Israel Discount Bank Announces Q2/2013 Financial Results
Q2 Net Income - NIS 263 million compared to NIS 165 million in Q2/2012, an increase of 59.4%
Q2 Net Return on Equity attributable to the Bank's Shareholders - 9.0% compared to 6.1% in Q2/2012
H1/2013 Net Income - NIS 526 million compared to NIS 412 million in H1/2012, an increase of 27.7%
H1/2013 Net Return on Equity attributable to the Bank's Shareholders - 9.0% compared to 7.7% in H1/2012, and compared to 7.1% for the whole of 2012.
Ratio of Capital to Risk Assets - 14.4%. Core Capital Ratio - 9.1%
TEL-AVIV, Israel, Aug. 28, 2013 /PRNewswire/ -- Israel Discount Bank Limited (TASE: DSCT), one of Israel's leading banks, today reported its Q2/2013 financial results.
(Logo: http://photos.prnewswire.com/prnh/20120820/554838)
The Discount Group's Net Income in H1/2013 totaled NIS 526 million, compared to NIS 412 million in H1/2012, an increase of 27.7%.
The Return on Equity attributable to the Bank's Shareholders' in H1/2013 was 9.0%, compared to 7.7% in H1/2012.
Main factors affecting the Group's business results in H1/2013, compared to H1/2012:
- A decrease of NIS 166 million in net interest income (7.4%).
- An increase of NIS 45 million in expenses for credit losses (18.7%).
- An increase of NIS 206 million in non-interest income (12.8%), affected by an increase of NIS 227 million in non-interest financing income (114.1%), an increase of NIS 4 million in commissions (0.3%) and a decrease of NIS 25 million in other income (30.5%).
- An increase of NIS 23 million in operating and other expenses (0.8%), affected mainly by an increase of NIS 32 million in salaries and related expenses (1.8%).
- A provision for income taxes of NIS 207 million in H1/2013, compared to NIS 222 million in H1/2012.
- An increase of NIS 116 million in the Bank's share in the income of affiliated companies, net of tax effect, which was affected by a revision to the computation of the tax provision on the Bank's share of First International Bank's income. The income in H1/2012 is after the provision of NIS 73 million, net, for impairment of the investment in the shares of First International Bank.
Main Balance Sheet Developments as of June 30, 2013:
- Total Assets decreased by 1.9%, amounting to NIS 197.2 billion, compared to NIS 201.0 billion at the end of 2012.
- Net Credit granted to the public decreased by 2.1%, amounting to NIS 115.1 billion, compared to NIS 117.6 billion at the end of 2012.
- Securities increased by 6.2%, amounting to NIS 48.8 billion, compared to NIS 46.0 billion at the end of 2012.
- Deposits from the public decreased by 1.6%, amounting to NIS 149.5 billion, compared to NIS 151.9 billion at the end of 2012.
- Equity attributable to the Bank's Shareholders increased by 1.3%, amounting to NIS 12.0 billion, compared to NIS 11.8 billion at the end of 2012.
- Total Equity increased by 1.3%, amounting to NIS 12.3 billion, compared to NIS 12.1 billion at the end of 2012.
|
DATA REGARDING SUBSIDIARIES | |||
|
H1/2013 |
|||
|
Net Income |
Return on Equity |
Capital | |
|
Discount Bancorp Inc. |
USD 18 M |
4.4% |
*15.5% |
|
Mercantile Discount Bank |
NIS 101 M |
11.0% |
14.4% |
|
Israel Credit Cards (ICC) (the Bank holds 71.8% of the equity) |
NIS 67 M |
12.6% |
16.7 % |
|
* In conformity with mandatory rules in the U.S.A. | |||
|
H1/2012 |
|||
|
Net |
Return on |
Capital | |
|
Discount Bancorp Inc. |
USD 22 M |
5.5% |
*15.5% |
|
Mercantile Discount Bank |
NIS 84 M |
9.8% |
14.2% |
|
Israel Credit Cards (ICC) (the Bank holds 71.8% of the equity) |
NIS 108 M |
19.6% |
17.0% |
|
* In conformity with mandatory rules in the U.S.A. | |||
|
2012 |
|||
|
Net |
Return on |
Capital | |
|
Discount Bancorp Inc. |
USD 43 M |
5.3% |
*15.4% |
|
Mercantile Discount Bank |
NIS 191 M |
10.8% |
15.0% |
|
Israel Credit Cards (ICC) (the Bank holds 71.8% of the equity) |
NIS 209 M |
17.8% |
16.8% |
|
* In conformity with mandatory rules in the U.S.A. | |||
|
DISCOUNT GROUP - PRINCIPAL DATA FROM THE CONSOLIDATED | |||||||
|
INCOME AND PROFITABILITY (IN NIS MILLIONS) | |||||||
|
Second Quarter |
Half Year |
Annual | |||||
|
2013 |
2012 |
% change |
2013 |
2012 |
% change |
2012 | |
|
Net interest income |
1,041 |
1,153 |
(9.7) |
2,085 |
2,251 |
(7.4) |
4,459 |
|
Expenses for credit losses |
141 |
118 |
19.5 |
286 |
241 |
18.7 |
726 |
|
Total non-interest income |
924 |
744 |
24.2 |
1,819 |
1,613 |
12.8 |
3,257 |
|
Total operating and other expenses |
1,504 |
1,453 |
3.5 |
2,976 |
2,953 |
0.8 |
5,826 |
|
Income before taxes |
320 |
326 |
(1.8) |
642 |
670 |
(4.2) |
1,164 |
|
Income after taxes |
231 |
219 |
5.5 |
435 |
448 |
(2.9) |
757 |
|
Net income attributable to the Bank's shareholders |
263 |
165 |
59.4 |
526 |
412 |
27.7 |
802 |
|
Net return on equity attributable to the Bank's shareholders in % |
9.0 |
6.1 |
9.0 |
7.7 |
7.1 | ||
|
DEVELOPMENT OF ASSETS AND LIABILITIES (IN NIS MILLIONS) | |||||
|
June 30 |
December 31 | ||||
|
2013 |
2012 |
% change |
2012 |
% change | |
|
Total Assets |
197,207 |
200,642 |
(1.7) |
201,012 |
(1.9) |
|
Net Credit granted to the public |
115,121 |
119,412 |
(3.6) |
117,611 |
(2.1) |
|
Securities |
48,832 |
45,455 |
7.4 |
46,001 |
6.2 |
|
Deposits from the public |
149,502 |
150,862 |
(0.9) |
151,935 |
(1.6) |
|
Equity attributable to the Bank's shareholders |
11,991 |
11,307 |
6.0 |
11,838 |
1.3 |
|
Total Equity |
12,291 |
11,633 |
5.7 |
12,134 |
1.3 |
|
PRINCIPAL FINANCIAL RATIOS (IN PERCENTAGES) | |||
|
30.6.13 |
30.6.12 |
31.12.12 | |
|
Total Equity to Total Assets |
6.2 |
5.8 |
6.0 |
|
Ratio of capital to risk assets |
14.4 |
14.1 |
14.3 |
|
Core Capital ratio |
9.1 |
8.3 |
8.6 |
|
Expenses for credit losses to average balance of credit granted to the public |
0.48 |
0.41 |
0.61 |
|
Net Credit granted to the public, to total assets |
58.4 |
59.5 |
58.5 |
|
Net Credit granted to the public, to deposits from the public |
77.0 |
79.2 |
77.4 |
|
Deposits from the public to total assets |
75.8 |
75.2 |
75.6 |
|
Total Non-Interest Income to Operating Expenses |
61.1 |
54.6 |
55.9 |
|
Operating Expenses to Total Income |
76.2 |
76.4 |
75.5 |
|
Adjusted Return on Risk Assets |
10.1 |
8.3 |
7.8 |
Israel Discount Bank
Israel Discount Bank is a leading financial group in Israel. With nationwide coverage, Israel Discount Bank provides a full spectrum of corporate and retail financial products and services to its clients, both in Israel and key financial centers around the world. Israel Discount Bank is traded on the Tel Aviv Stock Exchange under the ticker DSCT.
Israel Discount Bank Ltd.
Head Office:
Discount Tower
23 Yehuda Halevi Street, Tel Aviv, Israel
Tel: 972-3-5145555
Mobile: 972-52-2461151
www.discountbank.co.il
For additional details please contact:
Sarit Weiss
Spokesperson
Tel: 972-3-5145516
Mobile: 972-52-2461151
[email protected]
SOURCE Israel Discount Bank Ltd
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