Turkcell (TCELL) Q2 2026 earnings summary

Executive summary

• Achieved real revenue growth for the eighth consecutive quarter, with consolidated revenues up 2.5% year-on-year to TRY 71.8 billion, despite inflation above 30% and a challenging macro environment.

• EBITDA reached TRY 30.0 billion, with a margin of 41.8%, reflecting strong operational performance despite increased marketing and 5G-related costs; EBITDA was down 1.6% year-on-year.

• Net income was TRY 5.2 billion, down 5.7% year-on-year, impacted by FX losses, higher depreciation from 5G license activation, and supported by monetary gains and favorable tax incentives.

• Subscriber base surpassed 40 million mobile users, with 284,000 postpaid net additions and postpaid share rising to 81%.

• Strategic growth areas—Digital Business Services, FWA, data centers, TV+, and Techfin—showed strong momentum and contributed significantly to growth and user engagement.

Financial highlights

• Revenue grew 2.5% year-on-year to TRY 71.8 billion, with EBITDA margin at 41.8% and net income at TRY 5.2 billion.

• Net debt/EBITDA improved to 0.14x from 0.36x year-on-year; net debt reduced to TRY 17.5 billion.

• Operational CapEx to sales ratio was 25% for Q2 and 23.2% for H1 2026.

• Cash and cash equivalents stood at TRY 89.3 billion; consolidated debt at TRY 212.1 billion, up due to 5G license and new loan facility.

• FX losses increased due to TRY depreciation and 5G license payment obligations.

Outlook and guidance

• Maintains full-year guidance of 5-7% real revenue growth, EBITDA margin of 40-42%, and operational CapEx at ~25% of revenues.

• Year-end inflation assumption revised to 28%, up from previous 23%, but financial guidance remains unchanged.

• Pricing actions in H1 2026 expected to support ARPU growth from Q4 onward, with full impact in 2027.

• Forward-looking statements are subject to macroeconomic uncertainties, especially inflation and FX volatility.