ÇHS AR21-ENG-030622

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2021 ÇELEBİ HAVA SERVİSİ ANONİM ŞİRKETİ AND ITS SUBSIDIARIES (Amounts expressed in Turkish Lira (“TL”) unless otherwise indicated.) 104 Çelebi Ground Handling Inc. 2021 Annual Report NOTE 20 - REVENUE AND COST OF SALES 1 January - 31 December 2021 1 January - 31 December 2020 Ground handling services 1.373.592.512 653.386.481 Revenue from cargo and warehouse services 1.203.739.029 879.802.681 Rent and allocation revenue not related to aviation 71.032.024 84.814.041 Revenue in the context of TFRIC 12 1.723.680 3.224.441 Less: Returns and discounts (89.898.410) (79.726.543) Revenue 2.560.188.835 1.541.501.101 Cost of sales (1.728.319.360) (1.151.639.694) Gross profit 831.869.475 389.861.407 NOTE 21 - EXPENSES BY NATURE 1 January - 31 December 2021 1 January - 31 December 2020 Personnel expenses (828.802.760) (536.566.502) Concession expenses (340.139.936) (232.913.425) Depreciation and amortization expense (206.052.038) (154.426.575) Payments to authorities and terminal managements (*) (179.692.394) (83.662.713) Technical maintenance of equipment, fuel and security expenses (158.203.180) (103.570.862) Consultancy expense (****) (125.300.924) (100.003.862) Insurance expense (23.236.101) (12.945.877) Expenses within the scope of TFRIC 12 (**) (14.371.166) (12.726.543) Cost of sales (***) (7.756.626) (2.916.343) Travel and transportation expense (7.651.102) (4.930.163) Other expenses (115.314.588) (110.708.652) (2.006.520.815) (1.355.371.517) (*) Payments to authorities and terminal managements are composed of royalty, rental facilities and check-in desks within the airport area, working licenses and similar expenses, office rental expenses and other miscellaneous expenses related to utilization of office area. (**) Aforementioned expenses are composed of construction costs calculated in accordance with TFRIC 12 and provisions for other liabilities within the scope of concession agreement (***) Aforementioned expenses are composed of sales and utilization cost of de-icing and spare part inventories. (****) TL 97.329.153 of the consultancy expenses are comprised of share of holding company expenses (1 January - 31 December 2020: TL 76.359.579) .