* Komercni Banka <> Q3 earnings
* Due on Wednesday, Nov 4 at 0730 GMT
* Net profit seen at 2.71 bln crowns, down 22 pct y/y
PRAGUE, Nov 2 (Reuters) - Czech Komercni Banka <>
is expected to show a 22 percent drop in third-quarter net
profit due to higher provisions to cover a jump in
non-performing loans, a Reuters poll showed on Monday.
Ten analysts gave an average estimate for quarterly net
profit at 2.71 billion crowns ($151.4 million), down from 3.46
billion a year ago.
Provisions for bad loans were seen at 1.33 billion crowns,
up from 727 million in the third quarter of 2008.
In the previous quarter, Komercni Banka posted a 176 percent
jump in provisions to 1.25 billion crowns.
It had said it expected the cost of risk to rise further as
more corporate clients were feeling the impact of the worst
economic drop since the early 1990's.
The bank, 60 percent owned by France's Societe Generale
<SOGN.PA>, forecast the market would stabilise at the end of
2009 and in early 2010, with the retail segment lagging the
recovery in corporate banking due to rising unemployment.
Though the quality of the loan portfolio was seen as the
main risk, analysts said Komercni would cope relatively well
with a worsening market on the back of its strong capital and
solid operating performance -- a benefit of its conservative
lending policy over the past years.
Shares in Komercni, the only listed Czech bank, have rebound
by 110 percent since a six-year low in mid-February, to trade 26
percent higher year-on-year.
The Prague bourse's PX index <> was up 29 percent over
the past 12 months.
"The current price of Komercni Banka shares in our view has
priced in the expected solid results in the rest of this year,
and a mild recovery in the next year," Czech brokerage Cyrrus
said in a report.
Following is a summary of analysts' estimates for the third
quarter of 2009 (figures in billions of crowns):
Q3/09 Average Median Range Q3/08
Net interest income 5.52 5.48 5.46 - 5.61 5.28
Net fees 1.88 1.91 1.58 - 2.00 1.99
Total banking revenue 8.26 8.24 8.04 - 8.43 8.27
Operating profit 4.53 4.72 3.31 - 4.83 4.81
Provisions (1.33) (1.34) (1.43)-(1.20) (0.73)
Net profit 2.71 2.72 2.55 - 2.80 3.46
The following banks and brokerages took part in the poll:
Atlantik FT, BH Securities, Citigroup, Cyrrus, Erste Bank/Ceska
Sporitelna, KBC Securities/Patria Finance, ING Wholesale
Banking, Raiffeisenbank, UniCredit Global Research, Wood &
Company.
Note: Provisions estimates were provided by nine analysts,
net interest income, fees and total banking revenue by eight and
operating profit by seven analysts.
(Reporting by Jan Korselt)
