Clal Insurance Enterprises (CLIS) Q3 2024 earnings summary

Executive summary

• 9M 2024 comprehensive income was NIS 596m vs NIS 205m; income attributable to shareholders was NIS 591m vs NIS 203m, supported by stronger investment returns and insurance underwriting.

• Q3 comprehensive income was NIS 274m vs NIS 150m; income attributable to shareholders was NIS 271m vs NIS 151m.

• Results reflected higher P&C and health underwriting income and continued credit-card profitability, alongside weaker life-savings results.

• Strategy continued shifting toward a diversified financial group, combining insurance and long-term savings with credit cards and agencies.

Financial highlights

• 9M revenue was NIS 19.906bn vs NIS 15.277bn; investment and finance income rose to NIS 10.792bn from NIS 6.049bn.

• 9M net income was NIS 387m vs NIS 41m; income attributable to shareholders was NIS 382m vs NIS 39m, with basic EPS of NIS 4.83 vs NIS 0.50.

• 9M premiums, contributions and investment-contract proceeds totaled NIS 19.8bn vs NIS 20.1bn; premiums and contributions were NIS 19.2bn.

• Assets under management reached NIS 361bn at September 30, up from NIS 338bn at December 31, 2023; shareholders’ equity was NIS 9.18bn.

• Insurance and savings comprehensive income excluding reserve financial effects was NIS 377m vs NIS 62m; reserve financial effects were NIS 109m vs NIS 344m.

Segment performance

• P&C gross premiums rose 10% to NIS 3.154bn; comprehensive income increased to NIS 431m from NIS 219m, reflecting improved underwriting.

• Health gross premiums rose 6% to NIS 1.381bn; comprehensive income was NIS 120m vs a NIS 3m loss, reflecting individual-line underwriting improvement and LTC reserve releases.

• Life insurance comprehensive income was a NIS 107m loss vs NIS 105m income; long-term savings pretax comprehensive income fell NIS 215m to a NIS 64m loss, mainly due to lower life-insurance interest-rate effects.

• Max 9M net income was NIS 210m vs NIS 207m and pretax income was NIS 309m vs NIS 237m; domestic turnover growth partly offset weaker overseas activity.

• Pension contributions rose 7% to NIS 7.796bn; provident contributions were NIS 3.395bn vs NIS 3.360bn. Other-segment pretax comprehensive income rose 53% to NIS 52m.