Milli Re 2025 Annual Report

A reconciliation of tax expense applicable to profit from operating activities before income tax at the statutory income tax rate to income tax expense at the Group’s effective income tax rate for the year ended December 31, 2025 and 2024 is as follows: December 31, 2025 December 31, 2024 Profit before taxes 19.447.850.714 Tax rate(%) 14.084.376.829 Tax rate(%) Taxes on income per statutory tax rate 5.834.355.214 30,00 4.225.313.048 30,00 Tax exempt income (1.760.275.440) (9,05) (1.746.602.616) (12,4) Non-deductible expenses 281.531.793 1,45 955.610.420 6,79 Utilized tax losses (433.274.582) (2,23) - - Total tax expense recognized in consolidated profit or loss 3.922.336.985 20,17 3.434.320.852 24,39 36 Net foreign exchange gains Net foreign exchange gains are presented in Note 4.2 - Financial Risk Management above. 37 Earnings per share Earnings per share are calculated by dividing Group’s net profit of the year to the weighted average number of shares. December 31, 2025 December 31, 2024 Net profit/loss for the period 15.525.513.729 10.650.055.977 Weighted average number of shares 66.000.000.000 66.000.000.000 Earnings per share (TRY) 0,23524 0,16136 38 Dividends per share Dividend distribution policy of the Company stated its Articles of Association are as follows: Net profit for the year presents remaining amount of total income of the year after deducting operating expenses, amortisation, provisions, taxes and other similar obligations and prior year losses if any. Net profit is divided and distributed in accordance with order as follows. – 5% of legal reserve is divided from annual net profit, until it reaches 20% of share capital. – Amounts described by a and b clauses of 2nd paragraph of 519th article of the Turkish Commercial Law will be added to general legal reserves, after legal limit is reached. – 10% of the remaining net profit amount is distributed to shareholders, as first dividend. – If the Company has acquired his share, according to 520th article of the Turkish Commercial Law, legal reserve is divided to meet the acquiring amount. – Reserve for natural disasters and catastrophe might be allocated, if deemed necessary, based on the suggestion of the Board of Directors and decision of the General Assembly, – After the allocation of first legal reserves, first dividend to shareholders and statutory reserves, up to 3% of the remaining amount not exceeding three-wages is distributed to personnel. – After the allocation of above mentioned reserves and dividends, second dividend to shareholders might be allocated, based on the suggestion of the Board of Directors and decision of the General Assembly. – According to c clause of 2nd paragraph of 519th article of the Turkish Commercial Law, 10% of total amount distributed to people have share of profit will be added to general legal reserves. – The fate of remaining amount will be determined by the General Assembly. Judgements of 3rd paragraph of 519th article of Turkish Commercial Law are reserved. 307 Notes to the Consolidated Financial Statements As of December 31, 2025 Millî Reasürans Türk Anonim Şirketi GENERAL INFORMATION FINANCIAL RIGHTS PROVIDED TO THE MEMBERS OF THE GOVERNING BODY AND SENIOR EXECUTIVES RISKS AND ASSESSMENT OF THE GOVERNING BODY ACTIVITIES AND MAJOR DEVELOPMENTS RELATED TO ACTIVITIES RESEARCH & DEVELOPMENT ACTIVITIES FINANCIAL STATUS FINANCIAL INFORMATION (Currency: Turkish Lira (TRY)) (Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish)