Turkish Airlines (THYAO) 4Q25 Financial Results

We evaluate Turkish Airlines’ 4Q25 results as slightly positive. The company reported TL37.1bn in net profit, exceeding our estimate by 61%, while operational performance came largely in line with our expectations. The strong deviation on the bottom line was mainly driven by income from investment activities and one-off items, whereas operationally the company continued to deliver growth despite the relatively low seasonal environment. On the other hand, the recent increase in geopolitical risks, particularly developments in the Middle East has led to higher volatility in the stock’s pricing. For Turkish Airlines, which continues to grow supported by strong traffic momentum and scale advantages, we maintain our 12 month TP of TL414 and reiterate our BUY recommendation, while keeping the stock in our Model Portfolio