* The bank is on schedule for the revenue targets, but it needs to be careful with provision costs, analysts say

* Magda Sirghe, Tradeville: "The significant exposure to state-owned companies, such as Hidroelectrica and Oltchim, has increased expenses with risk provisions"

Banca Transilvania (symbol: TLV) posted a net profit of 265.43 million lei, at the end of September, up 30% compared to the same period of last year, according to the report published yesterday by the bank.

The 9-month financial results are in line with the expectations of Horia Ciorcilă, the Chairman of the Board of Directors of Banca Transilvania. He said: "We are optimistic when it comes to our ability to achieve the objectives we set for ourselves for this year, even though we still remain cautious when it comes to the local and international economic climate".

Brokers and stock market analysts say that the report by TLV is encouraging, but they still warn about some of the bank's expenditure categories.

"The results posted today (ed. note: yesterday) by TLV confirm the bank's profitability and the fact that it is successful in remaining profitable in the rather unfavorable economic context", said Marcel Murgoci, director of operations at Estinvest Focşani. "Unfortunately, due to the market trading volume being quite low, the price of the stock did not see an evolution fit for the results it posted. I am waiting for the results of the other two important banks (BCR and BRD) to make a comparison and to draw a conclusion on how the banking system behaved during the summer months".

Simion Tihon, a broker with "Prime Transaction", considers that the results of Banca Transilvania at the end of Q3 are encouraging: "The prudential policy concerning the costs of provisions over the last few years are currently causing the bank's financial results to grow in a balan