Milli Re 2025 Annual Report

Our premium production increased by 10% in 2025 to TL 16,153 million. Our total assets grew to TL 49,817 million, and our shareholders’ equity reached TL 26,338 million. We booked TL 9,776 million in net profit for the period. General Manager’s Message The onset of 2025 presented us with an environment in which global uncertainties not only persisted, but also evolved in nature. Geopolitical risks went beyond conventional conflicts and began to tell upon trade, finance, supply chains, and investment decisions. Indeed, we experienced the latest example of this at the end of February 2026. The geopolitical friction and active clashes between the United States and Iran have transformed into a full-scale war spanning almost the entire Middle East. As this situation intensified the concerns regarding global energy supply, the surges in commodity prices primarily in oil and gas started constituting a major risk element for the overall level of prices. As the demand for safe investment instruments strengthened, it seems inevitable that the developments will reflect upon the monetary policy decisions of central banks. In this landscape of shifting global balances, we are witnessing a process where centers of power are diversifying, and the economic center of gravity is moving towards different geographies. Technological transformation, competition over critical raw materials, and the pressures created by demographic dynamics further complicate the risk perception. Consequently, this complexity makes the ability to accurately interpret, price, and provide long-term protection even more critical within the insurance and reinsurance sector. Climate change and the new reality of insurance business Climate change heads the top global risks with economic, social and financial impacts getting gradually deeper. In addition to the number and severity of catastrophes, the nature of the phenomenon causing loss is also changing; once considered as secondary risks, climate-driven disasters are becoming more telling in insured losses. These developments compel a more dynamic management of capacity, pricing and risk appetite balance in the reinsurance markets. While global catastrophe losses in 2025 remained below the mean figure of the past decade with approximately USD 300 billion, the structural effect of climate change on risk profiles persisted. The fact that insured 16 MİLLİ RE 2025 Annual Report