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YATAŞ YATAK VE YORGAN SANAYİ TİCARET A.Ş.

Quarterly Report Nov 7, 2025

9029_rns_2025-11-07_88558cf6-4b92-4cde-94f7-777641d9fea7.pdf

Quarterly Report

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CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE INTERIM PERIOD 1 JANUARY - 30 SEPTEMBER 2025

(CONVENIENCE TRANSLATION INTO ENGLISH OF CONSOLIDATED FINANCIAL STATEMENTS ORIGINALLY ISSUED IN TURKISH)

CONTENTS PAGE
CONDENSED CONSOLIDATED
BALANCE SHEET
1-2
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND OTHER COMPREHENSIVE INCOME 3
CONDENSED CONSOLIDATED
STATEMENTS OF CHANGES IN EQUITY
4
CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS
5
CONDENSED CONSOLIDATED
NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS
6-38

YATAŞ YATAK VE YORGAN SANAYİ TİCARET ANONİM ŞİRKETİ AND ITS SUBSIDIARY INTERIM CONDENSED CONSOLIDATED BALANCE SHEET AS AT SEPTEMBER 30, 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

ASSETS Note Unaudited
30 September
2025
Audited
31 December 2024
CURRENT ASSETS
Cash And Cash Equivalents 946.346.737 1.118.846.752
Financial Investments 3.856.776 107.864.540
Trade Receivables 1.852.730.460 1.824.127.451
Due From Related Parties 3-4
Trade Receivables, Third Parties 4 1.852.730.460 1.824.127.451
Other Receivables 71.068.371 61.414.725
Due From Related Parties
Other Receivables, Third Parties 71.068.371 61.414.725
Inventories 6 3.707.898.355 3.981.345.851
Prepaid Expenses 550.760.184 735.748.849
Due From Related Parties 3-7 6.006.236 6.754.548
Prepaid Expenses, Third Parties 7 544.753.948 728.994.301
Current Income Tax Assets 5.285.346
Other Current Assets 5 1.187.835.025 1.292.152.594
TOTAL CURRENT ASSETS 8.325.781.254 9.121.500.762
NON-CURRENT ASSETS
Financial Investments 5.186.802 5.269.807
Other Receivables 3.671.274 4.012.885
Due From Related Parties
Other Receivables, Third Parties 3.671.274 4.012.885
Right of Use Assets 920.754.007 1.179.979.877
Investment Properties 418.251.179 418.251.178
Tangible Fixed Assets 8 10.728.658.721 9.384.899.795
Intangible Fixed Assets 841.196.983 752.410.205
Prepaid Expenses 7 221.716.456 268.487.019
TOTAL NON-CURRENT ASSETS 13.139.435.422 12.013.310.766
TOTAL ASSETS 21.465.216.676 21.134.811.528

YATAŞ YATAK VE YORGAN SANAYİ TİCARET ANONİM ŞİRKETİ AND ITS SUBSIDIARY INTERIM CONDENSED CONSOLIDATED BALANCE SHEET AS AT SEPTEMBER 30, 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

LIABILITIES Note Unaudited
30 September
2025
Audited
31 December 2024
CURRENT LIABILITIES
Financial Liabilities 9 3.204.957.736 1.898.694.507
Short Term Portion Of Long Term Financial Liabilities 9 893.811.125 2.795.693.020
Lease Payables 9 115.119.900 164.211.019
Trade Payables 2.307.475.904 1.693.789.035
Due To Related Parties 3-4
Trade Payables, Third Parties 4 2.307.475.904 1.693.789.035
Employee Benefit Obligations 10 293.955.861 249.777.684
Other Payables 3.968.146 2.266.337
Due To Related Parties
Other Payables, Third Parties 3.968.146 2.266.337
Deferred Income 7 663.481.824 1.008.145.445
Provisions 8.726.915 7.970.093
Other Current Liabilities 5 35.709.765 53.986.307
TOTAL CURRENT LIABILITIES 7.527.207.176 7.874.533.447
NON-CURRENT LIABILITIES
Financial Liabilities 9 1.969.840.116 1.226.769.062
Lease Payables 9 135.807.051 260.182.785
Deferred Income 7 115.357.639 11.300.916
Provisions 177.505.251 177.496.812
Provision For Employee Benefits 177.505.251 177.496.812
Deferred Tax Liabilities 18 1.478.102.931 1.489.310.628
TOTAL NON-CURRENT LIABILITIES 3.876.612.988 3.165.060.203
EQUITY
Paid-In Capital 12 149.798.932 149.798.932
Inflation Adjustment on Capital 12 1.874.660.426 1.874.660.426
Buy-Back Shares (-) (299.998.484) (299.998.484)
Other Comprehensive Income Not To Be Reclassified To Profit Or
Loss 1.656.913.841 1.374.675.268
Revaluation and Remeasurement Gains/Losses 1.704.658.244 1.422.419.671
Actuarial Gain/Loss Arising From Defined Benefit Plans (47.744.403) (47.744.403)
Other Comprehensive Income To Be Reclassified To Profit Or Loss (176.409.023) 16.623.285
Currency Translation Differences (176.409.023) 16.623.285
Restricted Reserves 526.499.440 526.499.440
Retained Earnings 6.452.959.011 6.227.372.838
Net Income For The Period (123.027.631) 225.586.173
EQUITY HOLDERS OF THE PARENT 10.061.396.512 10.095.217.878
TOTAL LIABILITES 21.465.216.676 21.134.811.528

YATAŞ YATAK VE YORGAN SANAYİ TİCARET ANONİM ŞİRKETİ AND ITS SUBSIDIARIES INTERIM CONDENSED CONSOLIDATED STATEMENTS OF PROFIT OR LOSS

AND OTHER COMPREHENSIVE INCOME FOR THE PERIODS ENDED AT 1 JANUARY-30 SEPTEMBER 2025 AND 2024

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

Unaudited
1 January –
Unaudited
1 July –
Unaudited
1 January –
Unaudited
1 July –
INCOME/LOSS Note 30 Sep. 2025 30 Sep. 2025 30 Sep. 2024 30 Sep. 2024
Revenue 13 15.398.068.502 5.321.816.686 15.168.411.779 4.609.564.764
Cost Of Sales (-) 14 (10.022.385.651) (3.452.834.609) (10.462.401.469) (3.169.041.494)
Gross profit 5.375.682.851 1.868.982.077 4.706.010.310 1.440.523.270
General Administrative Expenses (-) 15 (79.173.983) (25.192.551) (85.650.761) (27.881.486)
Marketing, Selling And Distribution Expenses (-) 15 (3.860.735.368) (1.319.889.917) (3.333.759.835) (947.799.032)
Research And Development Expenses (-) 15 (664.563.740) (231.637.410) (606.428.359) (237.994.813)
Other Income From Operating Activities 982.794.679 250.099.345 1.278.390.230 343.068.852
Other Expenses From Operating Activities (-) (363.895.023) (70.944.674) (633.284.947) (62.698.206)
Operating Profit / Loss 1.390.109.416 471.416.870 1.325.276.638 507.218.585
Income From Investment Activities 11.133.586 1.945.328 53.351.752 3.109.760
Expenses From Investment Activities (-) (62.854) 1.039.063
OPERATING INCOME BEFORE FINANCIAL INCOME 1.401.180.148 474.401.261 1.378.628.390 510.328.345
Financial Expenses (-) 16 87.895.376 26.893.658 36.859.104 8.474.343
Financial Income 17 (2.083.539.270) (601.239.560) (1.827.793.152) (655.500.992)
Monetary Gain / (Loss) 1.024.729.957 209.396.578 1.084.322.354 367.436.588
PROFIT BEFORE TAX 430.266.211 109.451.937 672.016.696 230.738.284
Tax income/(expense) (553.293.842) (134.164.767) (467.394.821) (159.123.142)
Taxes On Income (21.977) 4.032.827 7.186.016
Deferred Tax Income/(Expense) 18 (553.271.865) (138.197.594) (467.394.821) (166.309.158)
Profit/Loss for the Period from Discontinued Operations
PERIOD PROFIT / LOSS (123.027.631) (24.712.830) 204.621.875 71.615.142
Earnings Per Share
Earnings Per Share -0,82 -0,16 1,37 0,48
OTHER COMPREHENSIVE INCOME
Other Comprehensive Income/Expense Not To Be
Reclassified To Profit Or Loss 282.238.573 (75.733.449) 8.869.115
Actuarial Gain/Loss Arising From Defined Benefit Plans (100.977.933) 11.825.485
Tax Income/(Expense) 282.238.573 25.244.484 (2.956.370)
Deferred Tax (Expense) Income 282.238.573 25.244.484 (2.956.370)
Other Comprehensive Income/Loss To Be Reclassified
To Profit Or Loss (193.032.308) (36.811.023) 48.841.521 11.008.291
Currency Translation Differences 12 (193.032.308) (36.811.023) 48.841.521 11.008.291
OTHER COMPREHENSIVE INCOME (LOSS) 89.206.265 (36.811.023) (26.891.928) 19.877.406
TOTAL OTHER COMPREHENSIVE INCOME (LOSS) (33.821.366) (61.523.853) 177.729.947 91.492.548

YATAŞ YATAK VE YORGAN SANAYİ TİCARET ANONİM ŞİRKETİ AND ITS SUBSIDIARIES INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY FOR THE PERIODS ENDED AT 1 JANUARY – 30 SEPTEMBER 2025 AND 2024

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

Other Comprehensive Income/Expense
Not to Be Reclassified To Profit Or
Loss
Other
Comprehensive
Income/Loss to
Be Reclassified
To Profit Or Loss
Retained Earnings
Paid In
Capital
Inflation
Adjustment on
Capital
Buy-Back
Shares
Revaluation and
Remeasurement
Gains/Losses
Actuarial Gain/Loss
Arising from
Defined Benefit
Plans
Currency
Translation
Differences
Restricted
Reserves
Retained
Earnings
Net Income for
The Period
Total Equity
Balance as of January 1, 2024 149.798.932 1.874.660.426 (299.998.484) 35.012.105 (47.083.233) 526.499.440 4.959.087.452 1.268.285.386 8.466.262.024
Transfer of Previous Period's Profit 1.268.285.386 (1.268.285.386)
Total Comprehensive Income (75.733.449) 48.841.521 204.621.875 177.729.947
Balance as of September 30, 2024 149.798.932 1.874.660.426 (299.998.484) (40.721.344) 1.758.288 526.499.440 6.227.372.838 204.621.875 8.643.991.971
Balance as of January 1, 2025 149.798.932 1.874.660.426 (299.998.484) 1.422.419.671 (47.744.403) 16.623.285 526.499.440 6.227.372.838 225.586.173 10.095.217.878
Transfer of Previous Period's Profit 225.586.173 (225.586.173)
Total Comprehensive Income 282.238.573 (193.032.308) (123.027.631) (33.821.366)
Balance as of September 30, 2025 149.798.932 1.874.660.426 (299.998.484) 1.704.658.244 (47.744.403) (176.409.023) 526.499.440 6.452.959.011 (123.027.631) 10.061.396.512

INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS FOR THE PERIODS ENDED AT 1 JANUARY - 30 SEPTEMBER 2025 AND 2024 (Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

Unaudited
1 January –
Unaudited
1 January –
Note 30 Sep. 2025 30 Sep. 2024
Cash Flows from Operating Activities 3.135.191.669 1.131.258.926
Profit (Loss) for the Period (123.027.631) 204.621.875
Profit (Loss) from Continuing Operations (123.027.631) 204.621.875
Adjustments to Reconcile Net Profit (Loss) 2.350.491.535 2.677.689.975
Adjustments to Reconcile Net Profit (Loss) 8 790.121.857 682.730.430
Adjustments for Impairment (Reversal of Impairment) 12.290.200 27.495.968
-
Adjustments for Impairment (Reversal) on Receivables
4 (13.312) 6.605.495
-
Adjustments for Impairment (Reversal) on Inventories
6 12.303.512 20.890.473
Adjustments for Provisions 38.313.957 112.184.263
-
Adjustments for Provisions for Employee Benefits (Reversals)
35.994.133 111.643.717
-
Adjustments for Other Provisions (Reversals)
2.319.824 540.546
Adjustments for Interest Income and Expenses 778.937.465 1.217.229.968
-
Deferred Finance Expense from Credit Purchases
4 (181.143.133) (114.016.217)
-
Unearned Finance Income from Credit Sales
4 61.775.162 148.097.772
-
Adjustments for Interest Income
16 (43.523.488) (17.260.318)
-
Adjustments for Interest Expenses
17 941.828.924 1.200.408.731
Adjustments for Tax (Income) Expense 18 553.293.842 467.394.821
Adjustments for (Gains) Losses Arising from Disposal of Non-current Assets 62.854 (42.368.603)
Adjustments for Foreign Exchange Gains and Losses 177.471.360 213.023.128
Changes in Working Capital 907.727.765 (1.751.052.924)
Decrease (Increase) in Financial Investments 104.090.769 16.778.884
Decrease (Increase) in Trade Receivables 4 (83.636.218) 552.852.449
Decrease (Increase) in Other Receivables Related to Operating Activities (9.312.035) 5.138.488
Decrease (Increase) in Inventories 6 266.100.760 (635.626.709)
Decrease (Increase) in Prepaid Expenses 7 231.759.228 (44.722.603)
Increase (Decrease) in Trade Payables 4 794.830.002 (862.744.144)
Increase (Decrease) in Employee Benefit Payables 10 68.310.601 (183.795.392)
Increase (Decrease) in Other Payables Related to Operating Activities 138.807 2.647.694
Increase (Decrease) in Deferred Income 7 (240.606.898) (216.454.119)
Other Increase (Decrease) in Working Capital 86.041.026 (52.769.265)
-
Decrease (Increase) in Other Assets Related to Operating Activities
5 104.317.569 (37.311.615)
-
Increase (Decrease) in Other Liabilities Related to Operating Activities
5 (18.276.543) (15.457.650)
Payments Related to Provisions for Employee Benefits (22.439.965) (29.911.130)
Income Tax Refunds (Payments) 18 (287.548.312) (302.447.077)
Cash Flows from Investing Activities (1.941.144.502) (640.779.663)
Proceeds from Sale of Tangible and Intangible Assets 8 23.239.403 158.719.940
Purchases of Tangible and Intangible Assets 8 (1.964.383.905) (799.499.603)
Cash Flows from Financing Activities (946.679.944) (778.914.210)
Proceeds from Borrowings 9 4.587.759.616 5.007.844.149
Repayments of Borrowings 9 (4.451.909.484) (4.215.513.735)
Lease Liabilities Paid 9 (257.595.086) (458.468.218)
Interest Paid 17 (868.458.478) (1.130.036.724)
Interest Received 16 43.523.488 17.260.318
Net Increase (Decrease) in Cash and Cash Equivalents Before Effect of Exchange Rates 247.367.223 (288.434.947)
Effect of Exchange Rate Changes on Cash and Cash Equivalents (193.032.308) 48.841.521
Net Increase (Decrease) in Cash and Cash Equivalents 54.334.915 (239.593.426)
Cash and Cash Equivalents at the Beginning of the Period 1.118.846.752 952.673.238
Effect of Inflation on Cash and Cash Equivalents (226.834.930) (251.458.126)
Cash and Cash Equivalents at the End of the Period 946.346.737 461.621.686

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

NOTE 1 – ORGANIZATION OF THE GROUP

Yataş Yatak ve Yorgan Sanayi Ticaret Anonim Şirketi ("Parent Company") and its subsidaries are reffred as "Group" on the notes to the condensed consolidated financial statements.

The summarized information of entities which are consolidated with "complete consolidation method" is comprised of the following;

Yataş Yatak ve Yorgan Sanayi Ticaret Anonim Şirketi

Yataş Yatak ve Yorgan Sanayi Ticaret A.Ş. ("Company") was established in 1987. The Company's engaged in the production of bed, furniture, quilt, armchair, sofa, home textile and home furniture. The Company acquired and merged with İstanbul Pazarlama Yatak ve Yorgan Sanayi Ticaret A.Ş ("Yataş İstanbul Pazarlama A.Ş.") on 28 Feburary 2011.

For the period ended at 30 September 2025, 3.211 personnel are employed at the Company (31 December 2024: 3.403).

Company registered on the Kayseri Chamber of Industry with the number of 14222 and its legal adres Organize Sanayi Bölgesi 18. Cadde No:6 Melikgazi / Kayseri. The Company's operating activities located on the Turkey. The Company has 97 stores located on Turkey.

The Company is registered to the Capital Markets Board ("CMB") and its shares have been quoted on the Borsa Istanbul ("BIST") since 1996.

Company's shareholding structure is mentioned in Note 12.

Yatas Europe GMBH

Yatas Europe Gmbh ("Yatas Europe") was established in 10.07.2015 in Germany. The Company's engaged in export and import of Bed, Furniture, Quilt, Armchair, Sofa, Home Textile and Home Furniture.

For the period ended at 30 September 2025, 8 personnel are employed by the Company (31 December 2024: 8 Personnel). Yatas Europe's shareholding structure as of 30 September 2025 in EUR are as following;

30 September
2025
31 December 2024
Share Share Amount Share Share Amount
Shareholders Percentage (EUR) Percentage (EUR)
Yataş Yatak ve Yorgan Sanayi Ticaret A.Ş. %100 100.000 %100 100.000
Total %100 100.000 %100 100.000

Yatas Rus Ltd.

Yatas Rus Limidet Şirketi ("Yatas Rus"), was established in 03.07.2019 in Russia. The Company's engaged in export and import of Bed, Furniture, Quilt, Armchair, Sofa, Home Textile and Home Furniture. For the period ended at 30 September 2025, 10 personnel are employed by the Yatas Rus. Yatas Rus's shareholding structure as of (31 December 2024: 10 Personnel).

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

30 September 2025 in RUBLE is as following;

30 September
2025
31 December 2024
Share Share Amount Share Share Amount
Shareholders Percentage (RUB) Percentage (RUB)
Yataş Yatak ve Yorgan Sanayi Ticaret A.Ş. %100 3.500.000 %100 3.500.000
Total %100 3.500.000 %100 3.500.000

EnzaHome International Inc.

EnzaHome International Inc. ("EnzaHome"), was established in 21.02.2020 in ABD. The Company's engaged in export and import of Bed, Furniture, Quilt, Armchair, Sofa, Home Textile and Home Furniture. For the period ended at 30 September 2025, 5 personnel are employed by the EnzaHome. EnzaHome's shareholding structure as of (31 December 2024: 5 Personnel).

30 September 2025 in USD is as following;

30 September
2025
31 December 2024
Share Share Amount Share Share Amount
Shareholders Percentage (USD) Percentage (USD)
Yataş Yatak ve Yorgan Sanayi Ticaret A.Ş. %100 50.000 %100 50.000
Total %100 50.000 %100 50.000

NOTE 2 – BASIS OF THE CONDENSED CONSOLİDATED FINANCIAL STATEMENTS

2.a. Basis of Presentation

Compatibility Statement

The condensed consolidated financial statements are prepared in accordance with Communiqué Serial II, No:14.1, "Principles of Financial Reporting in Capital Markets" (the Communiqué) published in the Official Gazette numbered 28676 on 13 June 2013. According to Article 5 of the Communiqué, condensed consolidated financial statements are prepared in accordance with the Turkish Financial Reporting Standards (TFRS) issued by Public Oversight Accounting and Auditing Standards Authority (POAASA). TFRS contains Turkish Financial Reporting Standards (TFRS) and its addendum and interpretations. The condensed consolidated financial statements of the Group are prepared as per the CMB announcement of July 3, 2024 relating to financial statements presentations. Comparative figures are reclassified, where necessary, to conform to changes in the presentation of the current year's condensed consolidated financial statements.

The Company maintains its accounting records and prepares its statutory financial statements in accordance with the Turkish Commercial Code (the "TCC"), tax legislation and the uniform chart of accounts issued by the Ministry of Finance. Subsidiaries and associates operating in foreign countries have prepared their statutory financial statements in accordance with the laws and regulations of the country in which they operate. The condensed consolidated financial statements, except for the financial asset/liabilities and land, buildings presented with their fair values, are maintained under historical cost conversion in TRY. These condensed consolidated financial statements are based on the statutory records, which are maintained under historical cost conversion, with the required adjustments and reclassifications reflected for the purpose of fair presentation in accordance with the TAS/TFRS.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Going Concern

The condensed consolidated financial statements including the accounts of the parent company, its subsidiaries and associates have been prepared assuming that the Group will continue as a going concern on the basis that the entity will be able to realize its assets and discharge its liabilities in the normal course of business.

Approval of Condensed consolidated Financial Statements

Condensed consolidated financial statements of the Group are approved by the Board of Directors and granted authority to publish on August 15, 2025. With no intention, the Board of Directors and some regulative agencies have the right to change the financial statements that were prepared according to legal regulations after they have been published.

Financial Statements Correction in High Inflation Period

Pursuant to the Capital Markets Board's ("CMB") decision dated December 28, 2024, numbered 81/1820, issuers and capital market institutions subject to financial reporting regulations applying Turkish Accounting/Financial Reporting Standards are required to implement inflation accounting in accordance with the provisions of IAS 29, starting with financial reports for the fiscal periods ending on or after December 31, 2023.

In accordance with the announcement and "Practice Guide on Financial Reporting in High Inflationary Economies" published by the Public Oversight Accounting and Auditing Standards Authority ("POAASA") on 23 November 2024, the Group has prepared its condensed consolidated financial statements for the year ended December 31, 2023 using the TAS 29 "Financial Reporting in High Inflationary Economies" Standard. Pursuant to this standard, financial statements prepared based on the currency of a high inflationary economy are expressed in terms of the purchasing power of that currency at the balance sheet date, and comparative information for prior periods is also expressed in the current measurement unit at the end of the reporting period for comparison purposes. Therefore, the Group has presented its condensed consolidated financial statements as of 31 December 2024 and 30 September 2024 in terms of purchasing power as of 30 September 2025.

The adjustments made in accordance with TAS 29 have been made using the adjustment coefficient obtained from the Consumer Price Index ("CPI") in Turkey published by the Turkish Statistical Institute ("TSI"). As of 31 December 2024, the indices and adjustment coefficients used in the correction of the condensed consolidated financial statements are as follows:

Correction Three-Year Compound
Date Index Coefficient Inflation Rate
30 September 2025 3.367,22 1,00000 %222
31 December 2024 2.684,55 1,25430 %291
30 September 2024 2.526,16 1,33294 %343

The main elements of the adjustment process undertaken by the Group for financial reporting in high inflationary economies are as follows:

  • Current period consolidated financial statements prepared in Turkish Lira (TRY) are expressed in terms of the purchasing power at the reporting date, and amounts for previous reporting periods are also adjusted to reflect the purchasing power at the end of the reporting period.
  • Monetary assets and liabilities are not adjusted as they are already expressed in terms of the current purchasing power at the reporting date. If the inflation-adjusted values of non-monetary items exceed their recoverable amounts or net realizable values, the provisions of TAS 36 and TAS 2 are applied, respectively.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

  • Non-monetary assets and liabilities as well as equity items not expressed in terms of the current purchasing power during the reporting period are adjusted using the relevant adjustment coefficients.
  • All items in the comprehensive income statement, except those affecting the comprehensive income statement of non-monetary items in the financial position statement, are indexed using coefficients calculated based on the periods when income and expense accounts were initially recognized in the financial statements.
  • The impact of inflation on the Group's net monetary asset position in the current period is recorded in the consolidated income statement as a loss on net monetary position.

Currency

The financial statements and the prior period financial statements for comparison purpose, in the accompanying statements are prepared in terms of Turkish Lira (TRY).

Subsidiaries Operating in Countries Other Than Turkey's Financial Statements

The financial statements of subsidiaries operating in countries other than Turkey are prepared in accordance with the laws and regulations applicable in the country where they operate, and necessary adjustments and classifications have been reflected for the correct presentation in accordance with the Turkish Accounting Standards and Turkish Financial Reporting Standards and their related appendices and interpretations published by the Public Oversight Accounting and Auditing Standards Authority.

The assets and liabilities of the related subsidiaries are converted into Turkish Lira using the exchange rate at the date of the condensed consolidated financial position table, and income and expenses are converted using the average exchange rate for the accounting period ending on the same date. The exchange differences arising from the use of the exchange rate at the date of the financial position table and the average rate are shown under the "Foreign Currency Conversion Differences" item in the financial position table.

Offsetting

Financial assets and financial liabilities are offset and the net amount presented in the statement of financial position when, and only when, the Group currently has a legally enforceable right to set off the amounts and it intends either to settle them on a net basis or to realize the asset and settle the liability simultaneously.

Basis of Consolidation

The companies are subject to "Complete Consolidation Method" if directly or indirectly 50% or more than 50% of their shares or over 50% of their voting rights or the controlling rights regarding companies' operations are belonging to the Parent Company. Parent Company has controlling rights if it is able to govern the financial and operating policies of an enterprise so as to benefit from its activities. The companies which have continuous relationship on management and power to govern Parent Company's policies and/or which have direct or indirect capital and management relationship or which have voting share of Parent Company between the rates 20-50% are accounted by using equity pick-up method.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Complete Consolidation Method

The principles of consolidation followed in the preparation of the accompanying financial statements are as follows:

  • The financial statements of the condensed consolidated subsidiaries have been equipped according to the accounting principles of the Parent Company.
  • The share of the Parent Company in the shareholders equity of subsidiaries is eliminated from the financial of subsidiaries these are adjusted according to the accounting principles of financials of the Parent Company.
  • The income statements of the Parent Company and the subsidiaries are condensed consolidated a line by line basis and the transaction between companies are eliminated mutually. Consolidation of income statements of subsidiaries held in an audit period are based on the investment date and the items after the holding date are included.
  • The minority part of shareholders' equity including paid capital of the companies subject to consolidation is classified as "Minority Interest" in accompanying financial statement.

The portion of the third parties other than condensed consolidated companies in the net profit or losses of the subsidiaries are classified as "Minority Interest" in the income statements. The 100% shares of the subsidiary is owned by the Parent Company therefore minortiy interest is not occured.

As of 30 September 2025 the Company that are subject to "Complete Consolidation Method" if directly or indirectly 50% or more than 50% of their shares or over 50% of their voting rights or the controlling rights regarding companies' operations are belonging to the Parent Company are as below;

Ownership of the Parent Company Minority Interest
Subsidiaries (Direct) (Direct+ Indirect)
Yatas Europe Gmbh %100 %100 -
Yatas Rus Limidet %100 %100 -
EnzaHome International Inc. %100 %100 -

2.b. New and Revised Turkish Financial Reporting Standards

As of September 30, 2025, the accounting policies used in the preparation of the summary consolidated interim financial statements are consistent with those applied in the previous year, except for the new and revised TFRS standards and TFRIC interpretations effective as of January 1, 2025, summarized below.

The effects of these standards and interpretations on the Group's financial position and performance are explained in the relevant paragraphs.

a) Amendments and interpretations effective from 2025

TAS 21 (Amendments) Lack of Exchangeability

TFRS 10 and TMS 28 (Amendments) – Asset Sales or Contributions Made by the Investor to its Subsidiary or Joint Venture

TSRS 1 General requirements for disclosure of sustainability-related financial information

TSRS 2 Climate Related Disclosures

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

TAS 21 (Amendments) Lack of Exchangeability

These amendments provide guidance on when a currency is exchangeable and how exchange rates should be determined when it is not. The amendments are effective for annual reporting periods beginning on or after January 1, 2025.

The potential effects of these standards, amendments, and improvements on the Group's consolidated financial position and performance are being evaluated.

TFRS 10 and TMS 28 (Amendments) – Asset Sales or Contributions Made by the Investor to its Subsidiary or Joint Venture

These amendments provide new guidance on the accounting for asset sales and contributions made by investor entities to their subsidiaries or joint ventures, offering clarity on how such transactions should be reported in the financial statements. The amendments are effective for annual reporting periods beginning on or after 1 January 2025.

The potential effects of these standards, amendments, and improvements on the Group's consolidated financial position and performance are being evaluated.

TSRS 1 General requirements for disclosure of sustainability-related financial information

TSRS 1 sets out general requirements for sustainability-related financial disclosures, requiring an entity to disclose information about sustainability-related risks and opportunities that is useful for primary users of general purpose financial reports to make decisions about funding the entity. The application of this standard is mandatory for annual reporting periods beginning on or after 1 January 2024 for entities that meet the relevant criteria in the POA's announcement dated 5 January 2024 and numbered 2024-5 and for banks regardless of the criteria. Other entities may voluntarily report in accordance with TSRS.

The impact of this amendment on the Group's consolidated financial position and performance is being evaluated.

TSRS 2 Climate Related Disclosures

TSRS 2 sets out the requirements for identifying, measuring and disclosing climate-related risks and opportunities that are useful to primary users of general purpose financial reports in making decisions about funding the entity. The application of this standard is mandatory for annual reporting periods beginning on or after 1 January 2024 for entities that meet the relevant criteria in the POA's announcement dated 5 January 2024 and numbered 2024- 5 and for banks regardless of the criteria. Other entities may report in accordance with TSRS on a voluntary basis.

b) Standards, amendments and interpretations to existing standards that are not yet effective

The Group has not yet adopted the following standards, amendments and interpretations to existing standards that are not yet effective

TFRS 17 Insurance Contracts

TFRS 17 (Amendments) Insurance Contracts and First-time Adoption of TFRS 17 and TFRS 9 - Comparative Information

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

TFRS 17 - Insurance Contracts

IFRS 17 requires insurance liabilities to be measured at a current settlement value and provides a more uniform measurement and presentation approach for all insurance contracts. These requirements are designed to achieve consistent, principle-based accounting for insurance contracts. TFRS 17 has been deferred for insurance, reinsurance and pension companies for a further year and will replace TFRS 4 Insurance Contracts as at 1 January 2026.

The impact of this amendment on the Group's consolidated financial position and performance is being evaluated.

TFRS 17 (Amendments) Insurance Contracts and First-time Adoption of TFRS 17 and TFRS 9 - Comparative Information

Amendments have been made to TFRS 17 to reduce implementation costs and facilitate disclosure of results and transition.

In addition, the amendment on comparative information permits entities that are first-time adopters of TFRS 7 and TFRS 9 to present comparative information about a financial asset as if the classification and measurement requirements of TFRS 9 had previously been applied to that financial asset. These amendments will be applied when TFRS 17 is first adopted.

The potential effects of these standards, amendments, and improvements on the Group's consolidated financial position and performance are being evaluated.

2.c. Changes in Accounting Policies

The Group changes accounting policies when it is believed that the change will lead to better presentation of transactions and events in the financial statements. When the intentional change can affect the prior period results, the change is applied retrospectively as though it was already applied before. Accounting policy changes arising from the application of a new standard are applied considering the transition principles of the related standard, if any, retrospectively or forward. If no transition principle for the standard exists, the changes are applied retrospectively.

2.d. Changes in Accounting Estimates and Errors

The accompanying condensed consolidated financial statements necessitate that some predictions about income and expenses regarding possible assets and liabilities in the financial statements prepared by the Group management to be compatible with statements required by Capital Market Board. Realized amounts can differ from the predictions. These predictions are observed regularly and reported periodically in income statements. Changes in accounting estimates and errors explained in title of "Comparative Information and Previous Periods Financial Statements Adjustments".

Comparative Information and Previous Periods Adjustments

For the purpose of conducting a comparison of financial position and performance trend, Group's current financial statements are prepared comparative with previous periods. Comparative information is reclassified to be compatible with the presentation of current financial statements, when necessary.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

2.e. Summary of Significant Accounting Policies

Cash and Cash Equivalents

Cash and cash equivalent values contain cash on hand, bank deposits and high liquidity investments. Cash and cash equivalents are showed with obtaining costs and the total of accrued interests.

Financial Instruments

Classification and Measurement

Group classifies its financial assets in three categories of financial assets measured at amortised cost, financial assets measured at fair value through other comprehensive income and financial assets measured at fair value through profit of loss. The classification of financial assets is determined considering the entity's business model for managing the financial assets and the contractual cash flow characteristics of the financial asset. The appropriate classification of financial assets is determined at the time of the purchase.

"Financial assets measured at amortised cost", are non-derivative assets that are held within a business model whose objective is to hold assets in order to collect contractual cash flows and the contractual terms of the financial assets give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. Group's financial assets measured at amortised cost comprise "cash and cash equivalents" and "trade receivables". Financial assets carried at amortised cost are measured at their fair value at initial recognition and by effective interest rate method at subsequent measurements. Gains and losses on valuation of non-derivative financial assets measured at amortised cost are accounted for under the condensed consolidated statement of income.

"Financial assets measured at fair value through other comprehensive income", are non-derivative assets that are held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. Gains or losses on a financial asset measured at fair value through other comprehensive income is recognised in other comprehensive income, except for impairment gains or losses and foreign exchange gains and losses until the financial asset is derecognised or reclassified. When the financial asset is derecognised the cumulative gain or loss previously recognised in other comprehensive income is reclassified to retained earnings.

Group may make an irrevocable election at initial recognition for particular investments in equity instruments that would otherwise be measured at fair value through profit or loss, to present subsequent changes in fair value in other comprehensive income. In such cases, dividends from those investments are accounted for under condensed consolidated statement of income.

"Financial assets measured at fair value through profit or loss", are assets that are not measured at amortised cost or at fair value through other comprehensive income. Gains and losses on valuation of these financial assets are accounted for under the condensed consolidated statement of income.

Changes regarding the classification of financial assets and liabilities in terms of TFRS 9 are summarised below. Related changes in classification do not result in changes in measurement of the financial assets and liabilities.

Financial assets Classification under TAS 39 Classification under TFRS 9
Cash and cash equivalents Loans and receivables Amortised cost
Trade receivables Loans and receivables Amortised cost
Financial investments Fair value through profit or loss Fair value through profit or loss
Financial liabilities Classification under TAS 39 Classification under TFRS 9
Borrowings Amortised cost Amortised cost
Trade payables Amortised cost Amortised cost

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Impairment

"Expected credit loss model" defined in TFRS 9 "Financial Instruments" superseded the "incurred credit loss model" in TAS 39 "Financial Instruments: Recognition and Measurement" which was effective prior to 1 January 2019. Expected credit losses are a probability weighted estimate of credit losses over the expected life of the financial instrument. The calculation of expected credit loss is performed based on the past experiences and future expectations of the Group.

Trade Receivables

Group has preferred to apply "simplified approach" defined in TFRS 9 for the recognition of impairment losses on trade receivables, carried at amortised cost and that do not comprise of any significant finance component (those with maturity less than 12 months). In accordance with the simplified approach, Group measures the loss allowances regarding its trade receivables at an amount equal to "lifetime expected credit losses" except incurred credit losses in which trade receivables are already impaired for a specific reason.

Buy-Back Shares

The buy back shares are reflected in the "Buy-Back Shares disclosure" account under shareholders' equity in the Condensed consolidated Financial Statements in accordance with the II-22.1 of the CMB's Communiqué on "Acquisition of Buy Back Shares". In addition, the shares are classified in "Restricted reserves" in accordance with the related communiqué.

Borrowing Costs

Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use or sale, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use or sale. Investment income earned on the temporary investment of specific borrowings pending their expenditure on qualifying assets is deducted from the borrowing costs eligible for capitalization. All of the other borrowing costs are recorded in the income statement in the period in which they are incurred. For the periods ended there is no capitalized borrowing cost.

Inventories

Inventories are valued at the lower of cost or net realizable value. The cost of inventories is determined on the "weighted average" method. Cost elements included in inventories are materials, labor and factory overheads. The cost of borrowings is not included in the costs of inventories. Net realizable value is the estimated selling price in the ordinary course of business, less the costs of completion and estimated costs to make the sale.

Tangible Fixed Assets and Amortisations

Tangible fixed assets except lands, buildings are carried at cost, restated by deduction of the yearly accumulated depreciation. Land and buildings are valued with their fair values. Borrowing costs are recognized in accordance with TAS-23 as an element of the book value of assets that are manufactured by the entity. Entities may subject their tangible assets to revaluation. Depreciation is calculated on a straight-line basis over the adjusted amounts and at the rates that reflect the economic useful lives of the following assets Land is considered as limitless useful life, so it is not subject to depreciation. Expected useful life, residual value and amortization method are reviewed for possible effects of changes in estimates and are accounted for prospectively if there is a change in estimates.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

The depreciation rates for property, plant and equipment, which approximate the useful economic lives of these assets, are as follows:

Useful Life
Buildigs 5-50 years
Land improvements 6-20
years
Property, plant and equipment 4-35
years
Motor vehicles 4-10 years
Furniture, fixtures and office equipment 2-25 years
Leasehold improvements 2-10 years

Property, plant and equipment are reviewed for possible impairment and the carrying value of the tangible asset is reduced to its recoverable amount if the recoverable amount is greater than its recoverable amount. The recoverable amount is recognized as the higher of net cash flows from the current use of the property, plant and equipment and net selling price.

Appraisal reports containing fair value of property, plant and equipment held for sale is not obtained, Therefore method of deducting selling prices from fair value has not been applied. Property, plant and equipment held for sale are stated at cost in the financial statements.

Intangible Fixed Assets

Intangible fixed assets comprise of rights and they are recorded at acquisition cost. Intangible fixed assets are amortized on a straight-line method with prorate basis over period of between 2-15 years from the date of acquisition.

Investment Property

Investment properties, which are properties, held to earn rentals and/or for capital appreciation are measured initially at cost, including transaction costs. Subsequent to initial recognition, investment properties are stated at fair value, which reflects market conditions at the balance sheet date. Gains or losses arising from changes in the fair values of investment properties are included in the profit or loss in the year in which they arise.

Investment properties are derecognized when either they have been disposed of or when the investment property is permanently withdrawn from use and no future economic benefit is expected from its disposal. Any gains or losses on the retirement or disposal of an investment property are recognized in profit or loss in the year of retirement or disposal.

TFRS 16 Leases

The Group – as a lessee

At inception of a contract, the Group assesses whether a contract is, or contains a lease. A contract is, or contains, alease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, The Group assess whether:

  • a) the contract involved the use of an identified asset this may be specified explicitly or implicitly.
  • b) the asset should be physically distinct or represent substantially all of the capacity of a physically distinct asset. If the supplier has a substantive substitution right, the asset is not identified.
  • c) the Group has the right to obtain substantially all of the economic benefits from the use of an asset throughout the period of use; and

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

  • d) the Group has the right to direct use of the asset. The Group concludes to have the right of use, when it is predetermined how and for what purpose the Group will use the asset. The Group has the right to direct use of asset if either:
  • i. the Group has the right to operate (or to have the right to direct others to operate) the asset over its useful life and the lessor does not have the rights to change the terms to operate or;
  • ii. the Group designed the asset (or the specific features) in a way that predetermines how and for what purpose it is used

At inception or on reassessment of a contract that contains a lease component, the Group allocates the consideration in the contract to each lease component on the basis of their relative stand-alone prices.

Right of use asset

The right of use asset is initially recognized at cost comprising of:

  • a) amount of the initial measurement of the lease liability;
  • b) any lease payments made at or before the commencement date, less any lease incentives received;
  • c) any initial direct costs incurred by the Group; and

To apply a cost model, the Group measure the right-of-use asset at cost:

  • a) less any accumulated depreciation and any accumulated impairment losses; and
  • b) adjusted for any remeasurement of the lease liability.

The Group applies the straight-line method to depreciate the right of use. If the lease transfers ownership of the underlying asset to the lessee by the end of the lease term or if the cost of the right-of-use asset reflects that the lessee will exercise a purchase option, the Group depreciate the right-of-use asset from the commencement date to the end of the useful life of the underlying asset. Otherwise, The Group depreciate the right-of-use asset from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term.

The Group apply IAS 36 Impairment of Assets to determine whether the right-of-use asset is impaired and to account for any impairment loss identified.

Lease Liability

At the commencement date, The Group measure the lease liability at the present value of the lease payments that are not paid at that date. The lease payments are discountedusing the interest rate implicit in the lease, if that rate can be readily determined. If that rate cannot be readily determined, the Group use the lessee's incremental borrowing rate. At the commencement date, the lease payments included in the measurement of the lease liability comprise the following payments for the right to use the underlying asset during the lease term that are not paid at the commencement date:

  • a) fixed payments, less any lease incentives receivable;
  • b) variable lease payments that depend on an index or a rate, initially measured using the index or rate as at the commencement date;
  • c) the exercise price of a purchase option if the Group is reasonably certain to exercise that option; and
  • d) payments of penalties for terminating the lease, if the lease term reflects the Group exercising an option to terminate the lease.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

After the commencement date, the Group measure the lease liability by:

  • a) increasing the carrying amount to reflect interest on the lease liability;
  • b) reducing the carrying amount to reflect the lease payments made; and
  • c) remeasuring the carrying amount to reflect any reassessment or lease modifications, or to reflect revised insubstance fixed lease payments.

Interest on the lease liability in each period during the lease term is the amount that produces a constant periodic rate of interest on the remaining balance of the lease liability. The Group determine the revised discount rate as the interest rate implicit in the lease for the remainder of the lease term, if that rate can be readily determined, or the lessee's incremental borrowing rate at the date of reassessment, if the interest rate implicit in the lease cannot be readily determined. After the commencement date, The Group remeasure the lease liability to reflect changes to the lease payments. The Group recognise the amount of the remeasurement of the lease liability as an adjustment to the rightof- use asset.

The Group shall remeasure the lease liability by discounting the revised lease payments using a revised discount rate, if either:

  • a) There is a change in the lease term. The Group determine the revised lease payments on the basis of the revised lease term; or
  • b) There is a change in the assessment of an option to purchase the underlying asset. The Group determine the revised lease payments to reflect the change in amounts payable under the purchase option..

The Group determine the revised discount rate as the interest rate implicit in the lease for the remainder of the lease term, if that rate can be readily determined, or the lessee's incremental borrowing rate at the date of reassessment, if the interest rate implicit in the lease cannot be readily determined.

The Group remeasure the lease liability by discounting the revised lease payments, if either:

  • a) There is a change in the amounts expected to be payable under a residual value guarantee. The Group determine the revised lease payments to reflect the change in amounts expected to be payable under the residual value guarantee.
  • b) There is a change in future lease payments resulting from a change in an index or a rate used to determine those payments. The Group remeasure the lease liability to reflect those revised lease payments only when there is a change in the cash flows.

The Group determine the revised lease payments for the remainder of the lease term based on the revised contractual payments. In that case, the Group use an unchanged discount rate.

The Group account for a lease modification as a separate lease if both:

  • a) The restructuring extends the scope of the leasing by including the right of use of one or more underlying assets, and
  • b) The lease payment amount increases as much as the appropriate adjustments to the price mentioned individually so that the increase in scope reflects the individual price and the terms of the relevant agreement.

Leases with a lease term of 12 months or less and leases of low-value assets determined by the Group are evaluated in scope of the exemption of TFRS 16 and payments associated with those leases are recognised on a straight-line basis as an expense in profit or loss.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Impairment of Assets

The Group evaluates whether there is an indicator for the decrease in value related to the asset for the rest of every assets of financial assets which are shown with the deferred tax and fair value, or not, at the every financial statement date. If there is an indicator, the regain amount of this asset is estimated. Impairment occurred if the topic assets or the net book value of unit which is belong to assets that produce cash is higher than the regain amount which was gained with the help of using or sale. In the related period, impairment lost is accounted in the income statement. Impairment loss of assets is reversed in the manner of not passing the amount of impairment which was saved before, in the situation of association an amount which was occur at the period which is following registration of impairment with the following increase in regain amount of this assets.

Severance Pay Provision / Employee Benefits

Severance Pay

Under Turkish Labor Law, Group is required to pay termination benefits to each employee who has completed one year of service and whose employment is terminated without due cause, or who retires in accordance with social insurance regulations or is called up for military service or dies.

The Group has reflected the severance pay liability calculated on the balance sheet date on the financial statements using the expected inflation rate and the real discount rate based on the principles stated above for the financial statements as of 30 September 2025.

The Group has calculated severance pay liability on the financial statements in the accompanying condensed consolidated financial statements using the "Projection Method" based on the experience gained over the past years by the Group in completing the personnel service period and entitlement to termination indemnity and discounting it with the government treasury rate at the balance sheet date. All calculated gains and losses are reflected in the income table.

Social Insurance Premium

Group pays social security contribution to social security organization compulsorily. So long as Group pays these premiums, it has no liability. These premiums are reflected as personnel expenses in the period in which they are paid.

Fair value estimation:

The Group's various accounting policies and footnote disclosures require fair value for both financial and nonfinancial assets and liabilities. The fair values are determined by the following methods for valuation and / or disclosure purposes. Where feasible, the assumptions used in the determination of fair value are presented in the footnotes related to the asset or liability as additional information. Level-by-level valuation methods are defined as follows:

  • Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities.
  • Level 2: Inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly (that is, as prices) or indirectly (that is, derived from prices).
  • Level 3: Inputs for the asset or liability that are not based on observable market data (that is, unobservable inputs).

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Tax

In the accompanying Condensed consolidated Financial Statements, the tax consists of corporate tax provision and deferred tax. The corporation tax that will be arise from the results of the period's operations have set aside a provision for the income tax liabilities at the statutory tax rates that are valid at the balance sheet date.

The Group recognizes deferred tax on the temporary timing differences between the carrying amounts of assets and liabilities in the financial statements prepared in accordance with TFRS and statutory financial statements which is used in the computation of taxable profit. The related differences are generally due to the timing difference of the tax base of some income and expense items between statutory and TFRS financial statements. The Group has deferred tax assets resulting from tax loss carry-forwards and deductible temporary differences, which could reduce taxable income in the future periods. All or partial amounts of the realizable deferred tax assets are estimated in current circumstances. The main factors which are considered include future earnings potential; cumulative losses in recent years; history of loss carry-forwards and other tax assets expiring, the carry-forward period associated with the deferred tax assets, future reversals of existing taxable temporary differences that would, if necessary, be implemented, and the nature of the income that can be used to realize the deferred tax asset.

Revenue recognition

Group recognises revenue based on the following five principles in accordance with the TFRS 15 - "Revenue from Contracts with Customers Standard" effective from 1 January 2019:

  • Identification of customer contracts
  • Identification of performance obligations
  • Determination of the transaction price in the contracts
  • Allocation of transaction price to the performance obligations
  • Recognition of revenue when the performance obligations are satisfied

Group evaluates each contracted obligation separately and respective obligations, committed to deliver the goods or perform services, are determined as separate performance obligations

Group determines at contract inception whether the performance obligation is satisfied over time or at a point in time. When the Group transfers control of a good or service over time, and therefore satisfies a performance obligation over time, then the revenue is recognised over time by measuring the progress towards complete satisfaction of that performance obligation.

When a performance obligation is satisfied by transferring promised goods or services to a customer, the Group recognises the revenue as the amount of the transaction price that is allocated to that performance obligation. The goods or services are transferred when the control of the goods or services is delivered to the customers.

Following indicators are considered while evaluating the transfer of control of the goods and services:

  • a) presence of Group's collection right of the consideration for the goods or services,
  • b) customer's ownership of the legal title on goods or services,
  • c) physical transfer of the goods or services,
  • d) customer's ownership of significant risks and rewards related to the goods or services,
  • e) customer's acceptance of goods or services.

If Group expects, at contract inception, that the period between when the Group transfers a promised good or service to a customer and when the customer pays for that good or service will be one year or less, the promised amount of consideration for the effects of a significant financing component is not adjusted. On the other hand, when the contract effectively constitutes a financing component, the fair value of the consideration is determined by discounting all future receipts using an imputed rate of interest. The difference between the fair value and the nominal amount of the consideration is recognised on an accrual basis as other operating income.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Interest income

Interest income is accrued in proportion as effective interest rate which reduces estimated cash addition to recorded value of the asset in corresponding period.

Dividend and other incomes

Dividend income which obtained from share investments, is recorded when shareholders' have the right to get dividend.

Other incomes are recorded with the possibility of having the worth giving service or accrual of the facts related with income, making the transfer of risk and benefit, determination of income amount and enrollment of economic benefits related with the procedure.

Accounting Estimates

The accompanying condensed consolidated financial statements necessitate that some predictions about income and expenses regarding possible assets and liabilities in the financial statements prepared by the Group management to be compatible with statements required by Public Oversight Accounting and Auditing Standards Authority. Realized amounts can differ from the predictions. These predictions are observed regularly and reported periodically in income statements.Comments those would have significant effect on balances reflected in the financial statements and important expectations and valuations considering present or future expectation as of report date, are as following.

Provision for inventories

Inventories are valued at the lower of cost or net realizable value. The Group management has determined that some of its inventories cost value are higher than the their net realizable value as of the balance sheet date. Management of the company has estimated the future cash flow amounts, replacement costs and the sales prices may be generated in the ordinary business activity from the sale of inventories in the calculation of the impairment.

Provision for doubtful receivables

Provision for doubtful receivables reflects the future loss that the Group anticipates to incur from the trade receivables as of the balance sheet date which is subject to collection risk considering the current economical conditions. During the impairment test for the receivables, the debtors are assessed with their prior year performances, their credit risk in the current market, their performance after the balance sheet date up to the issuing date of the financial statements; and also the renegotiation conditions with these debtors are considered. The provision for doubtful receivables is presented in Note 4.

Useful lifetime of tangible and intangible assets

Group reserves provision for depreciation regarding to footnote 2.e that refers to useful lifetime on fixed assets. Information about useful lifetime is described in footnote 2.e.

Provision for lawsuits

While setting provision for lawsuits, it has considered probability to lose lawsuit, then the consequences of loosing case by the legal advisor of the Group.

Severance pay provision

Severance pay provision is calculated with actuarial expectation based on assumptions like discount rates, salary increase in the future and probability to quit the job.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Deferred Tax

The Group recognizes deferred tax on the temporary timing differences between the carrying amounts of assets and liabilities in the financial statements prepared in accordance with IFRS and statutory financial statements which is used in the computation of taxable profit. The related differences are generally due to the timing difference of the tax base of some income and expense items between statutory and IFRS financial statements. The Group has deferred tax assets resulting from tax loss carry-forwards and deductible temporary differences, which could reduce taxable income in the future periods. All or partial amounts of the realizable deferred tax assets are estimated in current circumstances.

The main factors which are considered include future earnings potential; cumulative losses in recent years; history of loss carry-forwards and other tax assets expiring, the carry-forward period associated with the deferred tax assets, future reversals of existing taxable temporary differences that would, if necessary, be implemented, and the nature of the income that can be used to realize the deferred tax asset. As a result of the revaluation, as of 30 September 2025, temporary differences due to tax incentives can be foreseen and the fraction falls in continuity of tax incentives within the context of tax legislations, can be benefited from and is to be tax assets and accounted. As of balance sheet date, the details regarding deferred tax calculations are stated in Note 18.

Provisions, Contingent Liabilities and Assets

Provisions

Provisions are recognized when an enterprise has a present obligation (legal or constructive) as a result of a past event and it is probable that an outflow of resources will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation. Provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate.

Contingent Liabilities and Assets

Transactions that may give rise to contingencies and commitments are those where the outcome and the performance of which will be ultimately confirmed only on the occurrence or non occurrence of certain future events, unless the expected performance is not very likely. Accordingly, contingent losses are recognized in the financial statements of the Group if a reasonable estimate of the amount of the resulting loss can be made. Contingent gains are reflected only if it is probable that the gain will be realized.

Foreign Currency Assets and Liabilities

Foreign currency transactions are entered in the accounts with current rates in transaction date. Foreign currency assets and liabilities in the balance sheet are converted to the TRY as the rates in the balance sheet date. Foreign exchange profit and loss are reflected to the income statements.

30 September
2025
31 December 2024 30 September 2024
USD 41,4984 35,2233 34,0900
EUR 48,6479 36,7429 38,0180
GBP 55,6700 44,2458 45,5408
CHF 51,9614 38,9510 40.2480
RUBLE 0,4982 0,3348 0,3656
CNY 5,7965 4,7985 4,8344

Effects of Change in Currency Rate

Assets and liabilities in foreign currency and purchase and sale commitments create exchange risk. Foreign exchange risk stemming from depreciation or appreciation of Turkish Lira managed by top management by following the currency position of Group and taking position according to approved limits.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Earnings Per Share

Earnings per share in the consolidated income statements are calculated by dividing the net profit for the year by the weighted average number of ordinary shares outstanding during the year.

In Turkey, companies can increase their share capital by making distribution of "bonus shares" to existing shareholders from inflation adjustment difference in shareholder's equity. For the purpose of the earnings per share computations, the weighted average number of shares outstanding during the year has been adjusted in respect of "bonus shares" issued without corresponding change in resources by giving them retroactive effect for the period in which they were issued and each earlier period.

Other Balance Sheet Items

Other balance sheet items are mainly reflected at book value.

Cash Flow Statement

The Group prepares statement of cash flows to inform users of financial statements about changes in net assets and ability to direct financial structure, amounts and timing of cash flows according to changing situations. In the statement of cash flows, current period cash flows are grouped according to operating, financing, and investing activities. Operating cash flows resulting from activities in scope of Group's main operating scope. Cash flows related to investing activities are cash flows resulting from investing activities (fixed investments and financial investments) of the company. Cash flows related to financing activities comprise of funds used in financing activities of the Group and their repayments. Cash and cash equivalents comprise cash on hand and demand deposits and other short-term highly liquid investments which their maturities are three months or less from date of acquisition and that are readily convertible to a known amount of cash and are subject to an insignificant change in value.

Post Balance Sheet Events

In the case that events requiring a correction to be made occur subsequent, the Group makes the necessary corrections to the condensed consolidated financial statements. In the case that events not requiring a correction to be made occur subsequent, those events are disclosed in the notes of condensed consolidated financial statements (Note 22).

Reporting of Financial Information by Segments

The Group does not have an activity area to report activity according to the departments.

Related Parties

Parties are considered to be related if one party has the ability to control the other party or exercise significant influence over the other party in making the financial and operating decisions. For the purpose of these financial statements shareholders are referred to as related parties. Related parties also include individuals that are principle owners, management and members of the Group's Board of Directors and their families.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

NOTE 3– RELATED PARTY TRANSACTIONS

30 September
2025
31 December 2024
Trading Non-Trading Trading Non-Trading
Prepaid Expenses (Note 7)
Bostancı Otelcilik ve Turizm İşletmesi A.Ş. 6.006.236 6.754.548
Total 6.006.236 6.754.548

Due To Related Parties Payables

None (31 December 2024: None).

Purchases and / or expenses from related parties:

1 January – 30 September 2025

Goods and Services Purchases Rent Expenses
Bostancı Otelcilik ve Turizm İşletmesi A.Ş. 722.580
Yavuz Altop 4.464.068
Yılmaz Öztaşkın 4.464.068
Other Shareholders 8.928.137
Total 722.580 17.856.273
1 January 30 September 2024
Goods and Services Purchases Rent Expenses
Bostancı Otelcilik ve Turizm İşletmesi A.Ş. 3.799.041
Yavuz Altop 3.510.710
Yılmaz Öztaşkın 3.510.710
Other Shareholders 7.021.419
Total 3.799.041 14.042.839

The total amount of benefits provided to the senior management such as the chairman and members of the board of directors, general manager, general coordinator and general manager of the Group for the period ended 30 September 2025 is TRY 178.945.451 (30 September 2024: TRY 166.142.204).

NOTE 4 - TRADE RECEIVABLES AND PAYABLES

Trade Receivables

Short Term Trade Receivables

30 September
2025
31 December 2024
Trade Receivables 1.542.279.092 1.355.792.466
Notes Receivables 372.226.530 537.239.050
Unearned Interest (-) (61.775.162) (68.904.065)
Doubtful trade receivables 26.446.580 33.188.533
Provision for doubtful trade receivables (-) (26.446.580) (33.188.533)
Total 1.852.730.460 1.824.127.451

The maturity schedule of receivables are as follows:

30 September
2025
31 December 2024
Up to 3 months 1.405.428.578 1.171.642.245
3 to 12 months 509.077.044 721.389.271
Total 1.914.505.622 1.893.031.516

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

The movement schedule of provision for doubtful trade receivables is as follows:

30 September
2025
31 December 2024
Opening balance 33.188.533 38.942.948
Additional provisions in the period 6.215.767
Cancellation of provision in period (-) (13.312)
Monetary Loss/Gain (6.728.641) (11.970.183)
Total (End of the peridod) 26.446.580 33.188.533

Trade Payables

Short Term Trade Payables

30 September
2025
31 December 2024
Trade payables 2.305.266.450 1.726.244.142
Notes payables 183.352.587 85.053.676
Unearned interest (-) (181.143.133) (117.508.783)
Total 2.307.475.904 1.693.789.035

Long Term Trade Payables

None (31 December 2024: None).

As of 30 September 2025 and 31 December 2024 maturity schedule of payables are as follows:

30 September
2025
31 December 2024
Up to 3 months 2.102.245.747 1.662.569.204
3 to 12 months 386.373.290 148.728.614
Total 2.488.619.037 1.811.297.818

NOTE 5 - OTHER ASSETS AND LIABILITIES

Other Current Assets

30 September
2025
31 December 2024
Deferred VAT 1.068.824.397 1.225.263.119
Business Advances 15.581.396 1.956.343
Advances Given to Personnel 85.874.806 50.112.025
Other VAT 17.554.426 10.396.807
Other 4.424.300
Total 1.187.835.025 1.292.152.594

Other Current Liabilities

30 September
2025
31 December 2024
Taxes and dues payable 32.376.319 51.116.506
Other liabilities 3.333.445 2.869.802
Total 35.709.764 53.986.308

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

NOTE 6 – INVENTORIES

30 September
2025
31 December 2024
Raw materials 1.164.432.660 1.154.662.193
Work in process 83.944.812 69.638.239
Finished goods 1.405.032.609 1.609.335.137
Merchandises 1.018.243.446 1.104.043.182
Other inventories 68.040.501 68.116.037
Provision for Stock Value Decrease (-) (31.795.673) (24.448.937)
Total 3.707.898.355 3.981.345.851

The related inventory items are reported net by deducting the their provisions for impairment. As of 30 September 2025, there is insurance coverage amounting to 3.424.692.297 TRY on inventories (31 December 2024: 2.992.913.024 TRY)

The movements in the provision for stock value decrease are as follows:

30 September
2025
31 December 2024
Beginning of period provision amount 24.448.937 27.793.430
Additional provisions allocated during the period 12.303.512 7.394.729
Monetary loss/gain (4.956.776) (10.739.222)
End of period total provision amount 31.795.673 24.448.937

NOTE 7 – PREPAID EXPENSES

Short-Term Prepaid Expenses

30 September
2025
31 December 2024
Advances Given for Orders 422.856.240 584.654.985
-
Order Advances Given to Related Parties (Note 3)
6.006.236 6.754.548
-
Order Advances Given to Other Parties
416.850.004 577.900.437
Expenses for Future Months 169.776.815 151.093.864
Total 592.633.055 735.748.849

Long-Term Prepaid Expenses

30 September
2025
31 December 2024
Advances Given for Orders 87.958.620 93.990.297
Expenses for Future Years 133.757.836 95.512.741
Advances Given for Fixed Asset Orders 78.983.981
Total 221.716.456 268.487.019

Short-Term Deferred Income

30 September
2025
31 December 2024
Revenues for the following months 9.503.472
Advances received 653.978.352 1.008.145.445
Total 663.481.824 1.008.145.445

Long-Term Deferred Income

30 September
2025
31 December 2024
Revenues for future years 115.357.639 11.300.916
Total 115.357.639 11.300.916

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

NOTE 8 TANGIBLE FIXED ASSETS

Land Plants, machinery Fixtures and Leasehold Construction
Cost Lands improvements Buildings and equipment Vehicles fittings improvements in progress Total
1 January 2024 862.945.338 5.982.095 3.757.435.909 2.289.215.164 120.916.584 1.871.844.973 1.375.930.367 1.028.688.700 11.312.959.130
Addition 47.057.030 9.381.631 68.276.805 1.384.907 110.251.183 91.158.720 352.755.916 680.266.192
Transfer (270.976) (12.034.004) (12.304.980)
increase in fair value 1.756.260.460 399.700.779 2.155.961.239
Disposals (60.739.102) (2.159.337) (8.080.806) (6.893.478) (77.872.723)
31 December 2024 2.665.991.852 5.982.095 4.154.484.315 2.296.752.867 120.142.154 1.974.015.350 1.460.195.609 1.381.444.616 14.059.008.858
Addition 11.431.290 5.095.909 14.645.731 67.447.528 341.826.528 21.148.858 1.287.938.907 1.749.534.751
Transfer 296.339 166.353.984 (1.189.367) 367.854 (165.828.810)
Disposals (1.644.930) (34.550.607) (28.162.033) (64.357.570)
30 September 2025 2.677.423.142 5.982.095 4.159.876.563 2.477.752.582 185.944.752 2.280.101.904 1.453.550.288 2.503.554.713 15.744.186.039
Accumulated depreciation (-)
1 January 2024 2.488.262 569.553.517 1.274.406.992 82.368.948 1.194.217.565 1.077.523.791 4.200.559.075
Charge for the period 216.320 88.716.888 143.305.430 10.886.548 178.914.268 122.539.543 544.578.997
Transfer (1.509.847) (1.509.847)
Disposals (55.370.065) (2.054.964) (5.543.223) (6.550.910) (69.519.162)
31 December 2024 2.704.582 656.760.558 1.362.342.357 91.200.532 1.367.588.610 1.193.512.424 4.674.109.063
Charge for the period 162.240 64.767.848 100.057.177 14.481.746 127.088.073 75.928.288 382.485.372
Transfer 223.189 (223.189)
Disposals (1.644.930) (24.598.366) (14.823.821) (41.067.117)
30 September 2025 2.866.822 721.528.406 1.462.622.723 104.037.348 1.469.855.128 1.254.616.891 5.015.527.318
Net book value, 31 December 2024 2.665.991.852 3.277.513 3.497.723.757 934.410.510 28.941.622 606.426.740 266.683.185 1.381.444.616 9.384.899.795
Net book value, 30 September 2025 2.677.423.142 3.115.273 3.438.348.157 1.015.129.859 81.907.404 810.246.776 198.933.397 2.503.554.713 10.728.658.721

As of 30 September 2025, there is insurance amounting to TRY 8.682.589.220 on property, plant and equipment The liability amounts for fixed assets are mentioned in Note 11 (31 December 2024: TRY 7.843.223.132).

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

The distribution of depreciation expenses is as follows:

30 September
2025
30 September
2024
Tangible fixed assets 382.485.372 403.049.740
Intangible fixed assets 126.050.572 108.562.066
Right of use assets 281.585.913 279.680.689
Total 790.121.857 791.292.495

NOTE 9 - FINANCIAL BORROWINGS

As September 30, 2025 and December 31, 2024, the details of the financial debts are as follows;

Short Term Financial Borrowings

30 September
2025
31 December 2024
Bank Loans 3.056.812.523 1.877.873.980
Debts from Leasing Transactions 115.119.900 164.211.019
Financial Leasing Debts 166.143.039 23.452.556
Deferred Financial Leasing Borrowing Costs (-) (29.924.515) (3.471.461)
Other Financial Debts 11.926.689 839.432
Total 3.320.077.636 2.062.905.526

Current Instalments of Long-Term Financial Liabilities

30 September
2025
31 December 2024
Current Instalments of Long-Term Financial Liabilities 893.811.125 2.795.693.020
Total 893.811.125 2.795.693.020

Long Term Financial Borrowings

30 September
2025
31 December 2024
Bank Loans 1.596.792.556 1.196.196.335
Debts from Leasing Transactions 135.807.051 260.182.785
Financial Leasing Debts 406.104.373 33.759.700
Deferred Financial Leasing Borrowing Costs (-) (33.056.813) (3.186.973)
Total 2.105.647.167 1.486.951.847

Liabilities given for bank borrowings are mentioned in Note 11.

The details of the bank loans are as follows:

30 September 2025

Weighted
Average Effective
Currency Type Maturity Range Interest Rate Short Term Long Term
TRY Oct 2025 –
Feb 2033
49,8% 1.582.050.573 384.482.924
USD Jul 2025 –
Aug 2027
7,1% 233.221.713 112.334.094
EUR Oct 2025 –
May 2028
6,4% 1.999.602.752 775.371.538
CNY Apr 2026 –
Jul 2027
5,0% 135.748.610 324.604.000
Total 3.950.623.648 1.596.792.556

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Weighted
Average Effective
Currency Type Maturity Range Interest Rate Short Term Long Term
TRY January 2025-February 2033 46,68% 2.654.743.377 619.459.452
USD March 2025-September 2026 7,77% 165.089.271 30.594.954
EUR January 2025-September 2029 6,82% 1.673.791.481 546.141.929
CNY April 2025-September 2025 7,10% 179.942.871
Total 4.673.567.000 1.196.196.335

The details of the financial leases are as follows;

30 September 2025

Currency Amount TRY Value
Short-term financial lease liabilities
Financial lease debts (principal + interest) EUR 3.415.215 166.143.039
Minus: Interest expense for future months EUR (615.124) (29.924.515)
Total 136.218.524
Long-term financial lease liabilities
Financial lease debts (principal + interest) EUR 8.347.829 406.104.373
Minus: Interest expense for future months EUR (679.512) (33.056.813)
Total 373.047.560

The principal amount of financial lease liabilities shown in the financial statements 509.266.084

31 December 2024

Currency Amount TRY Value
Short-term financial lease liabilities
Financial lease debts (principal + interest) Euro 508.882 23.452.556
Minus: Interest expense for future months Euro (75.325) (3.471.461)
Total 19.981.095
Long-term financial lease liabilities
Financial lease debts (principal + interest) Euro 732.530 33.759.700
Minus: Interest expense for future months Euro (69.152) (3.186.973)
Total 30.572.727
The principal amount of financial lease liabilities shown in the financial statements 50.553.822

Maturity schedule of banks borrowings are as follows:

30 September
2025
31 December 2024
Up to 3 months 1.679.702.915 1.722.439.508
3 to 12 months 2.534.185.846 3.136.159.038
1 to 5 years 1.748.269.500 1.150.272.605
Over 5 years 357.377.667 336.679.242
Total 6.319.535.928 6.345.550.393

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

NOTE 10 – EMPLOYEE BENEFIT LIABILITIES

30 September
2025
31 December 2024
Due to personnel 186.963.558 146.999.986
Taxes and funds payable for personnel 38.809.301 39.210.946
Social security and Taxes and dues payable 68.183.002 63.566.752
Total 293.955.861 249.777.684

NOTE 11 – PROVISIONS, CONTINGENT ASSETS AND LIABILITIES

Contingent Liabilities

Given GSM (Guarantee-Security-Mortgage) by Group 30 September
2025
31 December 2024
A. Total Amount of GSM Given on Behalf of Legal Entity 1.643.725.640 1.276.024.838
B. Total Amount of GSM Given for Partnerships which are
Included in Full Consolidation
C. Total Amount of GSM Given for the Purpose of Guaranteeing
Third Party Loans to Carry the Regular Trade Activities
D. Total Amount of Other GSM Given
i. Total Amount of GSM Given for the Parent Company
ii. Total Amount of GSM Given for Other Group Companies not
Included in B and C Clauses
iii. Total Amount of GSM Given for Third Parties not Included in C
Clause
Total 1.643.725.640 1.276.024.838

Letters of guarantee - As of 30 September 2025, the Group has given letters of guarantee amounting to TRY 1.374.241.100 to the suppliers and other corporations. The details of the letters of guarantee are as below:

Foreign TRY
30 September
2025
currency Amount equivalent
Electricity Distribution Companies TRY 4.452.603 4.452.603
Executive Directorate TRY 9.647.889 9.647.889
Customs Directorate TRY 37.854.313 37.854.313
Gas Distribution Companies TRY 172.245 172.245
Private sector TRY 43.026.832 43.026.832
Private sector EUR 97.280 4.732.468
Private sector RUB 135.000.000 67.252.950
Private sector USD 250.000 10.374.600
Turkey Export Credit Bank EUR 9.077.167 441.585.112
Turkey Export Credit Bank CNY 88.820.000 514.845.130
Turkey Export Credit Bank USD 1.021.000 42.369.866
Turkey Export Credit Bank TRY 181.579.000 181.579.000
Turkish National Lottery Administration TRY 12.625.000 12.625.000
State Supply Office TRY 2.375.000 2.375.000
Correctional Facility TRY 1.348.092 1.348.092
Total 1.374.241.100

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Foreign
31 December 2024 Currency Currency
Amount
TL Equivalent
Electricity distribution companies TRY 1.004.265 1.004.265
Enforcement office TRY 12.110.882 12.110.882
Customs directorate TRY 22.999.017 22.999.017
Gas distribution companies TRY 216.046 216.046
Private sector TRY 79.864.877 79.864.877
Private sector EUR 97.280 4.482.474
Private sector RUB 135.000.000 55.379.358
Private sector USD 1.072.000 47.438.074
Turkish export credit bank EUR 7.703.297 354.953.014
Turkish export credit bank CNY 32.300.000 194.721.270
Turkish export credit bank USD 1.775.000 78.547.184
Turkish export credit bank TRY 98.042.037 98.042.037
Turkish National Lottery Administration TRY 21.479.817 21.479.817
State Supply Office TRY 3.612.372 3.612.372
Correctional Facility TRY 2.006.873 2.006.873
Total 976.857.561

As at 30 September 2025, mortgages on various tangible assets of the Group amounting to TRY 269.484.540 (31 December 2024: TRY 299.167.278).

30 September 2025 31 December 2024 30 September 2025 31 December 2024
Foreign currency TRY equivalent
Bills given (CNY) 22.197.180 29.897.106 128.665.957 180.235.371
Bills given (EUR) 1.150.000 55.945.085
Total 23.347.180 29.897.106 184.611.042 180.235.371

Contingent Asset

30 Sep. 2025 31 December 2024 30 Sep. 2025 31 December 2024
Foreign currency TRY equivalent
Letters of Guarantee (TRY) 1.447.514.000 1.137.208.640 1.447.514.000 1.426.396.110
Letters of Guarantee (USD) 4.158.500 172.571.096
Letters of Guarantee (EUR) 905.000 44.026.350
Mortgages (TRY) 643.617.500 568.592.501 643.617.500 713.183.230
Mortgages (USD) 3.775.000 156.656.460
Checks Received (TRY) 2.650.000 2.650.000 2.650.000 3.323.884
Total 2.467.035.406 2.142.903.224

NOTE 12 – SHARE CAPITAL

Paid in Capital

The registered capital ceiling of the Parent Company was increased from TRY 300,000,000 to TRY 2.000.000.000 pursuant to the Board of Directors resolution dated February 24, 2025 and with the approval of the Capital Markets Board dated February 27, 2025. The related amendment to Article 6 of the Articles of Association, titled "Capital and Type of Shares", was approved at the General Assembly held on April 21, 2025 and registered on May 6, 2025, as announced in the Turkish Trade Registry Gazette numbered 11325. The registered capital of the parent company is TRY 2.000.000.000 ( 31 December 2024: TRY 300.000.000).

Paid-in capital of the parent company each 1 TRY. of the total shares of the Company with a nominall amount of TRY 149.798.932 (31 December 2024: TRY 149.798.932).

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

The shareholding structure of the parent company as of 30 September 2025 and 31 December 2024 is as follows;

30 September
2025
31 December 2024
Amount Share Amount Share
TRY (%) TRY (%)
Hacı Nuri Öztaşkın 12.427.403 8,30% 12.427.403 8,30%
Yılmaz Öztaşkın 10.940.192 7,30% 10.940.192 7,30%
Bostancı Otelcilik ve Turizm İşletmesi A.Ş 8.467.847 5,65% 8.467.847 5,65%
Other (1) 117.963.490 78,75% 117.963.490 78,75%
Total 149.798.932 100,00% 149.798.932 100,00%
Inflation Adjustment on Capital
(2)
1.874.660.426 1.874.660.426
Total 2.024.459.358 2.024.459.358

(1) Includes nominal repurchase shares amounting to 6.035.734 at the rate of 4,03% stated.

NOTE 13 – REVENUE

For the periods ended at 30 September 2025 and 2024, the details of sales are as following;

1 January –
30 Sep. 2025
1 July –
30 Sep. 2025
1 January –
30 Sep. 2024
1 July –
30 Sep. 2024
Domestic sales 17.573.444.989 6.184.400.708 16.083.340.320 4.929.364.275
Export sales 1.037.953.563 307.348.395 1.260.306.859 354.074.496
Other sales 46.183.932 15.579.454 154.629.054 15.605.254
Gross Sales 18.657.582.484 6.507.328.557 17.498.276.233 5.299.044.025
Sales returns (-) (359.405.093) (128.393.907) (335.967.496) (107.163.330)
Sales discounts (-) (2.885.989.993) (1.050.298.098) (1.978.904.073) (574.332.734)
Other discounts (-) (14.118.896) (6.819.866) (14.992.885) (7.983.197)
Sales returns and Discounts (-) (3.259.513.982) (1.185.511.871) (2.329.864.454) (689.479.261)
Net Sales 15.398.068.502 5.321.816.686 15.168.411.779 4.609.564.764

NOTE 14 – COST OF SALES (-)

For the periods ended at 30 September 2025 and 2024, the details of cost of sales are as following;

1 January – 1 July – 1 January – 1 July –
30 Sep. 2025 30 Sep. 2025 30 Sep. 2024 30 Sep. 2024
Cost of finished goods sold (6.759.727.314) (2.463.495.121) (6.881.305.272) (2.170.137.270)
Cost of merchandise (3.111.812.345) (1.042.267.660) (3.279.967.413) (871.154.576)
Cost of services sold (150.845.992) 52.928.172 (301.128.784) (127.749.648)
Total (10.022.385.651) (3.452.834.609) (10.462.401.469) (3.169.041.494)

(2) Capital adjustment differences represent the discrepancy between the total amounts of cash and cash equivalents added to the capital, adjusted for inflation accounting, and their pre-adjustment amounts. The capital adjustment differences have no other use than to be added to the capital.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

NOTE 15 – RESEARCH AND DEVELOPMENT EXPENSES, MARKETING, SALES AND DISTRIBUTION EXPENSES, GENERAL ADMINISTRATIVE EXPENSES (-)

1 January – 1 July – 1 January – 1 July –
30 Sep. 2025 30 Sep. 2025 30 Sep. 2024 30 Sep. 2024
Research and development expenses 79.173.983 25.192.551 85.650.761 27.881.486
Marketing, sales and distribution expenses 3.860.735.368 1.319.889.917 3.333.759.835 947.799.032
General administrative expenses 664.563.740 231.637.410 606.428.359 237.994.813
Total 4.604.473.091 1.576.719.878 4.025.838.955 1.213.675.331

EXPENSES BY NATURE (-)

1 January –
30 Sep. 2025
1 July –
30 Sep. 2025
1 January –
30 Sep. 2024
1 July –
30 Sep. 2024
Personnel Expenses 1.452.783.515 530.214.210 1.488.310.459 470.623.685
Advertising Expenses 823.787.208 183.821.750 558.435.113 151.505.591
Depreciation Expense 701.288.877 229.408.066 533.334.291 158.006.189
Transportation Expenses 351.032.493 131.171.478 415.658.738 126.071.755
Rent Expenses 238.926.952 82.399.246 85.059.082 30.752.326
Setup and Logistics Expenses 235.896.228 105.823.178 223.973.847 76.629.170
Material Expense 81.790.779 53.307.192 38.543.890 7.401.155
E-commerce Commission Expenses 80.002.394 26.900.871 97.500.353 26.557.986
Taxes, Duties, and Fees Expenses 68.645.297 30.854.655 58.906.048 27.220.628
Consulting Expense 58.176.923 24.008.908 58.652.154 18.566.135
Store Common Area Expenses 43.969.451 15.268.160 37.095.811 13.514.883
Decoration Expense 43.762.005 17.732.960 37.502.851 17.715.892
Electricity, Water, and Heating Expenses 42.185.482 13.960.571 43.941.016 15.326.931
Exhibition Expenses 40.493.542 4.183.059 40.730.895 9.978.974
Turnover Bonus Expenses 40.021.089 20.030.864 54.566.098 727.131
Travel and Accommodation Expenses 33.599.022 12.888.353 48.581.751 21.693.901
Maintenance and Repair Expenses 32.894.407 19.720.304 22.212.195 7.017.449
Export Expenses 32.366.682 7.539.034 45.731.906 4.700.338
Insurance Expenses 20.537.462 7.304.055 7.022.866 1.066.952
Communication Expenses 4.801.151 2.174.582 21.461.186 13.225.599
Dealer Opening Support 2.620.212 (2.934.358) 10.389.319 3.103.676
Other Expenses 174.891.920 60.942.740 98.229.086 12.268.985
Total 4.604.473.091 1.576.719.878 4.025.838.955 1.213.675.331

NOTE 16 – FINANCIAL INCOME

1 January – 1 July – 1 January – 1 July –
30 Sep. 2025 30 Sep. 2025 30 Sep. 2024 30 Sep. 2024
Foreign exchange income 44.371.888 10.446.891 19.598.786 7.275.458
Interest income 43.523.488 16.446.767 17.260.318 1.198.885
Total 87.895.376 26.893.658 36.859.104 8.474.343

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

NOTE 17 – FINANCIAL EXPENSES (-)

1 January – 1 July – 1 January – 1 July –
30 Sep. 2025 30 Sep. 2025 30 Sep. 2024 30 Sep. 2024
Foreign exchange losses 761.293.561 162.152.817 314.987.900 184.753.890
Interest expenses 880.060.734 284.177.027 1.149.344.010 339.487.772
Bank commission 362.150.953 128.954.822 291.732.420 106.684.682
Lease payables interest accruals 61.768.190 19.340.870 51.064.721 17.102.593
Guarantee letter commison expenses 6.975.976 2.467.094 6.908.559 1.741.839
Other financial expenses 11.289.856 4.146.930 13.755.542 5.730.216
Total 2.083.539.270 601.239.560 1.827.793.152 655.500.992

NOTE 18 – TAX ASSETS AND LIABILITIES

In Turkey, as of September 30, 2025 the corporate tax rate is 25% (2024: 25%). However, with the 91st article of the Law No. 7061 "Amending Some Tax Laws and Other Laws" published in the Official Gazette No. 30261 dated December 5, 2017, and the temporary 10th article added to the Corporate Tax Law No. 5520, it is envisaged that the corporate tax to be paid on the earnings of corporations for the tax periods of 2018, 2019, and 2020 will be calculated at a rate of 23% and then continue to be taxed at a rate of 20%. During this period, the Council of Ministers has been given the authority to reduce the rate of 22% to 20%.

As of the period ending on September 30, 2025, in accordance with tax legislation, provisional tax is calculated and paid at a rate of 25% (2024: 25%) on the earnings formed every three months, and the amounts paid in this way are offset from the tax calculated on the annual income.

According to the Corporate Tax Law, financial losses shown on the declaration can be deducted from the corporate tax base of the period, provided that they do not exceed 5 years. Declarations and related accounting records can be examined by the tax office within five years, and tax accounts can be revised. Dividend payments made to real persons who are resident and non-resident in Turkey and to legal persons who are not resident in Turkey by joint-stock companies resident in Turkey, except those who are not liable for corporate tax and income tax and those who are exempt, are subject to 15% income tax.

Dividend payments made by joint-stock companies resident in Turkey to other joint-stock companies resident in Turkey are not subject to income tax. Also, if the profit is not distributed or added to the capital, income tax is not calculated.

Exemption for Real Estate and Subsidiary Share Sales Gains

Dividend earnings obtained by corporations from their participation in the capital of another corporation subject to full liability (excluding dividend earnings from investment fund participation certificates and investment partnership shares) are exempt from corporate tax. In addition, 75% of the earnings from the sale of participation shares and real estate (immovables) founder's certificates, usufruct certificates, and pre-emption rights, which corporations have held in their assets for at least two full years, are exempt from corporate tax as of September 30, 2025.

However, with the amendment made by Law No. 7061, this rate has been reduced from 75% to 50% for immovables and this rate will be used as 50% in tax declarations to be prepared from 2019 onwards. To benefit from the exemption, the relevant earnings must be kept in a fund account in the passive and must not be withdrawn from the business for 5 years. The sales price must be collected by the end of the second calendar year following the year in which the sale was made. There are many exemptions for corporations in the Corporate Tax Law. The ones related to the Company are explained below:

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Since 75% of the earnings from the sale of real estate (immovables) in the Group's assets for at least two full years were exempt from corporate tax as of September 30, 2025, the taxable temporary differences arising on the real estate owned by the Group were accepted as 5% by applying a 75% exemption on the corporate tax at the rate of 20% used in previous periods. As of September 30, 2025, since the forward-looking exemption rate was determined as 50%, the exemption was applied and the new deferred tax rate was accepted as 10%.

30 Sep. 2025 31 Dec. 2024 30 Sep. 2025 31 Dec. 2024
Cumulative Cumulative Deferred tax Deferred tax
temporary temporary assets / assets /
Deferred tax assets / (liabilities), net difference difference (liabilities) (liabilities)
Adjustments for Receivable Discounting (Revaluation
of Receivables) 61.775.162 68.904.065 15.443.792 17.226.017
Adjustments for Payable Discounting (Revaluation of
Payables) (181.143.133) (117.508.783) (45.285.783) (29.377.196)
Adjustments for Provisions for Legal Cases 405.529 508.653 101.382 127.163
Adjustments for Other Accounts 34.964.310 46.509.716 8.741.078 11.627.429
Adjustments for Other Provisions 6.829.662 8.550.422 1.707.416 2.137.606
Adjustments for Provision for Employment
Termination Benefits 175.532.912 177.496.812 43.883.228 44.374.204
Adjustments for Accrued Loan Interests 11.605.509 37.447.593 2.901.377 9.361.899
Adjustments for Right-of-Use Assets (669.827.056) (755.586.074) (167.456.764) (188.896.519)
Adjustments for Tangible and Intangible Assets (5.429.591.914) (4.505.662.318) (1.196.408.424) (1.253.785.880)
Adjustments for Prepaid Expenses 15.207.531 (1.844.859) 3.801.883 (461.215)
Adjustments for Impairment of Inventories 31.795.673 24.448.937 7.948.918 6.112.234
Valuation and Deferred Purchase Differences on
Inventories (402.982.916) (297.890.352) (100.745.729) (74.472.589)
Adjustments for Provision for Doubtful Receivables 16.999.578 21.339.198 4.249.895 5.334.800
Adjustments for Advances Given (32.563.125) (15.772.463) (8.140.781) (3.943.116)
Adjustments for Investment Properties (361.841.088) (347.496.234) (90.460.272) (86.874.058)
Available Tax Loss Carryforwards 166.463.411 208.794.370 41.615.853 52.198.593
Deferred Tax Liabilities (6.556.369.955) (5.447.761.317) (1.478.102.931) (1.489.310.628)

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

NOTE 19 – NATURE AND LEVEL OF RISKS ARISING FROM FINANCIAL INSTRUMENTS

Financial Instruments

Foreign currency risk

The carrying amounts of foreign currency assets and liabilities held by the Group as of 30 September 2025 and 31 December 2024 are as follows:

30 September 2025
TRY
equivalent
functional USD EUR GBP RUBLE CNY
currency
1. Trade Receivables 941.542.343 11.863.429 5.926.783 17.907 320.988.000
2a. Monetary Financial Assets (including cash,
banks) 42.159.776 584.807 172.996 21 18.812.000 17.698
2b. Non-monetary financial assets
3. Other 247.947.179 3.179.341 807.618 13.235.693
4. Current Assets (1+2+3) 1.231.649.298 15.627.577 6.907.397 17.928 339.800.000 13.253.391
5. Trade Receivables
6a. Monetary financial assets
6b. Non-monetary financial assets
7. Other 2.370.472 57.122
8. Non-Current Assets (5+6+7) 2.370.472 57.122
9. Total Assets (4+8) 1.234.019.770 15.684.699 6.907.397 17.928 339.800.000 13.253.391
10. Trade Payables 718.830.282 5.830.603 3.785.740 10.861 586.339.310
11. Financial Liabilities 2.504.791.623 5.620.017 43.903.669 23.419.065
12a. Other monetary financial liabilities 25.275.347 528.434 67.486 1.134
12b. Other non-monetary financial liabilities
13. Current Liabilities (10+11+12) 3.248.897.252 11.979.054 47.756.895 11.995 586.339.310 23.419.065
14. Trade Payables
15. Financial Liabilities 1.585.357.150 2.706.950 23.606.755 56.000.000
16a. Other monetary financial liabilities
16b. Other non-monetary financial liabilities
17. Non-Current Liabilities (14+15+16) 1.585.357.150 2.706.950 23.606.755 56.000.000
18. Total Liabilities (13+17) 4.834.254.402 14.686.004 71.363.650 11.995 586.339.310 79.419.065
19. Net asset / liability position of off- balance
sheet derivative instruments (19a-19b) (101.788.097) (1.790.500) (564.983)
19a. Hedged amount of assets
19b. Hedged amount of liabilities position 101.788.097 1.790.500 564.983
20. Net foreign currency position asset /
liabilities (9-18+19) (3.702.022.729) (791.805) (65.021.236) 5.933 (246.539.310) (66.165.674)
21. Net foreign currency asset / liability
position of monetary items (IFRS 7.B23)
(=1+2a+5+6a-10-11-12a-14-15-16a) (3.850.552.283) (2.237.768) (65.263.871) 5.933 (246.539.310) (79.401.367)

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

31 December 2024
TRY
equivalent
functional USD EUR GBP RUBLE CNY
currency
1. Trade Receivables 944.235.821 11.055.810 4.264.647 18.000 614.919.859
2a. Monetary Financial Assets (including cash,
banks) 178.220.739 2.157.072 1.605.108 17 17.439.000 269.476
2b. Non-monetary financial assets
3. Other 337.317.680 1.997.102 4.195.971 9.255.652
4. Current Assets (1+2+3) 1.459.774.240 15.209.984 10.065.726 18.017 632.358.859 9.525.128
5. Trade Receivables
6a. Monetary financial assets
6b. Non-monetary financial assets
7. Other 2.523.675 57.122
8. Non-Current Assets (5+6+7) 2.523.675 57.122
9. Total Assets (4+8) 1.462.297.915 15.267.106 10.065.726 18.017 632.358.859 9.525.128
10. Trade Payables 396.283.414 4.243.104 3.788.971 19.500 34.050 5.500.226
11. Financial Liabilities 2.155.124.294 3.736.705 36.640.162 289.255.000 29.897.106
12a. Other monetary financial liabilities 30.146.403 468.535 59.625 15.950.000
12b. Other non-monetary financial liabilities
13. Current Liabilities (10+11+12) 2.581.554.111 8.448.344 40.488.758 19.500 305.239.050 35.397.332
14. Trade Payables
15. Financial Liabilities 612.466.570 692.500 12.625.650
16a. Other monetary financial liabilities
16b. Other non-monetary financial liabilities
17. Non-Current Liabilities (14+15+16) 612.466.570 692.500 12.625.650
18. Total Liabilities (13+17) 3.194.020.682 9.140.844 53.114.408 19.500 305.239.050 35.397.332
19. Net asset / liability position of off- balance
sheet derivative instruments (19a-19b) (161.855.043) (3.663.500)
19a. Hedged amount of assets
19b. Hedged amount of liabilities position 161.855.042 3.663.500
20. Net foreign currency position asset /
liabilities (9-18+19) (1.893.577.809) 2.462.762 (43.048.682) (1.483) 327.119.809 (25.872.204)
21. Net foreign currency asset / liability position
of monetary items (IFRS 7.B23) (=1+2a+5+6a-10-
11-12a-14-15-16a) (2.071.564.122) 4.072.038 (47.244.653) (1.483) 327.119.809 (35.127.856)

Details of the import and export amounts of the Group as of 30 September 2025 and 2024 are as follows;

1 January –
30 September
2025
1 January –
30 September
2024
Import Export Import Export
USD 11.731.495 14.172.104 9.247.455 15.331.581
EUR 17.527.826 7.000.663 7.580.314 6.938.630
TRY 17.293.348 8.946.563
GBP 1.773 28.598
CHF 20.711
CNY 20.288.377 36.737.211
TRY equivalent 1.281.546.701 858.860.479 967.644.549 991.357.262

Foreign Currency Risk Sensitivity Analysis

As of 30 September 2025 , if TRY evaluates / devaluates against foreign currency by 10% and all other variables remains the same, profit before tax which occurs as a result of the foreign exchange loss / gain arising from net foreign exchange exposure is as below:

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

Foreign Currency Risk Sensitivity Analysis Table
30 September 2025
Profit / (Loss)
Appreciation of foreign currency Depreciation of foreign currency
In case of appreciation / depreciation of USD against TRY at 10%
1- USD net asset / liability 4.144.424 (4.144.424)
2- Part of hedged from USD risk (-) (7.430.289) 7.430.289
3- USD net effect (1+2) (3.285.865) 3.285.865
In case of appreciation / depreciation of EUR against TRY at 10%
4- EUR net asset / liability (313.566.135) 313.566.135
5- Part of hedged from EUR risk (-) (2.748.520) 2.748.520
6- EUR net effect (4+5) (316.314.655) 316.314.655
In case of appreciation / depreciation of GBP against TRY at 10%
7-GBP net asset/liability 33.029 (33.029)
8-Part of hedged from GBP risk (-)
9-GBP net effect (7+8) 33.029 (33.029)
In case of appreciation / depreciation of RUB against TRY at 10%
10-RUB net asset/liability (12.281.849) 12.281.849
11-Part of hedged from RUB risk (-)
12-RUB net effect (10+11) (12.281.849) 12.281.849
In case of appreciation / depreciation of CNY against TRY at 10%
13-CNY net asset/liability (38.352.933) 38.352.933
14-Part of hedged from CNY risk (-)
15-CNY net effect (10+11) (38.352.933) 38.352.933
Total (3+6+9+12+15) (370.202.273) 370.202.273
Foreign Currency Risk Sensitivity Analysis Table
31 December 2024
Profit / (Loss)
Appreciation of foreign currency Depreciation of foreign currency
In case of appreciation / depreciation of USD against TRY at 10%
1- USD net asset / liability 27.066.095 (27.066.095)
2- Part of hedged from USD risk (-) (16.185.503) 16.185.503
3- USD net effect (1+2) 10.880.592 (10.880.592)
In case of appreciation / depreciation of EUR against TRY at 10%
4- EUR net asset / liability (198.396.171) 198.396.171
5- Part of hedged from EUR risk (-)
6- EUR net effect (4+5) (198.396.171) 198.396.171
In case of appreciation / depreciation of GBP against TRY at 10%
7-GBP net asset/liability (8.231) 8.231
8-Part of hedged from GBP risk (-)
9-GBP net effect (7+8) (8.231) 8.231
In case of appreciation / depreciation of RUB against TRY at 10%
10-RUB net asset/liability 13.737.832 (13.737.832)
11-Part of hedged from RUB risk (-)
12-RUB net effect (10+11) 13.737.832 (13.737.832)
In case of appreciation / depreciation of CNY against TRY at 10%
13-CNY net asset/liability (15.571.804) 15.571.804
14-Part of hedged from CNY risk (-)
15-CNY net effect (10+11) (15.571.804) 15.571.804
Total (3+6+9+12+15) (189.357.781) 189.357.781

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF 30 SEPTEMBER 2025

(Amounts expressed in Turkish Lira ("TRL") in terms of the purchasing power of the TRL at September 30, 2025, unless otherwise indicated)

(CONVENIENCE TRANSLATION INTO ENGLISH OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, ORIGINALLY ISSUED IN TURKISH)

NOTE 20 – FINANCIAL INSTRUMENTS (FAIR VALUE DISCLOSURES AND HEDGE ACCOUNTING DISCLOSURES)

Fair value is the amount at which a financial instrument could be exchanged in a current transaction between willing parties, other than in a forced sale or liquidation, and is best evidenced by a quoted market price, if one exists. The estimated fair values of financial instruments have been determined by the Company using available markets information in Turkey 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 Company could realize in a current market exchange.

Financial Assets

Balances denominated in foreign currencies are converted at period exchange rates. The fair value of certain financial assets carried at cost, including cash and cash equivalents are considered to approximate their respective carrying amounts in the financial statements. The carrying value of trade receivables, net of allowances for possible non-recovery of uncollectible are considered to approximate their fair values

Financial Liabilities

The fair value of short-term bank loans and other monetary liabilities are considered to approximate their respective carrying values due to their short-term nature. The fair values of long-term bank borrowings, which are denominated in foreign currencies and translated at period/year-end exchange rates, are considered to approximate their carrying values. The carrying amount of accounts payable and accrued expenses reported in the financial statements for estimated third party payer settlements approximates its fair values.

NOTE 21 – OTHER ISSUES AFFECTING THE CONDENSED CONSOLİDATED FINANCIAL STATESMENTS SIGNIFICANTLY OR REQUIRED TO BE DISCLOSURE FOR CLEAR, UNDERSTANDABLE AND INTERPRETABLE PRESENTATION

None. (31 December 2024: None).

NOTE 22 – POST BALANCE SHEET EVENTS

None. (31 December 2024: None).

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