Milli Re 2025 Annual Report

2025 Financial Results Investment Expenses The increase in “Investment Income Transferred to Non-Life Technical Accounts” resulted from the technical reserves that increased as compared to the previous period and the high amounts of income derived on our portfolio. “Other Investment Expenses” increased due to the rise in investment income subject to Insurance Transaction Tax and tax amounts assessed on cash dividends collected from our affiliates. (TL) 2025 2024 Change (%) Investment Expenses (4,366,932,061) (2,617,504,715) 66.84 Investment Management Expenses – (Incl. Interest) (12,964,454) (4,165,831) 211.21 Loss from Disposal of Financial Assets (22,486,152) (24,341,548) (7.62) Investment Income Transferred to Non-life Technical Account (4,039,858,325) (2,371,156,246) 70.38 Losses from Derivatives - (5,039,473) + Foreign Exchange Losses (21,909,749) (35,029,676) (37.45) Depreciation and Amortization Expenses (62,295,819) (38,489,252) 61.85 Other Investment Expenses (207,417,562) (139,282,689) 48.92 Income and Expenses from Other and Extraordinary Operations A higher amount of deferred tax income arose, due mainly to the rise in social assistance fund asset deficits provisions and equalization provision, coupled with the deferred tax income over the previous period created by the deferred tax calculated based on the net technical division income and expense assessments. These developments resulted in an income balance in the “Income and Expenses from Other and Extraordinary Operations” account. (TL) 2025 2024 Change (%) Income and Expenses From Other and Extraordinary Operations 69,529,373 (272,099,357) (125.55) Provisions (382,158,935) (329,836,302) 15.86 Rediscounts 8,622,415 (9,580,145) (190.00) Deferred Taxation (Deferred Tax Assets) 410,797,064 53,365,094 669.79 Deferred Tax Liability Expense - - + Other Income 32,586,530 14,105,598 131.02 Other Expenses and Losses (317,701) (153,602) 106.83 Gross Profit/Loss for the Period Since loss was booked as per the Tax Procedure Law as of 31 December 2025, there was no balance in the “Profit for the Period, Tax and Other Legal Liability Provisions” item. A financial profit in the amount of TL 9,472,817,521 was posted in 2025 owing mainly to the reasons mentioned above. At the bottom line, the Company recorded a net profit for the period of TL 9,776,419,205 in 2025. (TL) 2025 2024 Change (%) Gross Profit/Loss for the Period 9,776,419,205 5,933,631,405 64.76 Profit/Loss for the Period 9,776,419,205 5,933,631,405 64.76 Profit for the Period Tax and Other Legal Liability Provisions - - - 86 MİLLİ RE 2025 Annual Report