Message from theGroup CEOTürk <strong>Telekom</strong> Group raised its consolidated revenues to TL12.7 billion with an annual increase of 6.4 percent in 2012,in which a strong operational and financial performancehas been displayed.Raising both fixed andmobile revenues in 2012,Türk <strong>Telekom</strong> Group reached1 million new customers inmobile and internet segmentby extending its product andservice network.2012 was another successful year. We continued tocreate value for all our stakeholders particularlyour customers, and we showed strong operational andfinancial performance. We increased both our fixedand mobile revenues and investments with 1 millionnet subscriber additions on mobile and broadband byexpanding our product and service network. The shareof mobile and broadband segments which are the maindrivers for our Group’s growth in the total revenuesexceeded 50 percent. We continued to be the leadingoperator in Turkey and in the region with our 14.3million fixed, 7 million broadband and 13.5 million mobilecustomers. As a result, our consolidated revenue in 2012increased by 6.4 percent to 12.7 billion TL and net profitincreased to 2.6 billion TL.The Turkish economy sustained the growth trend in2012. Effective monetary policy, low inflation, sustainedfinancial discipline, decreased debt load, significantdecrease in access deficit, healthy financial sector andpolitical stability supported the economic growth. In2012 alone we invested 2.43 billion TL in developinginnovative and effective products and services. Ourinvestments covered superfast broadband, fiber andmobile solutions. We started FTTH/FTTB servicesand we reached more than 2 million home passes, byfar the biggest fiber network that includes 4 millionhome passes with FTTC. Together with our subsidiary“Pantel” our total fiber length exceeded 200 thousandkilometers. In addition, we bundled mobile and fixedcommunication services under BİZ brand tailoredfor our corporate customers. With our continuednetwork investments both on fixed and mobile, we willcontinue offering higher speed and capacity broadbandconnection to our customers.Our mobile arm Avea showed strong performance in 2012with more than 3.4 billion TL revenue, and 28 percentEBIDTA increase y-o-y. We grew our mobile customerbase by 6 percent with 730 thousand net-adds. Avea wasthe most preferred operator on mobile number portabilitywith net 550 thousand subscribers and increased itsmarket share to 20 percent on subscriber basis. WithSEC tariff Avea recorded a first by allowing customersto design their own calling services, messaging, internetsolutions and device packages according to their needs.We continued to drive internal synergies with Aveaoffering Cepte Bayram tariff, the most attractive callingalternative given to fixed line subscribers.Our broadband communication unit TTNET offeredmultiple play packages, which cover high speed internet,television, telephone, mobile broadband and Wi-Fi toits millions of customers. TTNET’s new generation TVplatform Tivibu is the “in” TV platform of 2012 in termsof both content and technology and it is available onfour different platforms: tablet, smart phone, computerand television. In addition, TTNET offered shared quotabetween fixed and mobile services, a first in Turkey andthe region, with single invoice and flat tariff.Other Group companies Innova, Argela, Sebit, Pantel,AssisTT and Sobee continued developing leadingproducts and services and created added value to ourmillions of customers within the framework of our ICTstrategy. We continued with R&D studies and investmentsand we are proud of being a leader in this field. Weare the first Turkish company that signed a R&D loanagreement on technology with the European InvestmentBank.In parallel to our vision of offering the bestcommunication experience to our customers, we willcontinue our growth and investments in 2013. Wecontinue to be focused and disciplined. I would like tothank all the members of Türk <strong>Telekom</strong> family and all ourstakeholders for their contribution and support.Hakam KANAFANITürk <strong>Telekom</strong> Group CEO36TÜRK TELEKOM ANNUAL REPORT 2012
Türk <strong>Telekom</strong>ManagementLeft-to-Right:Murat Kırkgöz, Memet Atalay, Can Esen, Gökhan Kayalıbay,Dr. Nazif Burca, Şükrü KutluLeft-to-Right:Tahsin Yılmaz, Timur Ceylan, Mehmet Ali Akarca, Ali Yılmaz, Haktan Kılıç,Mustafa Uysal38TÜRK TELEKOM ANNUAL REPORT 2012
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