Automatic Bank Services Limited (SHVA) Q4 2025 earnings summary

Executive summary

• FY2025 revenue rose to ₪156.977m from ₪151.458m; operating profit fell to ₪46.782m from ₪55.601m and net income to ₪45.258m from ₪50.905m.

• Payment activity increased: debit transactions reached 2.583bn versus 2.388bn in 2024; credit transactions totaled 26m versus 24m.

• Core payment infrastructure remained operational through the 2025 security disruptions; digital wallets exceeded 40% of physical transactions, according to the report.

• The 2022–2025 strategy concluded, and a 2026–2028 plan prioritizes revenue and customer diversification, core infrastructure, digital services, cloud and AI.

Financial highlights

• Revenue was ₪156.977m in 2025, up from ₪151.458m; card-company services contributed ₪134.335m and other services ₪22.642m.

• Operating expenses rose to ₪110.195m from ₪95.857m; operating profit was ₪46.782m versus ₪55.601m.

• Net financing income increased to ₪11.732m from ₪9.358m, but net income declined to ₪45.258m from ₪50.905m.

• Q4 revenue was ₪38.187m, operating profit ₪12.200m and net income ₪10.281m; diluted EPS was ₪0.26.

• Operating cash flow was ₪53.825m; investing cash outflow was ₪18.643m and financing cash outflow ₪62.348m, including ₪60m in dividends paid.

Outlook and guidance

• The 2026–2028 strategy targets diversified customers and revenue, stronger card and ATM infrastructure, scalable digital and data products, and cloud and AI development.

• Separation-related recurring costs are forecast at ₪17–18m in 2026 and about ₪19m annually after completion, planned for June 2029.

• Updated pricing and selected tariff increases are under review; management expects a positive effect on revenue, operating profit and financial stability, subject to regulatory and market factors.

• Further investment in cyber resilience, continuity and technology modernization is expected; the extent and timing depend on threats, regulation and market developments.