CELEBI GROUND HANDLING 2025 AR

108 Çelebi Ground Handling 2025 Annual Report ÇELEBİ HAVA SERVİSİ ANONİM ŞİRKETİ AND ITS SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2025 (Amounts expressed in Turkish Lira (“TL”) unless otherwise indicated.) (e) Deferred Tax Assets on Available Tax Credits Deferred tax assets arising from unused tax losses are recognized if it is highly probable that there will be sufficient taxable profit in future periods to utilize the tax losses. (f) Investments Made Under Concession Agreements in the Scope of TFRS 12 The Group’s subsidiary in India, Celebi Delhi Cargo, signed a concession agreement with Delhi International Airport Private Limited (“DIAL”) on 6 May 2009, to develop, modernize, finance, and operate the existing cargo terminal at the New Delhi airport for a period of 25 years. The investment expenditures made under this agreement and the concession agreement signed by the Group’s jointly controlled entity in India, Celebi Nas, on 8 April 2015, are accounted for in accordance with the Turkish Financial Reporting Standards Interpretation 12 (“TFRS 12”) Concession Service Agreements. The preparation of consolidated financial statements in accordance with TFRS requires management to make decisions, estimates, and assumptions that affect the reported assets, liabilities, income, and expense amounts. Actual results may differ from these estimates. The estimates and assumptions underlying these estimates are continually reviewed. Updates to accounting estimates are recorded in the period in which the update is made and in subsequent periods affected by the updates. The following notes provide information regarding significant decisions related to accounting policies that have the most impact on the amounts recorded in the consolidated financial statements: Note 2.5 (f) - Application of profit margins to construction costs under TFRS Interpretation 12 “Service Concession Agreements” The following notes provide information regarding estimates that have a significant impact on the amounts recorded in the consolidated financial statements: Note 8 - Other receivables Note 11 - Property, Plant, and Equipment Note 12 - Right-of-use Assets Note 13 - Intangible Assets Note 14 - Provisions for Employee Benefits Note 29 - Tax Assets and Liabilities 3. Segment reporting Management has determined the operating segments based on the reports reviewed by the Company’s senior management and effective in making strategic decisions. The management evaluates the Group from two perspectives; based on geographical position and operational segments. They are assessing the Group’s performance on an operational segment basis as, Ground Handling Services, Security Services, Cargo and Warehouse Services. Since the Group’s income consists primarily of these operational segments, Ground Handling Services and Cargo and Warehouse Services are regarded as reportable operating segment revenues. The management assesses the performance of the operational segments based on a measure of EBITDA after deduction of the impact of TFRS Interpretation (“TFRIC 12”), retirement pay liability and unused vacation provisions from earnings before interest, tax depreciation and amortization.