Turkcell Iletisim Hizmetleri A.S. (TKC): Business Model Canvas [Dec-2025 Updated]

You're digging into Turkcell Iletisim Hizmetleri A.S. (TKC) and wondering how a massive telecom operator is navigating the digital shift as of late 2025. Honestly, the Business Model Canvas reveals a defintely diversified giant that's aggressively moving past simple connectivity; they are now a serious player in enterprise cloud and FinTech. Look at the numbers: their Data Center & Cloud revenue shot up 50.6% year-over-year in Q3 2025, while their high-value postpaid mobile base solidified at 79% in the same quarter. This isn't just about 5G spectrum anymore; it's about owning the digital ecosystem. Below, we map out the nine building blocks of this strategy so you can see exactly where the near-term growth-and the risks-lie.

Turkcell Iletisim Hizmetleri A.S. (TKC) - Canvas Business Model: Key Partnerships

You're looking at the core relationships Turkcell Iletisim Hizmetleri A.S. (TKC) relies on to deliver its services and execute its strategy as of late 2025. These aren't just vendor lists; they are strategic anchors for future growth, especially in cloud and next-gen networks.

Google Cloud for establishing a hyper-scale cloud region in Türkiye

The partnership with Google Cloud centers on establishing a new Google Cloud region within Türkiye, a multi-year commitment that solidifies TKC's role in the digital infrastructure space.

Turkcell plans to invest $1 billion in data centers and cloud technologies by the end of 2032 to support this. The new region is estimated to become operational during the 2028-2029 timeframe and will feature three or more zones. This investment is substantial when compared to Turkcell's last twelve months revenue of $4.45 billion.

This move targets the Turkish public cloud services market, projected to grow from $1.7 billion in 2024 to $4.2 billion by 2029. Turkcell's Q3 2025 Group revenue stood at TRY 59.53 billion.

Global technology vendors for network and 5G equipment deployment

Network evolution is heavily dependent on agreements with global and domestic technology leaders for both current network enhancement and future 5G rollout.

Turkcell secured 160 MHz total frequency rights in the 5G authorization tender, for which it committed approximately $1.22 billion. This included the A1 700 MHz block for $429 million and four blocks in the 3.5 GHz band. The total 5G spectrum auction raised $3.53 billion.

Key vendor collaborations include:

• Agreements with Huawei for joint innovations on 5G Advanced Technology and autonomous network exploration, following MoUs signed at MWC 2025.
• A strategic protocol with national provider ULAK Communications to deploy ULAK's 4.5G and 5G-supported next-generation base stations across 3,250 Turkcell sites nationwide.
• Protocols with Non-Terrestrial Network operators including Spacesail (China), Lynk (U.S.), and Sateliot (Spain) for satellite communication work.

Financial institutions for Financell consumer financing services

The Techfin segment, which includes the consumer financing arm Financell, is a growing revenue stream, diversifying Turkcell's top line away from pure connectivity.

For the first six months of 2025 (H1 2025), Turkcell Finansman A.Ş. generated TRY 1,300,000,000.0 in revenues. The net interest margin for Financell improved to 4.9% in that period.

Looking at the broader Techfin ecosystem for the first nine months of 2025, external revenue grew strongly to nearly TRY 8.8 billion, with almost TRY 4 billion of that being interest income.

Content providers for TV+ and digital media offerings

Partnerships with content providers are crucial for Turkcell's digital services growth engine, which saw robust revenue increases.

Turkcell's TV+ platform has grown its subscriber base to 1.4 million in two years. Turkcell serves 68.9 million total subscribers across nine countries, with 34 million mobile subscribers in Turkey. The digital business services revenue, which includes TV+, delivered 97% revenue growth, reaching TRY 4.9 billion in Q3 2025.

The TV+ service is available on Android and iOS platforms.

Local infrastructure partners for fiber network expansion

Expanding the fixed network requires collaboration with local entities for right-of-way and infrastructure deployment, supporting the fixed broadband segment.

Turkcell's total fiber coverage reached 6.2 million homepasses as of Q3 2025. The residential fiber ARPU saw a growth of 17.3% year-on-year in Q3 2025.

Key fiber metrics as of late 2024 and Q3 2025:

The share of fiber subscribers on 12-month contracts reached 85% among residential fiber subscribers in 2024.

Turkcell Iletisim Hizmetleri A.S. (TKC) - Canvas Business Model: Key Activities

You're looking at the core engine driving Turkcell Iletisim Hizmetleri A.S. (TKC) right now, which is all about infrastructure build-out and digital service scaling. Honestly, the numbers show a company heavily focused on capital deployment to secure future revenue streams.

Operating and maintaining extensive mobile and fiber optic networks

The foundation of Turkcell Iletisim Hizmetleri A.S. (TKC)'s operations is its network. They serve a massive base, with the Turkcell Group serving over 43 million customers and around 600,000 institutions and organizations across its footprint as of early 2025. The mobile business is clearly leaning into premium users; in the third quarter of 2025, mobile postpaid net additions reached 569,000, pushing the postpaid share up to 79% of the base. This focus is paying off in revenue per user, as mobile ARPU (Average Revenue Per User) grew by roughly 11.9% year-on-year in Q3 2025. On the fixed side, the fiber expansion continues, with the company passing 6.2 million households with fiber access by Q3 2025. Residential fiber ARPU showed strong pricing power, increasing by 17.3% year-on-year in that same quarter.

Here's a quick look at the scale of the network investment activity:

Developing and managing digital services (Paycell, BiP, TV+)

Digital services are a clear growth catalyst, moving Turkcell Iletisim Hizmetleri A.S. (TKC) beyond pure connectivity. The Data Center & Cloud business, which sits within the broader Digital Business Services, is growing very fast. In Q2 2025, this segment recorded a massive 53.2% year-on-year growth. Overall Digital Business Services revenues saw an increase of 39.1%. While specific 2025 numbers for Paycell and BiP aren't immediately available, the TV+ service, which is a key part of their video strategy, had grown its subscriber base to 1.4 million in a prior period, showing the potential for scale in their media offerings. The Techfin segment, which includes financial services, also posted a solid 23.1% growth in Q2 2025 group revenues.

Investing heavily in 5G spectrum and data center capacity

The commitment to future networks is substantial. Turkcell Iletisim Hizmetleri A.S. (TKC) secured about 160 MHz of spectrum in Turkey's October 2025 tender, which directly positions them for the next generation of mobile services. They are preparing for a full commercial 5G launch by April 2026. On the data center front, the company is the largest operator in the country, running 33 data centers. They are actively expanding this footprint, planning to increase data center capacity to 15 megawatts by the end of 2025. This whole infrastructure push is backed by significant capital; the company's Capex in the first half of 2025 was TRY 40.5 billion.

AI-driven micro-segment management for customer retention

While I don't have a specific metric for the AI-driven micro-segmentation program's direct impact on churn reduction, the success in the core business suggests their customer management is effective. The growth in postpaid subscribers and the strong ARPU increases across both mobile (~11.9% in Q3 2025) and fixed broadband (17.5% ARPU growth in Q2 2025) definitely point to successful retention and upselling efforts. You can see the results of this focus in the Q2 2025 net income, which rose 37% year-over-year, partly driven by this postpaid growth.

Reselling Google Cloud services to Turkish enterprises

This is a major strategic pivot. Turkcell Iletisim Hizmetleri A.S. (TKC) signed a strategic cooperation deal with Google Cloud, which includes establishing a new Google Cloud region in Turkey. As part of this, Turkcell plans to invest $1 billion in data centers and cloud technologies through 2032. The company will act as a trusted reseller of Google Cloud solutions to Turkish enterprises. This move targets a market projected to grow from $1.7 billion in 2024 to $4.2 billion by 2029, representing a 20% Compound Annual Growth Rate. To put the planned investment in perspective, Turkcell's annual revenue for the last twelve months was reported at $4.45 billion.

The Q3 2025 Group revenue was TRY 59.5 billion, with EBITDA reaching TRY 26.2 billion and a margin of 43.9%. This diversification into cloud services, alongside the core telecom business, is what's driving the overall financial strength.

Turkcell Iletisim Hizmetleri A.S. (TKC) - Canvas Business Model: Key Resources

You're looking at the core assets Turkcell Iletisim Hizmetleri A.S. (TKC) relies on to execute its strategy as of late 2025. These resources are the foundation for their operations, especially heading into the 5G era.

The most immediate, high-profile asset secured recently is the spectrum portfolio, a critical enabler for future service delivery.

This investment positions Turkcell Iletisim Hizmetleri A.S. (TKC) as the top bidder in the auction, securing the maximum capacity available to a single operator.

The physical network forms another massive resource base, supporting both mobile and fixed services.

The quality of the subscriber base is a key resource, evidenced by the high proportion of high-value customers.

• Postpaid Net Additions in Q3 2025: 569 thousand
• Total Postpaid Net Additions (Last 12 Months): More than 2 million
• Postpaid Subscribers (Q3 2025): 30.6 million
• Mobile Blended ARPU Growth (Y-o-Y, Q3 2025): 11.9%

Turkcell Iletisim Hizmetleri A.S. (TKC) also heavily invests in proprietary digital assets and the infrastructure to power them.

The human capital, specifically the skilled technology and software development personnel, underpins the growth in digital services, which is a major strategic pillar.

• Data Center Capacity Activated in Q3 2025: Capacity expansion targeted at 8.4 megawatt
• System Integration Projects Backlog: TRY 5 billion
• Techfin Ecosystem Revenue Growth (Y-o-Y, Q3 2025): 20.0%

Turkcell Iletisim Hizmetleri A.S. (TKC) - Canvas Business Model: Value Propositions

You're looking at the core value Turkcell Iletisim Hizmetleri A.S. (TKC) delivers across its customer base as of late 2025. It's a mix of pure connectivity and a growing digital overlay.

Superior high-speed mobile and fiber connectivity for residential users

Turkcell Iletisim Hizmetleri A.S. (TKC) provides the essential high-speed connection layer. For mobile, the focus is clearly on premium contract customers. As of September 2025, the total mobile subscriber base exceeded 39 million. 79% of these subscribers were on postpaid plans in Q3 2025, a key indicator of value stickiness. You saw 569,000 net postpaid additions just in the third quarter, pushing the 12-month total to more than 2 million new contract customers. The real-terms Mobile Blended Average Revenue Per User (ARPU) hit TRY350.3 in Q3 2025, reflecting successful upselling and pricing adjustments. Data consumption is also up, with average mobile data usage per user reaching 20.9 GB, a 12.4% year-on-year climb. On the fixed side, the value is in the fiber footprint. Turkcell Iletisim Hizmetleri A.S. (TKC) provided fiber access to 6.2 million households by September 2025. The residential fiber ARPU grew by 17.3% year-on-year in Q3 2025, reaching TRY468.4 in real terms, helped by 52% of customers opting for 100 Mbps+ plans. They are definitely pushing the high-speed tier.

Here's a quick look at the connectivity metrics as of Q3 2025:

The company also secured 160 MHz of total frequency rights in the 5G authorization tender, setting the stage for a commercial launch planned for April 2026.

Full-stack cloud and data center services for B2B/Corporate clients

For corporate clients, the value proposition centers on being Türkiye's largest data center operator, which is translating directly into significant revenue growth. The Data Center and Cloud business recorded a 50.6% year-on-year growth in Q3 2025. This segment's performance is so strong that Turkcell Iletisim Hizmetleri A.S. (TKC) upgraded its full-year 2025 revenue guidance for this area to around 43%. They are actively expanding physical capacity, with plans to commission two additional modules, adding 8.4 megawatts, and aiming for a total capacity expansion to 15 megawatts by the end of 2025. Corporate revenues overall increased by 17.1%, heavily driven by these Data Center & Cloud services.

Integrated digital ecosystem (Techfin, TV, messaging) for daily life

The integrated digital ecosystem is designed to embed Turkcell Iletisim Hizmetleri A.S. (TKC) into the customer's daily financial and media life. The Techfin segment is a major growth engine, showing a 20.0% revenue rise year-on-year in Q3 2025. Within this, the Paycell mobile money and payments platform saw a massive 35.8% year-on-year revenue surge in Q2 2025, supported by a 12% increase in active users that quarter. For the broader digital offering, the main mobile application reached 26.7 million active users in Q1 2025, logging 543 million visits. You can also see the standalone digital services revenue was 1.7 billion TRY in Q1 2025, showing monetization across services like TV+ and fizy.

The digital ecosystem value drivers include:

• Techfin segment revenue growth of 20.0% (YoY, Q3 2025).
• Paycell revenue growth of 35.8% (YoY, Q2 2025).
• Mobile application with 26.7 million active users (Q1 2025).
• Standalone digital services revenue of 1.7 billion TRY (Q1 2025).

Data residency and digital sovereignty via local cloud infrastructure

While specific financial figures tied directly to 'digital sovereignty' aren't itemized, the value proposition is strongly implied by Turkcell Iletisim Hizmetleri A.S. (TKC)'s stated position as Türkiye's largest data center operator and its aggressive capacity expansion. The 50.6% year-on-year growth in Data Center & Cloud revenue in Q3 2025, coupled with the planned capacity increase to 15 megawatts by year-end 2025, positions the company as the primary local provider for secure, in-country data storage and processing for both public and private sectors.

Fixed wireless internet (Superbox) for areas lacking fiber access

Superbox offers fibre-speed internet over the 4.5G mobile infrastructure, specifically targeting homes where fiber rollout is not yet complete. Although the latest specific subscriber count for 2025 wasn't in the Q3 reports, the product's strategic role remains clear: it bridges the connectivity gap. In Q1 2025, Turkcell Iletisim Hizmetleri A.S. (TKC) noted that Superbox subscribers are included within the total mobile subscriber count. This service provides an immediate, high-speed fixed internet alternative using the existing robust mobile network.

Finance: draft 13-week cash view by Friday.

Turkcell Iletisim Hizmetleri A.S. (TKC) - Canvas Business Model: Customer Relationships

Dedicated account management for high-value corporate clients

Corporate revenues, which make up 19% of the Turkcell Türkiye segment, grew by 27.3% in the second quarter of 2025, supported by strong demand for Data Center & Cloud services and hardware sales. Within Digital Business Services, service revenues increased by 22.5% in the first quarter of 2025. The Data Center & Cloud business, a specific sub-segment, saw revenue growth of 53.2% in the second quarter of 2025. In the first quarter of 2025, Corporate revenues saw a 10.6% increase, primarily due to ARPU growth.

AI-powered personalized offers and tariff management

The company employs strategies that align with general industry trends where 95% of customer interactions are expected to be powered by AI in 2025. General data suggests that 52% of consumers report higher satisfaction as digital experiences become more personalized.

Self-service via digital applications (e.g., My Turkcell)

Turkcell's mobile application serves as a significant digital channel for engagement and retention. As of the first quarter of 2025, the application had 26.7 million active users and recorded 543 million visits. Turkcell Superonline, which includes digital channels, saw a 23% year-on-year increase in users.

Strong focus on postpaid subscriber retention and upselling

The focus on acquiring higher-value postpaid subscribers is evident in the subscriber mix shift. The share of postpaid subscribers in the total mobile base reached 78% in the second quarter of 2025. This represented a 5 percentage point increase year-on-year. Over the 12 months leading up to the first quarter of 2025, Turkcell gained 1.6 million postpaid mobile subscribers. The second quarter of 2025 saw the highest mobile postpaid net additions in 5.5 years, totaling 816 thousand. Mobile ARPU (excluding M2M) increased by 9.8% year-over-year in the second quarter of 2025, supported by successful upselling initiatives. The mobile segment churn rate was reported at 2.2% in the second quarter of 2025, which occurred during a period of high mobile number portability volume reaching 5.0 million transactions. The mobile segment churn rate was noted as low as 1.5% in the first quarter of 2024, the lowest in six years.

Customer-centric approach recognized on TIME's 2025 list

Turkcell secured a spot on TIME magazine's "World's Best Companies 2025" list, which evaluated over 200,000 participants across 50 countries. The company was ranked #219 overall out of 1,000 companies. Turkcell was ranked #1 in the telecommunications sector nationwide in Türkiye and placed among the top five telecom operators globally. This recognition reflects a human-centered corporate culture.

Key Subscriber and ARPU Metrics (as of Q1/Q2 2025)

The company emphasizes building long-lasting relationships through personalized services and loyalty programs.

Turkcell Iletisim Hizmetleri A.S. (TKC) - Canvas Business Model: Channels

The distribution and sales channels for Turkcell Iletisim Hizmetleri A.S. (TKC) are segmented across physical presence, proprietary digital platforms, direct enterprise engagement, and wholesale agreements.

The physical reach is anchored by an extensive network of physical retail stores and dealers across Türkiye, which also serves as a touchpoint for charging the Paycell mobile wallet and prepaid card, which can be charged with EFT at Turkcell Stores. While a specific store count for late 2025 isn't available, the retail channel operations are consolidated within the Turkcell Türkiye segment.

Digital channels are a major focus, heavily utilizing the company's own applications:

• Turkcell's mobile application has reached 26.7 million active users as of Q1 2025.
• This mobile application recorded 543 million visits in Q1 2025.
• The Paycell app, part of the Techfin segment, drives digital transactions, with the Techfin segment accounting for 6% of Group revenues in Q3 2025.
• Paycell revenue growth was reported at 41.7% year-on-year in Q3 2025.
• Turkcell Superonline, which includes digital channels, saw a 23% year-on-year increase in users in Q1 2025.

For enterprise and business solutions, Turkcell relies on a direct sales force for corporate and B2B solutions. This channel is supported by the Digital Business Services, which includes the high-growth Data Center & Cloud business.

• Corporate revenues increased by 17.1% in Q3 2025.
• In Q2 2025, corporate revenues, comprising 19% of the Turkcell Türkiye segment, increased by 27.3%.
• The Data Center & Cloud sub-segment recorded 50.6% year-on-year growth in Q3 2025 and 53.2% growth in Q2 2025.

The wholesale channels for international and domestic interconnection contribute directly to consolidated Group revenues. Wholesale revenues for Q3 2025 were up 9.5% to TRY 3,413 million (from TRY 3,117 million in Q3 2024). This followed a 1.1% increase to TRY 2,305 million in Q2 2025.

The fixed wireless internet distribution via Superbox units is a specific product channel. Pricing for a Superbox 4.5G 100 GB package in 2025 was listed at a total monthly fee of TRY 690 TL, which included a TRY 134 TL Superbox Modem Usage Fee and a TRY 556 TL Internet Data Fee.

Here is a look at the revenue contribution from key non-consumer channels based on the latest reported quarters:

The Turkcell Türkiye segment, which includes retail channel operations, generated revenues of TRY 54,454 million in Q3 2025, up 11.1% year-on-year. Consolidated Group revenues for Q3 2025 reached 59.5 billion TL.

Finance: draft 13-week cash view by Friday.

Turkcell Iletisim Hizmetleri A.S. (TKC) - Canvas Business Model: Customer Segments

You're looking at the core customer groups Turkcell Iletisim Hizmetleri A.S. (TKC) is serving as of late 2025, based on the latest operational data.

High-value postpaid mobile subscribers (79% of mobile base)

This group is the primary focus for revenue contribution, showing a clear strategic shift toward contract customers.

• Total mobile subscriber base exceeded 39 million as of the third quarter of 2025.
• The share of postpaid subscribers reached 79% of the total mobile base in Q3 2025.
• This postpaid share increased by 4.6 percentage points year-on-year as of Q3 2025.
• Net postpaid additions over the past 12 months totaled more than 2 million leading up to Q3 2025.

The average revenue per user (ARPU) for mobile, excluding M2M (Machine-to-Machine), grew 11.9% year-on-year in Q3 2025. Postpaid subscribers pay about 2.5x more on average per month than prepaid subscribers. The mobile churn rate stood at 2.6% in Q3 2025. The prepaid subscriber base declined to 8.7 million as of Q2 2025. That focus on contract customers is definitely paying off in terms of yield.

Residential customers demanding high-speed fiber and TV bundles

This segment is driven by the fixed network expansion, especially fiber optic services, often bundled with TV offerings.

Turkcell maintained its focus on fiber customers, adding 33,000 net additions on its own infrastructure in Q3 2025. The total Turkcell fiber base reached over 2.5 million as of Q3 2025. Residential fiber ARPU saw a year-on-year growth of 17.3% in Q3 2025. This growth was supported by 52% of customers being on 100 Mbps+ plans and an 88% ratio of 12-month contracts. The company passed 6.2 million homes with its fiber network as of Q3 2025. The consumer business, which accounts for 76% of Turkcell Türkiye revenues, grew 10.8% in Q3 2025. The mobile application supporting these services has 26.7 million active users.

Corporate and SME clients for cloud, data center, and digital business services

Corporate revenues are showing strong growth, heavily influenced by demand for infrastructure services.

The Data Center & Cloud business recorded notable growth of 50.6% year-on-year in Q3 2025. The revenue guidance for the Data Center & Cloud segment was upgraded to around 43% for 2025. The overall Techfin segment, which includes these digital services, accounted for 6% of Group revenues in Q3 2025. That high growth in the B2B infrastructure space is a key differentiator.

Techfin users leveraging Paycell for mobile payments and financial services

The Techfin segment is outpacing the overall Group revenue growth, with mobile payments being a major contributor.

• Techfin segment revenues grew 20.0% year-on-year in Q3 2025.
• Paycell revenue specifically recorded strong growth of 41.7% in Q3 2025.
• Paycell growth was primarily driven by POS and mobile payment services.

The Techfin segment generated revenues of TRY3,410 million in Q3 2025. In Q2 2025, the segment grew by 23.1% year-on-year. The company is seeing robust performance across all Paycell verticals. Finance: draft 13-week cash view by Friday.

International subscribers in Northern Cyprus and Belarus

Turkcell Iletisim Hizmetleri A.S. maintains a regional footprint through wholly-owned subsidiaries.

• Kuzey Kıbrıs Turkcell operates as the mobile operator and fixed internet provider in Northern Cyprus, launched in 1999.
• In Belarus, Turkcell holds a 100% shareholding in BeST, acquired fully by December 2022.

Kuzey Kıbrıs Turkcell launched 4.5G in the region on September 7, 2023, achieving 99.6% population coverage. No specific 2025 subscriber counts for these international operations were explicitly detailed in the Q3 2025 consolidated results. Still, these entities form part of the 'Other' segment in the Group revenue breakdown.

Turkcell Iletisim Hizmetleri A.S. (TKC) - Canvas Business Model: Cost Structure

You're looking at the cost side of Turkcell Iletisim Hizmetleri A.S. (TKC) for late 2025, and the numbers show a clear focus on heavy, strategic capital expenditure, which is typical for a market leader preparing for the next technology leap.

The guidance for the full fiscal year 2025 reflects this, with the operational CAPEX intensity ratio being guided lower, now set at around 23% of sales. This is down from an earlier projection, showing some discipline in capital spending relative to the expected revenue growth of around 10% for FY2025. Still, this level of capital intensity is high, underpinning the network quality you expect from Turkcell. For instance, in the third quarter of 2025, the Capex intensity was reported at 17.4%.

A major component of this spending is network infrastructure and spectrum acquisition, particularly for the upcoming 5G rollout scheduled for April 2026. Turkcell Iletisim Hizmetleri A.S. (TKC) emerged as the biggest spender in the Turkish 5G spectrum auction in October 2025, committing a total of over $1.2 billion for prime 700 MHz and 3.5 GHz holdings. To be fair, this massive outlay is a necessary cost to secure the future capacity and service quality. Approximately 80% of the Capex in Q3 2025 was directed toward these core mobile and fixed broadband businesses to prepare for that transition.

Personnel expenses are definitely pushing up the administrative side of the ledger. In the second quarter of 2025, administrative expenses climbed to 3.7% as a percentage of revenues, and the primary driver for this increase was explicitly cited as the rise in personnel expenses. Also, the cost of goods sold (COGS) as a percentage of revenue saw an increase in Q2 2025, which partially offset some cost savings elsewhere, likely reflecting higher hardware sales in corporate projects, though specific device COGS figures aren't broken out separately in the immediate reports.

Energy costs are being actively managed through significant investment in sustainability. Turkcell has allocated 7% of its 2025 CapEx budget specifically to renewable energy projects. This follows a substantial prior commitment, with the company having invested $240 million in solar and wind power plants to meet its own electricity demand. By Q3 2025, the solar capacity reached 37.5 megawatt, showing tangible progress toward their longer-term energy self-sufficiency goals. Energy expenses, along with interconnection and funding costs, did contribute positively to the margin in Q2 2025 by declining as a percentage of revenue, even with the high operational base.

Here's a quick look at some of those key cost structure metrics we just discussed:

Finance: draft 13-week cash view by Friday.

Turkcell Iletisim Hizmetleri A.S. (TKC) - Canvas Business Model: Revenue Streams

You're looking at how Turkcell Iletisim Hizmetleri A.S. (TKC) is bringing in cash across its diverse operations as of late 2025. It's definitely not just about voice and text anymore; the growth story is in the digital and financial services layers built on top of the core network.

The foundation remains subscription fees, but the growth is coming from price realization and higher-tier service adoption. Mobile and fixed subscription fees are a major component, showing solid pricing power in a competitive environment. For instance, in the third quarter of 2025, the Mobile Blended ARPU (Average Revenue Per User, excluding Machine-to-Machine) saw a year-on-year growth of 11.9%. That's a direct result of segment-based price adjustments and growing the postpaid base. On the fixed side, the Residential fiber ARPU was up even more strongly, growing 17.3% year-on-year in Q3 2025. To be fair, the absolute numbers are also telling: the mobile ARPU reached TRY350.3 in real terms in Q3 2025, while residential fiber ARPU hit TRY468.4 in real terms for the same period.

The Techfin segment, which houses Paycell and Financell, is a significant and accelerating revenue stream. This segment is clearly a strategic growth engine. In Q2 2025, Techfin segment revenues grew by a solid 23.1% year-on-year, reaching TRY2,916 million. By Q3 2025, that growth rate moderated slightly but remained strong at 20.0%, with revenues hitting TRY3,410 million. Paycell, the digital payment brand, is driving much of this, recording a 41.7% year-on-year revenue growth in Q3 2025. Financell continues to provide financing solutions across devices and vehicle loans, supporting this segment's overall performance.

Next up, the Data Center & Cloud services revenue stream is showing explosive growth, reflecting the investment thesis in digital infrastructure. This business recorded a notable 50.6% year-on-year growth in Q3 2025. That's a massive jump, and it's supported by the company upgrading its full-year 2025 revenue guidance for this segment to around 43%. For context, in the preceding quarter (Q2 2025), this revenue stream had already surged by 53% year-over-year.

Wholesale revenues, which cover domestic and international traffic, provide a steady, albeit slower-growing, income source. In Q3 2025, these revenues increased by 9.5% to reach TRY3,413 million, up from TRY3,117 million the previous year. This compares to a more modest 1.1% growth seen in Q2 2025.

Finally, revenue from hardware and consumer electronics sales flows through the retail channels, often bundled with digital services. In Q3 2025, the broader Digital business services delivered robust 97% revenue growth, reaching TRY 4.9 billion, with stronger hardware sales cited as a contributor. The backlog from system integration projects within this area also stood at a remarkable TRY 5 billion as of Q3 2025.

Here's a quick look at how the key growth areas performed in the latest reported quarters:

The revenue mix is clearly shifting, with non-core telecom services like Techfin and Data Center & Cloud showing double-digit to fifty-percent growth rates. Still, the core mobile and fixed subscription fees provide the bulk of the revenue base, supported by steady ARPU expansion.

You can see the key drivers for revenue generation:

• Mobile and fixed subscription fees, driven by price adjustments.
• Paycell transaction volumes and user growth.
• Financell loan offerings for technology and vehicles.
• Corporate revenue growth from Data Center & Cloud services.
• Wholesale traffic termination and transit fees.
• Consumer electronics sales via the retail channel.

Finance: review the Q4 2025 guidance update against these Q3 trends by next Tuesday.