Beer Group President And Anadolu Efes CEO Onur Altürk Commented

Following a strong first quarter, Anadolu Efes delivered another quarter of solid consolidated results despite a complex operating environment marked by persistent inflationary pressures, geopolitical uncertainties and softer consumer sentiment particularly in the domestic market. The resilience provided by our diversified geographic presence, coupled with the strong contribution from our soft drink operations, enabled us to deliver another quarter of robust financial performance. Consolidated net sales revenue increased by 2.8% to TL 87.5 billion in 2Q2026, while EBITDA (BNRI) reached TL 18.0 billion, with a margin of 20.5%, representing an expansion of 139 bps compared to the same period last year.

While Beer Group have started the year with a very strong performance in our international operations, as we highlighted following the first quarter, our Türkiye business, which represents the largest share of our Beer Group, has performed below our expectations. The weaker demand that we experienced at the beginning of the year continued through April and May. The decline was driven by a combination of factors. Firstly, we faced a particularly high comparison base following the strong domestic beer market performance recorded last year, which was then supported by favorable pricing dynamics. Secondly, the prolonged erosion in consumers’ purchasing power continued to weigh on demand. That said, we started to see encouraging signs in June. As weather conditions improved and the season started, consumer activity showed signs of recovery. July has also pointed to a return to growth. Nevertheless, given the inflationary environment, the ongoing pressure on household spending and a tourism season that has so far not been as strong as initially expected, I believe it is prudent to remain cautious about the outlook for the remainder of the year.

As I have emphasized in our 1Q results, this is an important year for us. The transformation of the Efes family, across packaging and taste, is one of the most significant and value-creating initiatives we have undertaken in recent years. While the new portfolio has now been rolled out across whole Türkiye, we still see considerable room to expand consumer penetration and attract new consumers. At the same time, the challenging consumer environment in Türkiye is inevitably influencing the pace of the roll out and adoption of the new portfolio. Therefore, while we remain encouraged by the initial consumer response to the launch, I believe it is prudent to stay cautious, at least for the time being, regarding the pace at which these initiatives will translate into our operational and financial performance. Looking ahead, our focus remains unchanged. We will continue to drive consumer trial, strengthen engagement across our portfolio and build on the momentum of the Efes transformation, which we believe will support sustainable growth and create long-term value for our stakeholders.

Meanwhile, our international operations continued to make a solid contribution to Beer Group performance, delivering a volume growth for another quarter excluding the impact of the restructuring of the export business in Georgia. Our diversified portfolio continued to enable us to capture the growing demand for premium offerings across our markets, allowing us to benefit from the premiumization trend. At the same time, our focused execution in the KEG segment in Kazakhstan and Georgia allowed us to make further progress toward our fair share. Our soft drinks operations delivered another strong volume performance in the quarter, recording low-teens growth. The increase was broad-based across international markets, with Pakistan standing out as a key growth driver and Central Asia sustaining its solid momentum, while volumes in Türkiye remained broadly flat y-o-y.

Reflecting the softer than expected 1H performance in Türkiye beer operations, with continued pressure on consumer demand and an uncertain macroeconomic and geopolitical backdrop, we are revising our FY2026 Beer Group guidance. We now expect Beer Group sales volumes to decline by low-single digits. Accordingly, Beer Group EBITDA margin is expected to decline by 150 bps under TAS 29 and by 100 bps excluding the impact of inflation accounting. The revision to profitability expectations is driven solely by volume assumptions, while pricing discipline, product mix and cost management remain intact. Importantly, despite the ongoing headwinds facing our Türkiye beer business, we continue to expect Beer Group free cash flow to be at breakeven to positive for the full year.

Despite the downward revision to our 2026 beer group guidance, we remain confident in our strategic direction, the strength and resilience of our operations, and our ability to respond effectively to evolving market dynamics. These capabilities continue to support our ambition of delivering profitable growth over the medium term.