\n<\/td>\n | \n 210.8%<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Profit from continuing operations<\/b><\/p>\n<\/td>\n | \n 3,207.3<\/b><\/p>\n<\/td>\n | \n 4,387.9<\/b><\/p>\n<\/td>\n | \n 36.8%<\/i><\/b><\/p>\n<\/td>\n | \n 6,264.8<\/b><\/p>\n<\/td>\n | \n 7,655.2<\/b><\/p>\n<\/td>\n | \n 22.2%<\/i><\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nProfit \/(loss) from discontinued operations<\/p>\n<\/td>\n | \n \n713.2<\/p>\n<\/td>\n | \n \n(187.4)<\/p>\n<\/td>\n | \n (126.3%)<\/i><\/p>\n<\/td>\n | \n \n1,504.7<\/p>\n<\/td>\n | \n \n(187.4)<\/p>\n<\/td>\n | \n (112.5%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nNon-controlling interests<\/p>\n<\/td>\n | \n \n1.8<\/p>\n<\/td>\n | \n \n–<\/p>\n<\/td>\n | \n (100.0%)<\/i><\/p>\n<\/td>\n | \n \n9.7<\/p>\n<\/td>\n | \n \n–<\/p>\n<\/td>\n | \n (100.0%)<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Net Income<\/b><\/p>\n<\/td>\n | \n 3,922.3<\/b><\/p>\n<\/td>\n | \n 4,200.5<\/b><\/p>\n<\/td>\n | \n 7.1%<\/i><\/b><\/p>\n<\/td>\n | \n 7,779.2<\/b><\/p>\n<\/td>\n | \n 7,467.8<\/b><\/p>\n<\/td>\n | \n (4.0%)<\/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 14 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 equals EBITDA minus depreciation and amortization expenses.<\/p>\n Revenue <\/b>of the Group rose 12.5% year-on-year in the second quarter of 2025. This resulted from the strong ARPU performance of Turkcell T\u00fcrkiye with a growing postpaid subscriber base, effective upsell efforts and solid Techfin business performance of 23.1% on a yearly basis.<\/p>\n \nIn the second quarter, the Turkcell T\u00fcrkiye4 <\/sup>segment was the main driver of this performance, accounting for 91% of Group revenues and rising 11.8% to TRY48,220 million (TRY43,143 million).<\/p>\n\n– Consumer business, representing 75% of Turkcell T\u00fcrkiye, delivered 9.6% growth. Price increases, subscriber growth in mobile and fixed services, and strong upselling efforts supported this performance.<\/p>\n \n– Corporate revenues, comprising 19% of the segment, increased by 27.3% thanks to high demand on Data Center & Cloud services and strong performance in hardware sales. Notably, Digital Business Services revenues increased by 39.1%, while the Data Center & Cloud business, a sub-segment of Digital Business Services, recorded 53.2% growth in the second quarter.<\/p>\n \n– Wholesale revenues were up 1.1% to TRY2,305 million (TRY2,279 million).<\/p>\n \n(4) Our revenue segmentation was revised as of Q1 2025. Within this scope, all past data have been restated for comparability purposes. For a comprehensive explanation, please refer to the Press Release and the Excel file for Q1 2025, available on the Turkcell IR website.<\/p>\n \nTechfin segment revenues, accounting for 6% of Group revenues, grew by 23.1% to TRY2,916 million (TRY2,369 million). Paycell continued its strong growth momentum, recording 35.8% year-on-year growth in Q225. For details, please refer to the Techfin section.<\/p>\n \nOther1<\/sup> segment revenues, comprising 4% of the Group\u2019s top-line, which mostly include international business, energy business and non-group call center revenues, rose by 15.2% to TRY1,886 million (TRY1,638 million).<\/p>\nCost of revenue<\/b> (excluding depreciation and amortization) decreased to 45.9% (46.7%) as a percentage of revenues for the second quarter of 2025. This was driven by the decline in personnel expenses (1.6pp), interconnection cost (0.4pp), funding cost (0.3pp), energy expenses (0.3pp) and other cost items (0.5pp), while the increase in cost of goods sold (1.7pp) and mobile payment expense (0.5pp) as a percentage of revenues.<\/p>\n Administrative expenses <\/b>increased to 3.7% (3.4%) as a percentage of revenues for this quarter. The primary driver of this increase was the rise in personnel expenses.<\/p>\n Selling and marketing expenses<\/b> slightly decreased to 6.3% (6.5%) as a percentage of revenue.<\/p>\n Net impairment losses on financial and contract assets <\/b>were at 0.6% (0.7%) as a percentage of revenue in Q225.<\/p>\n EBITDA2 <\/sup><\/b>increased by 14.8% year-on-year in Q225 leading to an EBITDA margin of 43.5% with a 0.9pp improvement (42.6%).<\/p>\n\n– Turkcell T\u00fcrkiye EBITDA was up by 13.6% to TRY21,838 million (TRY19,220 million), resulting in an EBITDA margin of 45.3% (44.5%).<\/p>\n \n– Techfin segment EBITDA increased by 16.7% to TRY734 million (TRY630 million) with a 1.4pp contraction in EBITDA margin to 25.2% (26.6%). Lower funding costs more than compensated for the increase in mobile payment costs in Q225 as a percentage of revenues. The EBITDA contraction stemmed mainly from cost of collection risk management.<\/p>\n \n– EBITDA of Other was at TRY513 million (TRY255 million).<\/p>\n Depreciation and amortization expenses<\/b> increased by 3.5%, amounting to TRY14,268 million (TRY13,783 million).<\/p>\n Net finance costs <\/b>decreased to TRY1,341 million (TRY2,011 million) in the second quarter of 2025, despite the monetary gain item\u2019s contribution being almost halved. This was driven mainly by decreasing net FX loss to TRY2,022 million (TRY2,710 million) and effective balance sheet management.<\/p>\n \nSee Appendix A for details of net foreign exchange gain and loss.<\/p>\n Other expenses <\/b>were TRY195 million (TRY284 million) in Q225.<\/p>\n Income tax expense <\/b>amounted to TRY1,690 million (TRY209 million income) in Q225. This variance can be attributed to higher corporate tax, amounting TRY3,667 million, as the company’s statutory financials reflected a tax-paying position. Deferred tax income rose to TRY1,977 million and partially offset corporate tax.<\/p>\n Profit from continuing operations <\/b>delivered a solid performance, rising by 36.8% to TRY4,388 million (TRY3,207 million) in the second quarter of the year. As stated above, strong EBITDA, driven by robust operations, and lower net finance costs supported net income, while income tax expense had an adverse impact.<\/p>\n Net income <\/b>of the Group was up by 7.1% to TRY4,201 million (TRY3,922 million) in the second quarter of the year. Notably, discontinued operations contributed TRY713 million to net income in the same period last year due to the sale of our Ukrainian business.<\/p>\n \n(1) Our revenue segmentation was revised as of Q1 2025. Within this scope, all past data have been restated for comparability purposes. For a comprehensive explanation, please refer to the Press Release and the Excel file for Q1 2025, available on the Turkcell IR website.
\n
(2) EBITDA is a non-GAAP financial measure. See page 14 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 June 30, 2025, increased to TRY116,601 million, from TRY80,428 million as of December 31, 2024. Through the Eurobond issuance at the beginning of the year, we secured the financing required for the 5G auction in advance and on favorable terms. On the other hand, we distributed the first installment of dividends to our shareholders on June 20, 2025. Excluding FX swap transactions, 65% of our cash is in US$, 22% in EUR, 3% in CNY, and 9% in TRY.<\/p>\n \nConsolidated debt as of June 30, 2025, increased to TRY172,858 million from TRY121,738 million as of December 31, 2024. Note that TRY14,320 million of our consolidated debt comprises lease obligations. Additionally, 57% of our consolidated debt is in US$, 26% in EUR, 4% in CNY, and 12% in TRY.<\/p>\n \nNet debt1<\/sup>, as of June 30, 2025, increased to TRY25,371 million from TRY12,497 million as of December 31, 2024, with a net debt to EBITDA ratio of 0.29x.<\/p>\n\nTurkcell Group had a short net FX position of US$102 million at the end of this quarter (this figure takes hedging portfolio, advance payments and precious metal investments into account). The short FX position of US$102 million is in line with our FX neutral definition, which ranges from -US$200 million to +US$200 million.<\/p>\n Capital expenditures: <\/b>Capital expenditures (CAPEX) amounted to TRY40,560 million in the first half of the year, with TRY24,231 million recorded in the second quarter. Operational capital expenditures (excluding license fees) accounted for 16.9% and 18.5% of total revenues in Q225 and H125, respectively.<\/p>\n\n\n| \n Capital expenditures (million TRY)<\/b><\/p>\n<\/td>\n | \n Half Year<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n H124<\/b><\/p>\n<\/td>\n | \n H125<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Operational Capex<\/b><\/p>\n<\/td>\n | \n 19,447.5<\/b><\/p>\n<\/td>\n | \n 19,217.8<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n License and Related Costs<\/b><\/p>\n<\/td>\n | \n 18.6<\/b><\/p>\n<\/td>\n | \n 219.5<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Non-operational Capex (Including IFRS15 & IFRS16)<\/b><\/p>\n<\/td>\n | \n 8,440.2<\/b><\/p>\n<\/td>\n | \n 21,123.1<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n IFRS15<\/i><\/p>\n<\/td>\n | \n 4,972.4<\/i><\/p>\n<\/td>\n | \n 4,826.8<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n IFRS16<\/i><\/p>\n<\/td>\n | \n 3,358.8<\/i><\/p>\n<\/td>\n | \n 12,957.7<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Other<\/i><\/p>\n<\/td>\n | \n 109.1<\/i><\/p>\n<\/td>\n | \n 3,338.6<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n Total Capex<\/b><\/p>\n<\/td>\n | \n 27,906.3<\/b><\/p>\n<\/td>\n | \n 40,560.4<\/b><\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n(1) Our net debt calculation includes financial assets at fair value, whether through other comprehensive income or through profit and loss, reported under current and non-current assets, as well as financial assets at amortized cost. Required reserves held in CBRT balances are not included in total cash and net debt calculation, and this change has been reflected in previous quarters\u2019 figures<\/p>\n Operational Review of Turkcell T\u00fcrkiye<\/b><\/p>\n | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |