(Convenience translation of a report and financial statements originally issued in Turkish)

Akenerji Elektrik Üretim A.Ş.

Condensed consolidated financial statements for the interim period ended 1 January - 30 June 2025

CONVENIENCE TRANSLATION INTO ENGLISH OF INDEPENDENT AUDITOR'S REVIEW REPORT ORIGINALLY ISSUED IN TURKISH

REPORT ON REVIEW OF CONDENSED CONSOLIDATED INTERIM FINANCIAL INFORMATION

To the General Assembly of Akenerji Elektrik Üretim A.Ş.

Introduction

We have reviewed the accompanying condensed consolidated interim statement of financial position of Akenerji Elektrik Üretim A.Ş. (the "Company") and its subsidiaries (collectively referred as the "Group") as at 30 June 2025 and the related condensed consolidated interim statements of profit or loss, other comprehensive income, changes in equity and cash flows for the six-month period then ended. The management of the Group is responsible for the preparation and fair presentation of this condensed consolidated interim financial information in accordance with Turkish Accounting Standard 34 ("TAS 34") "Interim Financial Reporting". Our responsibility is to express a conclusion on this condensed consolidated interim financial information based on our review.

Scope of review

We conducted our review in accordance with the Standard on Review Engagements ("SRE") 2410, "Review of interim financial information performed by the independent auditor of the entity". A review of condensed consolidated interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and the objective of which is to express an opinion on the consolidated financial statements. Consequently, a review on the condensed consolidated interim financial information does not provide assurance that the audit firm will be aware of all significant matters which would have been identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying condensed consolidated interim financial information is not prepared, in all material respects, in accordance with TAS 34.

Emphasis of matter - Plans for the fulfillment of the short-term portion of the long-term borrowings

We would like to draw your attention to Note 2.7 in the accompanying condensed consolidated interim financial statements, where the Group's plans are disclosed for the fulfillment of the short-term portion of the long-term borrowings with a maturity date in March 2026, amounting to 7,561 million TL. Our conclusion is not modified in respect of this matter.

PwC Bağımsız Denetim ve Serbest Muhasebeci Mali Müşavirlik A.Ş.

Çağlar Sürücü, SMMM Independent Auditor

Istanbul, 13 August 2025

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION 1-2 CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS CONDENSED CONSOLIDATED STATEMENT OF OTHER COMPREHENSIVE INCOME CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 7-37 NOTE 1 ORGANISATION OF GROUP AND NATURE OF OPERATIONS 7 NOTE 2 BASIS OF PRESENTATION OF FINANCIAL STATEMENTS 8-13 NOTE 3 BORROWINGS 13-15 NOTE 4 PROPERTY, PLANT AND EQUIPMENT 16-18 NOTE 5 INTANGIBLE ASSETS 18 NOTE 6 PROVISIONS, CONTINGENT ASSETS AND LIABILITIES 19-21 NOTE 7 DERIVATIVE FINANCIAL INSTRUMENTS 22 NOTE 8 EQUITY 23-24 NOTE 9 TAX ASSETS AND LIABILITIES 24-26 NOTE 10 REVENUE AND COST OF SALES 27 NOTE 11 EXPENSES BY NATURE 28 NOTE 12 OTHER OPERATING INCOME AND EXPENSE 29 NOTE 13 OTHER INCOME AND EXPENSE FROM INVESTING ACTIVITIES 30 NOTE 14 FINANCIAL INCOME AND EXPENSE 30 NOTE 15 NET MONETARY GAIN/(LOSS) 31 NOTE 16 RELATED PARTY DISCLOSURES 32-34 NOTE 17 FINANCIAL INSTRUMENTS AND FINANCIAL RISK MANAGEMENT 34-36 NOTE 18 FAIR VALUE DISCLOSURES OF FINANCIAL INSTRUMENTS 37	TABLE OF CONTENTS	PAGE

		3
		4
		5
		6


















NOTE 19 SUBSEQUENT EVENTS 37

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AT 30 JUNE 2025 AND 31 DECEMBER 2024

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

		Current period	Prior period
		Limited reviewed	Audited
	Notes	30 June 2025	31 December 2024
ASSETS
Current assets
Cash and cash equivalents Trade receivables		695.180	2.118.037
- Due from related parties	16	105.721	14.433
- Due from third parties		631.859	806.292
Other receivables
- Due from third parties		144.036	152.354
Inventories		133.155	200.846
Prepaid expenses		125.812	205.980
Current income tax assets	9	16.755	20.112
Other current assets		92.267	110.713

Total current assets		1.944.785	3.628.767

Assets held for sale		56.132	56.132

Non - current assets

Other receivables
- Due from third parties		34.111	31.448
Financial investments		1.664	1.664
Inventories		83.484	116.484
Property, plant and equipment	4	34.052.181	34.931.121
Right of use assets		434.501	393.037
Intangible assets	5	721.031	708.603
Prepaid expenses		10.966	3.512
Deferred tax assets	9	175.265	250.513
Other non-current assests		419.536	428.944
Total non - current assets		35.932.739	36.865.326

TOTAL ASSETS		37.933.656	40.550.225

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AT 30 JUNE 2025 AND 31 DECEMBER 2024

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

		Current Period	Prior Period
		Limited reviewed	Audited
	Notes		30 June 2025 31 December 2024
LIABILITIES
Current liabilities
Short term borrowings	3	132.826	355.634
Short term portion of long-term borrowings
- Bank loans	3	9.437.238	1.784.826
- Lease payables	3	69.367	65.614
Trade payables
- Due to related parties	16	49.561	226.303
- Due to third parties		905.526	1.558.726
Employee benefit obligations		12.667	12.139
Other payables
- Other payables to third parties		241.716	340.826
Derivative instruments Current income tax liabilities	7 9	41.772 3.415	55.478 -
Deferred income		382	498
Short term provisions
- Provisions for employee benefits		29.952	53.385
- Other short-term provisions	6	68.167	101.698

Total current liabilities		10.992.589	4.555.127
Non-current liabilities
Long term borrowings
- Bank loans	3	10.538.213	19.046.207
-Lease payables	3	306.596	301.280
Other payables
- Due to third parties		643.821	647.606
Long term provisions
-Provisions for employee benefits		71.026	63.479
Deferred tax liabilities	9	3.401	15.336
Total non-current liabilities		11.563.057	20.073.908
EQUITY

Share capital	8	729.164	729.164
Adjustments to share capital	8	14.474.238	14.474.238
Share premiums		1.366.998	1.366.998
Other comprehensive income/(expense) not to be reclassified to
profit/loss
Gains/losses on revaluation and remeasurement
- Losses on re-measurement of defined benefit plans		(67.380)	(61.600)
Restricted reserves
- Legal reserves	8	295.849	295.849
- Other reserves		(19.705)	(19.705)
Accumulated income/(losses) Net loss for the period		(863.754) (537.400)	2.983.847 (3.847.601)

Total equity		15.378.010	15.921.190

TOTAL LIABILITIES AND EQUITY		37.933.656	40.550.225

CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS

FOR THE INTERIM PERIODS BETWEEN 1 JANUARY – 30 JUNE 2025 AND 2024

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

		Current period	Prior period
		Limited	Limited
		reviewed	reviewed
		1 January -	1 January -	1 April -	1 April -
	Notes	30 June 2025	30 June 2024	30 June 2025	30 June 2024

Revenue Cost of sales (-)	10 10	9.552.748 (9.518.156)	13.549.915 (13.566.706)	4.175.490 (4.301.879)	6.146.834 (6.162.606)

Gross profit/(loss)		34.592	(16.791)	(126.389)	(15.772)
General administrative expenses (-)		(420.002)	(386.677)	(201.026)	(198.722)
Other operating income	12	197.225	271.382	67.074	136.046
Other operating expenses (-)	12	(157.414)	(214.576)	(80.504)	(84.072)

Operating loss		(345.599)	(346.662)	(340.845)	(162.520)

Income from investment activities	13	69	4.054	62	(13.624)
Expenses from investment activities	13	(397)	-	(309)	-

Operating loss before
financial income/(expense)		(345.927)	(342.608)	(341.092)	(176.144)
Financial income	14	331.903	335.973	108.827	74.587
Financial expense (-)	14	(3.451.328)	(3.438.423)	(1.566.948)	(1.010.715)
Monetary gain	15	3.010.513	4.785.958	1.142.067	1.817.374

Profit/(loss) before tax		(454.839)	1.340.900	(657.146)	705.102
Tax income/(expense)

Current income tax expense (-)	9	(9.236)	(30)	(9.143)	-
Deferred tax income/(expense)	9	(73.325)	(464.889)	14.238	(79.895)
Net income/(loss) for the period		(537.400)	875.981	(652.051)	625.207
Distribution of income/(loss) for the period:
Equity holders of the parent		(537.400)	875.981	(652.051)	625.207
Earnings profit/(loss) per share (kurus)		(0,737)	1,201	(0,894)	0,857

CONDENSED CONSOLIDATED STATEMENT OF OTHER COMPREHENSIVE INCOME FOR THE PERIODS BETWEEN 1 JANUARY - 30 JUNE 2025 AND 2024

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

	Current	Prior period
	period
	Limited	Limited
	reviewed	reviewed
	1 January -	1 January -	1 April -	1 April -
	30 June 2025	30 June 2024	30 June 2025	30 June 2024

Net income/(loss) for the period	(537.400)	875.981	(652.051)	625.207
Other comprehensive income/ (expense)
Not to be reclassified to profit or loss
Actuarial gain/ (loss) arising from defined
benefit plans	(7.707)	(11.566)	252	(10.795)
Deferred tax effect	1.927	2.891	(49)	2.712
Other comprehensive income/(expense)	(5.780)	(8.675)	203	(8.083)
Total comprehensive income/(expense)	(543.180)	867.306	(651.848)	617.124

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE INTERIM PERIODS BETWEEN 1 JANUARY - 30 JUNE 2025 AND 2024

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

				income /(expenses)	Other comprehensive
				not to be
					reclassified to profit or loss
							Restricted reserves
				Increase on	Losses on			Retained
				revaluation of	re-measurement			earnings/	Net
	Share	Adjustments to	Share	property, plant and	of defined benefit		Legal	(accumulated	profit/(loss)for the
	capital	share capital	premiums	equipment(*)	plans)	Other reserves	reserves	losses)	period	Total equity

1 January 2024	729.164	14.474.238	1.366.998	3.605.254	(54.555)	(19.705)	295.849	(5.672.213)	8.489.762	23.214.792
Transfers	-	-	-	-	-	-	-	8.489.762	(8.489.762)	-
Total comprehensive							-
income/(expense)	-	-	-	-	(8.675)	-		-	875.981	867.306
Other adjustments (*)	-	-	-	(83.186)	-	-	-	83.186	-	-
30 June 2024	729.164	14.474.238	1.366.998	3.522.068	(63.230)	(19.705)	295.849	2.900.735	875.981	24.082.098

1 January 2025	729.164	14.474.238	1.366.998	-	(61.600)	(19.705)	295.849	2.983.847	(3.847.601)	15.921.190

Transfers	-	-	-	-	-	-	-	(3.847.601)	3.847.601	-
Total compherensive expense	-	-	-	-	(5.780)	-	-	-	(537.400)	(543.180)
30 June 2025	729.164	14.474.238	1.366.998	-	(67.380)	(19.705)	295.849	(863.754)	(537.400)	15.378.010

(*) As of June 30, 2025, there is no difference between the depreciation calculated based on the carrying amounts of the revalued assets and the depreciation calculated based on their acquisition costs (30 June 2024: TL 83.186, were reclassified to accumulated losses from revaluation fund of property, plant and equipment.)

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE PERIODS BETWEEN 1 JANUARY - 30 JUNE 2025 AND 2024

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

		Current Period	Prior Period
		Limited reviewed	Limited reviewed
		1 January -	1 January -
	Notes	30 June 2025	30 June 2024
A. Cash flows from operating activities		35.166	733.819

Net income/ (loss) for the period		(537.400)	875.981
Adjustments to reconcile net income/(loss) for the period		1.248.952	93.070
Adjustments for depreciation and amortisation expenses	11	937.352	1.225.372
Adjustments for provisions
- Adjustments for provisions for employee benefits		6.225	47.957
- Adjustments for litigation provisions	6	341	(6.605)
- Adjustments for other provisions	6	(26.674)	(13.529)
Adjustments for interest income		(190.477)	(174.689)
Adjustments for interest expense		918.265	1.224.167
Adjustments for financial investments		-	(1.560)
Adjustments for (gain)/loss on sale of property, plant and equipment and impairment		328	(307)
Adjustments for unrealized foreign exchange differences		2.433.116	2.051.095
Fair value adjustments

-Adjustments for fair value of derivative financial instruments		(6.163)	(5.905)
Adjustments for tax expense	9	82.561	464.919
Monetary gain		(2.905.922)	(4.717.845)
Changes in working capital		(660.737)	(190.548)

Adjustments for (increase)/ decrease in trade receivables from related parties		(99.575)	169.682
Adjustments for (increase)/ decrease in trade receivables from third parties		63.740	(413.569)
Adjustments for (increase)/ decrease in other receivables from third parties		(21.986)	(187.448)
Adjustments for (increase)/ decrease in inventories		53.019	19.017
Adjustments for (increase)/ decrease in prepaid expenses		67.568	145.850
Adjustments for (increase)/ decrease in other assets		(52.553)	(163.396)
Adjustments for increase/ (decrease) in trade payables to related parties		(154.029)	(185.252)
Adjustments for increase/ (decrease) in trade payables to third parties		(459.143)	470.312

Adjustments for increase/ (decrease) in derivative financial instruments		-	39.811
Adjustments for increase/ (decrease) in deferred income		(106)	27.654
Adjustments for increase/ (decrease) in employee benefit obligations		2.414	3.552
Adjustments for increase/ (decrease) in other payables		(60.086)	(116.761)
Cash flows from operating activities		50.815	778.503

Provisions related to provisions for employee benefits		(13.185)	(43.364)
Tax receipts/(payments)		(2.464)	(1.320)
B. Cash flows from investing activities		(52.321)	59.131

Cash outflows due to purchase of property, plant and equipment	4	(22.197)	(177.232)
Cash outflows due to purchase of intangible assets	5	(32.512)	(69.935)
Cash inflows due to disposal of property, plant and equipment and intangible assets		2.388	117.101
Other cash inflows/(outflows)		-	189.197
C. Cash flows from investing activities		(1.121.479)	(1.022.446)

Cash inflows on borrowings received		-	259.488
Cash inflows/outflows due to repayment of borrowings		(641.235)	(621.780)
Cash outflows from payments of rent agreements		(59.200)	(58.440)
Interest paid		(591.454)	(718.770)
İnterest received		190.108	104.526
Other cash inflows/ (outflows) (*)		(19.698)	12.530
Net increase/ (decrease) in cash and cash equivalents		(1.138.634)	(229.496)

Monetary loss through cash and cash equivalents		(299.164)	(382.165)
Cash and cash equivalents at the beginning of the period (*)		2.093.364	1.927.229

Cash and cash equivalents at the end of the period (*)		655.566	1.315.568

(*) Cash and cash equivalents at the beginning of the period and at the end of the period does not include interest accruals and restricted deposits, and the changes in restricted deposits are provided in "Other cash inflows / (outflows)".

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 1 - ORGANISATION OF GROUP AND NATURE OF OPERATIONS

Akenerji Elektrik Üretim A.Ş. ("the Company" or "Akenerji") is engaged in establishing, renting and operating facilities of electrical energy production plant, producing electricity and trading electricity to the customers. The Company was established by Akkök Sanayi Yatırım ve Geliştirme A.Ş. in 1989 (Akkök Sanayi Yatırım ve Geliştirme A.Ş. is registered as Akkök Holding A.Ş. on 13 May 2014). On 14 May 2009, the Company has become a joint venture between Akkök Holding A.Ş. and CEZ a.s.

The Company is registered in Turkey and its registered address is as follows;

Miralay Şefik Bey Sokak No: 15 Akhan Kat: 3-4 Gümüşsuyu / Istanbul - Turkey

The Company is registered to the Capital Markets Board ("CMB"), and its shares are publicly traded in Istanbul Stock Exchange ("ISE"). As of 30 June 2025, the Company's free float is 25,28% (31 December 2024: 25,28%).

As of 30 June 2025, the number of employees employed by Akenerji and its subsidiaries (Akenerji and its subsidiaries will be referred called as the "Group") is 259 (31 December 2024: 283).

The condensed consolidated financial statements for the interim period 1 January - 30 June 2025 were approved by the Board of Directors on 13 August 2025.

The nature of business and registered addresses of the entities included in the consolidation ("Subsidiaries") are provided below:

Subsidiaries	Nature of business	Registered address

Akenerji Elektrik Enerjisi İthalat-İhracat
ve Toptan Ticaret A.Ş. ("Akenerji Toptan")	Electricity trading	Gümüşsuyu/İstanbul
Akel Kemah Elektrik Üretim A.Ş.
("Akel Kemah")	Electricity generation and trading	Gümüşsuyu/İstanbul
Akenerji Doğalgaz İthalat İhracat ve Toptan
Ticaret A.Ş. ("Akenerji Doğalgaz")	Natural gas trading	Gümüşsuyu/İstanbul
Akel Sungurlu Elektrik Üretim A.Ş.
("Akel Sungurlu")	Electricity generation	Gümüşsuyu/İstanbul
5ER Enerji Tarım Hayvancılık A.Ş.
("5ER Enerji")	Electricity generation	Gümüşsuyu/İstanbul
Akenerji Company For Electric Energy Import
And Export and Wholesale Trading/Contribution Branch
("Akenerji Toptan Khabat")	Electricity trading	Erbil/Iraq
Aken Europe B.V.
("Aken B.V.")	Electricity trading	Amsterdam/Netherlands

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS

2.1 Basis of presentation

Principles of Preparation of Interim Condensed Consolidated Financial Statements

The condensed consolidated financial statements of the Group have been prepared in accordance with the Turkish Financial Reporting Standards, ("TFRS") and interpretations as adopted in line with international standards by the Public Oversight Accounting and Auditing Standards Authority of Turkey ("POA") in line with the communiqué numbered II-14.1 "Communiqué on the Principles of Financial Reporting In Capital Markets" ("the Communiqué") announced by the Capital Markets Board of Turkey ("CMB") on June 13, 2013 which is published on Official Gazette numbered 28676. TFRS are updated in harmony with the changes and updates in International Financial and Accounting Standards ("IFRS") by the communiqués announced by the POA.

The condensed interim consolidated financial statements are presented in accordance with, "Announcement regarding with TAS/TFRS Taxanomy" which was published on 3 July 2024 by POA and the format and mandatory information recommended by CMB.

In accordance with the TAS 34 "Interim Financial Reporting", entities are allowed to prepare a complete or condensed set of interim financial statements. In this respect, the Group has preferred to prepare condensed consolidated financial statements in the interim periods. Accordingly, these interim condensed consolidated financial statements does not include all required explanatory notes as should be provided and should be read in conjunction with the annual consolidated financial statements for the year ended 31 December 2024.

The Group and its Turkish subsidiaries, associates and joint ventures maintain their books of accounts and prepare their statutory financial statements in accordance with the Turkish Commercial Code ("TCC"), tax legislation, the Uniform Chart of Accounts issued by the Ministry of Finance and principles issued by CMB. The consolidated financial statements are based on the statutory records, which are maintained under historical cost conventions except for the derivative financial instruments, financial investmens and revaluated property, plant and equipment presented a fair values, with the required adjustments and reclassifications reflected for the purpose of fair presentation in accordance with TAS/TFRS.

Adjustment of consolidated financial statements in hyperinflation periods

Pursuant to the decision of the Capital Markets Board of Türkiye (CMB) dated 28 December 2023 and numbered 81/1820, it has been resolved that issuers and capital market institutions subject to financial reporting regulations that apply Turkish Accounting/Financial Reporting Standards (TFRS) shall implement inflation accounting by applying the provisions of TAS 29 "Financial Reporting in Hyperinflationary Economies", starting from their annual financial statements for the periods ending on or after 31 December 2023.

The Group has prepared its consolidated financial statements for the period ended 30 June 2025 by applying TAS 29, based on the relevant Capital Markets Board (CMB) decision, the announcement made by the Public Oversight Accounting and Auditing Standards Authority (POA) on 23 November 2023, and the published 'Implementation Guide on Financial Reporting in Hyperinflationary Economies.

According to the standard, financial statements prepared in the currency of a hyperinflationary economy must be expressed in terms of the purchasing power of that currency as of the balance sheet date. Prior period financial statements are also restated in the same current measurement unit as of the end of the reporting period for comparative purposes. Accordingly, the Group has restated and presented its consolidated financial statements dated 30 June 2024 and 31 December 2024 in purchasing power terms as of 30 June 2025.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS (Continued)

The adjustments made in accordance with IAS 29 were made using the adjustment coefficient obtained from the Consumer Price Index (CPI) of Turkey published by the Turkish Statistical Institute (TÜİK). As of 30 June 2025, the indices and adjustment coefficients used in the adjustment of the consolidated financial statements are as follows:

		Adjustment	3 year cumulative
Date	Index	correlation	inflation ratios
30 June 2025	3.132,17	1,00000	%220
31 December 2024	2.684,55	1,16674	%291
30 June 2024	2.319,29	1,35049	%324

The main components of the Group's adjustments for financial reporting in hyperinflationary economies are as follows:

a) All accounts, excluding accounts that are presented with current purchasing power at the current period, are restated with their related price index correlation. Same method is applied for previous years.
b) Monetary assets and liabilities are not adjusted as they are already expressed in terms of the current purchasing power on the balance sheet date. If the inflation-adjusted values of nonmonetary items exceed their recoverable amount or net realizable value, the provisions of TAS 36 "Impairment of Assets" and TAS 2 "Inventories" are applied, respectively.
c) Non-monetary assets and liabilities, as well as equity items that are not expressed in terms of the current purchasing power at the balance sheet date, have been adjusted using the relevant correction coefficients.
d) All income statement accounts, excluding income statement accounts that are counterparty to nonmonetary accounts of balance sheet, are restated based on the price correlations of the date they entered financial statements.
e) The effect of inflation on the Group's net monetary asset position in the current period is recorded in the net monetary gain/(losses) account in the consolidated profit or loss statement. (Note15)

2.2 Basis of consolidation

a) The consolidated financial statements include the accounts of the parent company, Akenerji, and its Subsidiaries on the basis set out in sections (b) to (c) below. The financial statements of the companies included in the scope of consolidation have been prepared at the date of the consolidated financial statements and have been prepared in accordance with TAS/TFRS by applying uniform accounting policies and presentation. The results of operations of Subsidiaries are included or excluded from their effective dates of acquisition or disposal respectively.
b) Subsidiaries are companies in which Akenerji has the power to control the financial and operating policies for the benefit of itself, either through the power to exercise more than 50% of voting rights related to shares in the companies as a result of shares owned directly and/or indirectly by itself.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS (Continued)

The table below shows the effective ownership percentages of subsidiaries and associates as of 30 June 2025 and 31 December 2024, along with the voting rights percentages held directly or indirectly by the Group.

	Effective shareholding (%)		Ownership interest (%)
Subsidiaries	30 June 2025	31 December 2024	30 June 2025	31 December 2024
Akenerji Toptan	100,00	100,00	100,00	100,00
Ak-el Kemah	100,00	100,00	100,00	100,00
Akenerji Doğalgaz	100,00	100,00	100,00	100,00
Akel Sungurlu (*)	-	-	100,00	100,00
5ER Enerji (*)	-	-	100,00	100,00
Akenerji Toptan Khabat (**)	-	-	100,00	100,00
Aken B.V.	100,00	100,00	100,00	100,00

(*) Within the scope of the capacity rental agreements and usufruct right agreements signed by Akenerji Toptan, since Akenerji Toptan has a free purchase option for the shares of Akel Sungurlu and 5ER Enerji at any time and holds control over these companies, Akel Sungurlu and 5ER Enerji have been consolidated in the financial statements using the full consolidation method. As the Sungurlu Biomass Power Plant ("Sungurlu BPP"), operating under Akel Sungurlu, is actively planned to be sold and is highly likely to be disposed of within the short-term, it has been classified under "non-current assets held for sale", and has been presented in the financial statements at the lower of its net realizable value and book value.

(**) Branch of the Subsidiary, which operate in a different country, are separately presented.

Subsidiaries are consolidated from the date on which the control is transferred to the Group and are deconsolidated from the date that the control ceases. Where necessary, accounting policies for subsidiaries have been changed to ensure consistency with the policies adopted by the Group.

Carrying values of the Subsidiaries' shares held by the Company are eliminated against the related equity of subsidiaries. Intercompany transactions and balances between Akenerji and its subsidiaries are eliminated on consolidation. Dividends arising from shares held by the Company in its subsidiaries are eliminated from income for the period and equity, respectively.

2.3 The new standards, amendments and interpretations

The accounting policies adopted in preparation of the consolidated financial statements as of 30 June 2025 are consistent with those of the previous financial year, except for the adoption of new and amended TFRS and Turkey Financial Reporting Interpretations Committee's ("TFRIC") interpretations effective as of 1 January 2025.

i) The new standards, amendments and interpretations which are effective as of 30 June 2025 are as follows:

- Amendments to IAS 21 - Lack of Exchangeability;

The amendments did not have a significant impact on the financial position or performance of the Group.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS (Continued)

i) Standards, amendments and interpretations that are issued but not effective as at 30 June 2025

Standards, interpretations and amendments to existing standards that are issued but not yet effective up to the date of issuance of the interim condensed consolidated financial statements are as follows. The Group will make the necessary changes if not indicated otherwise, which will be affecting the consolidated financial statements and disclosures, when the new standards and interpretations become effective.

- Amendment to IFRS 9 and IFRS 7 Classification and Measurement of Financial Instruments;
- Annual improvements to IFRS Volume 11;
- Amendment to IFRS 9 and IFRS 7 Contracts Referencing Nature-dependent Electricity;
- IFRS 18 Presentation and Disclosure in Financial Statements;
- IFRS 19 Subsidiaries without Public Accountability: Disclosures;
- IFRS 17 The new standard for insurance contracts;

The Group is in the process of assessing the impact of the standard on financial position or performance of the Group.

2.4 Restatement and errors in the accounting policies and estimates

Any change in the accounting policies resulted from the first time adoption of a new standard is made either retrospectively or prospectively in accordance with the transition requirements. Changes without any transition requirement, material changes in accounting policies or material errors are corrected, retrospectively by restating the prior period consolidated financial statements. If changes in accounting estimates are related to only one period, they are recognised in the period when changes are applied; if changes in estimates are related to future periods, they are recognized both in the period where the change is applied and future periods prospectively.

2.5 Comparatives and restatement of prior year financial statements

The Group prepares comparative consolidated financial statements, to enable readers to determine financial position and performance trends. For the purposes of effective comparison, comparative financial statements can be reclassified when deemed necessary by the Group, where descriptions on significant differences are disclosed.

2.6 Critical accounting estimates and judgments

The preparation of interim condensed consolidated financial statements requires the use of estimates and assumptions that could affect the reported amounts of assets and liabilities as of the balance sheet date, as well as the disclosure of contingent assets and liabilities and the amounts of reported income and expenses for the period. Although these estimates and assumptions are based on the best information available to the Group's management regarding current events and transactions, actual results may differ from these assumptions.

The estimates and assumptions that are material to the carrying values of assets and liabilities as well as the results of operations are outlined below:

Deferred tax assets for the carry forward tax losses:

Deferred tax assets are accounted for only where it is likely that related temporary differences and accumulated losses will be recovered through expected future profits or will be offsetted from the deferred tax liabilities incurred on the temporary differences will be recovered at the same date.

As of 30 June 2025, as a result of the studies performed, the Group recognized no deferred tax assets on carry forward tax losses (31 December 2024: None).

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS (Continued)

Carry forward tax losses amounting to TL 8.622.962 (31 December 2024: TL 5.190.134) (Note 9). As of 30 June 2025, the deferred tax asset has not been calculated by the Group considering its expected future profits and the related deferred tax liabilities for the relevant periods.

Explanations for revaluation method and fair value measurement

The Group has chosen revaluation method instead of historical cost model as an accounting policy among application methods mentioned under TAS 16 for lands, land improvements, buildings, machinery and equipment belong to its power plants commencing from 30 September 2015.

An independent valuation firm has been authorized for revaluation because using of long-term price expectation, electricity generation expectation, discount rate, profit margin between electricity and natural gas prices ("spark spread"), and capacity utilization rate forecasts which are sensitive to sectoral and economic variables and also complexity of inputs and calculations. As of 31 December 2024, the fair value which is determined with valuation study by an independent valuation company which has CMB license, is used for lands, land improvements, buildings, machinery and equipment. In the aforementioned valuation and impairment studies, "income reduction method - discounted cash flow analysis " was applied.

Income Approach, discounted cash flow analysis (Level 3) is used by the valuation company for valuation reports of 31 December 2024 aims to determine fair value of lands, land improvements, buildings, machineries and equipment of Uluabat Hydroelectric Power Plant (HPP), Ayyıldız Wind Farm Power Plant (WFPP), Burç HPP, Feke I HPP, Feke II HPP, Bulam HPP, Gökkaya HPP, Himmetli HPP Konya Biomass Power Plant (BPP), Konya Solar Power Plant (SPP) and Erzin Natural Gas Combined Cycle Power Plant (NGCCPP) which are belong to Akenerji assets. For the valuation of the Sungurlu BPP facility, the "Cost Approach Method" has been applied.

Since long term electricity prices and spark spreads are the most important inputs of "Income Approach discounted cash flow analysis", an independent consultancy and technology firm, which operates in energy market, has been hired. The most important inputs of model determine long term electricity prices are; long term electricity demand, entrance of new plants, exit of old plant, renewable total capacity, evolution of capacity factor, carbon market expectations, natural gas and coal prices, evolution of electricity import export, and development in the efficiency of thermal plants.

Changes in the spark spread are used in the model impact generation at the Erzin natural gas combined cycle power plant. For hydroelectric power plants (HPPs), as well as the Konya and Ayyıldız facilities, generation forecasts have been prepared using historical generation data and feasibility reports. In valuation models prepared in USD terms, the discount rate has been determined as 9.29% in real terms, considering the prevailing macroeconomic market conditions. An increase in the discount rate negatively affects the fair value of the power plants. The portion of the relevant valuation results related to the decrease in value that is associated with "Gains/(losses) on revaluation of property, plant and equipment" has been recognized in the consolidated statement of other comprehensive income statement, while the remaining amount has been accounted for in the consolidated statement of profit or loss statement. The valuation report is prepared by an independent valuation firm holding the relevant Capital Markets Board (CMB) license and possessing the necessary professional expertise.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS (Continued)

2.7 Going concern

The Group considers it appropriate to prepare its consolidated financial statements on a going concern basis for the foreseeable future.

As of 30 June 2025, the Group's current liabilities exceeded its current assets by TL 9.047.804. This situation mainly arises from the reclassification of a bank loan amounting to TL 7.560.745 with a maturity date of 27 March 2026, to short-term bank borrowings. Taking into consideration its current financial position, ongoing negotiations with banks, cash flow projections, and expected EBITDA performance, the Group has assessed that there is no significant risk regarding its ability to continue as a going concern. Accordingly, the financial statements have been prepared on a going concern basis.

The Group plans to initiate negotiations with Yapı ve Kredi Bankası A.Ş. in the third quarter of 2025 to extend the maturity of a loan with a nominal value of USD 180 million, which was utilized in 2024 and is due on 27 March 2026. The Group anticipates that, through its financing strategies and liquidity management practices, all short-term obligations can be met on time.

2.8 Seasonality of Group's operations

Due to the nature of the industry in which the Group operates, its business volume exhibits seasonal fluctuations. Business volume tends to be higher in the second quarter for hydroelectric power plants and in the first quarter for wind power plants. Demand, on the other hand is generally higher in the third quarter. Seasonality does not have a significant impact on the business volume of the Group's remaining segments.

NOTE 3 - BORROWINGS

The details of borrowings of the Group as of 30 June 2025 and 31 December 2024 are as follows:

	30 June 2025	31 December 2024


Short term borrowings
- Bank loans	132.826	355.634
Total short term borrowings	132.826	355.634
Short-term portion of long term borrowings
- Bank loans	9.437.238	1.784.826
- Lease liabilities	69.367	65.614
Total short-term portion of long term borrowings	9.506.605	1.850.440
Long term borrowings
- Bank loans	10.538.213	19.046.207
- Lease liabilities	306.596	301.280
Total long term borrowings	10.844.809	19.347.487
Total short term and long term borrowings	20.484.240	21.553.561

Letters of guarantee given, pledges and mortgages related to financial liabilities are disclosed in Note 6.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 3 - BORROWINGS (Continued)

As of 30 June 2025 and 31 December 2024, the original currencies and weighted average interest rates for short and long-term financial liabilities are as follows:

				30 June 2025
	Currency	Effective Interest rate %	Original Amount	Amount in TL
Short term borrowings	TL	26,93	132.826	132.826
Total short term borrowings			132.826	132.826
Short term portion of long-term bank loans Short term portion of long-term lease liabilities Interest cost of short-term portion of long-term lease liabilities (-) Short term portion of long-term lease liabilities	USD EUR EUR TL	8,08 5,45 5,45 18,98	237.470 1.532 (245) 9.344	9.437.238 71.421 (11.398) 9.344
Total short term portion of long term borrowings				9.506.605
Long term bank loans Long term lease liabilities Interest cost of long term lease liabilities (-) Long term lease liabilities	USD EUR EUR TL	8,08 5,45 5,45 18,98	265.174 4.269 (1.082) 158.038	10.538.213 198.984 (50.426) 158.038

Total long term borrowings 10.844.809

31 December 2024 Currency Effective Interest rate % Original Amount Amount in TL Short term borrowings TL 26,93 355.634 355.634 Total short term borrowings 355.634 355.634 Short term portion of long-term bank loans USD 8,08 43.360 1.784.826 Short term portion of long-term lease liabilities EUR 5,97 1.580 67.732 Interest cost of short-term portion of long-term lease liabilities (-) EUR 5,97 (291) (12.462) Short term portion of long-term lease liabilities TL 19,26 10.344 10.344 Total short term portion of long term borrowings 1.850.440 Long term bank loans USD 8,08 462.703 19.046.207 Long term lease liabilities EUR 5,97 5.071 217.339 Interest cost of long term lease liabilities (-) EUR 5,97 (1.292) (55.396) Long term lease liabilities TL 19,26 139.337 139.337 Total long term borrowings 19.347.487

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless

otherwise indicated.)

NOTE 3 - BORROWINGS (Continued)

As of 30 June 2025, all of the Euro finance lease liabilities of the Group are subject to floating interest rate of Euribor + 3,4% (31 December 2024: All of the Euro finance lease liabilities of the Group are subject to floating interest rate of Euribor + 3,4%).

The details of redemption schedule of the long term bank borrowings as of 30 June 2025 and 31 December 2024 are as follows:

	30 June 2025	31 December 2024

Up to 1 - 2 years	1.998.784	9.503.850
Up to 2 - 3 years	1.912.214	2.030.390
Up to 3 - 4 years	1.675.067	1.774.614
Up to 4 - 5 years	1.574.768	1.567.970
More than 5 years	3.377.380	4.169.383
	10.538.213	19.046.207

The principal repayment schedule of the Group's long-term finance lease obligations as of 30 June 2025 and 31 December 2024 is as follows:

	30 June 2025	31 December 2024

Up to 1-2 years	61.372	58.114
Up to 2-3 years	59.169	55.362
Up to 3-4 years	33.983	54.864
Up to 4-5 years	394	3.681
Up to 5-6 years	464	337
Up to 6-7 years	549	398
Up to 7-8 years	652	470
Up to 8-9 years	778	559
Up to 9-10 years	937	667
More than 10 years	148.298	126.828
	306.596	301.280

As of 30 June 2025 and 2024, the movements of borrowings are as follows:

	2025	2024
1 January	21.553.561	26.593.659
Foreign exchange differences Change in interest accruals Changes in lease liabilities Cash flow impact Monetary gain	2.433.116 947.935 55.829 (1.291.889) (3.214.312)	2.051.095 1.083.668 77.653 (1.139.502) (5.458.418)
30 June	20.484.240	23.208.155

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 4 - PROPERTY, PLANT AND EQUIPMENT

	1 January 2025	Additions	Transfers	Disposals	30 June 2025
Cost
Lands	1.760	-	-	-	1.760
Land improvements (*)	22.126.173	-	-	-	22.126.173
Buildings	5.350.549	-	-	-	5.350.549
Machinery and equipment (**)	21.774.751	4.881	246.504	-	22.026.136
Motor vehicles	37.987	2.394	-	-	40.381
Furnitures and fixtures	264.009	6.498	-	(48.195)	222.312
Special costs	120.765	-	-	(24)	120.741
Construction in progress	386.901	8.424	(246.504)	(2.163)	146.658

	50.062.895	22.197	-	(50.382)	50.034.710
Accumulated depreciation
Land improvements	(5.805.803)	(335.744)	-	-	(6.141.547)
Buildings	(1.097.520)	(73.602)	-	-	(1.171.122)
Machinery and equipment	(7.967.101)	(476.736)	-	-	(8.443.837)
Motor vehicles	(29.112)	(2.810)	-	-	(31.922)
Furnitures and fixtures	(202.146)	(7.124)	-	47.655	(161.615)
Special costs	(30.092)	(2.418)	-	24	(32.486)
	(15.131.774)	(898.434)	-	47.679	(15.982.529)

Net book value	34.931.121				34.052.181

(*) Within the capacity increase project of Ayyıldız wind power plant, the cost of land improvement acquired through finance lease on 27 January 2017 is amounting to TL 5.178. As of 30 June 2025, the total amount of accumulated depreciation of related land improvement is TL 1.158.

(**) Within the capacity increase project of Ayyıldız wind power plant, the cost of machinery and equipment acquired through finance lease on 27 January 2017 is amounting to TL 514.329. As of 30 June 2025, the total amount of accumulated depreciation of the related machinery and equipment is TL 437.180.

Current period depreciation expense amounting to TL 895.871 has been included in cost of sales and TL 2.563 has been included in general administrative expenses.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 4 - PROPERTY, PLANT AND EQUIPMENT (Continued)

	1 January 2024	Additions	Transfers	Disposals	30 June 2024

Cost
Lands	3.299	-	-	-	3.299
Land improvements (*)	28.315.613	22.336	-	-	28.337.949
Buildings	6.440.770	4.426	-	-	6.445.196
Machinery and equipment (**)	24.693.651	15.006	222.273	-	24.930.930
Motor vehicles	35.632	2.317	-	-	37.949
Furnitures and fixtures	261.747	6.385	-	(5.970)	262.162
Special costs	171.778	-	-	(54.365)	117.413
Construction in progress	519.349	126.762	(222.273)	-	423.838
	60.441.839	177.232	-	(60.335)	60.558.736
Accumulated depreciation
Land improvements	(4.895.502)	(458.192)	-	-	(5.353.694)
Buildings	(915.327)	(92.689)	-	-	(1.008.016)
Machinery and equipment	(6.812.068)	(595.798)	-	-	(7.407.866)
Motor vehicles	(23.615)	(2.721)	-	-	(26.336)
Furnitures and fixtures	(193.701)	(16.532)	-	4.975	(205.258)

Special costs	(26.480)	(2.382)	-	1.248	(27.614)
	(12.866.693)	(1.168.314)	-	6.223	(14.028.784)
Net book value	47.575.146				46.529.952

(*) Within the capacity increase project of Ayyıldız wind power plant, the cost of land improvement acquired through finance lease on 27 January 2017 is amounting to TL 5.178. As of 30 June 2024, the total amount of accumulated depreciation of related land improvement is TL 1.022.

(**) Within the capacity increase project of Ayyıldız wind power plant, the cost of machinery and equipment acquired through finance lease on 27 January 2017 is amounting to TL 514.329. As of 30 June 2024, the total amount of accumulated depreciation of the related machinery and equipment is TL 385.747.

Current period depreciation expense amounting to TL 1.165.596 has been included in cost of sales and TL 2.718 has been included in general administrative expenses.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 4 - PROPERTY, PLANT AND EQUIPMENT (Continued)

There are no borrowing costs capitalized in the cost of construction in progress for the period ended 30 June 2025 (30 June 2024: None).

Details of the guarantees, pledges and mortgages on property, plant and equipment as of 30 June 2025 and 31 December 2024 are disclosed in Note 6.

NOTE 5 - INTANGIBLE ASSETS

	1 January 2025	Additions	Transfers	Disposals	30 June 2025
Costs

Rights	126.266	1.900	-	(23.070)	105.096
Licenses	1.183.801	30.612	-	(738)	1.213.675
	1.310.067	32.512	-	(23.808)	1.318.771

Accumulated amortization
Rights	(83.922)	(4.374)	-	23.057	(65.239)
Licenses	(517.542)	(15.697)	-	738	(532.501)
	(601.464)	(20.071)	-	23.795	(597.740)

Net book value	708.603				721.031

	1 January 2024	Additions	Transfers	Disposals	30 June 2024

Costs
Rights	9.698	69.935	42.466	-	122.099
Licenses	1.259.314	-	(42.466)	(77.684)	1.139.164
	1.269.012	69.935	-	(77.684)	1.261.263
Accumulated amortization
Rights	(9.276)	(7.368)	(95.167)	-	(111.811)
Licenses	(564.423)	(16.213)	95.167	14.388	(471.081)
	(573.699)	(23.581)	-	14.388	(582.892)
Net book value	695.313				678.371

Current period amortisation expense amounting to TL 10.603 (30 June 2024: TL 14.719) has been included in cost of sales and remaining TL 9.468 (30 June 2024: TL 8.862) has been included in general administrative expenses.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 6 - PROVISIONS, COMMITMENTS, CONTINGENT ASSETS AND LIABILITIES

a) Other short - term provisions

As of 30 June 2025, there are various lawsuits against or in favor of the Group.These lawsuits are mainly action of debt and business cases.The Group management estimates the outcomes of these lawsuits and the financial effects thereof, and the required provisions are accounted for based on these estimates. The amount of provisions for the lawsuits as of 30 June 2025 is TL 43.162 (31 December 2024: TL 50.019).

	30 June 2025	31 December 2024

Litigation provision	43.162	50.019
Periodical maintenance provisions	25.005	51.679

	68.167	101.698

The movements of litigation provision are as follows:

	2025	2024
1 January	50.019	83.298
Current period charges	122	5.656
Interest charges of litigation provision	898	-
Released provisions (Note 12)	(679)	(12.261)
Monetary gain	(7.198)	(15.923)

30 June	43.162	60.770

b) Contingent liabilities

- Guarantees given

The commitments and contingent liabilities of the Group that are not expected to be resulted in a significant loss or liability to the Group are summarized below:

			30 June 2025	31 December 2024
	Original	Original	TL	Original	TL
	currency	Amount	equivalent	Amount	Equivalent
Letters of guarantees given	TL	364.645	364.645	719.789	719.789
	USD	829	32.937	1.560	64.102
	EUR	660	30.753	1.181	50.646
			428.335		834.537

The guarantees provided generally consist of letters of guarantee issued to various institutions and organizations related to the Group's operations (such as the Energy Market Regulatory Authority (EMRA), suppliers, state institutions responsible for electricity transmission and distribution, tax offices,other financials institution), and various judicial authorities for ongoing legal cases.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 6 - PROVISIONS, COMMITMENTS, CONTINGENT ASSETS AND LIABILITIES (Continued)

Guarantees, pledges, mortgages ("GPM") given by the Group as of 30 June 2025 and 31 December 2024 are as follows:

			30 June 2025		31 December 2024
		Original	TL	Original	TL
	Currency	currency	equivalent	currency	equivalent
GPMs given by the Group A. GPMs given
for companies' own legal entity	TL USD EUR	6.783.106 918.344 660	6.783.106 36.495.741 30.753	8.208.460 919.075 1.181	8.208.460 37.770.697 50.646
B.Total amount of GPM given for the subsidiaries and associates in
the scope of consolidation		-	-	-	-
C.Total amount of GPM given for the purpose of maintaining
operating activities D.Total other GPMs given i) Total amount of CPMB's given on behalf of the		- -	- -	- -	- -
majority shareholder ii) Total amount of CPMB's given to on behalf of other which are not in scope of B		-	-	-	-
and C. iii) Total amount of CPMB's given on behalf of third parties which are not in		-	-	-	-
scope of C.		-	-	-	-
			43.309.600		46.029.803

Details of the guarantees given by Akenerji for its own legal entity as of 30 June 2025 are as follows:

As of November 11, 2019, within the scope of financial restructuring, a refinancing loan agreement amounting to a total of USD 859 million with a 13-year maturity, including a 1.5-year principal grace period, was executed between Yapı ve Kredi Bankası A.Ş. and our company, Akenerji ("Borrower"), to refinance all existing debts of our company and extend their maturity. The aforementioned Loan Agreement was amended on September 20, 2024, whereby the principal repayment of USD 40 million under Tranche 1 and TL 2.271.037 under Tranche 2, both due in 2024, were made, and a new Tranche 5 Loan amounting to USD 180 million was utilized. As a result, as of 30 June 2025, the validity of the Assignment of Receivables, EPİAŞ Receivables Assignment, Mortgage Agreements related to Real Estate and Surface Rights, Commercial Enterprise Pledge, Account Pledge, Insurance Receivables Assignment, Shareholder Receivables Assignment, Movable Pledge, and Share Pledge Agreements initially signed in 2019 and subsequently amended from time to time continues in order to secure the outstanding principal debt of USD 493 million along with the accrued interest and other associated liabilities. Pursuant to the Movable Pledge Agreements signed between Akenerji and the Bank, a first-degree movable pledge amounting to TL 6.418.461 and a second-degree movable pledge amounting to USD 917.515.600 have been established as an upper limit for Akenerji. Additionally, Yapı ve Kredi Bankası A.Ş. has been designated as the pledgee as the beneficiary under the power plants' insurance policies.

As of 30 June 2025, GPMs given by the Group to equity ratio is 282% (31 December 2024: 289%).

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 6 - PROVISIONS, COMMITMENTS, CONTINGENT ASSETS AND LIABILITIES (Continued)

- Sales and purchase commitments

Electricity sales and purchase commitments:

Within the scope of electricity energy sales agreements made with energy companies, the Group has committed to sell 374.684 MWh of energy physically in 2025, and within the scope of the related commitment, 374.684 MWh of energy has been sold as of 30 June 2025.

The Group has commited to purchase 108.151 MWh of physical electricity energy within the scope of electricity energy purchase agreements with energy companies in 2025 and as of 30 June 2025, 81.655 MWh of the electricity enerji was committed to be purchased is completed.

As of 30 June 2025, the Group does not have any physical purchase or sales electricity protocols that it has committed to perform in 2026 and beyond.

Natural gas puchase commitments:

The Group anticipates fulfilling its annual take-or-pay commitment volumes in 2025.

c) Contingent assets

Guarantees received

			30 June 2025		31 December 2024
		Original	TL	Original	TL
	Currency	Currency	Equivalent	currency	Equivalent

Letters of guarantees received	TL	51.374	51.374	60.357	60.357
	EURO	12	560	24	1.029
	USD	64	2.543	484	19.891
Notes of guarantees received	TL	1.752	1.752	2.044	2.044
	USD	746	29.640	746	30.650
	EURO	34	1.575	34	1.449
	GBP	6	309	6	293
Cheques of guarantees received	TL	106	106	124	124
	USD	17	662	17	684
Mortgages received	TL	3.242	3.242	3.783	3.783
			91.763		120.304

Letters of guarantees received, in general, comprised of the letters of guarantees received from the customers in relation to the Group's electricity sales operations.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 7 - DERIVATIVE FINANCIAL INSTRUMENTS

	30 June 2025		31 December 2024
	Contract amount	Fair value	Contract amount	Fair value
Forward contracts - Short - term	1.351.187	41.772	593.874	55.478
Derivative financial liabilities	1.351.187	41.772	593.874	55.478

Movement of derivative instruments during the period is as follows:

	2025	2024
1 January To be reclassified to profit or loss	(55.478)	(58.110)
- Financial (income)/expense - Monetary (loss)/gain	14.620 (914)	(33.327) 14.496
30 June	(41.772)	(76.941)

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless

otherwise indicated.)

NOTE 8 - EQUITY

Share capital

Akenerji adopted the registered capital system applicable to the companies registered on the CMB and defined a limit to its registered capital for shares. Akenerji's registered capital ceiling and paid-in capital as of 30 June 2025 and 31 December 2024 are shown below:

	30 June 2025	31 December 2024
Limit on registered share capital (historical)	1.500.000	1.500.000
Issued capital	729.164	729.164

The Company's shareholders and shareholding structure as of 30 June 2025 and 31 December 2024 are as follows:

		30 June 2025		31 December 2024
	Share (%)	Amount	Share (%)	Amount
CEZ a.s. Akkök Holding A.Ş.	37,36 20,43	272.426 148.989	37,36 20,43	272.426 148.989
Akarsu Enerji Yatırımları San. ve Ticaret A.Ş. ("Akarsu")	16,93	123.437	16,93	123.437
Publicly held	25,28	184.312	25,28	184.312
		729.164		729.164
Adjustment to share capital(*)		14.474.238		14.474.238
Total paid-in capital		15.203.402		15.203.402

(*) Adjustment to share capital represents the restatement effect of cash and cash equivalent contributions to share capital measured in accordance with the TAS/TFRS promulgated by the POA. "Adjustment to share capital" has no use other than being transferred to paid-in share capital.

The share capital of the Company consists of 72.916.400.000 shares with a nominal value of 1 (one) Kr for each where no privilege rights are provided for any kind of shares.

As of 30 June 2025, hyperinflation adjustments made on equity according to TAS 29, published by CMB on 7 March 2024, are presented below:

Equity	PPE indexed accounting entries	CPE indexed accounting entries	Differences classified in retained earnings
Share capital	17.678.724	15.203.402	(2.475.322)
Share premiums	1.861.067	1.366.998	(494.069)
Restricted reserves	408.062	295.849	(112.213)

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 8 – EQUITY (Continued)

Share premium

Share premiums presented in the consolidated financial statements represent the proceeds from the excess of the amount of shares compared to their nominal values.

Regal reserves

Turkish Commercial Code stipulates that the legal reserve is appropriated out of statutory profits at the rate of 5% per annum, until the total reserve reaches 20% of the Group's paid - in share capital. Other legal reserve is appropriated out of 10% of the distributable income after 5% dividend is paid to shareholders. Under the TCC, legal reserves can only be used for compensating losses, continuing operations in severe conditions or preventing unemployment and taking actions for relieving its effects in case general legal reserves does not exceed half of paid - in capital or issued capital.

NOTE 9 - TAX ASSETS AND LIABILITIES

	30 June 2025	31 December 2024
Current income tax expenses Prepaid taxes	9.236 (22.576)	24 (20.136)
Current income tax liabilities/ (Current income tax assets), net	(13.340)	(20.112)

Corporation tax

The Group is subject to corporate tax in Turkey. Necessary provisions have been made in the financial statements for the estimated tax liabilities of the Group related to the current period activity results.

The corporate tax rate in Turkey is 25% (31 December 2024: 25%). The corporate tax rate is applied to the net corporate income to be found as a result of adding the non-deductible expenses to the commercial earnings of the companies, and deducting the exemptions and deductions stated in the tax laws. Losses can be carried forward to offset against future taxable income for up to 5 years. However, the resulting losses cannot be deducted retrospectively from the profits of previous years.

In Turkey, there is no practice to reconcile with the tax authority on taxes payable. The corporate tax return is submitted until the evening of the 30th day of the fourth month following the end of the accounting period and is paid until the end of the month.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 9 - TAX ASSETS AND LIABILITIES (Continued)

Companies in Turkey calculate temporary tax at the rate of 25% over their quarterly financial profits (31 December 2024: 25%) and declared until the 17th day of the second month following that period and pay it by the evening of the seventeenth day. The temporary tax paid during the year belongs to that year and is deducted from the corporate tax to be calculated over the corporate tax return to be submitted in the following year. Despite the deduction, if there is an amount of advance tax paid, this amount can be refunded or deducted in cash.

Income tax withholding

Limited tax payers, who earn income through a permanent establishment or representative and pay it to companies (dividends) resident in Turkey, not subject to withholding tax. Dividend payments made to persons other than these are subject to 10% withholding tax. The profit included to the capital is not a profit distribution.

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024
Current income tax expense (-) Deferred tax income/(expense)	(9.236) (73.325)	(30) (464.889)	(9.143) 14.238	- (79.895)
	(82.561)	(464.919)	5.095	(79.895)
Deferred taxes
			30 June 2025	31 December 2024
Deferred tax assets Deferred tax liabilities			175.265 (3.401)	250.513 (15.336)

The details of tax income / expense for the period ended 30 June 2025 and 2024 are as follows:

The Group recognizes deferred tax assets and liabilities based upon temporary differences arising from its
financial statements prepared in compliance with TAS and its statutory tax financial statements. The
temporary differences usually result from the recognition of revenue and expenses in different reporting
periods according to TAS and Tax Laws.

Deferred tax assets, net 171.864 235.177

The tax rate used in the calculation of deferred tax assets and liabilities is 25% (31 December 2024: 25%)

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 9 - TAX ASSETS AND LIABILITIES (Continued)

The breakdown of cumulative temporary differences and the resulting deferred tax assets/liabilities provided using principal tax rates is as follows:

		Total temporary differences		Deferred tax assets/(liabilities)
		31		31
	30 June	December	30 June	December
	2025	2024	2025	2024
Investment incentives (*)	(1.080.846)	(1.089.850)	270.212	272.463
Adjustments to borrowings	109.887	85.267	(27.472)	(21.317)
Adjustments to property, plant and equipment	462	16.542	(115)	(4.136)
Other	283.038	47.329	(70.761)	(11.833)
Deffered tax assets/(liabilities), net			171.864	235.177

(*) Within the scope of former Article 19 of Income Taxation Law, the related amount of investment incentive is mainly due to investment expenditures of Uluabat HEPP.

In accordance with the Group's assessments as of 30 June 2025, details of tax losses on which deferred taxes are not recognized, along with the year it is incurred and the maximum year it can be utilized, are provided below:

Year incurred	Year can be used	30 June 2025	31 December 2024

2020	2025	262.766	262.766
2021	2026	1.181.822	1.181.822
2022	2027	220.742	220.742
2023	2028	1.504.823	1.846.248
2024	2029	1.637.249	1.678.556
2025	2030	3.815.560	-

		8.622.962	5.190.134

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 10 - REVENUE AND COST OF SALES

a) Revenue

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024

Electricity sales revenue	5.178.877	5.356.912	1.862.424	2.319.285
Revenue on sharing of imbalance	3.092.319	6.683.834	1.681.165	3.025.966
Revenue on capacity mechanism	396.135	166.881	189.668	138.170
Revenue on seconder frequency control	357.882	631.846	250.874	327.822
Revenue on loading orders	9.721	227.563	8.254	102.055
Other revenues	517.814	482.879	183.105	233.536
	9.552.748	13.549.915	4.175.490	6.146.834

b) Cost of sales

		1 January - 1 January -	1 April -	1 April -
	30 June 2025	30 June 2024	30 June 2025	30 June 2024
Direct raw materials consumed and cost of
electricity purchased (*)	7.704.409	11.418.079	3.401.049	5.108.077
Depreciation and amortization expenses	913.347	1.188.311	459.058	589.255
Personnel expenses	380.718	382.460	198.653	184.441
Maintenance and repair expenses	241.182	239.641	104.586	101.529
Other materials and spare parts consumed	131.980	113.753	65.303	64.857
Insurance expenses	81.661	102.149	39.260	48.151
Other	64.859	122.313	33.970	66.296
	9.518.156	13.566.706	4.301.879	6.162.606

(*) Direct raw materials consumed comprised of cost of natural gas purchased, cost of energy purchased, imbalance sharing costs, system usage costs, and etc.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless

otherwise indicated.)

NOTE 11- EXPENSES BY NATURE

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024

Direct raw materials consumed and
cost of electricity purchased	7.704.409	11.418.079	3.401.049	5.108.077
Depreciation and amortization
expenses (*)	937.352	1.225.372	471.717	620.515
Personnel expenses (**)	610.287	578.568	311.337	275.164
Maintenance and repair expenses	241.182	239.641	104.586	101.529
Other materials and spare parts
consumed	131.980	113.753	65.303	64.857
Insurance expenses (***)	83.297	104.439	40.151	49.339
IT expenses	43.052	23.363	14.173	13.162
Consultancy expenses	22.916	32.067	11.801	16.111
Rent expenses	18.997	12.795	9.638	4.007
Office expenses	13.669	13.509	5.713	6.896
Taxes and duties	13.163	19.262	6.768	8.024
Vehicle expenses	12.142	13.271	6.396	7.062
Travel expenses	10.120	7.522	6.490	3.426
Advertising and sponsorship expenses	3.799	1.642	1.788	1.224
Other expenses	91.793	150.100	45.995	81.935
	9.938.158	13.953.383	4.502.905	6.361.328

(*) Depreciation and amortization expenses amounting to TL 913.347 (30 June 2024: TL 1.188.311) is classified in cost of sales, TL 24.005 (30 June 2024: TL 37.061) of amortization and depreciation expenses is classified in general administrative expenses.

(**) Personnel expenses amounting to 380.718 (30 June 2024: TL 382.460) is classified in cost of sales, TL 229.569 (30 June 2024: TL 196.108 is classified in general and administrative expenses.

(***) Insurance expenses amounting to TL 81.661 (30 June 2024: TL 102.149) is classified in cost of sales, TL 1.636 (30 June 2024: TL 2.290) is classified in general and administrative expenses.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 12 - OTHER OPERATING INCOME AND EXPENSE

a) Other operating income

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024

Gains of futures and options market	72.176	93.292	30.734	55.828
Foreign exchange gains from
trading activities	62.783	25.932	32.698	2.149
Provisions no longer required (*)	41.201	24.384	1.913	6.848
Delay interests received	369	70.163	30	39.161
Revenues from risk sharing
agreements	-	33.330	-	33.330
Other income	20.696	24.281	1.699	(1.270)
	197.225	271.382	67.074	136.046

(*) As of 30 June 2025, TL 679 (30 June 2024: TL12.261) of the provisions no longer required from litigation provisions, TL 39.152 from premium provisions (30 June 2024: TL 5.523) and TL 1.370 from other no longer required provisions (30 June 2024: TL 6.600)

b) Other operating expense

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024
Losses on futures and options market Foreign exchange losses from	104.231	96.580	56.527	58.700
trading activities	39.427	33.616	19.695	616
Provisions for litigations	122	5.356	26	3.435
Other expenses	13.634	79.024	4.256	21.321
	157.414	214.576	80.504	84.072

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 13 - INCOME AND EXPENSES FROM INVESTING ACTIVITIES

a) Income from investing activities

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024
Profit on sale of property, plant and equipment	69	307	62	274
Fair value difference gain on exchange rate protected deposit accounts	-	3.001	-	(13.898)
Other income	-	746	-	-
	69	4.054	62	(13.624)

b) Expenses from investing activities

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024
Loss on sale of property, plant and equipment	397	-	309	-
	397	-	309	-

NOTE 14 - FINANCIAL INCOME AND EXPENSES

a) Financial income

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024
Interest income	190.108	104.526	60.160	57.095
Foreign exchange gain	129.002	197.571	53.061	27.988
Gain on derivative financial instruments	12.793	33.876	(4.394)	(10.496)
	331.903	335.973	108.827	74.587

b) Financial expenses

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024
Foreign exchange losses	2.433.929	2.021.149	1.042.528	298.532
Interest and commission expenses Losses on derivative financial	918.265	1.224.167	456.423	549.346
instruments	88.861	181.680	63.478	157.548
Other financial expenses	10.273	11.427	4.519	5.289
	3.451.328	3.438.423	1.566.948	1.010.715

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 15 - NET MONETARY GAIN/(LOSS)

	1 January - 30 June 2025

Statement of financial position items
Inventories	(15.406)
Prepaid expenses	10.369
Financial investments	73
Property, plant, and equipment	5.081.108
Intangible assets	2.516
Right of use assets	19.351
Deferred tax assets	35.801
Deferred income	(9)
Other payables (DSI payables indexation)	(94.693)
Deferred tax liabilities	(2.192)
Share capital	(2.190.101)
Other reserves	2.816
Share premiums	(195.358)
Gains/(losses) on re-measurement of defined benefit plans	9.629
Legal reserves	(42.280)
Accumulated profit/(loss)	123.440
Profit or Loss Statement Items
Revenue	(529.372)
Cost of sales (-)	597.886
General administrative expenses (-)	24.523
Other operating income	(13.064)
Other operating expense (-)	8.452
Expenses from investment activities	(3)
Income from investment activities	16
Financial income	(22.898)
Financial expense (-)	199.764
Current income tax expense	145
Net monetary position gains	3.010.513

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 16 - RELATED PARTY DISCLOSURES

a) Transaction with related parties

Purchases from related parties

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024
(1) (**) Sakarya Elektrik Perakende Satış A.Ş. ("Sepaş")	107.069	291.649	106.642	99.551
(2) (**) Aktek Bilgi İlet. Tekn. San. ve Tic. A.Ş. ("Aktek")	46.592	36.614	18.248	22.754
Ak-Han Bak.Yön.Serv.Hiz.Güv.Mal. A.Ş. ("Ak-Han") (3) (**)	21.956	18.843	9.248	8.956
(4) (**) Aksa Akrilik Kimya Sanayi A.Ş. ("Aksa)	16.509	22.068	9.321	11.892
Cez a.s. (5) (*)	12.543	10.265	3.096	5.179
(6) (**) Dinkal Sigorta Acenteliği A.Ş. ("Dinkal")	8.869	9.625	391	(834)
Other	9.564	2.674	209	2.225
	223.102	391.738	147.155	149.723

(1) Comprised of purchase of electricity and sharing of instability savings.

(2) Comprised of IT services received.

(3) Comprised of building maintenance and other services received.

(4) Comprised of sharing of instability savings.

(5) Comprised of purchase of electricity.

(6) Comprised of insurances purchased from insurance companies by the intermediary of Dinkal.

- Sales to related parties

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024
(1) (**) Sepaş	340.150	310.223	340.150	88.534
Cez a.s (2) (*)	221.067	189.639	94.543	127.241
Aksa (3) (**)	23.497	20.945	13.568	7.448
(4) (**) Akiş	3.572	3.392	2.567	2.816
Other	164	52	27	-
	588.450	524.251	450.855	226.039

(1) Comprised of sharing of instability.

(2) Comprised of sales of electricity

(3) Comprised of sharing of instability.

(4) Comprised of service procurements related to the installation of solar power plant.

(*) Shareholder.

(**) Akkök Holding group company.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless

otherwise indicated.)

NOTE 16 - RELATED PARTY DISCLOSURES (Continued)

b) Balances with related parties

- Short-term trade receivables from related parties

	30 June 2025	31 December 2024

(1) (**) Sepaş	88.919	-
CEZ a.s. (2) (*)	9.763	11.942
Aksa (3) (**)	5.664	2.276
Other	1.375	215
	105.721	14.433

(1) Comprised of receivables from sharing of instability.

(2) Comprised of receivables from sales of electricity.

(3) Comprised of receivables from sharing of instability.

The average maturity days of trade receivables from related parties is 20 days.

- Short-term trade payables to related parties

	30 June 2025	31 December 2024

Dinkal (1) (**)	36.307	187.480
Aktek (2) (**)	4.353	18.314
CEZ a.s (3)(*)	3.478	1.570
Ak-Han (4) (**)	3.298	5.929
Aksa (5) (**)	1.966	4.680
Other	159	8.330
	49.561	226.303

(1) Comprised of payables to Dinkal for the insurances purchased from insurance companies by the intermediary of Dinkal.

(2) Comprised of the payables related to IT services and equipment purchased.
(3) Comprised of the payables related to electricity purchases.
(4) Comprised of the payables related to office maintenance and management services received.
(5) Comprised of the payables related to sharing of instability.
(*) Shareholder.
(**) Akkök Holding group company.

The average maturity days of trade payables from related parties is 30 days.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 16 - RELATED PARTY DISCLOSURES (Continued)

c) Key management compensation

For the purpose of these consolidated financial statements, key management compensation consists of the payments made to Group shareholders and top management (General Manager and Vice General Managers and directors).

	1 January - 30 June 2025	1 January - 30 June 2024	1 April - 30 June 2025	1 April - 30 June 2024
Salaries and benefits	29.371	23.789	15.610	11.863
Attendance fee	3.791	2.702	2.327	1.647
Bonus payment	-	12.037	-	(621)
	33.162	38.528	17.937	12.889

NOTE 17 - FINANCIAL RISK MANAGEMENT

- Foreign exchange risk

The Group is exposed to foreign exchange risk through the impact of rate changes in the translation of foreign currency denominated assets and liabilities to local currency. Foreign exchange risk arises from future obligations as well as foreign currency denominated assets and liabilities. These risks are monitored and limited by the monitoring of the foreign currency position. In order to manage this risk, foreign exchange purchases are made from spot markets and derivative instruments are used. The management limits the foreign currency position of the Group through analyzing it. The Group has reduced its exposure to currency risk by converting a significant portion of its USD denominated loans into TL with the refinancing it has made within the scope of Financial Restructuring on 11 November 2019.

The details of the foreign currency assets and liabilities as of 30 June 2025 and 31 December 2024 are as follows:

	30 June 2025	31 December 2024

Assets	668.641	1.136.088
Liabilities	(20.486.914)	(21.438.022)

Net financial position	(19.818.273)	(20.301.934)
Net position of derivative instruments	(1.351.187)	(692.896)

Foreign currency assets/(liabilities) position (net)	(21.169.460)	(20.994.830)

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 17 - FINANCIAL RISK MANAGEMENT (Continued)

As of 30 June 2025 and 31 December 2024, assets and liabilities denominated in foreign currency and their TL equivalent held by the Group are as follows:

				30 June 2025			31 December 2024
	TL Equivalent	USD	Euro	Other	TL Equivalent	USD	Euro	Other
Trade receivables Monetary financial assets	193.832 441.019	4.576 8.020	257 2.624	- -	138.486 966.527	3.053 20.262	299 3.091	- -
Current assets	634.851	12.596	2.881	-	1.105.013	23.315	3.390	-
Monetary financial assets	33.790	-	725	-	31.075	-	725	-
Non-current assets	33.790	-	725	-	31.075	-	725	-
Total assets	668.641	12.596	3.606	-	1.136.088	23.315	4.115	-
Trade payables Financial liabilities Other monetary liabilities	195.227 9.497.261 21.934	4.486 237.470 376	345 1.287 150	16 - -	273.900 1.840.073 31.078	6.300 43.360 755	340 1.289 -	- - -
Short-term liabilities	9.714.422	242.332	1.782	16	2.145.051	50.415	1.629	-
Financial liabilities Other monetary liabilities	10.686.771 85.721	265.174 2.157	3.187 -	- -	19.208.134 84.837	462.703 2.061	3.778 -	- -
Long-term liabilities	10.772.492	267.331	3.187	-	19.292.971	464.764	3.778	-
Total liabilities	20.486.914	509.663	4.969	16	21.438.022	515.179	5.407	-
Net Asset(Liability) Position of Statement of Financial Position Derivative Instruments	(1.351.187)	(34.000)	-	-	(692.896)	(16.000)	(800)	-
Off-Statement of financial position derivative liabilities	1.351.187	34.000	-	-	692.896	16.000	800	-
Net foreign currency asset(liability) position	(21.169.460)	(531.067)	(1.363)	(16)	(20.994.830)	(507.864)	(2.092)	-
Net foreign currency asset/(liability) position of monetary items	(19.818.273)	(497.067)	(1.363)	(16)	(20.301.934)	(491.864)	(1.292)	-
Total fair value of financial instruments used for foreign currency hedging	41.768	1.051	-	-	55.478	1.228	115	-
Export	680.877	12.496	5.282	-	1.148.746	20.103	8.955	-
Import	585.698	14.033	1.374	74	936.525	22.856	1.382	-

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 17 - FINANCIAL RISK MANAGEMENT (Continued)

The Group is exposed to foreign exchange risk arising from various currency exposures, primarily with respect to USD and EURO. As of 30 June 2025 and 31 December 2024, the following table details of Group's sensitivity to a 10% increase and decrease in the TL against relevant foreign currencies, all other variables held constant. The sensitivity analysis includes only monetary items in open foreign currency at the end of the year.

				30 June 2025
		Profit /Loss		Equity
	Appreciation	Depreciation	Appreciation	Depreciation
	of	of	of	of
	foreign	foreign	foreign	foreign
	currency	currency	currency	currency
+/- 10% fluctuation of USD rate
1- USD net asset/liability	(1.975.384)	1.975.384	-	-
2- USD net effect	(1.975.384)	1.975.384	-	-
+/- 10% fluctuation of EUR rate
3- EUR net asset/liability	(6.353)	6.353	-	-
4- EUR net effect	(6.353)	6.353	-	-
+/- 10% fluctuation of other currencies rate against to TL
5- Other currencies net asset/liability	(87)	87	-	-
6- Other currencies net effect	(87)	87	-	-
Total (2+4+6)	(1.981.824)	1.981.824	-	-

				31 December 2024
		Profit /Loss		Equity
	Appreciation of Depreciation			Appreciation of Depreciation of
		of
	foreign	foreign	foreign	foreign
	currency	currency	currency	currency
+/- 10% fluctuation of USD rate
1- USD net asset/liability	(2.024.656)	2.024.656	-	-
2- USD net effect	(2.024.656)	2.024.656	-	-
+/- 10% fluctuation of EUR rate
3- EUR net asset/liability	(5.537)	5.537	-	-
4- EUR net effect	(5.537)	5.537	-	-
+/- 10% fluctuation of other currencies rate against to TL
5- Other currencies	-	-	-	-
6- Other currencies net effect	-	-	-	-
Total (2+4+6)	(2.030.193)	2.030.193	-	-

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

(Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 18- FAIR VALUE DISCLOSURES OF FINANCIAL INSTRUMENTS

Fair value of financial instruments

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The estimated fair values of financial instruments have been determined by the Group, using available market information and appropriate valuation methodologies. However, judgment is necessarily required to interpret market data to estimate the fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Group could realize in a current market exchange.

The following methods and assumptions have been used in estimating the fair value of financial instruments:

Financial assets

It is anticipated that the carrying values of financial assets, including cash and cash equivalents, measured at cost, are equal to their fair values due to their short-term nature.

The carrying values of trade receivables along with the related allowances for uncollectability are estimated to be their fair values.

Financial liabilities

The fair values of short-term bank borrowings and other monetary liabilities are considered to approximate to their respective carrying values. The carrying values of the long-term bank loans of the Group reflect their fair values due to the repricing of the loans within the scope of the Financial Restructuring made on 11 November 2019.

Fair value hierarchy table

The Group classifies the fair value measurement of each class of financial instruments according to the source, using the three-level hierarchy, as follows:

Level 1: Market price valuation techniques for the determined financial instruments traded in markets (unadjusted)

Level 2: Other valuation techniques include direct or indirect observable inputs

Level 3: Valuation techniques do not contain observable market inputs

As of 30 June 2025, the Group has short-term liabilities of TL 41.772 (31 December 2024: TL 55.478) related to derivative financial instruments classified as level 2. As of 30 June 2025, the Group does not have long-term liabilities related to derivative financial instruments (31 December 2024: None). As of 30 June 2025, there is no short-term derivative financial asset (31 December 2024:None).

Fair value of the lands, land improvements, buildings, machinery and equipment of the Group's power plants were measured by a professional independent valuation company on 31 December 2024 through other valuation techniques involving direct and indirect observable inputs (Level 3) (Note 2.6).

NOTE 19 - SUBSEQUENT EVENTS

None.

……………………………..

AI Terminal

AKENERJİ ELEKTRİK ÜRETİM A.Ş.

8730_rns_2025-08-13_ffc63166-6331-4dfd-9f0e-0c173c1f203e.pdf

Akenerji Elektrik Üretim A.Ş.

CONVENIENCE TRANSLATION INTO ENGLISH OF INDEPENDENT AUDITOR'S REVIEW REPORT ORIGINALLY ISSUED IN TURKISH

REPORT ON REVIEW OF CONDENSED CONSOLIDATED INTERIM FINANCIAL INFORMATION

Introduction

Scope of review

Conclusion

Emphasis of matter - Plans for the fulfillment of the short-term portion of the long-term borrowings

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AT 30 JUNE 2025 AND 31 DECEMBER 2024

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AT 30 JUNE 2025 AND 31 DECEMBER 2024

CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS

CONDENSED CONSOLIDATED STATEMENT OF OTHER COMPREHENSIVE INCOME FOR THE PERIODS BETWEEN 1 JANUARY - 30 JUNE 2025 AND 2024

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE INTERIM PERIODS BETWEEN 1 JANUARY - 30 JUNE 2025 AND 2024

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE PERIODS BETWEEN 1 JANUARY - 30 JUNE 2025 AND 2024

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

NOTE 1 - ORGANISATION OF GROUP AND NATURE OF OPERATIONS

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS

2.1 Basis of presentation

Principles of Preparation of Interim Condensed Consolidated Financial Statements

Adjustment of consolidated financial statements in hyperinflation periods

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS (Continued)

2.2 Basis of consolidation

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS (Continued)

2.3 The new standards, amendments and interpretations

i) The new standards, amendments and interpretations which are effective as of 30 June 2025 are as follows:

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS (Continued)

i) Standards, amendments and interpretations that are issued but not effective as at 30 June 2025

2.4 Restatement and errors in the accounting policies and estimates

2.5 Comparatives and restatement of prior year financial statements

2.6 Critical accounting estimates and judgments

Deferred tax assets for the carry forward tax losses:

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS (Continued)

Explanations for revaluation method and fair value measurement

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

NOTE 2 - BASIS OF PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS (Continued)

2.7 Going concern

2.8 Seasonality of Group's operations

NOTE 3 - BORROWINGS

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 3 - BORROWINGS (Continued)

Total long term borrowings 10.844.809

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless

NOTE 3 - BORROWINGS (Continued)

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 4 - PROPERTY, PLANT AND EQUIPMENT

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 4 - PROPERTY, PLANT AND EQUIPMENT (Continued)

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 4 - PROPERTY, PLANT AND EQUIPMENT (Continued)

NOTE 5 - INTANGIBLE ASSETS

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless otherwise indicated.)

NOTE 6 - PROVISIONS, COMMITMENTS, CONTINGENT ASSETS AND LIABILITIES

a) Other short - term provisions

b) Contingent liabilities

- Guarantees given

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 6 - PROVISIONS, COMMITMENTS, CONTINGENT ASSETS AND LIABILITIES (Continued)

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 6 - PROVISIONS, COMMITMENTS, CONTINGENT ASSETS AND LIABILITIES (Continued)

- Sales and purchase commitments

Electricity sales and purchase commitments:

Natural gas puchase commitments:

c) Contingent assets

Guarantees received

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 7 - DERIVATIVE FINANCIAL INSTRUMENTS

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025 (Amounts expressed in thousands Turkish Lira ("TL") based on the purchasing power of TL as of 30 June 2025 unless

NOTE 8 - EQUITY

Share capital

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD BETWEEN 1 JANUARY - 30 JUNE 2025

NOTE 8 – EQUITY (Continued)

Share premium

Regal reserves