Investor Presentation Full Year Results 2017 March 13, 2018 - PowerPoint PPT Presentation

Investor Presentation Full Year Results 2017 March 13, 2018

NOTICE  This presentation does not constitute an offer or invitation to purchase or subscription for any securities and no part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever.  The information contained in this document has not been independently verified. No representation or warranty express or implied is made as to and no reliance should be placed on, the accuracy, completeness, correctness or fairness of the information or opinions contained herein. Neither the company nor any of its affiliates, advisors or representatives shall have any liability whatsoever (for negligence or otherwise) with respect to any loss howsoever arising from any use by third parties of this presentation or its contents or otherwise arising in connection with it.  Turkish ad market figures are estimates of DOHOL; based on currently available data. Ad market statistics may show inconsistency with IFRS figures. 2

KEY MESSAGES- 2017 SUCCESSFULL MARKET ROLLOUT OF OUR LEADERSHIP DIGITAL STRATEGY FOCUSING ON AD MARKET (34%) ENTITLED TO VERTICALS CIRCULATION (10%) RECEIVE (SporArena, Hurriyetoto) “R&D CENTER” CERTIFICATE OPTIMIZE WORKING CAPITAL THRU LEVERAGING OF POTENTIAL ASSETS SEARCH FOR TARGETED LEADING DISCONTINUE OF CLASSIFIED INVESTMENT OUR DIGITAL ALTERNATIVES BUSINESS IN REAL OPERATIONS IN ESTATE WITH A CONTINUES RUSSIA COMPETITIVE ( To increase operational ADVANTAGE IN efficiency and improve PRIMARY MARKET cash flow) 3

Hürriyet World @ a Glance HURRIYET WORLD GERMANY TURKEY Zweigneiderlassung GmbH RUSSIA & Others(*) HOLLAND *Hürriyet Invest BV *Publishing Int. Holding BV 4

2017 Q4 HIGHLIGHTS as declared on «Public Disclosure Platform – KAP.gov.tr» Glokal (Hürriyet Emlak) Öncü Girişim , received 14% shares of SporArena subsidiary of Doğan Hürriyet has been «Prof Estate Ltd» to Dijital Hizmetler Group, acquired 8% entitled to receive strength its competitor Pazarlama ve of the shares of the "R&D Center advantage in first hand Ticaret A.Ş. was Glokal (Hürriyet Real sales of real estate Certificate" established. Estate) for 28 MTL . market. 5 Oct-17 3 Nov-17 20 Dec-17 2 Jan-18 14 Nov-17 26 Dec-17 22 Nov-17 Sale of Istanbul- Sale of Trabzon Decision to cease Bağcılar Land DPC Land operations of 38.5MTL 5.3MTL JOB.RU and IRR.RU under PMH is taken 5

FINANCIAL HIGHLIGHTS: Stable revenue despite the decline in print media thanks to solid exponential growth of Digital Content and HEmlak 2016 2017 yoy Q4 FY Q4 FY Q4 FY Stable despite to the decline 9% -1% 125 544 136 538 in print ad REVENUE (*) market Below market 449 406 PRINT MEDIA PRINT MEDIA 114 114 108 -5% -10% decline (-17.6%) Above market 57 43 85% 19 DIGITAL CONTENT DIGITAL CONTENT 10 33% growth Almost 53 11 29 60% HÜRRİYET EMLAK 17 83% Hürriyet EMLAK doubled 10 22 24 8 -24% OTHER -6% OTHER -497 -487 2% TOTAL COSTS 41 57 -28% EBITDA (*) As of 2017 year end, PMH has taken the decision to cease its digital operations, based on the considerations regarding market competitiveness of PMH in which it operates and its performance being under the intended level. We believe that this will lead to improvements in our cashflow and increase our operational effectiveness in our core business. Total net loss from this operations are classified as “Discontinued Operations” in the profit/loss statement as of 31 December 2017 and 2016. 6

AD MARKET IN TURKEY: Market Leader in Print Ad Market with 34 % market share  Other9 34% market 24%  share in Print +8% growth in total Ad Market in 5 yrs Ad Market HÜRRİYET  Solid growth of 23% in Internet 34%  8% decline in Print  7% market Other7 3% Other6 share in  3% 11% yoy growth in total Ad market in Internet Ad Other5 Q417. Other1 4% Other3 Market 8% Other4 9% Other2 6% 8% 2.117 7.000 Print Ad Other Internet Ad 1.849 GROWTH in AD MARKET 1.585 6.000 1.364 (CAGR) 857 5.000 766 4.000 + 23% INTERNET 3.000 2.000 OTHER + 8% 1.000 1.022 1.007 914 870 804 665 - PRINT - 8% 2012 2013 2014 2015 2016 2017 7

CIRCULATION : Market Leader in Circulation Average Daily Newspaper Circulation (thousand units) Circulation Market Share (%) 5.077 4.914 4.748 4.508 -9.4% + 0.3 pp increase in market share compared 3.634 to 2016 3.292 Only 7% decrease in average daily circulation which is under decrease in market, 9.4% 316 2012 2013 2014 2015 2016 2017 Average Daily Circulation of Hürriyet 10% 90% (thousand units) 411 403 389 -7% 359 338 316 Market (Exc-Hürriyet) Hürriyet Circulation 2012 2013 2014 2015 2016 2017 (*) Daily average net sales (*) Daily average net sales 8

DIGITAL CONTENT: Above market revenue growth with an improved profitability margin Key Highlights 85,0 50% DIGITAL REVENUE 40% 44% 75,0 • Focused growth and monetization via 30% new Ad Formats (ie: SporArena) 65,0 20% 24% • Increase traffic and customer 10% 55,0 57,2 engagement thru technical innovation 0% and audience focus strenghting mobile 33% 45,0 conversion -10% 43,0 -20% 35,0 • Continue to seach for investing on -30% alternative market places 25,0 -40% • Focus on content enrichment and 15,0 -50% technology investment for digital 2016 2017 premium subscription model 9

BOOSTING DIGITAL AD REVENUES THRU INVESTMENT ON DIGITAL AD TECHNOLOGIES  Focus and realignment with rapid advances in technology and dramatic shifts in consumer behavior.  Engaging the right audience, with the right message, at the right time  Using of data management platforms (DMPs) to manage the scale of data, while exploring new ways to increase customer engagement Native Ad Model 360 Ad Model Video Header Bidding 10

DIGITAL CONTENT : Hürriyet is among the top players in the market  Hürriyet is the top local player in the market, including Facebook and Google with page views 1.7 bio and 215 mio visitor monthly.  The traffic is 60% higher than the nearest competitor in news websites as of Dec 2017. PAGEVIEW (PV- million) SESSION (million) 4.000 Digital Content - Desktop Digital Content - Desktop 25.000 Digital Content - Mobile 3.500 Digital Content - Mobile 3.000 20.000 2.400 17.640 2.500 15.430 2.108 7.400 1.600 2.000 15.000 1.236 6.740 1.500 10.000 10.240 1.000 8.690 872 800 500 5.000 2016 2017 2016 2017 11

DIGITAL CONTENT : Impressive Growth in Traffic and unique visitor • Hurriyet.com.tr has reached to 1 million UV per day in social media traffic and 50 million views monthly on facebook • Hurriyet.com.tr is in the LEADER position in social media engagement on media sector. Top Websites Extended In Turkey (Total Traffic) 67% 81% 37% 30% 98% Internet Usage Laptop Tablet Smart Phone Households with in Turkey Penetration Penetration Penetration access to the Internet 76% male, 59% female TOP 3 MOTIVATIONS 68.2% 61% 83.7% To read news Uploading self-created Spend time in Haber okumak için Zaman geçirmek içim Arkadaşları ile iletişimde content social media olmak için 12 (*) The data is obtained from Tuik web site.

KEY DRIVERS OF GROWTH Convergence Fit for growth (optimization of costs and Monatization integration in Digital via new ad Increase traffic operations) premium formats and customer subscription engagement Invest on alternative market places 13

MONETIZATION IN DIGITAL CONTENT FOCUSING ON DIVERSIFIED VERTICALS Monthly average Page View Monthly average Page View is Monthly average Page View doubled to 187 million four times bigger than 2016 increased to 1.4 billion. Pageview 1.4 bio Pageview 187 mio Pageview 32 mio Session 188 mio Session 10.8 mio Session 0.6 mio User 56 mio User 9.5 mio User 1.6 mio Monthly average Page View Monthly average Page View Monthly average Page View is increased to 43 million. increased to 23.8 million. 15.1 million. Pageview 23.8 mio Pageview 15.1 mio Pageview 43 mio Session 3.8 mio Session 7.6 mio Session 3.9 mio User 3 mio User 2.7 mio User 3.8 mio The above figures does not include referral traffic 14 from hürriyet.com.tr.

HÜRRİYET EMLAK: Large Property Market with High Digitalization Potential 1. Estimated figures for 2015 2. Excludes governmental project sales Source: National Statistics, Frost & Sullivan, McKinsey Research, Goldman Sachs Research, Company Estimations 15

HÜRRİYET EMLAK – @ a Glance  HEmlak is the most recognized brand in Turkish Real Estate Advertising with approximately 1 million listings.  Being the vertical leader with a market share of 25% , Hürriyet Emlak has over 7 million monthly unique visitors. The most reputable and known real estate classifieds brand in Turkey * Based on Future Bright Research Market Study in 2016 ~ 7M monthly unique ~ 13 K Real Estate visitors Offices with more than ~ 1M listings ~20M visits 40K consultants * As of Jan 2017 * As of Jan 2017, including app traffic * 2016 year-average, excluding individual listers ~25% market share in ~ 50% revenue increase the Real Estate EBITDA positive for the last 2 years Classifieds vertical * IFRS adjusted (accrual basis) revenue CAGR between FY 2014 - FY 2016 * Based on Sales Invoices * Estimated revenue share based on sector interviews Vision: To become the market leader in the Real Estate Classifieds Vertical by 2021 16