Israel Discount Bank quarterly profit rises, to pay dividend
Israel Discount Bank (DSCT.TA) reported a higher-than-expected rise in quarterly profit that was boosted by higher financing income and a one-time gain.
Discount, Israel’s fourth-largest bank by assets, said on Wednesday its first quarter profit rose 49% to a record 983 million shekels ($294 million), versus 662 million shekels a year earlier, citing gains in mortgages and loans to medium-sized businesses.
Stripping out a net 315 million shekels for the sale of property, Discount earned 668 million shekels in the January-March period.
Net interest income grew 20% to 1.8 billion shekels and posted credit income from loan default provisions of 60 million shekels, up from income of 147 million shekels a year ago.
Discount said it would pay a quarterly dividend of 197 million shekels, reflecting a payout of 20% of first-quarter profit.
Its Tier 1 capital ratio, a key measure of financial strength, stood at 10.52%, up from 10.20% a year earlier.
Discount said it was focusing on executing a strategy of reaching net profit of 3.5 billion shekels by 2025. It earned 2.77 billion shekels in 2021.
($1 = 3.3408 shekels)
Reporting by Steven Scheer; Editing by Edmund Blair
This article was originally published by Reuters.