Israel Discount Bank (TASE: DSCT) reported a net profit of NIS 303 million for the first quarter of 2017 this morning. This represents an increase of 70% in comparison with the profit for the first quarter of 2016. The return on equity in the first quarter of 2017 was 8.6%, which compares with 5.5% in the corresponding quarter of 2016.
In general, the financial statements for the first quarter of 2017 show substantial improvement over the corresponding quarter. Net credit to the public grew 11% to NIS 143.5 million. Interest income grew 11.2%, to NIS 1.1 billion, while fee income grew 6.7%.
The bank's efficiency ratio improved to 68.8% from 77.4% in the corresponding quarter. This ratio, which measures expenses as a percentage of interest and fee income, was considered Discount Bank's weak point in comparison with Israel's other banks.
Discount Bank CEO Lilach Asher-Topilsky said, "These achievements are a result of joint hard work by the bank's management and its staff, as we continued to implement the strategic plan which has guided the group for several years and prepared for tomorrow's challenges. We are constantly looking ahead, examining innovations and adapting ourselves to a changing world. We have invested considerable resources in making advanced service systems available to our customers, and we are working on introducing innovative banking models in collaboration with fintech companies. In that context, we recently signed an agreement with Israeli company PayBox that will enable us to make a swift entry into digital payments."
Published by Globes [online], Israel business news - www.globes-online.com - on May 15, 2017
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