Sberbank 2Q profit slides 44pc
Sberbank PJSC's secondquarter profit slid 44 percent, less than analysts estimated, as higher income from trading currencies helped offset rising loan-loss provisions.
Net attributable income dropped to 54.2 billion rubles ($786 million) from 97.6 billion rubles a year earlier, Russia's largest bank said in a statement on its website Wednesday. Eight analysts surveyed by Bloomberg estimated 41.8 billion rubles on average. Income from trading currencies rose to 17.4 billion rubles from 6.7 billion rubles a year ago.
"The results are better than expected, thanks to trading" and other non-core, non-interest income, said Natalia Berezina, a banking analyst at UralSib Financial Corp."
The provisioning was lower than expected, but not substantially."
Russia is in its first recession since 2009, squeezing lenders' profits. High interest rates and the sharp decline of crude, the nation's biggest export revenue earner, have exacerbated the impact of sanctions on Sberbank over the Ukraine conflict.