TURKCELL ILETISIM HIZMETLERI A.S. - Form 6-K Summary
Business Context and Reporting Period
This Form 6-K, filed on March 6, 2026, reports the full-year 2025 financial and operational results for Turkcell Iletisim Hizmetleri A.S. (Turkcell), a leading telecommunications and technology company in Türkiye. The financial statements are prepared in accordance with IFRS and restated for hyperinflationary conditions under IAS 29, reflecting the purchasing power of the Turkish Lira as of December 31, 2025. The Group operates three primary segments: Turkcell Türkiye (telecom and digital services), Techfin (financial services), and Other (international and energy businesses).
Key Financial Metrics (Full Year 2025)
| Metric (TRY Million) | FY 2025 | FY 2024 | Change (%) |
|---|---|---|---|
| Revenue | 241,471 | 218,160 | 10.7% |
| EBITDA | 104,017 | 91,365 | 13.8% |
| EBITDA Margin | 43.1% | 41.9% | +1.2 pp |
| EBIT | 40,089 | 29,109 | 37.7% |
| Profit from Continuing Operations | 17,791 | 14,512 | 22.6% |
| Net Income | 17,604 | 30,790 | (42.8)% |
| Net Debt | 14,888 | 14,020 | 6.2% |
| Net Debt/EBITDA | 0.14x | 0.15x | - |
| Capital Expenditures (Total) | 89,961 | 71,753 | 25.4% |
Note: Net Income decline is primarily due to a one-off gain of TRY 16.3 billion in FY2024 from the sale of Ukraine operations, which did not recur in FY2025.
Material Changes vs. Prior Period
- Revenue Growth: Driven by a 10.3% increase in Turkcell Türkiye revenue, supported by double-digit ARPU growth (10.6% mobile, 15.4% residential fiber) and a record 2.4 million net postpaid mobile additions.
- Techfin Performance: The Techfin segment grew 21.1%, led by Paycell, which saw 41.0% revenue growth driven by POS and Pay Later solutions.
- Data Center & Cloud: Surpassed guidance with 45.0% year-on-year growth.
- Cost Structure: Cost of revenue as a percentage of revenue improved to 45.2% from 46.8%, despite higher mobile payment and radio expenses.
- Tax Impact: Income tax expense doubled to TRY 13.4 billion due to the removal of inflationary accounting in statutory financials for 2025.
- Balance Sheet: Consolidated debt increased to TRY 158.6 billion, while cash rose to TRY 91.8 billion. The Group maintained a net short FX position of USD 957 million.
Guidance, Outlook, and Risks
2026 Guidance:
- Revenue Growth: 5% to 7%.
- Data Center & Cloud Growth: 18% to 20%.
- EBITDA Margin: 40% to 42%.
- Operational Capex/Sales Ratio: Approximately 25%.
Strategic Initiatives:
- 5G Spectrum: Secured 160 MHz of spectrum for USD 1.2 billion in October 2025, extending license validity to 2042.
- Google Cloud Partnership: Announced a strategic partnership to build Türkiye's first hyperscale cloud region, with a combined investment of USD 3 billion (USD 1 billion by Turkcell).
- BOTAŞ Agreement: Extended the fiber infrastructure agreement for 15 years.
Risks and Contingencies:
- Regulatory: Ongoing investigations by the ICTA regarding R&D obligations, refund procedures, and identity verification, resulting in various administrative fines (totaling approx. TRY 29.6 million paid in the period).
- Competition: Intense market competition with Mobile Number Portability (MNP) volumes reaching a record 18 million in 2025.
- Macroeconomic: Forward-looking statements are based on an assumed inflation rate of 23% for 2026; actual results may vary based on macroeconomic indicators.
Key Facts for Investor Verification
- Net Income Volatility: Verify the impact of the FY2024 one-off gain from Ukraine asset sales on year-over-year Net Income comparisons.
- Inflation Accounting: Confirm the impact of IAS 29 restatement on comparative figures and the specific tax implications of removing inflationary accounting in statutory records.
- 5G Investment: Monitor the deployment timeline for the newly acquired 160 MHz spectrum and the associated capital expenditure requirements.
- Google Cloud Deal: Track the progress of the hyperscale cloud region construction and the phased investment schedule (USD 1 billion by Turkcell).
- Regulatory Fines: Review the status of ongoing ICTA investigations and potential future liabilities beyond the accrued provisions.