Turkey - 2Q22 Earnings Estimates

The deadline for the announcement of unconsolidated financial statements of industrial companies is August 9, and the consolidated financial statements will be announced by August 19, 2022 at the latest. The last date of disclosure for banks is also August 19, 2022.

In 2Q22, banks are expected to achieve strong annual profit growth, as in the first quarter. The improvement in the net interest margin and the continuation of the growth trend in fee/commission income can be considered as the main factors of this performance. Due to the current inflation outlook, the control of operating expenses and trading profit/loss items will play a decisive role.

Among industrials, we expect significant increases in operational results in general due to strong demand, commodity-based pricing, food inflation and positive exchange rate effect. Increasing energy and personnel costs and financial expenses due to the depreciation of TL will continue to put pressure on profitability.

You can see our 2Q22 forecasts below. The top five companies that we expect to achieve the highest annual growth on a net profit basis are MGROS, AKSEN, BIZIM, TUPRS, and DOAS. On the basis of EBITDA, the top five companies that are expected to achieve the highest annual growth can be listed as PGSUS, TUPRS, TAVHL, SISE, and AKSEN.