Turk Telekom 2Q Net Profit Falls 55% on Forex Losses

By Yeliz Candemir

ISTANBUL--Turk Telekomunikasyon AS (TTKOM.IS) reported late Wednesday a 55% decline in second-quarter net profit due to foreign-exchange losses, though the result was slightly above analyst expectations.

Net profit totaled 280.2 million Turkish lira ($146.4 million), above TRY257 million forecast of five analysts surveyed by Dow Jones Newswires, but below the TRY629.5 million profit posted a year earlier.

Sales income rose to TRY3.36 billion from TRY3.18 billion, according to a statement to the Istanbul stock exchange.

"Second-quarter earnings of Turk Telekom did not surprise the markets; the company posted TRY445 million net financial losses in the second quarter driven by forex losses, which pulled down net margin to 8% from 20% in the second quarter of 2012," said Istanbul-based Tera Brokers.

Write to Yeliz Candemir at [e-mail]

Order free Annual Report for Türk Telekomünikasyon AS

Visit http://djnweurope.ar.wilink.com/?ticker=TRETTLK00013 or call [phone]

Order free Annual Report for Türk Telekomünikasyon AS

Visit http://djnweurope.ar.wilink.com/?ticker=US90011Q1004 or call [phone]

Subscribe to WSJ: http://online.wsj.com?mod=djnwires