Clal Insurance Enterprises (CLIS) Q2 2025 earnings summary

Executive summary

• H1 2025 comprehensive income attributable to shareholders was NIS 941m versus NIS 925m; excluding the Special Provision’s estimated NIS 101m after-tax impact, it was NIS 1,042m.

• H1 core income was NIS 1,123m versus NIS 1,113m; annualized ROE was 21.5%, or 23.8% excluding adjustments.

• Insurance and Savings underwriting income was NIS 615m before tax; Max H1 net income was NIS 150m excluding the Special Provision.

Financial highlights

• H1 income before tax was NIS 1,433m versus NIS 1,399m; net income was NIS 951m versus NIS 923m, and EPS was NIS 11.90 versus NIS 11.65.

• Q2 income before tax was NIS 828m versus NIS 918m; net income was NIS 543m versus NIS 608m, and EPS was NIS 6.77 versus NIS 7.68.

• Q2 comprehensive income was NIS 531m reported and NIS 632m excluding the Special Provision, versus NIS 610m in Q2 2024.

• H1 remaining financial margin rose to NIS 442m from NIS 290m, supported by higher capital-market yields that offset lower risk-free rates and increased insurance liabilities.

Outlook and guidance

• Bank of Israel forecasts GDP growth of 3.3% in 2025 and 4.6% in 2026; the budget deficit is forecast at 4.9% and 4.2% of GDP, respectively.

• Credit-loss estimates remain judgmental amid uncertainty over the war’s duration, economic impact and customer repayment capacity; future losses could be materially above or below current estimates.

• Credit-card issuance and acquiring activity rapidly returned to pre-Operation Rising Lion levels after the 12-day disruption; overseas issuance turnover recovered as flights resumed.