Israel Discount Bank Announces Third Quarter 2011 Financial Results
TEL-AVIV, Israel, November 30, 2011 /PRNewswire/ --
Q3 Net Income - NIS 121 million compared to NIS 284 million in the third quarter of 2010, a decrease of 57.4%
Q3 Net Return on Equity - 4.7% compared to 11.6% in the third quarter of 2010
Net Income for the first nine months of 2011 - NIS 630 million compared to NIS 573 million in the first nine months of 2010, an increase of 9.9%
Net Return on Equity for the first nine months of 2011 - 8.2%, in annualized terms, compared to 7.8% in the first nine months of 2010 and compared to 7.0% for the whole of 2010
Ratio of Capital to Risk Assets (according to Basel II guidelines) - 13.3%.
Core Capital Ratio - 7.6%
Israel Discount Bank Limited (TASE:DSCT), one of Israel's leading banks, today reported its Q3 2011 financial results.
(Logo: http://www.newscom.com/cgi-bin/prnh/20100810/403645 )
Main factors affecting the Group's business results in the first nine months of 2011, compared to the corresponding period:
- An increase of 3.1% in income from financing activities before expenses for credit losses.
- A decrease of 3.8% in expenses for credit losses.
- An increase of 3.8% in operating and other income.
- An increase of 6.9%.in operating and other expenses.
- A decrease of 19.2% in the Bank's share in operating income of affiliated companies, net of tax effect.
- An increase of NIS 30 million in net income from extraordinary items, net of taxes
Main Balance Sheet Developments as at September 30, 2011:
- Total Assets increased by 7.2%, amounting to NIS 199.0 billion, compared to NIS 185.6 billion at the end of 2010.
- Net Credit granted to the public decreased by 0.1%, amounting to NIS 118.5 billion, compared to NIS 118.7 billion at the end of 2010.
- Deposits from the public increased by 8.1%, amounting to NIS 149.2 billion, compared to NIS 138.0 billion at the end of 2010.
- The equity attributable to the shareholders of the Bank decreased by 3.1%, amounting to NIS 10.5 billion, compared to NIS 10.8 billion at the end of 2010.
- Total Capital declined by 2.8% to NIS 10.8 billion, compared to NIS 11.2 billion at the end of 2010.
Data Regarding Subsidiaries
First nine months of 2011 Return on Equity Ratio of Attributable capital Net to to risk Income Shareholders assets Discount Bancorp Inc. USD 39 M 6.6% *15.8% Mercantile Discount Bank NIS 132 M 10.7% 13.8% Discount Mortgage Bank NIS 34.1 M 4.1% 16.9% Israel Credit Cards (ICC) (the Bank holds 71.8% of the equity) NIS 181 M 22.2% 16.3%
* In conformity with U.S. Reporting Standards
First nine months of 2010 Return on Equity Ratio of Attributable capital Net to to risk Income Shareholders assets Discount Bancorp Inc. USD 42 M 7.7% *14.6% Mercantile Discount Bank NIS 116 M 9.1% 12.7% Discount Mortgage Bank NIS 24.2 M 2.9% 18.3% Israel Credit Cards (ICC) (the Bank holds 71.8% of the equity) NIS 176 M 20.9% 16.9%
* In conformity with U.S. Reporting Standards
2010 Return on Equity Ratio of Attributable capital Net to to risk Income Shareholders assets Discount Bancorp Inc. USD 51 M 6.8% *14.7% Mercantile Discount Bank NIS 141 M 8.1% 13.2% Discount Mortgage Bank NIS 30.4 M 2.8% 18.3% Israel Credit Cards (ICC) (the Bank holds 71.8% of the equity) NIS 215 M 18.3% 16.2%
* In conformity with U.S. Reporting Standards
Discount Group - Principal Data from the Financial Statements Income and Profitability (in NIS millions) Third Quarter First Nine Months Annual % % 2011 2010 change 2011 2010 change 2010 Income from financing activities before expenses for credit losses 1,067 1,331 (19.8) 3,645 3,537 3.1 4,830 Expenses for credit losses 226 169 33.7 526 547 (3.8) 821 Operating and other income 718 659 9.0 2,032 1,957 3.8 2,660 Operating and other expenses 1,478 1,321 11.9 4,377 4,093 6.9 5,659 Operating income before taxes 81 500 (83.8) 774 854 (9.4) 1,010 Operating income after taxes 133 271 (50.9) 553 500 10.6 552 Net income attributable to the shareholders of the Bank 121 284 (57.4) 630 573 9.9 704 Return on Net Income in % 4.7 11.6 8.2 7.8 7.0
Development of Assets and Liabilities (in NIS millions) September 30 December 31 2011 2010 % change 2010 % change Total Assets 198,995 186,797 6.5 185,576 7.2 Net Credit granted to the public 118,516 119,129 (0.5) 118,666 (0.1) Securities 37,774 39,605 (4.6) 37,176 1.6 Deposits from the public 149,197 137,810 8.3 138,011 8.1 Equity attributable to the shareholders of the Bank 10,491 10,353 1.3 10,824 (3.1) Total Equity 10,840 10,711 1.2 11,152 (2.8)
PRINCIPAL FINANCIAL RATIOS (IN PERCENTAGES) September 30 December 31 2011 2010 2010 Total Equity / Total Assets 5.4 5.7 6.0 Net Credit granted to the public / Deposits from the public 79.4 86.4 86.0 Ratio of capital to risk assets (Basel II) 13.3 12.5 13.2 Core capital ratio 7.6 7.1 7.6 Expenses for credit losses / Credit granted to the public 0.59 0.58 0.66 Interest Margin 1.20 1.40 1.48 Operating Expenses / Total income (efficiency ratio) 77.1 74.5 75.6
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
Website: http://www.discountbank.co.il
For additional details please contact:
Sarit Weiss
Spokesperson
Tel: +972-3-5145516
Mobile: +972-52-2-461151
E-mail: spokes@discountbank.net
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