Turkcell Iletisim Hizmetleri AS

Ladies and gentlemen, thank you for standing by. I'm Polina, your chorus call operator. Welcome and thank you for joining the Turkcells conference call and live webcast to present and discuss the Turkcells first quarter 2026 financial results. All participants will be in a listen-only mode and the conference is being recorded. The presentation will be followed by a question and answer session. If anyone needs assistance during the conference call, you may signal an operator by pressing star and zero on your telephone. At this time, I would like to turn the conference over to Mrs. Özlem Yardem, Investor Relations and Corporate Finance Director.

Mrs. Yardem, you may now proceed. Thank you, Polina. Hello, everyone, and welcome to Turkcell's 2026 First Quarter Earnings Call. On the call today, we have our CEO, Ali Taha Koç, and CFO, Kamil Kalyon. They will provide an overview of our operational and financial results for the quarter, followed by a Q&A session. Before we begin, I would like to kindly remind you to review our Safe Harbor Statement, which is available at the end of our presentation. With that, I will now turn the call over to Mr. Ali Taha.

Thank you very much, Özlem. Good afternoon, everyone. We delivered a phenomenal quarter. We successfully launched 5G nationwide on March 31st. This landmark launch reinforced our clear leadership in mobile. We executed with precision at every stage of the 5G deployment, from spectrum acquisition to network rollout, from network rollout to marketing. In all aspects, Truxel is the leader. Our spectrum acquisition was both strategic and efficient. We secured 25% more capacity than our closest competitor, creating a network of superior scale and positioning it for long-term demand. Our launch was supported by a powerful go-to-market strategy. To accelerate 5G adoption, we expanded data package allowances fivefold and introduced compelling smartphone campaigns. Our ads featuring global celebrity Shaquille O'Neal resonate strongly with customers. We proved the real-world power of our network through high-impact use cases. We successfully tested remote driving of a TOG-10F over a 150-kilometer distance. At the same time, we conducted live speed tests across Turkey. Turkey has 81 different cities. Live, from all the cities, we have 5G. And with 5G speeds exceeding 2,000 megabits per second, it means more than 2 gigabits. No one has that kind of capability. No one has that kind of speed other than Turkcell. We secured the best frequencies. delivered superior network quality, and executed the strongest launch campaign. Our market is now more solid and resilient than ever. Next page, please. We started the year with flawless execution across all our domains. We have been the leader in the mobile, we are the leader today, and we will continue to lead the future. By securing 40% of the 5G spectrum in the tender, we further reinforce our long-term capacity dominance. On the fixed side, we are driving value-led growth by promoting multi-gigabit-per-second fiber offerings. Currently, 20% of our customers are on 1 gigabit per second, means 1,000 megabits per second and above plan. Digital business service delivered robust growth through corporate digitization supported by sustained momentum in data center and cloud services. We further strengthened our balance sheet by securing $1 billion in Maraba financing. This preserves our investment capacity while supporting a healthy leverage profile. Finally, we continue to expand our strategy partnership. We introduced up to 50% discounts on Samsung smartphones to support 5G penetration. We also secured a managed service collaboration with Asphalt in the defense industry and a strategy cooperation with HBO Max to strengthen our TV platform strategy. Next page, please. In the first quarter of 2026, our revenues grew by 9% year on year, exceeding 68 billion Turkish Liras. This robust top line performance was driven by combination of operational discipline and strategic execution. Key contributors include a strong momentum in digital business services, the scaling of our tech segment, and high-quality subscriber acquisition across both mobile and fixed segments. Group equity increased to 28 billion Turkish Liras with a margin of 41.4%. Our bottom-line performance strengthened further with net income increasing by 15% to 4.6 billion Turkish Liras with disciplined financial management. On the subscriber side, we have 661,000 post-paid net additions. We achieved a great quarter in the mobile number portability market, driven by targeted and segment-based offers. We continue to prioritize subscriber quality and reach content packages to strengthen our leadership. Our data center and cloud business maintains a strong trajectory, with revenues increased by 20.8% as we continue to scale our digital infrastructure. Overall, these results once again proved our ability to monetize the broader digital ecosystem. Next page, please. Now, let's look at the operational drivers behind our performance this quarter. Market competition remained relatively stable. We have 661,000 post-paid net additions in this quarter, our strongest total mobile net additions in the past 14 quarters. This performance reflects the success of our targeted offers and our focus on high-value subscriber growth. The share of post-paid subscriber rose by 4.6 points year-on-year to 81%. Mobile ARPU remained broadly flat year-on-year. This reflects the lagged impact of last year's competitive pricing, our contract-based structure, as well as the rapid increase in inflation in the first quarter. As we transition to 5G, we are taking a balanced approach. We are carefully managing pricing to protect our subscriber base while sustaining our clear leadership in the revenue market share. Our strategy is also reflected in lower churn rates supported by an effective churn policy. Next page please. Moving on to our fixed broadband operations, we achieved a strong quarter in fixed broadband supported by solid subscriber growth. We recorded 36,000 net fiber subscriber additions, including 21,000 from Turkcell fiber domain. Residential fiber ARPU increased by 9.7% year-on-year, supported by active upselling, pricing actions, and the growing contributions of our IPTV offering. We expanded our Turkcell fiber home press by 138,000 in the first quarter, reaching a total of 6.5 million home passes in 30 different cities. Our take-up rate reached 41.8%, reflecting effective monetization of our infrastructure investments and the strength of our fiber growth strategy. Next page, please. Digital business services had a strong start to 2026, with revenues increased by 64% year-on-year. This performance was driven by higher hardware revenues for a large-scale, end-to-end corporate project. We also delivered robust 21% growth in our data center and cloud business. Our system integration backlog remains strong, exceeding 10 billion Turkish liras. Our cumulative data center investments have reached close to 600 million euros. We are on track to finalize our fifth module in Ankara. Our Google Cloud hyperscale partnership is on track as we planned. Next page, please. PayCell, the growth engine of this segment. In this quarter, PayCell revenues increased by 15%, fueled by stroke momentum in our host and pay later businesses. Active uses of pay later increased by 16%, exceeding 3 million. On the financial side, revenue is declined primarily due to ongoing installment limitations. Looking ahead, we see 5G penetration as a natural growth catalyst. A more supportive regulatory environment for installment limits would unlock the full expansion potential of this business. Despite revenue pressure, financial net interest margin expanded significantly by 3.6 percentage points to 8.3%. supported by lower funding costs. Balance sheet risk management remains disciplined, with cost of risk is at 3.3%. I will now hand over to our CFO, Kamil Kalyan, to walk you through our financial highlights. Thank you.