Reports record profits, with the financial statements reflecting accelerated growth and high profitability, whilst maintaining financial stability
First International Bank of Israel (TASE: FIBI)one ofIsrael'smajor banking groups, today announced its results for the second quarter of the year.
Financial Highlights
— Net income of NIS 637 million in the second quarter of 2025, an increase of 4.6% year-over-year, and a return on equity of -18.3%
— Pre-tax income amounted to NIS 1,951 million in the first half of the year, an increase of 6.6% year-over-year
— Net income in the first half of the year amounted to NIS 1,167 million, compared to -1,178 NIS million in the same period of last year, a decrease of 0.9%/
— Credit to the public, net, in the first half of the year increased by 12% year-over-year and by 2.3% in the second quarter of the year
— Deposits by the public, net, in the first half of the year increased by 10.3% year-over-year and by 1.8% in the second quarter of the year
— Customers' assets in the first half of the year grew by 34.4% year-over-year and by 8.3% in the second quarter of the year, reaching NIS 1,015 billion.
— Shareholders' equity in the Bank amounted to NIS 14,258 million, an increase of 13% year-over-year. The tier 1 capital ratio stands at11.54%
— The Bank's Board of Directors declared a dividend of NIS 319 million, representing 50% of the net income for the second quarter of the year
Second Quarter and First Half 2025 Results Summary
— The First International Bank Group's net income amounted to NIS 637 million in the second quarter of 2025, an increase of 4.6 % compared to the same quarter last year. The return on equity reached 18.3%.
— Pre-tax income amounted to NIS 1,951 million in the first six months of the year, an increase of 6.6% compared to the first half of the previous year. Net income amounted to NIS 1,167million in the first half of the year. The return on equity reached 17.1%.
— Credit to the public, net, amounted to NIS 135 billion, an increase of 12% compared to the end of the second quarter of last year, an increase of 4.4% compared to the end of 2024, and an increase of 2.3% in the second quarter of the year.
— Deposits by the public amounted to approximately NIS 225 billion, an increase of 10.3% compared to the end of the second quarter of last year, an increase of 4.8% compared to the end of 2024 and an increase of 1.8% in the second quarter of the year.
— Customers' assets portfolio increased by 34.4% compared to the same period last year, by 21% compared to the end of 2024, and by 8.3% in the second quarter of the year and amounted to NIS 1,015 billion.
— Shareholders' equity in the Bank increased to NIS 14.26 billion, an increase of 13% compared to the same period last year. The tier 1 capital ratio stood at 11.54% – approximately 2.3% percentage points above the regulatory requirement, supporting continued growth in the Group's activities.
— Net income from credit losses in the first half of 2025 amounted to NIS 27 million, representing 0.04% of the average balance of the credit to the public.
— The NPL ratio (non-performing loans as a percentage of total credit to the public, defined as loans that are non-accrual or more than 90 days past due) reached 0.46%, compared to 0.59% in the same period last year.
— Operating and other expenses amounted to NIS 1,585 million in the first half of 2025. The operating efficiency ratio was 45.2% in the first half of 2025 and 43.1% in the second quarter of 2025.
— The Bank's Board of Directors approved the distribution of a cash dividend in the amount of NIS 319 million to the shareholders, representing 50% of the net income in the second quarter. The Bank's Board of Directors will continue to review the Bank's dividend distribution policy in light of developments and the impact on the economy and on the Bank.
Management Comment
Eli Cohen, First International Bank's CEO commented: “The results for the second quarter of 2025 demonstrate record profits for the First International Bank. The profit was driven by annual growth of more than 10% in credit and deposits, which are the Bank's core fields of activity, among other factors. The capital markets, a segment in which we are leading players, stood out in particular, with the customers' portfolio assets increasing by 34.4% compared to the same period last year and crossing the one trillion shekel mark for the first time.
As part of the implementation of our dividend policy, we have resumed distributions at a rate of 50% of net income for the second quarter. This policy is reviewed on an ongoing basis. The Bank's high capital ratios and the other financial indicators demonstrate our financial strength and position us for continued accelerated growth.
I would like to thank the Bank's employees, who show their loyalty and their commitment even during conflict on both the frontlines and also on the home front, as they continue to provide essential and high-quality service to our customers. I pray for the swift and safe return of all of our soldiers and all the hostages.”
CONDENSED PRINCIPAL FINANCIAL INFORMATION AND PRINCIPAL EXECUTION INDICESPrincipal execution indices For the three months For the six months For theyear ended June 30, ended June 30, ended December 31, 2025 2024 2025 2024 2024 in %Return on equity attributed to shareholders of the Bank(1) 18.3 19.6 17.1 19.2 19.0Return on average assets(1) 0.99 1.06 0.91 1.05 1.02Ratio of total income to average assets(1) 2.9 2.9 2.7 2.9 2.9Ratio of interest income, net to average assets (1) 2.0 2.1 1.9 2.1 2.0Ratio of fees to average assets (1) 0.7 0.6 0.7 0.6 0.7Efficiency ratio 43.1 44.7 45.2 45.4 44.1
As of June 30, As of December 31, 2025 2024 2024 in %Ratio of equity capital tier 1 11.54 11.34 11.31Leverage ratio 5.26 5.20 5.18Liquidity coverage ratio (3) 134 172 165Net stable funding ratio 125 149 140
Credit quality indices For the three months For the six months For the year ended June 30, ended June 30, ended December 31, 2025 2024 2025 2024 2024 in %Ratio of provision for credit losses to credit to the public 1.19 1.32 1.19 1.32 1.25Ratio of total provision for credit losses (2)to credit to the public 1.33 1.44 1.33 1.44 1.38Ratio of non-accruing debts or in arrears of 90 days or more to credit to the public 0.46 0.59 0.46 0.59 0.53Ratio of provision for credit losses to total non-accruing credit to the public 271.5 230.4 271.5 230.4 244.6Ratio of net write-offs to average total credit to the public (1) (0.03) (0.15) (0.04) (0.08) (0.04)Ratio of income for credit losses to average total credit to the public (1) (0.05) (0.24) (0.04) (0.12) (0.01)
Principal data from the statement of income For the three months For the six months ended June 30, ended June 30, 2025 2024 2025 2024 NIS millionNet profit attributed to shareholders of the Bank 637 609 1,167 1,178Interest Income, net 1,290 1,221 2,444 2,336Income from credit losses (16) (71) (27) (73)Total non-Interest income 551 418 1,065 884Of which: Fees 434 362 859 727Total operating and other expenses 793 732 1,585 1,463Of which: Salaries and related expenses 449 *435 902 *882Primary and diluted net profit per share of NIS 0.05 par value (NIS) 6.35 6.07 11.63 11.74
Principal data from the balance sheet 30.6.25 30.6.24 31.12.24 NIS millionTotal assets 262,507 232,809 248,563of which: Cash and deposits with banks 79,142 77,663 77,175Securities 37,432 27,237 34,396Credit to the public, net 135,092 120,436 129,416Total liabilities 247,537 219,604 234,479of which: Deposits from the public 225,124 204,069 214,755Deposits from banks 2,141 2,735 2,508Bonds and subordinated capitalnotes 4,517 4,689 4,479Capital attributed to the shareholders of the Bank 14,258 12,615 13,430Additional data 30.6.25 30.6.24 31.12.24 (0.01 NIS)Share price 24,370 14,410 17,940Dividend per share 439 495 986* Reclassified.(1) Annualized.(2) Including provision in respect of off-balance sheet credit instruments.(3) The ratio is computed in respect of the three months ended at the end of the reporting period.
CONSOLIDATED STATEMENT OF INCOME(NIS million) For the three months For the six months For the year Ended ended June 30 ended June 30 December 31 2025 2024 2025 2024 2024 (unaudited) (unaudited) (unaudited) (unaudited) (audited)Interest Income 3,019 2,879 5,822 5,455 11,097Interest Expenses 1,729 1,658 3,378 3,119 6,357Interest Income, net 1,290 1,221 2,444 2,336 4,740Income from credit losses (16) (71) (27) (73) (16)Net Interest Income after expenses from credit losses 1,306 1,292 2,471 2,409 4,756Non- Interest IncomeNon-Interest Financing income 117 47 205 147 432Fees 434 362 859 727 1,553Other income – 9 1 10 21Total non- Interest income 551 418 1,065 884 2,006Operating and other expensesSalaries and related expenses 449 *435 902 *882 1,739Maintenance and depreciation of premises andequipment 82 *81 166 *163 359Amortizations and impairment of intangible assets 36 32 71 63 134Other expenses 226 184 446 355 745Total operating and other expenses 793 732 1,585 1,463 2,977Profit before taxes 1,064 978 1,951 1,830 3,785Provision for taxes on profit 416 364 770 643 1,383Profit after taxes 648 614 1,181 1,187 2,402The bank's share in profit of equity-basis investee, after taxes 16 22 38 40 74Net profit:Before attribution to non‑controlling interests 664 636 1,219 1,227 2,476Attributed to non‑controlling interests (27) (27) (52) (49) (105)Attributed to shareholders of the Bank 637 609 1,167 1,178 2,371 NISPrimary profit per share attributed to the shareholdersof the BankNet profit per share of NIS 0.05 par value 6.35 6.07 11.63 11.74 23.63Diluted profit per share attributed to the shareholdersof the BankNet profit per share of NIS 0.05 par value 6.35 6.07 11.63 11.74 23.63* Reclassified.
STATEMENT OF COMPREHENSIVE INCOME(NIS million) For the three months For the six months For the year Ended ended June 30 ended June 30 December 31 2025 2024 2025 2024 2024 (unaudited) (unaudited) (unaudited) (unaudited) (audited)Net profit before attribution to non‑controlling interests 664 636 1,219 1,227 2,476Net profit attributed to non‑controlling interests (27) (27) (52) (49) (105)Net profit attributed to the shareholders of the Bank 637 609 1,167 1,178 2,371Other comprehensive income (loss) before taxes:Adjustments of available for sale bonds to fair value, net 126 (200) 164 (244) 31Adjustments of liabilities in respect of employee benefits(1) (17) 1 9 12 (60)Other comprehensive income (loss) before taxes 109 (199) 173 (232) (29)Related tax effect (43) 73 (67) 90 9Other comprehensive income (loss) before attribution to non‑controlling interests, after taxes 66 (126) 106 (142) (20)Less other comprehensive income (loss) attributed to non‑controlling interests 6 (5) 6 (5) 3Other comprehensive income (loss) attributed to the shareholders of the Bank, aftertaxes 60 (121) 100 (137) (23)Comprehensive income before attribution to non‑controlling interests 730 510 1,325 1,085 2,456Comprehensive income attributed to non‑controlling interests (33) (22) (58) (44) (108)Comprehensive income attributed to the shareholders of the Bank 697 488 1,267 1,041 2,348(1) Mostly reflects adjustments in respect of actuarial assessments as of the end of the period regarding defined benefits pension plans and deduction of amounts recorded in the past in other comprehensive income.
CONSOLIDATED BALANCE SHEET(NIS million) June 30, December 31, 2025 2024 2024 (unaudited) (unaudited) (audited)AssetsCash and deposits with banks 79,142 77,663 77,175Securities 37,432 27,237 34,396Securities borrowed 275 30 70Credit to the public 136,724 122,044 131,050Provision for Credit losses (1,632) (1,608) (1,634)Credit to the public, net 135,092 120,436 129,416Credit to the government 1,396 1,421 1,496Investment in investee company 884 825 842Buildings and equipment 855 859 867Intangible assets 355 348 363Assets in respect of derivative instruments 5,729 2,670 2,565Other assets(2) 1,347 1,320 1,373Total assets 262,507 232,809 248,563Liabilities and CapitalDeposits from the public 225,124 204,069 214,755Deposits from banks 2,141 2,735 2,508Deposits from the Government 1,020 719 2,540Securities lent or sold under agreements to repurchase 4,180 744 2,304Bonds and subordinated capitalnotes 4,517 4,689 4,479Liabilities in respect of derivative instruments 6,176 2,388 2,729Other liabilities(1)(3) 4,379 4,260 5,164Total liabilities 247,537 219,604 234,479Shareholders' equity 14,258 12,615 13,430Non-controlling interests 712 590 654Total capital 14,970 13,205 14,084Total liabilities and capital 262,507 232,809 248,563(1) Of which: provision for credit losses in respect of off-balance sheet credit instruments in the amount of NIS 180 million and NIS 152 million and NIS 177 million at 30.6.25, 30.6.24 and 31.12.24, respectively.(2) Of which: other assets measured at fair value in the amount of NIS 21 million and NIS 3 million and NIS 1 million at 30.6.25, 30.6.24 and 31.12.24, respectively.(3) Of which: other liabilities measured at fair value in the amount of NIS 21 million and NIS 28 million and NIS 1 million at 30.6.25, 30.6.24 and 31.12.24, respectively.
STATEMENT OF CHANGES IN EQUITY(NIS million) For the three months ended June 30, 2025 (unaudited) Share Capital reserves Total capital Accumulated Retained Total Non- Total capital and premium (1) from benefit due and capital reserves other earnings (2) controlling capital to share-based comprehensive interests payment transactions income (loss)Balance as of March 31, 2025 927 1 928 (138) 12,983 13,773 679 14,452Net profit for the period – – – – 637 637 27 664Dividend – – – – (212) (212) – (212)Other comprehensive income, after tax effect – – – 60 – 60 6 66Balance as at June 30, 2025 927 1 928 (78) 13,408 14,258 712 14,970
For the three months ended June 30, 2024 (unaudited) Share Accumulated Retained Total Non- Total capital capital and other earnings (2) controlling premium (1) comprehensive interests lossBalance as of March 31, 2024 927 (171) 11,599 12,355 597 12,952Net profit for the period – – 609 609 27 636Dividend – – (228) (228) (29) (257)Other comprehensive loss, after tax effect – (121) – (121) (5) (126)Balance as at June 30, 2024 927 (292) 11,980 12,615 590 13,205
For the six months ended June 30, 2025 (unaudited) Share Capital reserves Total capital Accumulated Retained earnings (2) Total Non- Total capital capital and premium(1) from benefit due and capital other controlling interests to share-based reserves comprehensive payment income (loss) transactionsBalance as of December 31, 2024 (audited) 927 – 927 (178) 12,681 13,430 654 14,084Net profit for the period – – – – 1,167 1,167 52 1,219Dividend – – – – (440) (440) – (440)Benefit due to share-based payment transactions – 1 1 – – 1 – 1Other comprehensive income, after tax effect – – – 100 – 100 6 106Balance as at June 30, 2025 927 1 928 (78) 13,408 14,258 712 14,970
For the six months ended June 30, 2024 (unaudited) Share Accumulated Retained Total Non- Total capital and other earnings (2) controlling capital premium (1) comprehensive interests lossBalance as at December 31, 2023 (audited) 927 (155) 11,299 12,071 575 12,646Net profit for the period – – 1,178 1,178 49 1,227Dividend – – (497) (497) (29) (526)Other comprehensive loss, after tax effect – (137) – (137) (5) (142)Balance as at June 30, 2024 927 (292) 11,980 12,615 590 13,205STATEMENT OF CHANGES IN EQUITY(CONT'D)(NIS million) For the year ended December 31, 2024 (audited) Share Accumulated Retained Total Non- Total capital and other earnings(2) controlling capital premium(1) comprehensive interests lossBalance as at December 31, 2023 927 (155) 11,299 12,071 575 12,646Net profit for the period – – 2,371 2,371 105 2,476Dividend – – (989) (989) (29) (1,018)Other comprehensive income (loss), after tax effect – (23) – (23) 3 (20)Balance as at December 31, 2024 927 (178) 12,681 13,430 654 14,084(1) Including share premium of NIS 313 million (as from 1992 onwards).(2) Including an amount of NIS 2,391 million which cannot be distributed as dividend.
Contact:Dafna ZuckerFirst International Bank of Israelzucker.d@fibi.co.i+972-3-519-6224
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SOURCE First International Bank of Israel
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