Marti Technologies, Inc.

Hello, everyone, and thank you for joining us for the MARTI Technologies second quarter 2026 conference call. Before we begin, I would like to mention that today's earnings release and earnings presentation are available on MARTI's investor relations website at ir.marti.tech, where you will also find links to our SEC filings along with other information about MARTI. Joining me on the call today are Oguz Alper Oktem, MARTI's founder and CEO, and Cankut Durgun, Marty's co-founder, president and COO. Before we begin, I'd like to remind everyone that statements made on this call as well as in today's earnings release and accompanying earnings presentation contain forward-looking statements regarding our financial outlook, business plans, objectives, goals and strategies and other future events and developments, including statements about the market. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include those described in our filings with the SEC, today's earnings release, and the accompanying earnings presentation, and are based on current expectations and beliefs as of today, August 19, 2026. In addition, our discussion today will include reference to certain Excuse me. In addition, our discussion today will include references to certain supplemental non-GAAP financial measures which should be considered in addition to and not a substitute for our GAAP financial results. We use these non-GAAP measures in evaluating and managing Marty's business and believe they provide useful information for management and our investors. Beginning with the quarter ended June 30th, 2026, we revised our calculation of adjusted EBITDA and prior period amounts have been revised to conform with the current presentation. Reconciliations of non-GAAP measures to the corresponding GAAP measures, where appropriate, together with the description of this revision, can be found in our earnings release and earnings presentation, as well as our filings with the SEC. With that, I will now turn the call over to Alper.

Hello, everyone. Thank you for joining us today for the second quarter 2026 earnings call. We continue to deliver strong growth while achieving positive industry data for the first time. These results at that scale are increasingly turning into profitability. From the beginning, our strategy has been straightforward. Build largest and most engaged mobility network in Turkey and leverage the network to expand into adjacent services with attractive networks. Our second quarter results demonstrate continued progress in executing this strategy. During this quarter, we continue strengthening the foundation for long-term profitable growth. Ride-hailing remains a strong growth engine across our 20-city footprint, which we have since expanded into three cities in Q3, with strong performance in both Istanbul and non-Istanbul markets. Delivery adaptation continued will accelerate among both consumers and drivers, reinforcing or established by the network to expand to adjacent services. The result is higher engagement, better driver utilization, and . Looking ahead, we are also advancing our autonomous mobility strategy in the country. were building 30 autonomous vehicle lines to bring together autonomous vehicle technology and vehicle providers, with MARTA leveraging its platform, rider demand, and operational infrastructure. The first strategic step into the strategy entered into a multi-year partnership with TenSword to deploy autonomous vehicles on the MARTA platform while engaging with additional technology and vehicle providers. Strong execution led to strong financial results. Revenue increased and others, while gross profit more than tripled to over 50 million. Gross profit margin expanded to a record 77%, reflecting improved unit economics and operating leverage. Most importantly, adjusted EBITDA turned positive at 2.9 million and a 5.3 million dollar improvement from the prior year quarter. This milestone demonstrates the operating leverage of our marketplace model and reflects the earnings of our business as it continues to scale. Based on our first-half performance and current momentum, we increased our fiscal year 2026 trends to $85 million in revenue and a positive $7 million in adjusted EBITDA. The increased outlook reflects accelerating demand across our expanding addressable markets throughout the country, high gross margins, and continued progress towards long-term profitable growth. The number one urban mobility app in the country, across both iOS and Android, the only operator offering both car and motor vehicle hailing services at scale, which we complement via our large two-wheeled electric vehicle fleet and our on-demand delivery services. Since launch, have completed 195 million trips through our platform and 8.3 million platform consumers have used and reached one of our services. Ride hailing marketplace continues to expand rapidly. As of June 30th, we had reached 4.4 million all-time ride hailing riders and built a network of 544,000 registered drivers. These metrics highlight of our multi-service platform, seamlessly combining mobility and delivery, and are able to scale both supply and demand in a highly dynamic market. MARTA has simply emerged as 3D leading urban mobility platform, scale, brand recognition, and operations to create meaningful competitive advantages as we continue extending our services. Globally, mobility apps are currently led by local champions who benefit from deep operational expertise and strong brand trust. Cankut Durgun is no exception, with four of the five leading mobility apps operating in the country by local companies. Today, Marta operates 30 cities, representing approximately 85% of the country's GDP. This includes 10 national cities in which we launched our rising operations last week, further strengthening our nationwide footprint. This broad ProPrint enables us to launch new services efficiently, deepen consumer engagement, and serve a substantial portion of the Turkish market through a single industry platform. Turkey continues to present a compelling long-term mobility opportunity. Urbanization, congestion, and increasing demand for technology-enabled transportation continue to support social market growth, and Marpe is well-positioned to lead the way and capture that opportunity. Our operating metrics once again reflect the strength of our integrated market service model. During the second quarter, TRIPS increased 73% to 18.8 million, while unique platform consumers grew even faster, rising 76% year-over-year to 2.4 million. Importantly, TRIPS' unique platform consumers stayed broadly stable despite rapid consumer growth. We viewed this as an encouraging indicator that our marketplace continues to scale efficiently. This combination of accelerating consumer growth and stable education provides a foundation for sustained revenue growth and expanding profitability. Our retailing service continues to be the primary driver of our overall platform growth and consumer acquisition. As of June 30th, all-time unique ride-hailing riders grew by 95% year-over-year from 2.3 million to 4.4 million. All-time registered ride-hailing drivers grew by 68% EUR from 327,000 to 544,000. We continue to exceed the operational requirements for our trials, driving both in the world and abroad. Looking ahead, our next milestone is to reach 4.9 million all-time ride-hailing riders and 580,000 registered drivers by the end of the next quarter. As our ride-hailing service continues to scale, we are also seeing encouragement in the growth of our delivery services. In the second quarter, delivery options continued to rise among both consumers and drivers in Istanbul. Among all 5.8 platform consumers which moved within one trip, approximately 82% of motorcycle-hailing consumers and 31% of car-hailing consumers used these services after first engaging with another motor service. In addition, 73% of and Motorcycle Hailing. During the second quarter of 2008, TRIPS was over 3.1% and revenue per consumer was 7 times higher for motorcyclists than consumers. This reflects the growing utility and stickiness of our integrated model and service platform. As a supply side, growing driver adoption continues to reinforce the strength of our integrated model and service. For example, in Istanbul, 55% of motorcycle-hailing drivers and 22% of car-hailing drivers also accompanied or competed during the second quarter. Similarly, model and service drivers in Istanbul competed significantly and Single Service Drivers, with tips for motorcycle driver four times higher and tips for car driver two times higher. Each new service added to our network strength, and each service added to our network strengthens utilization and drives deep engagement. In the marketplace, we're increasingly deploying AI across our organization to improve efficiency. Our focus is on enabling rapid integration and fast time-to-market, allowing the defined tasks for human supervision. We are doing this without increasing team sizes. In practice, we are applying AI across our tech sector operations and marketplace. This includes dynamic pricing to improve marketplace efficiency and... and Cankut Durgun. Our effective performance marketing, helping us optimize spend and marketing spend. We're also leveraging AI for creative content production, allowing us to accelerate experimentation and to increase our marketing more effectively. , , , , I will turn the floor to my partner, Cenk Ozeker, to discuss the potential results.

Thank you, Aipesh. Our second quarter results reflect the scalability of March's business model. Trips increased 73% year-over-year, while unique platform consumers grew even faster, increasing 76%. Engagement remains strong, with trips per unique platform consumer broadly stable at 7.9 despite the rapid expansion of our consumer base. Growth was driven primarily by increasing ride-hailing usage across our existing cities, alongside encouraging momentum in cross-service adoption across the platform. We also exceeded our operational targets. ending the quarter with 4.4 million all-time unique ride-hailing riders and 544,000 registered drivers. As part of our fleet optimization strategy, we continue to decommission our existing two-wheeled electric vehicle fleet, reducing the number of average daily two-wheeled electric vehicles deployed from 24.1 thousand in the second quarter of 2025 to 20.9 thousand in the second quarter of 2026. This reflects our ongoing focus on capital efficiency and resource allocation. On the financial side, revenue more than doubled year over year, while costs grew at a slower rate, resulting in substantial gross margin expansion and allowing us to deliver positive adjusted EBITDA for the first time. I'm now going to go into the details of our revenue and cost of revenue figures. Q2 revenue increased 141% year over year to nearly $20 million, continuing the strong momentum we have seen throughout the year. This growth was primarily driven by the continued success of our platform subscription package monetization, together with increasing trips and unique platform consumers. Importantly, cost of revenues increased only 32%, despite significantly higher business volumes. At the same time, cost efficiency improved significantly across several major cost categories. Personnel expenses declined from 16.5% to 7.6% of revenue, depreciation and amortization from 8.5% to 2.6%, and operating lease expenses from 4.2% to 1.3%. These efficiencies, particularly the reduction in personnel and depreciation and amortization costs as a percentage of revenue, contributed to the decline in cost of revenues from 43% to 23% of revenue. Following a 400% year-over-year increase in gross profit in the first quarter, it grew a further 223% year-over-year in the second quarter. At the same time, cost of revenues continued to decline as a percentage of revenue, driving gross profit margin expansion from 57% to 77%. This operating leverage is also evident in our first half performance. During the first six months of the year, revenue increased 147% year over year, while cost of revenues increased just 22%, resulting in gross profit growth of 279%. These results reflect the scalability of our platform and our ability to convert incremental revenue into profitability as the platform grows. The benefits of this operating leverage are clearly reflected in our profitability. Gross profit margin expanded to a record 77% in the second quarter, which reflects the scalability of our marketplace model and the strength of our unit economics. On a gap basis, net loss was $12.5 million, reflecting a one-time non-cash loss on debt extinguishment of $8.3 million, recognized in connection with the amendment of our convertible notes. In the absence of the one-time non-cash loss on debt extinguishment, net loss was $4.2 million in comparison to $9.2 million in the prior year quarter. Most importantly, adjusted EBITDA improved by $5.3 million year-over-year, turning positive at $2.9 million compared to negative $2.4 million in the prior year quarter. Our adjusted EBITDA margin also improved significantly from negative 28% in the second quarter of 2025 to positive 15% in the second quarter of this year, an improvement of 43 percentage points in a single year. Reaching positive adjusted EBITDA marks an important milestone for MARTA and reflects that our marketplace can generate profitable growth while continuing to invest in our long-term growth initiatives. Following our strong first half performance, We increased our fiscal year 2026 guidance to reflect the continued strength of the business. We now expect fiscal year 2026 revenue of $85 million, representing 117% year over year growth. Our revenue of $35.4 million in the first six months of 2026 already represents 42% of our updated full year revenue guidance. By comparison, in the first half of 2025, We had $14.3 million of revenue, which represented 37% of our 2025 full-year revenue. We also increased our fiscal year 2026 adjusted EBITDA guidance to positive $7 million. Our second quarter adjusted EBITDA of positive $2.9 million represents meaningful progress toward our increased full-year adjusted EBITDA guidance. This milestone reflects the scalability of our marketplace model and the long-term earnings power of our platform. Taken all together, these results reflect the continued execution of our strategy, including the scaling of ride hailing across our now 30-city footprint, reaching 85% of the country's GDP, the growing adoption of our delivery services, disciplined cost management, and the building of our AI-driven product capabilities to support a much larger operational platform. Based on our strong first half performance and current operating momentum, we're well positioned to achieve our increased full-year guidance while continuing to invest in expanding our platform and product capabilities to support long-term profitable growth. We thank you for your participating today and would like to open the floor to any questions you might have.