Hello, and welcome to the DP Eurasia interim results. My name is Caroline, and I'll be your coordinator for today's event. Please note this call is being recorded and all your lines will be on listen-only mode. However, you'll have the opportunity to ask questions at the end of the call. This can be done by pressing star one on your telephone keypad to register your questions. If you require assistance at any point, please press star zero, and you'll be connected to an operator. I will now hand over the call to your host, Mr. Aslan Saranga, to begin today's conference. Thank you. Thank you. Good morning, everybody. Welcome to our Interim Results ended June 2023. I am here with my colleagues, our CFO, Neval Korucu Alpagut, and our Investor Relations Director, İlknur Kocaer. After the presentation, we'll be happy to answer your questions. We are very pleased to be delivering very solid operational and financial results in the first half of 2023. Strong trading momentum has been maintained, although we had a lot of challenges in the beginning of the year because of the earthquake in Turkey. Now, there are three very solid results on the interim results for end of June 2023. Number one, we had store expansion on track with full-year expectations. We have opened 74 stores year to date in June. Second one, we had solid top line and EBITDA growth. Our revenue has increased 25% to TRY 1.5 billion, and our EBITDA growth is 35%. Third result, coffee network is growing with strong business results. As of September, we are very close to 60 stores, and we are targeting to finish the year by 100 stores by the end of the year. Now, about Russia. As you may know, in line with our group's announcement on 21st of August 2023, the company has initiated the steps to file for DP Russia's bankruptcy. In this connection, the Russian segment was classified as discontinued operation within the company's audited financial statements for the year ended 31st December 2022. This approach was maintained in our current reporting for the period ended 30 June 2023. Now, as this bankruptcy process is underway, we'll continue to communicate in same transparent and consistent manner as this matter progress. On the financial section, I will also talk a little bit about more about Russian numbers. Now, I would like to make some comments about first half 2023 group key indicators. Our momentum across the business is very, very strong. We have opened, from last year, 48 Domino's Pizza, and we have also opened 36 coffee stores, and our like-for-like growth has been 26%. I would like to remind you that we have inflation accounting in Turkey, and this 26% is post-inflation adjusted numbers. Our system sales has grown to TRY 2.6 billion, and with a growth of 33%. Our revenue is up 25%, and our revenue is up to TRY 1.5 billion. Our adjusted EBITDA number is 265, with a growth of 34%, and our margins from last year has increased from 15.6% - 16.8%. Our adjusted net income has grown 50%, and it's TRY 229 million. We have lowered our leverage from 2.8x - 1.3x. Our net debt is TRY 680 million. Last year, this number was TRY 1 billion. Next page, I would like to talk about impact of hyperinflation accounting on KPIs. I'm going through our presentation, which is in our website. You can follow it, you can take it from there and follow our presentation. In page 8, we are showing pre-inflation adjusted numbers and post-inflation adjusted numbers. In the first six months, our net system sales has grown 96%, and our revenue has grown 88%. Our EBITDA has grown 104%. Our adjusted net income has grown 150%. Our like-for-like has been 84%. These are pre-inflation adjusted numbers. Post-inflation adjusted numbers, our net system sales has grown 33%, our revenue has grown 25%, our adjusted EBITDA has grown 35%, our net income has grown 50%, our like-for-like is 26. For the first time, all group figures include coffee, but excludes Russian business, which is now a discontinued operation. And our like-for-like figures exclude coffee business. And, I would like to also now talk about group sales breakdown. Our Domino's Pizza Turkey business has grown 30% to TRY 2.4 billion. Domino's Pizza Azerbaijan is -4.6%. Georgia has grown 36%, and our coffee business has grown 339% to TRY 95 million. Our group like-for-like growth in Turkey is 26.5%, in Azerbaijan is 5%, in Georgia is 4.3%. Now, group store overview. As of first half, we have 742 stores. 51 of them is coffee, 16 is Azerbaijan and Georgia, and we have 675 stores in Turkey. 13% of 742 stores is corporate stores. We have 95 corporate stores and 647 franchise stores. Turkish net new store openings of 47 for Domino's Pizza year on year, reflecting the strong demand profile. In the first half, 2023 only, we had 20 net new store opening in Turkey, which is well on track with full year guidance of 35-40. Coffee network increased by 22 stores in the current year to 51. We are on track with our guidance of 50-60 net coffee openings in full year, 2023. Additionally, the Group opened 1 new store in Georgia, bringing the total number of stores to 6 in the country, and we have 10 stores in Azerbaijan. Now, I would like to talk about Domino's overview. In Domino's Pizza Turkey, we have 775 stores. 593 of them is franchise, 82 of them is corporate stores. 12% of our stores are corporate stores. Online sales is driven by delivery. While takeaway, our takeaway share is improving, the share of online sales in the Turkish delivery system reached 84%. This corresponded to almost 3 percentage point increase over the last 12 months. Takeaway share improved versus last year, continuing the rising trend since the end of pandemic. Our takeaway share and takeaway eating share is now 27%, which is back to close to our numbers before the pandemic. Besides recovering from a low base, this was also a result of an action plan comprising strategic pricing and service innovation. Our system like for like growth has been 89% in online, in total 86%. After inflation adjusted numbers, our online like for like growth has been 28%, and in total is 26%. Robust growth performance has continued well in third quarter of the year, bringing year-to-date performance confidently in line with the full year guidance of high teens growth on a like-for-like basis. Our July like-for-like is pre-inflation, is 106%, and our August like-for-like, pre-inflation is 116%, bringing our year-to-date like-for-like to 93%. I would like to remind you that our inflation expectation for Turkey by year-end is 65%. Although we had a high inflation in Turkey and we had an earthquake, a big earthquake, in the beginning of the year in February, which affected- which closed our 50 stores for a month, for a month or two. How did we beat this inflation? We had three strategy. One of them, number one, was solid brand strategy with dynamic pricing and product innovation. We have in the first six months of the year, we have offered two different types of new products. One of them was targeting lower prices with a very good value, and the other one was the Pizzetta, with a higher price, but still a very good value. So we come up with small, how do you call it? Small side items, like snacks, let's call it, like pizza and type of a croissant type of a product, with a with a price point of around $0.50-$1. Then, by the end of the first half, now in July and August, we have launched our Pizza X Large, which was a very good value for our customers. Second one of our strategy was continuous digital and service innovation for what better customer experience. We Segmentify AI product suggestions. We have improved our filter and search bar, and we have also given app-only offers. Our own online ordering share was quite strong in the beginning of the year. And we had also healthy network expansion with agile franchise management. We also focus on unit economics of our franchisees. We have a strong purchasing power, which is supporting our competitiveness. And with both of these two attentions, demand for opening new stores is still very strong. Now I will, I will- I want to also talk about our COFFY business. As you know, the business, business which we started in 2019, we are now in nine cities, close to 60 stores. We are, we are starting to go to a lot of new cities all over Turkey now. This summer, we launched our cold beverage assortment, which improved our average ticket price. In June, we have opened our 50th store. Now, as of end of August, we are close to 60 stores, and we are targeting to open our 100th store by the end of the year. COFFY is our homegrown brand that is created by the efforts of a small and dedicated team. We aim, with the aim of introducing a new model to the coffee culture in Turkey. COFFY benefits from the group's large-scale network, headquarters support, and centralized supply chain through the shared services. Business model has been a key, key enabler for the fast and smart store growth of COFFY, thanks to the advanced franchise management know-how. As a brand that is dedicated to improve customer experience via digital advancements, COFFY will continue to benefit from sharing the remote online ordering platform. In page 20, we have a QR code. From this QR code, you can watch our latest store openings of COFFY. I hope you will enjoy. And, how we kept our value promise in 2023, there were three strategic pillars for that. One of them was simplicity. We keep our single price strategy, and we also launched Cold Cup beverage assortments. We also kept our promise of value for money. We continue to position ourselves 30%-40% more attractive pricing than the competition, and we adjusted the prices by 105% year-on-year during the first half of 2023. The third one is the convenience. Share of app in total sales exceeded 10%, together with the solid increase in app downloads. Weekly active app users are also higher year-on-year, and we continue to promote loyalty programs to increase frequency and build lifetime value. Our solid store growth continues in 2023. And as of the end of the first half of 2022, we have 51 COFFY branches in eight cities. As by the end of August and September, we are close to 60 stores, and we are targeting to be above 80, and we are targeting to be 100 stores by the end of, by the end of the year. Our AWUS also is also increasing, average weekly unit sales, in a healthy manner. Second quarter of 2023, our average AWUS is TRY 138,000. Our average weekly orders is averaging in 3,000 orders. Average investment per store in COFFY is $120,000. This is an average return on investment of 2.5 years, and it's a very, very, very attractive deal for the franchising. So we have therefore we have a strong franchise pipeline for COFFY. Now, I would like to talk a little bit about financial overview of our business. As I mentioned earlier, our system sales is TRY 2.6 billion. This is 33% increase from last year. Our CapEx and cash conversion has increased from 67% to 73%. Our adjusted EBITDA margin has grown from 15.6% to 16.8%. This is an increase of 1.2 percentage points. And our adjusted net income has increased from TRY 153 million to TRY 229 million. This is a 50% increase from last year. We are also deleveraging on track and leverage ratios improve. From last year, our leverage ratio was 2.8; now it's 1.3. Last year, our net debt was TRY 1 billion. Now, this year, as of June 23, our net debt is TRY 618 million. Our leverage is expected to further improve by year-end, given the enhanced profitability. Also, this interim results, we want to also present our numbers in pounds, and we will, we'll keep doing it every six months. Our System Sales is now, in the first six months is 100 million GBP. Last year, this was 66 million GBP. Our revenue is up from 41 million GBP to 61 million GBP. Our Adjusted EBITDA in pound terms has increased 62%. Last year it was 7.3 million GBP, this year it's 11.8 million GBP. Our Adjusted Net Income was last year 4.3 million GBP, this year it's 5.4 million GBP. On page 27, I want to give you an update about our Russian business. Details on the reported numbers. Now, by the end of 2022, we have written off TRY 211 million for our Russia business. As of 30 June 2023, we have written off another TRY 178 million for Russia. Our potential loss, not written off yet, for Russia, is TRY 587 million Turkish lira. I would like to remind you that this number is not a cash out from our business. It's losses from the previous years because of the closure of Russia. About our management guidance for 2023, our strong trading momentum has been well sustained in the second half of the financial year. The board is confident that like-for-like inflation-adjusted growth will be in the high teens for the year, full year 2023, better than the low teens figure previously guided. We will maintain organic and like-for-like sales momentum in 2023. This momentum will be driven by sustained network expansion, volume growth, and targeted price adjustments. New customer acquisition and increased order frequency levels are expected to contribute to growing volumes. Capital expenditures have increased to TRY 200 million from TRY 160 million, owing to higher coffee store investments for new coffee openings, predominantly driven by currency depreciation impact. As a conclusion, our strategic actions have not only effectively elevated the impact of inflation in 2023, but also brought along a solid inflation-adjusted, like-for-like growth. Number two, we continue to deliver inflation-adjusted growth in profitability in 2023, despite the ongoing cost pressure across the board. EBITDA margins pleasantly improved versus year ago. Number three, we opened 42 new stores year to date, including coffee. Our commitment to keeping the store profitability health at healthy level will drive further store expansions. Number four, high growth potential from the COFFY business, which has delivered solid unit economics, as opening continues at full speed in 2023. We expect to reach a solid scale of business at the end of this year. And we are comfortable that our agile business model is best positioned to deliver further returns for shareholders in 2023 and beyond. Thank you for listening, to us, and if you have further questions, we'll be happy to answer you. Thank you. If you would like to ask a question, please signal by pressing star one on your telephone keypad. A reminder, if you would like to ask a question, please signal by pressing star one on your telephone keypad. We'll pause just for a moment to allow everyone an opportunity to signal for questions. Thank you. We will take the first question from line, Anubhav Malhotra from Liberum. The line is open now. Please go ahead. Hi, everyone. Congratulations on an excellent set of results this morning. I just want to ask about your capital allocation plans for the future, given I expect this year you will be free cash flow positive. J ust trying to understand whether you would like to use that cash flow to either pay off debt, which still remains material in the business, or would you like to accelerate the growth of the coffee business, maybe, by opening more corporate stores there. So just your thoughts around that, please. Thank you. W e have different alternatives to allocate our cash. Number one, as you said, and it's one of our priority to increase the store growth in coffee. But also, you know, we have increased our guidance for store potential in Turkey for Domino's Pizza up to 1,250 stores. So we have, we want to also have a growth in Domino's Pizza Turkey, so we can use our cash for that also. Number three, alternatively, of course, the interest rates in Turkey is growing. It's around now 45%. So it would be good for the company to decrease our Net Debt, which we are doing right now. I think the fourth alternative in the inflationary environment, cash is king, so we can invest our money on our food products, on our inventory. That might even increase our profitability. We are evaluating all these factors to improve both store growth, sales and EBITDA, and increase the value of the company. Okay, excellent. Thank you. Can I also ask on the inventory point you just made? You do expect to continue to hold a bit of excess inventory and invest in inventory to be able to manage those costs. Would that continue to be a driver of your EBIT, EBITDA going forward? I think in the first half, gross profit went up quite high, but you also had increases in your operating expenses and marketing expenses. It seemed like gross profit was a driver of EBITDA in the first half. I cannot say the improvement in the gross margin is only from the inventory. Actually, our inventory levels were the same in terms of ratio as last year. I mean, the gross margin increase is mainly because of the order growth, because we have when you look at the division of our growth, we were able to reflect the price increases to our customers, and we were able to grow orders. We are averaging around 1,150 orders right now in Turkey. This is one of the highest numbers in the previous. It's higher than previous year. Yes inventory helped, but the main driver of the increase in the gross margin was our order growth, especially after the earthquake. We did a, I believe we did a good job. But you know, it's again, having cash could be an opportunity to improve our profitability. It depends on what is the interest rates of the credit lines and what is the increase in the inflation in the food cost. I think that will be the assessment. Okay. Thank you so much. Thank you. Thank you. If you would like to ask a question, please signal by pressing star one on your telephone keypad. We will take the next question from the line, Mark Photiades from Canaccord Genuity. The line is open now. Please go. Good morning, Aslan. Good morning. Could I just ask on COFFY? Could you maybe comment on the EBITDA contribution from that business in the half, if you're able to give any more color? Can you repeat the question? I didn't understand exactly. So did the COFFY business, did it contribute a profit in terms of EBITDA, or was it, did it contribute a small loss? I just wanted to understand w hat level of contribution to EBITDA level. I think you are right. It's a good question. No, it will contribute profit to the business. O ur margin in coffee business it's a little bit, it's 2%-3% lower than our Domino's business right now. W e want to make sure that franchise margins are strong so that we grow fast. But overall, coffee business is doing profit. The other main reason for that is we are using shared resources, so we don't have a very big overhead for the coffee business. Yes, that makes sense. Okay, thank you. Thank you. Thank you. There's no further question at this time. There's no further question at this time. I'll hand it back over to your host. Thank you. Thank you for listening to us, and we'll be happy to talk to you again on our trading update, and thanks for listening to us. Thank you for joining today's call. You may now disconnect.