Turkcell Iletisim Hizmetleri: First Quarter 2025 Results
Building on a Strong Start
- Please note that all financial data is consolidated and comprises that of Turkcell Iletisim Hizmetleri A.S. (the “Company” or “Turkcell”) and its subsidiaries and associates (together referred to as the “Group”) unless otherwise stated.
- As of Q1 2025, we have revised our revenue segmentation. The figures are presented according to this new structure. Please refer to page 4 and the Excel file available on the Turkcell IR website for a comprehensive explanation and comparison.
-
We have three reporting segments:
- "Turkcell Türkiye," which comprises our telecom, digital services, and digital business services related businesses, retail channel operations, smart devices management, and consumer electronics sales through digital channels in Türkiye. All non-financial data presented in this press release is unconsolidated and comprises Turkcell Türkiye only figures unless otherwise stated. The terms "we," "us," and "our" in this press release refer only to Turkcell Türkiye, except in discussions of financial data, where such terms refer to the Group, and except where context otherwise requires.
- “Techfin” which comprises all of our financial services businesses.
- “Other” which mainly comprises our international, non-group call center, energy businesses, and intersegment eliminations.
- This press release provides a year-on-year comparison of our key indicators and figures in parentheses following the operational and financial results for March 31, 2025 refer to the same item as at March 31, 2024. For further details, please refer to our consolidated financial statements and notes as at and for March 31, 2025, which can be accessed via our website in the investor relations section (www.turkcell.com.tr).
- Selected financial information presented in this press release for the first quarter of 2024, and 2025 is based on IFRS figures in TRY terms unless otherwise stated.
- In the tables used in this press release, totals may not foot due to rounding differences. The same applies to the calculations in the text.
- Year-on-year percentage comparisons appearing in this press release reflect mathematical calculation.
NOTICE
This press release contains the Company’s financial information for the period ended March 31, 2025, prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). This press release contains the Company’s financial information prepared in accordance with International Accounting Standard 29, Financial Reporting in Hyperinflationary Economies (“IAS29”). Therefore, the financial statement information included in this press release for the periods presented is expressed in terms of the purchasing power of the Turkish Lira as of March 31, 2025. The Company restated all non-monetary items in order to reflect the impact of the inflation restatement reporting in terms of the measuring unit current as of March 31, 2025. Comparative financial information has also been restated using the general price index of the current period.
This release includes forward-looking statements within the meaning of Section 27A of the
Forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. In addition, certain forward-looking statements are based upon assumptions as to future events that may not prove to be accurate. Many factors could cause the actual results, performance, or achievements of the Company to be materially different from any future results, performance, or achievements that may be expressed or implied by forward-looking statements. Should one or more of these risks or uncertainties materialize or underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, intended, planned, or projected.
These forward-looking statements are based upon a number of assumptions and other important factors that could cause our actual results, performance, or achievements to differ materially from our future results, performance, or achievements expressed or implied by such forward-looking statements. All subsequent written and oral forward-looking statements attributable to us are expressly qualified in their entirety by reference to these cautionary statements. For a discussion of certain factors that may affect the outcome of such forward- looking statements, see our Annual Report on Form 20-F for 2024 filed with the
The Company makes no representation as to the accuracy or completeness of the information contained in this press release, which remains subject to verification, completion, and change. No responsibility or liability is or will be accepted by the Company or any of its subsidiaries, board members, officers, employees, or agents as to or in relation to the accuracy or completeness of the information contained in this press release or any other written or oral information made available to any interested party or its advisers.
SEGMENT INFORMATION1
The Group had divided its main operating segments into three groups: Turkcell Türkiye, Turkcell International, and Techfin, within the framework of a strategy to provide integrated communication and technology services, ensuring economic integrity. Management has re-evaluated the operating segments and decided, as of the first quarter of 2025, to separate the existing operating segments into two groups: Turkcell Türkiye and Techfin. After
Turkcell Satış, where consumer electronics sold through digital channels, smart device management operations, and retail channel operations are conducted, was reported under the Other. Since these activities are regularly reviewed by central management through integrated channel management, along with integrated corporate business solutions, city hospitals, hardware, and corporate terminal operations, all operations of Turkcell Satış have been reclassified under the reportable segment of Turkcell Türkiye as of the first quarter of 2025.
There has been no change in the Techfin segment.
The classifications have no impact on the operating profit, net profit, or the cash flow statement.
Starting from Q125, our reporting segments will be as follows:
Turkcell Türkiye reportable segment includes mobile, fixed telecom, digital services and digital business services operations of Turkcell, Turkcell Superonline Iletisim Hizmetleri A.S. (“Turkcell Superonline”), Turkcell Satış A.S’s (“Turkcell Satış”), Turkcell Dijital Is Servisleri A.S. (“Turkcell Dijital”), group call center operations of Global Bilgi Pazarlama Danismanlik ve Cagri Servisi Hizmetleri A.S. (“Turkcell Global Bilgi”), Turktell Bilisim Servisleri A.S. (“Turktell”), Atmosware Teknoloji Egitim ve Danismanlik A.S (“Atmosware Teknoloji”), Turkcell Teknoloji Arastirma ve Gelistirme A.S. (“Turkcell Teknoloji”), Ultia Teknoloji Yazilim ve Uygulama Gelistirme Ticaret A.S. (“Ultia”), Kule Hizmet ve Isletmecilik A.S. (“Global Tower”), Rehberlik Hizmetleri Servisi A.S. (“Rehberlik”), Turkcell Gayrimenkul Hizmetleri A.S. (“Turkcell Gayrimenkul”), Lifecell Dijital Servisler ve Cozumler A.S. (“Lifecell Dijital Servisler”), Lifecell Bulut Cozumleri A.S. (“Lifecell Bulut”), Lifecell TV Yayin ve Icerik Hizmetleri A.S. (“Lifecell TV”), Lifecell Müzik Yayin ve Iletim A.S. (“Lifecell Müzik”), BiP Iletisim Teknolojileri ve Dijital Servisler A.S. (“BiP A.S.”), TDC Veri Hizmetleri A.Ş (“TDC”) and Artel Bilişim Servisleri A.Ş (“Artel”).
Techfin reportable segment includes all financial services operations of Turkcell Finansman A.Ş (“Turkcell Finansman”), Turkcell Ödeme ve Elektronik Para Hizmetleri A.Ş. (“Turkcell Ödeme”),Paycell LLC(“Paycell LLC”), Paycell Europe GmbH (“Paycell Europe”), Turkcell Sigorta Aracılık Hizmetleri A.Ş. (“Turkcell Sigorta”), Sofra Kurumsal ve Ödüllendirme Hizmetleri A.Ş (“Sofra”), Turkcell Dijital Teknolojileri Limited (“Turkcell Dijital Teknoloji”), and Turkcell Dijital Sigorta A.Ş. (“Turkcell Dijital Sigorta”). The operations of these legal entities aggregated into one reportable segment as the nature of services are similar and most of them share similar economic characteristics.
Other reportable segment mainly comprises of non-group call center operations of CJSC Belarusian Telecommunications Network (“BeST”), Kıbrıs Mobile Telekomunikasyon Limited Sirketi (“Kıbrıs Telekom”), East Asian Consortium B.V. (“Eastasia”), Lifecell Ventures B.V (“Lifecell Ventures”), Lifetech LLC (“Lifetech”), Beltower LLC (“Beltower”), Lifecell Digital Limited (“Lifecell Digital”), Yaani Digital BV (“Yaani”), BiP Digital Communication Technologies B.V (“BiP B.V.”), Turkcell Global Bilgi, Turkcell Enerji Çözümleri ve Elektrik Satış Ticaret A.Ş. (“Turkcell Enerji”), Boyut Grup Enerji Elektrik Üretim ve İnşaat Sanayi ve Ticaret A.Ş. (“Boyut Enerji”) and Turkcell Yeni Teknolojiler Girişim Sermayesi Yatırım Fonu (“Turkcell GSYF”).
(1) Please refer to page 19 for the details of new segment breakdown.
FINANCIAL HIGHLIGHTS
TRY million |
Q124 |
Q125 |
y/y% |
Revenue |
42,567 |
47,963 |
|
EBITDA1 |
17,614 |
20,959 |
|
EBITDA Margin (%) |
|
|
2.3pp |
EBIT2 |
4,865 |
8,214 |
|
EBIT Margin (%) |
|
|
5.7pp |
Net Income |
3,638 |
3,082 |
( |
FIRST QUARTER HIGHLIGHTS
- The Board of Directors has resolved to convene the Annual General Assembly Meeting for the 2024 fiscal year on May 15, 2025. For the agenda and further details, please click here.
- Uninterrupted dividend distribution since 2016 and another proposed this year, the Group strengthen our track record of delivering consistent value to shareholders while maintaining robust financial health. The Board of Directors has proposed distributing a gross dividend of TRY 8,000,000,000, subject to shareholder approval at the 2024 Ordinary General Assembly. This corresponds to a gross dividend of TRY 3.6363636 (net TRY 3.0909091) per ordinary share with a nominal value of TRY 1. If approved, the dividend will be paid in cash in two equal installments on June 20, 2025 and December 26, 2025.
-
Fiber infrastructure continues to be a core strategic priority for the Group. In a significant development, the company has successfully renewed its agreement with BOTAŞ through a tender amounting to
$25.5 million -
Robust financial results driven by strong ARPU growth, supported by Techfin business.
-
Group revenues grew
12.7% on a yearly basis, reaching TRY48.0 billion thanks to strong ARPU growth and effective upselling initiatives. The techfin segment recorded revenue growth of31.5% , maintaining its strong momentum. The revenue of Data Center & Cloud business, which is part of guidance beginning with this year, was also up47.5% on a yearly basis. -
EBITDA1 increased
19.0% , leading to an EBITDA margin of43.7% , marking a yearly improvement of 2.3pp; EBIT2 was up68.8% , resulting in an EBIT margin of17.1% . - Despite macroeconomic fluctuations net income was recorded as TRY3.1 billion.
-
Net leverage3 level at 0.21x; net short FX position of
US in line with our neutral FX definition, which is between plus and minus$76 million US $200 million
-
Group revenues grew
-
Operational performance with a focus on profitability
-
153 thousand quarterly mobile postpaid net additions, postpaid subscriber base share at
76% - 30 thousand fiber net additions
- Surpassing 6.0 million total homepasses; 43 thousand new fiber homepasses in this quarter
-
Solid ARPU performance; Mobile ARPU4 growth of
15.9% , residential fiber ARPU growth of17.7%
-
153 thousand quarterly mobile postpaid net additions, postpaid subscriber base share at
(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.
(2) EBIT is a non-GAAP financial measure and is equal to EBITDA minus depreciation and amortization expenses.
(3) Our net debt calculation to include "financial assets at fair value through other comprehensive income” reported under current and non-current assets, and “financial assets at amortized cost”. Required reserves held in CBRT balances are not included in net debt calculation, and this has been reflected in previous quarters’ figures
(4) Excluding M2M
COMMENTS BY CEO, ALİ TAHA KOÇ, PhD
A Promising Start to 2025
As Türkiye’s leading telecommunications and technology company, Turkcell enters another year with a firm commitment to shaping the future-prioritizing sustainable growth and delivering lasting value for all stakeholders. Despite ongoing macroeconomic volatility and intense competition in the sector, we continued to deliver strong financial results, driven by robust ARPU growth from our inflationary pricing strategy and strong growth momentum in our Techfin business. This strong performance reflects the resilience of our diversified business model and our ability to execute our strategy, and further strengthens our ambitions for growth and long-term value creation.
In the first quarter of 2025, our consolidated revenues rose to TRY 48.0 billion, marking a
Strong ARPU growth in both mobile and fixed segments
The mobile market performed in line with our expectations during the first quarter of the year. The volume in the Mobile Number Portability (MNP) market was lower compared to the previous quarter, but dynamic than the same period last year. Aligned with our strategy for sustainable value creation, we maintained our focus on acquiring postpaid subscribers in the mobile segment. We had a net addition of 153 thousand postpaid mobile subscribers, while the share of postpaid subscribers in the total mobile subscriber base rose by 4 percentage points year-on-year to reach
In the fixed segment3, we strengthened our fiber subscriber base by a net addition of 30 thousand new customers through our high-quality, end-to-end fiber service. The number of subscribers using our services via other internet service providers’ (ISPs) fiber infrastructure surpassed 19 thousand. Through our investments in fixed broadband infrastructure, we enabled fiber access for 43 thousand new homepasses, increasing our total homepass to over 6.0 million. Fiber ARPU continued its strong growth and rose by
As part of our commitment to strengthening the fixed market presence, we achieved a key milestone by winning a tender amounting to
To enhance user experience, we stay ahead of the latest technological advancements, ensuring innovations reach our customers swiftly and seamlessly. In February, we became Türkiye’s first operator to introduce Wi-Fi 7 technology to our fiber customers. With the advanced technology offered by Wi-Fi 7, our subscribers can access download and upload speeds of up to 1,000 Mbps.
Momentum in the Techfin segment remains strong
Our Techfin business, which includes the Paycell and Financell, continues to contribute to our consolidated financial performance through strong revenue growth. Paycell, which offers secure and fast payment solutions, increased its revenues by
We are committed to maintaining our leading position in the Türkiye Data Center market, gained through our first mover advantage, driven by our strong belief in the long-term potential of the sector. In this respect, for the first time, we announced a revenue growth guidance for our Data Center and Cloud business in 2025. The
Sustainability is at the heart of our business
With our qualified human capital, strong financial structure, and commitment to operational excellence, we remain firmly focused on creating long-term and sustainable value. The inaugural sustainable bond issuance we carried out in January was a significant indicator of this commitment. Driven by this vision, we continue to advance our renewable energy investments across our operations. We increased our active land-based solar energy capacity from 8.2 MW by the end of 2024 to 28.2 MW this quarter. We are gradually commissioning our new plants upon the completion of the permitting process, thereby increasing the share of self-generated renewable energy in our total energy consumption. We consider sustainability not only as an environmental concern, but also as a social and corporate responsibility. With that in mind, we continue to implement numerous projects such as “Digital Spring,” “Whiz Kids” and “Recycle into Education” that aim to benefit our human capital, the society we live in, nature and future generations.
In March, we once again had the honor of representing Türkiye at the Mobile World Congress, organized by the GSMA, a board on which I am proud to serve. Throughout the congress, we showcased Turkcell’s pioneering initiatives to the world and signed over 20 strategic alliance agreements with global technology brands. All these steps reflect our vision of positioning Türkiye at the heart of the digital transformation.
I would like to thank all my colleagues who walk this journey with us, our Board of Directors for their trust and support, and our customers and business partners who stand with us every step of the way on our journey to success.
(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
(2) Excluding M2M
(3) As of the fourth quarter of 2024, our fixed broadband subscriber reporting has been revised. Turkcell Fiber refers to customers served entirely through our own fiber infrastructure, while Turkcell Resell includes DSL, Cable, and Fiber sales provided through infrastructures of other ISPs. Accordingly, historical subscriber figures have been revised to ensure comparability.
FINANCIAL AND OPERATIONAL REVIEW OF FULL YEAR
Financial Review of Turkcell Group
Profit & Loss Statement (million TRY) |
Quarters |
||
Q124 |
Q125 |
y/y% |
|
Revenue |
42,566.8 |
47,962.6 |
|
Cost of revenue1 |
(20,644.0) |
(21,594.2) |
|
Cost of revenue1/Revenue |
( |
( |
3.5pp |
Gross Margin1 |
|
|
3.5pp |
Administrative expenses |
(1,603.5) |
(2,000.3) |
|
Administrative expenses/Revenue |
( |
( |
(0.4pp) |
Selling and marketing expenses |
(2,427.7) |
(3,214.9) |
|
Selling and marketing expenses/Revenue |
( |
( |
(1.0pp) |
Net impairment losses on financial and contract assets |
(277.5) |
(194.1) |
( |
EBITDA2 |
17,614.2 |
20,959.1 |
|
EBITDA Margin |
|
|
2.3pp |
Depreciation and amortization |
(12,749.6) |
(12,745.6) |
( |
EBIT3 |
4,864.6 |
8,213.5 |
|
EBIT Margin |
|
|
5.7pp |
Net finance income / (costs) |
222.1 |
(358.1) |
( |
Finance income |
7,564.3 |
3,956.2 |
( |
Finance costs |
(10,998.7) |
(5,273.1) |
( |
Monetary gain / (loss) |
3,656.5 |
958.8 |
( |
Other income / (expenses) |
(301.6) |
(449.7) |
|
Non-controlling interests |
7.5 |
- |
( |
Share of profit of equity accounted investees |
(77.2) |
(864.0) |
1, |
Income tax expense |
(1,823.6) |
(3,459.7) |
|
Profit /(loss) from discontinued operations |
746.6 |
- |
( |
Net Income |
3,638.4 |
3,082.1 |
( |
(1) Excluding depreciation and amortization expenses.
(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.
(3) EBIT is a non-GAAP financial measure and is equal to EBITDA minus depreciation and amortization expenses.
Revenue of the Group rose by
In the first quarter, Turkcell Türkiye4 revenues, representing
- Turkcell Türkiye’s strong performance was largely driven by the Consumer4 business which delivered
- Corporate4 revenues increased by
- Wholesale4 revenues were down
(4) As of Q1 2025, we have revised our revenue segmentation. The figures are presented according to this new structure. Please refer to page 4 and the Excel file available on the Turkcell IR website for a comprehensive explanation and comparison.
Techfin segment revenues, accounting for
Other1 segment revenues, comprising
Cost of revenue (excluding depreciation and amortization) decreased to
Administrative expenses increased to
Selling and marketing expenses increased to
Net impairment losses on financial and contract assets were at
EBITDA2 increased by
- Turkcell Türkiye EBITDA1 rose by
- Techfin segment EBITDA1 increased by
- The EBITDA1 of Other was at TRY407 million (TRY338 million).
Depreciation and amortization expenses were almost flat in this quarter, amounting to TRY 12,746 million.
Net finance costs were at TRY358 million (TRY222 million income) in Q125. While the net FX loss significantly declined to TRY 1,381 million (down from TRY 3,186 million) reflecting effective management of the derivative portfolio and financial investments, the decline in the monetary gain led to a net finance cost.
See Appendix A for details of net foreign exchange gain and loss.
Other expenses increased to TRY450 million (TRY302 million) in Q125.
Income tax expense: increased to TRY3,460 million (TRY1,824 million) mainly due to higher deferred tax and corporate tax expenses. One of the underlying reasons for the increase was the recognition of a tax-paying position for Q1 2025.
Net income of the Group decreased by
(1) As of Q1 2025, we have revised our revenue segmentation. The figures are presented according to this new structure. Please refer to page 4 and the Excel file available on the Turkcell IR website for a comprehensive explanation and comparison.
(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.
Total cash & debt: Consolidated cash as of March 31, 2025, increased to TRY108,421 million up from TRY75,871 million as of December 31, 2024. This increase was primarily driven by the
Consolidated debt as of March 31, 2025, increased to TRY150,712 million from TRY114,840 million as of December 31, 2024. Please note that TRY6,411 million of our consolidated debt is comprised of lease obligations. Note, too, that
Net debt1, as of March 31, 2025, increased to TRY16,637 million from TRY11,789 million as of December 31, 2024, with a net debt to EBITDA ratio of 0.21x.
Turkcell Group had a short net FX position of
Capital expenditures: Capital expenditures, including non-operational items, were at TRY16,117 million in Q125.
As of Q125, operational capital expenditures (excluding license fees) at the Group level were at
Capital expenditures (million TRY) |
Quarters |
|
Q124 |
Q125 |
|
Operational Capex |
7,729.0 |
9,693.8 |
License and Related Costs |
9.4 |
9.3 |
Non-operational Capex (Including IFRS15 & IFRS16) |
4,646.7 |
6,413.6 |
Total Capex |
12,385.1 |
16,116.7 |
(1) Our net debt calculation to include "financial assets at fair value through other comprehensive income” reported under current and non-current assets, and “financial assets at amortized cost.” Required reserves held in CBRT balances are not included in net debt calculation, and this has been reflected in previous quarters’ figures
Operational Review of Turkcell Türkiye
Summary of Operational Data |
Quarters |
||||
Q124 |
Q424 |
Q125 |
y/y % |
q/q % | |
Number of subscribers1 (million) |
42.8 |
43.1 |
43.1 |
|
- |
Mobile Postpaid (million) |
27.6 |
29.1 |
29.3 |
|
|
Mobile M2M (million) |
4.6 |
5.0 |
5.3 |
|
|
Mobile Prepaid (million) |
10.6 |
9.2 |
9.0 |
( |
( |
Turkcell Fiber2 (thousand) |
2,334.0 |
2,454.5 |
2,484.4 |
|
|
Resell Fixed Broadband2 (thousand) |
806.1 |
779.0 |
774.2 |
( |
( |
ADSL (thousand) |
762.3 |
738.2 |
721.8 |
( |
( |
Cable (thousand) |
39.2 |
35.5 |
33.1 |
( |
( |
Fiber (thousand) |
4.6 |
5.3 |
19.3 |
|
|
Superbox3 (thousand) |
737.6 |
680.3 |
660.0 |
( |
( |
IPTV (thousand) |
1,450.1 |
1,462.8 |
1,456.3 |
|
( |
Churn (%)4 |
|
|
|
|
|
Mobile Churn (%) |
|
|
|
0.2pp |
(1.1pp) |
Fixed Churn (%) |
|
|
|
0.1pp |
(0.4pp) |
Average mobile data usage per user (GB/user) |
17.8 |
17.9 |
17.9 |
|
- |
(1) Including mobile, fixed broadband, IPTV, and wholesale (MVNO&FVNO) subscribers.
(2) As of the fourth quarter of 2024, our fixed broadband subscriber reporting has been revised. Turkcell Fiber refers to customers served entirely through our own fiber infrastructure, while Turkcell Resell includes DSL, Cable, and Fiber sales provided through infrastructures of other ISPs. Accordingly, historical subscriber figures have been revised to ensure comparability.
(3) Superbox subscribers are included in mobile subscribers.
(4) Churn figures represent average monthly churn figures for the respective periods.
ARPU (Average Monthly Revenue per User) (TRY) |
Quarters |
||||
Q124 |
Q424 |
Q125 |
y/y % |
q/q % |
|
Mobile ARPU, blended |
248.9 |
280.2 |
284.0 |
|
|
Mobile ARPU, blended (excluding M2M) |
280.4 |
318.5 |
325.1 |
|
|
Postpaid |
287.2 |
322.3 |
327.0 |
|
|
Postpaid (excluding M2M) |
341.1 |
385.2 |
392.9 |
|
|
Prepaid |
150.9 |
156.4 |
146.6 |
( |
( |
Fixed Residential ARPU, blended |
316.2 |
371.8 |
371.8 |
|
- |
Residential Fiber ARPU |
320.2 |
379.0 |
377.0 |
|
( |
Despite a competitive environment, we have maintained our focus on postpaid subscribers achieving a net addition of 153 thousand this quarter. Our prepaid subscriber base decreased to 9.0 million primarily driven by the widespread adoption of alternative data solutions (such as e-SIM) and a shift in customer preferences toward postpaid tariffs. This shift has been influenced by rising taxes (increased by the revaluation rate), which are collected in advance from prepaid customers, as well as a general tendency to secure fixed prices in an inflationary environment. Thus, the share of postpaid subscribers in the total mobile subscriber base has reached %76, marking an annual increase of four percentage points. Due to the intense market dynamics, we experienced a slight increase in mobile churn rate, which we define as a healthy level, thanks to our effective churn management actions supported by our analytical models in Q125 compared to the same quarter last year.
Mobile ARPU (excluding M2M) posted a
On the fixed front, our subscriber base reached 3.3 million on 25 thousand quarterly net additions. Our fiber subscriber base expanded by 30 thousand quarterly and 150 thousand annual net additions. Since early 2025, we have been offering fiber services over the incumbent operator’s infrastructure, and by the end of Q1, we reached 19 thousand subscribers in the resell fiber segment. Thanks to our focus on expanding fiber infrastructure, we extended our pure fiber services to an additional 43 thousand homepasses this quarter, bringing the total to over 6.0 million.
Fiber ARPU maintained its strong growth, increasing by
TECHFIN
Paycell Financial Data (million TRY) |
Quarters |
||
Q124 |
Q125 |
y/y% |
|
Revenue |
940.4 |
1,390.0 |
|
EBITDA |
439.4 |
545.6 |
|
EBITDA Margin (%) |
|
|
(7.5pp) |
Net Income |
102.3 |
186.0 |
|
Paycell was the main driver of Techfin segment growth this quarter, achieving a remarkable
The total transaction volume reached to TRY38 billion in the first quarter of 2025 by increasing
Financell Financial Data (million TRY) |
Quarters |
||
Q124 |
Q125 |
y/y% |
|
Revenue |
1,162.4 |
1,257.3 |
|
EBITDA |
129.5 |
199.4 |
|
EBITDA Margin (%) |
|
|
4.8pp |
Net loss |
(130.2) |
(10.1) |
( |
Despite relatively weak consumer demand and limited number of smartphones under TRY 20,000 eligible for 12-month installment plans, Financell’s revenues grew by
Financell’s loan portfolio reached TRY 6.8 billion in Q125. As of the end of the first quarter, the company had 0.8 million active customers. Accordingly, Financell captured a
TURKCELL GROUP SUBSCRIBERS
Turkcell Group registered subscribers amounted to approximately 45.2 million as of March 31, 2025. This figure is calculated by taking the number of subscribers of Turkcell Türkiye, and of each of our subsidiaries. It includes the total number of mobile, fiber, ADSL, cable and IPTV subscribers of Turkcell Türkiye, and the mobile subscribers of BeST and Kuzey Kıbrıs Turkcell.
Turkcell Group Subscribers |
Q124 |
Q125 |
y/y% |
Turkcell Türkiye subscribers1 (million) |
42.8 |
43.1 |
|
BeST ( |
1.5 |
1.5 |
- |
Kuzey Kıbrıs Turkcell |
0.6 |
0.6 |
- |
Turkcell Group Subscribers (million) |
44.9 |
45.2 |
|
(1) Subscribers to more than one service are counted separately for each service. Including mobile, fixed broadband, IPTV, and wholesale (MVNO&FVNO) subscribers.
OVERVIEW OF THE MACROECONOMIC ENVIRONMENT
The foreign exchange rates used in our financial reporting, along with certain macroeconomic indicators, are set out below.
Quarters |
|
||||
Q124 |
Q424 |
Q125 |
y/y% |
q/q% |
|
GDP Growth (Türkiye) |
|
|
n.a |
n.a |
n.a |
Consumer Price Index (Türkiye)(yoy) |
|
|
|
(30.4pp) |
(6.3pp) |
US$ / TRY rate |
|
|
|
|
|
Closing Rate |
32.2854 |
35.2233 |
37.7656 |
|
|
Average Rate |
30.7624 |
34.4819 |
36.1936 |
|
|
EUR / TRY rate |
|
|
|
|
|
Closing Rate |
34.8023 |
36.7429 |
40.7019 |
|
|
Average Rate |
33.3856 |
36.9917 |
38.0036 |
|
|
US$ / BYN rate |
|
|
|
|
|
Closing Rate |
3.2498 |
3.4735 |
3.1176 |
( |
( |
Average Rate |
3.2100 |
3.4187 |
3.2953 |
|
( |
RECONCILIATION OF NON-GAAP FINANCIAL MEASUREMENTS:
We believe that Adjusted EBITDA, among other key metrics, facilitates performance comparisons from period to period and management decision making. It also enables performance comparisons between companies. Adjusted EBITDA as a performance measure eliminates potential differences caused by variations in capital structures (affecting interest expense), tax positions (such as the impact of changes in effective tax rates on periods or companies) and the age and book depreciation of tangible and intangible assets (affecting relative depreciation expense and amortization expense). We also present Adjusted EBITDA because we believe it is frequently used by securities analysts, investors and other interested parties in evaluating the performance of other mobile operators in the telecommunications industry in
Our Adjusted EBITDA definition includes Revenue, Cost of Revenue excluding depreciation and amortization, Selling and Marketing expenses, Administrative expenses and Net impairment losses on financial and contract assets, but excludes finance income and expense, other operating income and expense, investment activity income and expense, share of profit of equity accounted investees and minority interest.
Nevertheless, Adjusted EBITDA has limitations as an analytical tool, and you should not consider it in isolation from, or as a substitute for, analysis of our results of operations, as reported under IFRS. The following table provides a reconciliation of Adjusted EBITDA, as calculated using financial data prepared in accordance with IFRS to net profit, which we believe is the most directly comparable financial measure calculated and presented in accordance with IFRS.
Turkcell Group (million TRY) |
Quarters |
||
Q124 |
Q125 |
y/y% |
|
Consolidated profit before minority interest |
3,630.9 |
3,082.1 |
( |
Profit /(loss) from discontinued operations |
746.6 |
- |
( |
Income tax expense |
(1,823.6) |
(3,459.7) |
|
Consolidated profit before income tax & minority interest |
4,707.8 |
6,541.8 |
|
Share of profit of equity accounted investees |
(77.2) |
(864.0) |
1, |
Finance income |
7,564.3 |
3,956.2 |
( |
Finance costs |
(10,998.7) |
(5,273.1) |
( |
Monetary gain / (loss) |
3,656.5 |
958.8 |
( |
Other income / (expenses) |
(301.6) |
(449.7) |
|
EBIT |
4,864.6 |
8,213.5 |
|
Depreciation and amortization |
(12,749.6) |
(12,745.6) |
( |
Adjusted EBITDA |
17,614.2 |
20,959.1 |
|
RECONCILIATION OF ARPU: ARPU is an operational metric and the methodology for calculating performance measures such as ARPU varies substantially among operators and is not standardized across the telecommunications industry, and reported performance measures thus vary from those that may result from the use of a single methodology. Management believes this metric is helpful in assessing the development of our services over time. The following table shows the reconciliation of Turkcell Türkiye revenues to such revenues included in the ARPU calculations for Q124 and Q125.
Reconciliation of ARPU |
Q124 |
Q125 |
Turkcell Türkiye Revenue (million TRY) |
38,984.4 |
43,523.4 |
Telecommunication services revenue |
34,738.3 |
39,885.3 |
Equipment revenue |
3,620.6 |
3,158.2 |
Other |
625.4 |
479.8 |
Revenues which are not attributed to ARPU calculation1 |
(7.2) |
(7.2) |
Turkcell Türkiye revenues included in ARPU calculation2 |
31,121.7 |
35,893.4 |
Mobile blended ARPU (TRY) |
248.9 |
284.0 |
Average number of mobile subscribers during the year (million) |
38.1 |
38.2 |
Fixed residential ARPU (TRY) |
316.2 |
371.8 |
Average number of fixed residential subscribers during the year (million) |
2.8 |
3.0 |
(1) Revenue from fixed corporate and wholesale business; digital business sales; tower business, and other non-subscriber-based revenues
(2) Revenues from Turkcell Türkiye included in ARPU calculation comprise telecommunication services revenue, equipment revenue and revenues which are not attributed to ARPU calculation.
ABOUT TURKCELL: Turkcell, headquartered in Türkiye, is a leading technology and telecommunications company offering a diverse portfolio of voice, data, and IPTV services across its mobile and fixed networks, alongside digital consumer, enterprise, and techfin solutions. The Turkcell Group operates in three countries: Türkiye,
Appendix A – Tables
Table: Net foreign exchange gain and loss details
Million TRY |
Quarters |
||
Q124 |
Q125 |
y/y% |
|
Net FX loss before hedging |
(3,708.3) |
(1,783.3) |
( |
Swap interest income/(expense) |
254.9 |
115.1 |
( |
Fair value gain on derivative financial instruments |
267.8 |
286.8 |
|
Net FX gain / (loss) after hedging |
(3,185.6) |
(1,381.3) |
( |
Table: Income tax expense details
Million TRY |
Quarters |
||
Q124 |
Q125 |
y/y% |
|
Current tax expense |
(61.7) |
(622.8) |
|
Deferred tax income / (expense) |
(1,761.8) |
(2,836.9) |
|
Income Tax expense |
(1,823.6) |
(3,459.7) |
|
Appendix B – New Segment Breakdown
| Revenue Breakdown (IAS29 Applied) | ||||||
| (million TRY) | Q124 |
Q224 |
Q324 |
Q424 |
2024 |
Q125 |
| Turkcell Türkiye | 38,984.4 |
40,698.6 |
42,990.1 |
45,283.3 |
167,956.4 |
43,523.4 |
| Consumer Revenues | 29,274.8 |
31,224.9 |
32,699.3 |
34,379.7 |
127,578.8 |
33,341.4 |
| Corporate Revenues | 7,260.8 |
6,889.5 |
7,098.6 |
8,388.6 |
29,637.5 |
8,031.1 |
| Wholesale | 1,968.8 |
2,150.2 |
2,735.2 |
2,298.8 |
9,153.0 |
1,796.9 |
| Other | 480.0 |
433.9 |
457.1 |
216.1 |
1,587.1 |
354.0 |
| Techfin Business | 2,089.3 |
2,235.2 |
2,493.3 |
2,684.8 |
9,502.5 |
2,746.6 |
| Finance Business - Financell | 1,162.4 |
1,206.9 |
1,319.5 |
1,292.2 |
4,980.9 |
1,257.3 |
| Techfin - Paycell | 940.4 |
1,024.4 |
1,134.6 |
1,222.1 |
4,321.6 |
1,390.0 |
| Other | (13.5) |
3.8 |
39.2 |
170.4 |
200.0 |
99.4 |
| Other Segment | 1,493.1 |
1,544.8 |
1,502.5 |
1,443.8 |
5,984.2 |
1,692.7 |
| BeST | 645.7 |
617.1 |
594.3 |
541.0 |
2,398.2 |
646.0 |
| Kuzey Kıbrıs Turkcell | 415.1 |
468.0 |
469.7 |
504.4 |
1,857.2 |
524.5 |
| Turkcell Enerji (non-group) | 135.3 |
111.6 |
136.6 |
97.0 |
480.5 |
205.8 |
| Other | 296.9 |
348.1 |
301.9 |
301.3 |
1,248.2 |
316.3 |
| Consolidated Revenues | 42,566.8 |
44,478.5 |
46,985.9 |
49,411.9 |
183,443.1 |
47,962.6 |
| EBITDA Breakdown (IAS29 Applied) | ||||||
| (million TRY) | Q124 |
Q224 |
Q324 |
Q424 |
2024 |
Q125 |
| Turkcell Türkiye | 16,799.0 |
18,192.4 |
19,607.8 |
18,501.9 |
73,101.1 |
19,835.0 |
| Techfin | 476.9 |
593.9 |
696.0 |
626.3 |
2,393.0 |
716.9 |
| Other | 338.3 |
179.1 |
465.3 |
349.2 |
1,331.9 |
407.2 |
| Consolidated EBITDA | 17,614.2 |
18,965.4 |
20,769.1 |
19,477.4 |
76,826.0 |
20,959.1 |
TURKCELL ILETISIM HIZMETLERI A.S.
|
||
1Ç |
1Ç |
|
31 Mart |
31 Mart |
|
2025 |
2024 |
|
| Consolidated Statement of Operations Data | ||
| Turkcell Turkey | 43,523.4 |
38,984.4 |
| Fintech | 2,746.6 |
2,089.3 |
| Other | 1,692.7 |
1,493.1 |
| Total revenue | 47,962.6 |
42,566.8 |
| Total cost of revenue | (34,339.8) |
(33,393.5) |
| Total gross profit | 13,622.8 |
9,173.3 |
| Administrative expenses | (2,000.3) |
(1,603.5) |
| Selling & marketing expenses | (3,214.9) |
(2,427.7) |
| Other Income / (Expense) | (449.7) |
(301.6) |
| Net impairment loses on financial and contract assets | (194.1) |
(277.5) |
| Operating profit | 7,763.9 |
4,563.0 |
| Finance costs | (5,273.1) |
(10,998.7) |
| Finance income | 3,956.2 |
7,564.3 |
| Monetary gain (loss) | 958.8 |
3,656.5 |
| Share of profit of an associate and a joint venture | (864.0) |
(77.2) |
| Profit before income tax from continuing operations | 6,541.8 |
4,707.8 |
| Income tax income/ (expense) | (3,459.7) |
(1,823.6) |
| Profit for the year from continuing operations | 3,082.1 |
2,884.3 |
| Profit /(loss) from discontinued operations | - |
746.6 |
| Profit for the year | 3,082.1 |
3,630.9 |
| Non-controlling interests | - |
(7.5) |
| Owners of the Company | 3,082.1 |
3,638.4 |
| Basic and diluted earnings per share for profit attributable to owners of the Company (in full TL) | 1.41 |
1.67 |
| Basic and diluted earnings per share for profit from continuing operations attributable to owners of the Company (in full TL) | 1.41 |
1.33 |
| Basic and diluted earnings per share for profit from discontinued operations attributable to owners of the Company (in full TL) | - |
0.34 |
| Other Financial Data | ||
| Gross margin |
|
|
| EBITDA(*) | 20,959.1 |
17,614.2 |
| Total Capex | 16,116.7 |
12,385.1 |
| Operational capex | 9,693.8 |
7,729.0 |
| Licence and related costs | 9.3 |
9.4 |
| Non-operational Capex | 6,413.6 |
4,646.7 |
| Consolidated Balance Sheet Data (at period end) | 3/31/2025 |
3/31/2024 |
| Cash and cash equivalents | 108,421 |
75,871 |
| Total assets | 418,120 |
378,919 |
| Long term debt | 94,765 |
57,712 |
| Total debt | 150,712 |
114,840 |
| Total liabilities | 208,285 |
173,139 |
| Total shareholders’ equity | 209,835 |
205,781 |
| (*) Please refer to the notes on reconciliation of Non-GAAP Financial measures on page 15 | ||
| For further details, please refer to our consolidated financial statements and notes as at March 31, 2025, on our website | ||
| TURKCELL ILETISIM HIZMETLERI A.S. Turkish Accounting Standards Selected Financials(TRY Million) |
||
1Ç |
1Ç |
|
31 Mart |
31 Mart |
|
2025 |
2024 |
|
| Consolidated Statement of Operations Data | ||
| Turkcell Turkey | 43,523.4 |
38,984.4 |
| Fintech | 2,746.6 |
2,089.3 |
| Other | 1,692.7 |
1,493.1 |
| Total revenues | 47,962.6 |
42,566.8 |
| Direct cost of revenues | (34,339.8) |
(33,393.5) |
| Gross profit | 13,622.8 |
9,173.3 |
| Administrative expenses | (2,000.3) |
(1,603.5) |
| Selling & marketing expenses | (3,214.9) |
(2,427.7) |
| Other operating income | 8,870.5 |
4,991.6 |
| Other operating expense | (700.2) |
(675.9) |
| Operating profit | 16,577.9 |
9,457.8 |
| Impairment losses determined in accordance with TFRS 9 | (194.1) |
(277.5) |
| Income from investing activities | 2,496.4 |
1,552.2 |
| Expense from investing activities | (56.2) |
(52.5) |
| Share on profit of investments valued by equity method | (864.0) |
(77.2) |
| Income before financing costs | 17,960.0 |
10,602.8 |
| Finance income | 440.3 |
784.0 |
| Finance expense | (12,817.3) |
(10,335.4) |
| Monetary gain (loss) | 958.8 |
3,656.5 |
| Income from continuing operations before tax and non-controlling interest | 6,541.8 |
4,707.8 |
| Tax income (expense) from continuing operations | (3,459.7) |
(1,823.6) |
| Profit from continuing operations | 3,082.1 |
2,884.3 |
| Profit /(loss) from discontinued operations | - |
746.6 |
| Profit for the period | 3,082.1 |
3,630.9 |
| Non-controlling interest | - |
7.5 |
| Owners of the Parent | 3,082.1 |
3,638.4 |
| Earnings per share | 1.41 |
1.67 |
| Earnings per share from discontinued operations | 1.41 |
1.33 |
| Earnings per share from continuing operation | 0.00 |
0.34 |
| Other Financial Data | ||
| Gross margin |
|
|
| EBITDA(*) | 20,959.1 |
17,614.2 |
| Total Capex | 16,116.7 |
12,385.1 |
| Operational capex | 9,693.8 |
7,729.0 |
| Licence and related costs | 9.3 |
9.4 |
| Non-operational Capex | 6,413.6 |
4,646.7 |
| Consolidated Balance Sheet Data (at period end) | 3/31/2025 |
12/31/2024 |
| Cash and cash equivalents | 108,420.5 |
75,871.0 |
| Total assets | 418,120.1 |
378,919.3 |
| Long term debt | 94,764.7 |
57,711.6 |
| Total debt | 150,711.5 |
114,839.8 |
| Total liabilities | 208,285.3 |
173,138.7 |
| Total equity | 209,834.9 |
205,780.5 |
| (*) Please refer to the notes on reconciliation of Non-GAAP Financial measures on page 15 | ||
| For further details, please refer to our consolidated financial statements and notes as at Mart 31, 2025, on our website | ||
View source version on businesswire.com: https://www.businesswire.com/news/home/20250509070079/en/
For further information, please contact Turkcell
Investor Relations
Tel: + 90 212 313 1888
investor.relations@turkcell.com.tr
Corporate Communications:
Tel: + 90 212 313 2321
Turkcell-Kurumsal-Iletisim@turkcell.com.tr
Source: Turkcell Iletisim Hizmetleri A.S.
