Türk Telekomünikasyon (TTKOM) Q3 2025 earnings summary

Executive summary

• Leadership transition with a new CEO appointed on October 24, while the former CEO remains on the board.

• Total subscribers reached 56.2 million, up 5.6% year-over-year, with strong growth in both fixed broadband and mobile segments.

• Revenue for the nine months ended 30 September 2025 reached TL 165.7 billion, up 14% year-over-year, with net profit rising to TL 21.3 billion, up 69% year-over-year.

• Major strategic wins include the renewal of the fixed line services concession until 2050 for $2.5 billion plus VAT and significant 5G spectrum acquisition.

• Strategic focus on FTTH expansion, 5G spectrum acquisition, and digital transformation initiatives.

Financial highlights

• Q3 2025 revenue was TL 59.5 billion, up 11% year-over-year; nine-month revenues reached TL 166 billion, up 14%.

• EBITDA for the nine months rose 23% to TL 70.0 billion, with Q3 EBITDA margin at 44.9%, up 410bps year-over-year.

• Net profit for Q3 was TL 10.2 billion, up 158% year-over-year; nine-month net income exceeded TL 21.3 billion, up nearly 70%.

• CAPEX for the nine months reached TL 40.1 billion, up 32% year-over-year, with a CAPEX/sales ratio of 24.2%.

• Net leverage improved to 0.6x, down from 1x a year ago.

Outlook and guidance

• Full-year operating revenue growth and CAPEX intensity guidance maintained at 10% and 29%, respectively.

• EBITDA margin guidance revised up to 41.5% for 2025, reflecting strong Q3 performance and expectations of contained OPEX in Q4.

• Assumes 29% inflation rate by year-end 2025; cautious stance maintained due to Q4 inflation outlook, but upside risk to revenue guidance acknowledged.

• Fixed line concession agreement extended until 2050, with a commitment to pay USD 2.5 billion plus VAT over 10 years starting in 2026.

• The Group was awarded four frequency packages in the 700 MHz and 3500 MHz bands for USD 1,094 million, with payments scheduled through 2027.