2021 Financial Results

TRY22.5bn

Revenue

9.4%

EBITDA Margin

23.8%

OPEX / Sales

26.3%

NWC / Sales

2.40x

Leverage

FX appreciation leading substantial net sales growth in 4Q21.. Closing 2021 with satisfying profitability..

Solid sales growth of 69% y/y & 24% q/q, the organic growth was 42% y/y

Pull forward demand was effective starting from November in Turkey mainly due to the anticipation of further rising prices

EBITDA margin of 9.4% (8.1% exc. one-off items) in 4Q21, bringing yearly consolidated margin to 10.6% (10.1% exc. one-off items)

Net Working Capital / Sales was 26.3%, in line with the guidance despite the volatile exchange rates

Leverage was 2.4x. Adding the value of shares bought back as of year-end (0.26x impact) and annualized EBITDA & cash contribution of acquisitions (0.29x impact), the leverage would be 1.86x.

The highest score in Dow Jones Sustainability Index achieved for the third year in a row & Terra Carta Seal

REACHING THE HIGHEST SCORE IN DJSI THREE YEARS IN A ROW & AWARDED THE TERRA CARTA SEAL

Arçelik is one of 45 companies in the world who received HRH The Prince of Wales' Terra Carta Seal in recognition of the company's commitment to creating a sustainable future

✓ The first & only company of its industry across the world
- ✓ The first & only company in Turkey

KEY FACTORS SALES / MARGINS

Operational Performance

CYCLING A STRONG GROWTH, PULL FORWARD DEMAND LEADING TO A LIMITED CONTRACTION IN TURKISH MDA6 MARKET IN 4Q21

MDA6*		AIR CONDITIONER*		TELEVISION**
ARÇELİK	4%	ARÇELİK	27%	ARÇELİK	(0%)
MARKET	(1%)	MARKET	34%	MARKET	(7%)

TURKISH MDA6 MARKET GROWTH vs ARÇELİK (% y/y)

4Q21 WAS CHALLENGING IN EUROPE AS MARKETS WERE CYCLING HIGH BASE

Despite strong November figures, except for Poland, Eastern European countries contracted in 4Q21 y/y.
While on a quarterly basis, demand was remained strong in Poland, Ukraine and Romania in 4Q21.
However, on a yearly basis, the demand in Russia, Poland, Romania and Ukraine posted growth in 2021.
Mainly due to the high base, consumer demand in the majority ofthe W.European countries declined on a yearly basis in 4Q21.
Except for France, Italy and Belgium, the demand in other Western European countries fell in 2021 y/y, as expected.

14% Share in total revenue

ARÇELİK STRENGTHENED ITS POSITION IN CORE COUNTRIES OF EUROPEAN MARKET

Arçelik Western Europe Highlights

31% Share in total revenue

Double-digit top-line growth in EUR terms in 4Q21 y/y thanks to unit growth (mainly additional units from Whirlpool Manisa Factory acquisition) & price increases, while on q/q units were slightly increased.
Beko has captured the leadership position in France as of 2021 year-end.
Beko strengthened its leadership position in the U.K. as of 2021 year-end, gaining market share compared to 2020.

Arçelik Eastern Europe Highlights

Top-line growth stood at mid single digit in EUR terms in 4Q21 on q/q thanks to price increases, while the growth was low single digit on y/y.
Arçelik Group maintained its leadership in Poland while Beko was the number one brand as of 2021 year-end.
With its Arctic & Beko brand being no.1 & 2 respectively, Arçelik Group sustained its leadership in Romania as of 2021 year-end.
Improvement in price index in Russia in 2021 on a yearly basis withoutlosing market share.
Arçelik Group improved its market share in Ukraine in 2021 vs 2020

Sales Growth (EUR)

HIGHER CONTRIBUTION FROM ARÇELIK-HITACHI, AFRICA CYCLING HIGH BASE

8% AFRICA & M. EAST

(Share in total revenue)

Defy's units & revenues was increased by double digit in 4Q21 on a quarterly basis in both ZAR & EUR terms due to Black Friday sales, while, on a yearly basis, units and revenue were declined mainly due to the strong base.
Market leadership position has been strengthened further as of October 2022 compared to a year ago.
Defy's export units to Sub Saharan Africa countries was down by c.8% on q/q & c.25% mainly due to the strong base.
Beko Egypt posted 63% y/y growth in 4Q21 in EUR terms due to price increases y/y and increasing share of Beko in a growing market. Beko became market leader in dishwasher category in Egypt as of 4Q21.

Sales Growth (EUR)

(Share in total revenue)

19% APAC

Robust revenue growth of c.25% y/y in PKR terms (c.20% in EUR terms) in Pakistan in 4Q21 thanks to price increases y/y while inflationary pressure & offseason impact resulted in lower sales on a quarterly basis with c.7% contraction in PKR terms (c.9% in EUR terms).
In Bangladesh, sales were contracted in 4Q21 y/y in BDT terms due to the ongoing pandemic impact. In 2021, net sales were grew by mid-single digit y/y with strong performance of 1 st & 2 nd quarter.

RAW MATERIAL PRICES HIT RECORD HIGH LEVELS IN 2021

• Moderate soften in metal prices in 4Q21 compared previous quarter mainly due to the increase in capacity usage in China and relatively lower demand.

AverageMetal Prices Index - Market

AveragePlasticPrices Index - Market

• Average plastic prices went up in 4Q21 compared to last quarter due to energy crisis, power cut in China due to their 'blue sky' motto.

Source: ICIS - Chemical Industry News & Chemical Market Intelligence Index includes: ABS, Polystyrene, Polyurethane, Polypropylene

Sales Performance

RESILIENT REVENUE COMPOSITION THROUGH DIVERSIFICATION

Financial Performance

SUMMARY FINANCIALS

TRYm	4Q21	4Q20	y/yΔ	3Q21	q/qΔ	2021	2020	y/yΔ
Revenue	22,519	13,335	69%	18,148	24%	68,184	40,872	67%
GrossProfit	6,477	4,803	35%	5,125	26%	20,478	13,806	48%
EBIT	1,156	1,607	(28%)	1,321	(13%)	5,068	4,184	21%
Profit BeforeTax	974	1,379	(29%)	770	26%	3,623	3,498	4%
Net Income	893	1,170	(24%)	717	25%	3,251	2,879	13%
Net Income–one-offsexc	601	1,170	(49%)	717	(16%)	2,959	2,417	22%
EBITDA	2,106	1,932	9%	1,782	18%	7,206	5,584	29%
EBITDA –one-offsexc	1,815	1,932	(6%)	1,782	2%	6,914	5,122	35%
GrossProfit Margin	28.8%	36.0%	(726 bps)	28.2%	52 bps	30.0%	33.8%	(375 bps)
EBIT Margin	5.1%	12.0%	(692 bps)	7.3%	(215 bps)	7.4%	10.2%	(280 bps)
Net Profit Margin	4.0%	8.8%	(481 bps)	3.9%	2 bps	4.8%	7.0%	(228 bps)
Net Profit Margin-one-offsexc	2.7%	8.8%	(610 bps)	3.9%	(128 bps)	4.3%	5.9%	(157 bps)
EBITDA Margin	9.4%	14.5%	(513 bps)	9.8%	(47 bps)	10.6%	13.7%	(309 bps)
EBITDA Margin–one-offsex	8.1%	14.5%	(643 bps)	9.8%	(176 bps)	10.1%	12.5%	(239 bps)

Sensitivity: Public *EBIT was calculated by deducting the impact of FX gains and losses arising from trade receivables & payables, credit finance income and charges and cash discount expense and adding income & expenses from sale of property plant and equipment. **Net income before minority

HEALTHY LEVERAGE SUSTAINED DESPITE ACQUISITIONS, SHARE BUYBACK, FX VOLATILITY

Sensitivity: Public *If the value of the shares acquired as of 31.12.2021 were deducted from net debt and EBITDA & cash contributions of our recent acquisitions were annualized the leverage is calculated as 1.60x as of 9M21 and as 1.86x as of 2021. 15

NEGATIVE FCF IN 2021 MAINLY DUE TO NWC

2021 GUIDANCE

2022 GUIDANCE

MARGINS BY SEGMENTS

White Goods Consumer Electronics Other

CLOSE WATCH ON FX RISK, PROACTIVELY TAKEN ACTIONS

TRYm	BeforeHedge	HedgedPosition	Net Position
EUR	(3,238)	2,905	(332)
USD	(3,843)	3,065	(778)
GBP	1,993	(1,990)	4
Other	1,672	(1,960)	(288)
TOTAL	(3,415)	2,021	(1,394)
Net FX Position/ Equity	(6,6%)

FX hedging is a strictly pursued policy in Arçelik since more than 30 currencies are actively managed in global operations.
It is a KPI for the company management not to have a FX exposure exceeding low single-digit % of equity.
The primary strategy on balance sheet hedging mainly through cash, receivables, payables and financial liabilities, and the remaining part is hedged through financial derivatives.

CONTACTS 4Q21 Financial Results

Polat Şen

CFO

(+90) 212 314 34 34

Özkan Çimen

Finance & ERM Director

(+90) 212 314 39 01

Öktem Söylemez

Senior IR Specialist (+90) 212 705 96 81

Investor Relations App

www.arcelikglobal.com

[email protected]

DISCLAIMER 4Q21 Financial Results

This presentation contains information and analysis on financial statements as well as forward-looking statements that reflect the Company management's current views with respect to certain future events. Although it is believed that the information and analysis are correct and expectations reflected in these statements are reasonable, they may be affected by a variety of variables and changes in underlying assumptions that could cause actual results to differ materially.

Neither Arçelik nor any of its managers or employees nor any other person shall have any liability whatsoever for any loss arising from the use of this presentation.

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ARÇELİK A.Ş. Annual Report 2021

5890_rns_2022-01-26_093879d0-16cd-4743-bbd7-48d43fefb401.pdf