Akbank profit rose 63 percent in second quarter

ISTANBUL

Private lender Akbank’s net profit increased by 63 percent in the second quarter of 2022 from the previous quarter to stand at 13.1 billion Turkish Liras, the bank’s consolidated financial results showed.

Income before tax grew 68 percent on a quarterly basis to 17.95 billion liras, while net fees and commissions increased 26 percent in the quarter compared with the first three months to 2.6 billion liras.

Operating expenses were up 13 percent quarter-on-quarter to 4.06 billion liras.

The bank also reported that its NPL (non-performing loans) ratio dropped to 3.5 percent in the first half of 2022 from 5.5 percent in the same period of 2021.

“We do not expect a material increase in NPL inflow and collection performance is expected to remain robust,” the bank said in its revised guidance for 2022.

Deposits increased 37 percent from the end of last year to 621 billion liras in the first half, while the bank’s total assets exhibited a 29 percent growth over the same period to reach 981 billion liras.

The lender’s first-half net income was 21.16 billion liras, surging from the net income of 4.13 billion a year ago.

“Increased customer business and diversified product offerings lead to strong trading income,” the bank said.

Akbank added 1 million new active customers in the first six months of the year and reached an all-time high digital consumer penetration.

At the end of the second quarter, the lender had more than 710 branches and over 12,000 employees. It operated a network of more than 5,500 ATMs.