Financial performance analysis in conventional and participation banking

This study analyzes the financial performance of conventional and participation banks operating in Türkiye for the period 2018–2024 by employing the Entropy and WASPAS methods. The analysis includes the conventional banks Ziraat Bank, İşbank, Garanti BBVA, Yapı Kredi, VakıfBank, Halkbank, and Akbank, as well as the participation banks Albaraka Türk, Kuveyt Türk, Türkiye Finans, Ziraat Katılım, Vakıf Katılım, and Emlak Katılım. Performance indicators obtained from the year-end financial statements—such as ROA, ROE, Equity/Total Assets, fund utilization and collection ratios, and the distribution of foreign-currency and Turkish-lira-based assets—were utilized in the study. Criterion weights were determined objectively using the Entropy method, and the periodic performance levels of the banks were calculated through the WASPAS method. The findings reveal that different banking models significantly influence financial indicators, and that macroeconomic conditions substantially shape profitability, funding structure, and asset quality. Overall, the study provides a comprehensive perspective on the performance dynamics of conventional and participation banks in Türkiye.