Provisions shadow the better top-line performance in June...
Deposit
banks booked TL1.7bn net profit in Jun’12, down 5% y/y and 3% m/m. On
a m/m basis, higher revenues and dividend income fell short of covering
for the soaring provisions. Meanwhile, the sector’s net income for 2q12 reached
TL5bn, 8% below the 1q12 figure due mainly to the provisions and opex upping
18% and 10% respectively q/q even though the sum of NII and NFCI beat the 1q12
by 8%.