Migros Ticaret A.Ş.

2018 Financial Results

Sales

CONTENTS

Management

Overview

1

Expansion

Format

Summary

Financial

Overview

Financial

Results

Ataşehir Migros

Market Share

Evolution

Capital

Expenditures

Strong consolidated growth in 2018… … despite dilutive impact of former large Kipa stores

Consolidated sales growth of 22.4% in 4Q 2018

Sales performance of Migros stores was strong last year

2

Sales Growth in 4Q18 22.4%

Sales Growth in 2018 22.0%

Sales in 2018

Sales in 4Q 2018 (TL million)

4,923

4,022

4Q 2017 4Q 2018

Sales in 2018 (TL million)

18,717

15,344

2017 2018

*Kipa’s financial results are consolidated since 01 March 2017.

Market Share Evolution

3

Market Share Gain Migros FMCG Market Share Evolution (%)

6.8

16.3

7.1

16.7

Total FMCG Market Share Modern FMCG Market Share

2017 2018 2018 2017

40 bps market share gain in modern FMCG market.

30 bps market share gain in total FMCG market.

Source: Nielsen Note: FMCG stands for Fast Moving Consumer Goods; Modern FMCG market and total FMCG market include all food-retail formats

4

Expansion

Net Sales Area Split By Banner - 2018

238 new store openings in 2018

81 cities operating in every city in the Country

2,103 stores as of 2018

2017 2018

Number of Stores - Total

+206

2,103

1,897

Space growth (m2) 5.7%

Net Sales Area (2018) 1,497K sqm

Capital Expenditures

5

Capex (TL million)

% of Sales

281 297

399

488

2015 2016 2017 2018

3.0% 2.7% 2.6% 2.6% Conversion of Kipa, Uyum and Makro stores into Migros format completed Space optimization in large stores continues

6

Consolidated Gross Profit in 2018

Increased price competitiveness High gross margin of 2018 is expected to normalize in 2019

Consolidated gross profit improved versus last year

Merger synergies and new store acquisitions lead to an improvement in gross profitability

Gross Profit 4Q (TL million)

1,422

1,080

4Q 2017 4Q 2018

Margin 28.9% 26.8%

Gross Profit in 2018 (TL million)

5,249

4,082

2017 2018

Margin 28.0% 26.6%

7

Consolidated EBITDA(R) in 2018

*EBITDA(R)= Operating Profit+Amortization+Employee Termination Benefits +Unused Vacation Provision-Other Income+Other Expenses+(Rent Expenses)

7% EBITDA

margin in 4Q18 driven by better sales performance and strong gross profitability

11.7% EBITDAR margin 2018

EBITDA 2018 (TL million)

Margin 6.5% 5.7%

1,217 872

2017 2018

EBITDA in 4Q18 (TL million)

Margin 7.0% 5.6%

4Q 2017 4Q 2018

344 226

EBITDAR 2018 (TL million)

Margin 11.7% 10.7%

2,186 1,634

2017 2018

EBITDAR in 4Q18 (TL million)

Margin 12.2% 10.8%

4Q 2017 4Q 2018

599 433

- Balancing growth with deleveraging

Overview

- Expectations going forward

9

Consolidated Sales (TL million)

9,390 11,059

15,344

18,717

2015 2016 2017 2018

Consolidated sales & EBITDA doubled in 3 years

Consolidated EBITDA (TL million)

602 677

872

1,217

2015 2016 2017 2018

Three-year Summary

Deleveraging

Migros 2018 Cash and Leverage Position

Cash & Debt Items Total TL m TL m EUR m

Cash & Cash equivalents 1,769 1,470 50

Financial Debt* 4,588 907 611

Net Debt 2,819

Net Debt / EBITDA 2.3x

Deleveraging Profile - Net Debt / EBITDA

4,0x

3,2x 2,9x 2,7x 2,6x

2,3x

2013 2014 2015 2016 2017 2018

10

* Based on amortised costing as indicated in financial statements Euro/TL :

2.8207 3.1776 3.7099

4.5155 6.0280

Change: + 33%

2.9365 Change: - 4% Change: + 13% Change: + 17% Change: + 22%

Gross Euro Debt (in million)

692

672

611

<500

2016 2017 2018 2019E

Shift to TL efforts

• TL Bond issuances

worth of TL 396 mn in 3 tranches in the past 9 months

• 5years TL capex loan

amounting TL370mn from EBRD with 4 years average maturity

Asset Divestiture

• Asset divestitures

worth of TL 388mn (since Dec. 2017)

Performance Indicator

2017 Target 2018 Performance vs

Guidance

Expansion Program (Number of NEW Stores)

193 230+ 238

Top-Line Sales Growth 38.7% ~22% 22.0%

EBITDA Margin 5.7% 6.0%+ 6.5%

Performance Summary 2018

11

Performance Summary

Management Message for 2018

Migros achieved its operational targets in 2018,

Successful integration of Kipa, Uyum and Makro stores into Migros formats,

Strong free cash flow generation continued

Enhancing online penetration..

12

Delivery within 30 minutes

only Same prices with Migros

stores For over 1,500 SKUs

Same day delivery, For over 28,000 SKUs, Service in 28 cities, Night delivery between

22:00-24:00 in selected regions Click-collect option for

customers

Macro Online

Migros Now

Taze direkt

Migros Online

Customer

Expectations and Guidance

13

Management Agenda in 2019

2019 Guidance [consolidated]

Sales Growth 20%

EBITDA Margin ~6%*

Expansion Target 100 new stores

CAPEX Guidance TL 300 m

Growth Operational Profitability

• Space growth is expected to be almost flat due to space optimization in large stores

• Increased focus on Migros’ online business together with omni-channel experience

Deleveraging

• Vigilant cost management,

• Increased focus on personnel cost, energy cost & logistics

• Free cash flow generation,

• Asset divestitures,

• Absolute amount of Euro debt is expected to decrease by

almost 20% in 2019

* excluding IFRS 16 impact

- Operations

Financials & Format Summary

- Financials

IFRS Consolidated Income Statement Summary

Summary of Income Statement – 2018

15

Net Sales 18,717.4 15,344.0

Cost of sales -13,468.8 -11,262.1

Gross Profit 5,248.5 4,082.0

Operating Expenses -4,399.8 -3,554.0

Other Operating Income / (Expense) -407.7 -225.1

Operating Profit 441.1 302.8

Income / (Expense) from Investment activities -136.8 1,092.8

Operating Income Before Finance Income / (Expense) 304.3 1,395.6

Financial Income / (Expense) -1,351.5 -792.9

Income/Loss Before Tax From Continuing Operations -1,047.3 602.7

Tax Income / (Expenses) -32.4 -83.2

Deferred Tax Income 244.2 -10.5

Net Profit / Loss -835.4 509.0

Net Profit / Loss - Non-controlling interest 0.1 -3.7

Net Profit / Loss - Equity holders of parent -835.6 512.7

EBITDA 1,217.4 871.9

EBITDAR 2,186.2 1,634.3

(TL Million) 2018 2017

IFRS Consolidated Balance Sheet Summary

Summary of Balance Sheet – 2018

16

Current Assets 4,474.3 3,776.3

Non-current Assets 6,410.6 6,526.4

Total Assets 10,884.9 10,302.7

Current Liabilities 6,674.9 5,516.1

Non-current Liabilities 3,574.9 3,259.4

Total Liabilities 10,249.8 8,775.5

Equity 635.1 1,527.1

Total Liabilities and Equity 10,884.9 10,302.7

(TL Million) 2018 2017

Geographical Footprint

Operating in 3 countries

— Turkey (81 cities out of 81)

— Macedonia and Kazakhstan (44 stores)

2,103 Stores1

1,989 (supermarkets)

51 (upscale supermarkets)

19 (wholesale and foodservice stores)

44 (international stores)

Migros Online

— 2m members and 60% mobile orders

— Re-launch of Tazedirekt

Innovation, Loyalty & Customer Service

5.8m loyal households Money Club Card

Introduced more than 100 innovations for the retail market

Sustainability and Corporate Governance

Only retail company in the “BIST Sustainability Index”

Included Corporate Governance Index since 2015

28,990 employees of which 40% are women

Best retailer of the country 15 years in a row2

Migros at a Glance

80% of HH

+100 38% of HH

64th

Year!

1 as of December 31, 2018 2 Capital Business magazine.

17

Number of stores: 1,989 including 1,157 Supermarkets. 56 Hypermarkets,

and 776 Migros Jet stores,

Penetration: 81 cities

─ (40*-4,500) sqm / (1,800* – 18,000) SKUs

─ Differentiated offering and service on fresh product categories

─ Wide branded assortment of FMCG products

─ Consistent Every Day Low Pricing on commodity Private Label products

─ Fashionable, complementary and seasonal non-food selection

Migros

Migros, Largest National Supermarket Chain

18

Focus on proximity supermarkets

Migros Jet and M Migros

Proximity Stores, (40*-300) sqm,

1,800* – 3,000 SKUs

CRM applications for different customer segments

─ Customized & Differentiated Offering for Money Club Card holders

─ Club Card Loyalty Program for 18 years

Loyalty Program

(*): including Migros Jet stores and Migros Jet 7/24 forecourt stores as of December 31, 2018

Macrocenter

Exclusive shopping

Penetration: 6 cities

Number of stores: 51

400 - 2,500 sqm / 10,000 SKUs

─ Upscale gourmet store serving with strong brand

loyalty

─ Wide product range in delicatessen, appetizers and

spirits. Premium quality in fresh products

─ Complementary and premium non-food

Customized service such as banquet ready meal delivery

19

Currently operating in 7 regions through dedicated sales team.

Dedicated warehouses and customer delivery

19 Wholesale stores

Penetration: 14 cities

20

Wholesale & Food Service

Focus on Horeca Penetration

Turkey’s first and leading e-commerce web site in food retail

Improved operational efficiency through picking automation

Night-time delivery system in high-potential regions

Direct delivery from stores (139 stores in 28 cities across Turkey)

Online Business

21

Natural

Fresh

Organic

Healty

Kazakhstan Macedonia

22

1.3% of consolidated sales from Kazakh operations

Number of stores: 18, including 2 hypermarkets and

16 supermarkets.

Owns 1 shopping mall in Almaty

Total sales area of 24,491 sqm

─ Serving in the cities of Almaty and Astana in a large

country

Operates in multi-format since 1999

1.5% of consolidated sales from Macedonian operations

Number of supermarkets: 26

Owns 1 shopping mall in Skopje

Total sales area of 21,919 sqm

Operations started in 2005

International Operations

1 Shopping Mall 2 Hypermarkets 16 Supermarkets

1 Shopping Mall 26 Supermarkets

23

Store Portfolio

1,933 Supermarkets (incl. 776 Migros Jet stores)

56 Hypermarkets

51 Macrocenter stores Upscale format

44 Ramstores Macedonia & Kazakhstan

2017 2018

# of stores Sales area (th sqm) # of stores Sales area (th sqm)

Migros (M, MM,MMM) 982 819.1 1,157 967.5

Migros Jet 632 116.7 776 150.1

5M 21 94.7 56 286.0

Wholesale 17 10.0 19 10.7

Macrocenter 44 32.6 51 36.6

Kipa 162 299.1 - -

Domestic Total 1,858 1,372.1 2,059 1,450.9

Ramstores 39 44.3 44 46.4

Grand Total 1,897 1,416.4 2,103 1,497.3

Ownership Structure

Direct Shareholding Structure

JV Structure between BC Partners & Anadolu Group

24

AG Anadolu Grubu Holding

A.Ş.

50.00%

Free Float

26.81%

Migros Ticaret A.Ş.

BC Partners

& related funds

23.19%

Indirect Shareholding Structure

Kenan Investments S.A.

14.88%

MH Perakendecilik ve Ticaret A.Ş.

49.18%

Free Float

26.37%

Moonlight Capital S.A.

7.94%

Migros Ticaret

A.Ş.

AG Anadolu Grubu Holding

A.Ş.

100.00%

Migros Ticaret A.Ş.*

1.64%

BC Partners

& related funds

(*): Migros purchased its own shares due to the merger in accordance with relevant CMB legislation Note: Anadolu Group maintains its 50% stake in Migros

Disclaimer Statement

25

Migros Ticaret A.Ş. (the “Company”) has prepared this presentation for the sole purpose of providing information about its business, operations and financial results.

The informaation in this presentation is subject to updating, revision and amendment. The information in this presentation, which includes certain information drawn from external sources, does not purport to be comprehensive and has not been independently verified. No reliance may be placed for any purpose whatsoever on the information contained in this presentation or any assumptions made as to its completeness. No representation or warranty, express or implied, is given by the Company, any of its subsidiaries or any of its advisers, officers, employees or agents, as to the accuracy, reliability or completeness of the information or opinions contained in this presentation or in any revision of the presentation or of any other written or oral information made or to be made available to any interested party or its advisers. Save in the case of fraud, no responsibility or liability is accepted (and all such liability is hereby excluded for any such information or opinions). No liability is accepted by any of them for any such information or opinions (which should not be relied upon) and no responsibility is accepted for any errors, misstatements in or omissions from this presentation or for any loss howsoever arising, directly or indirectly, from any use of this presentation or its contents. The information and opinions contained in this document are provided as at the date of this presentation and are subject to change without notice.

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