NIP Group Inc. Reports First Half 2024 Unaudited Financial Results
Net revenues from Events Production Increased by 376.5% YoY
Total operating expenses reduced by 49% YoY, narrowing net loss by 59%
Leveraging core competencies to create an expansive digital entertainment ecosystem with diverse revenue streams.
WUHAN, China, Nov. 25, 2024 (GLOBE NEWSWIRE) — NIP Group Inc. (“NIPG” or the “Company”) NIPG, a leading digital entertainment company, today announced its unaudited financial results for the first half of 2024, demonstrating year-over-year topline growth and narrowing losses as the Company balances growth and profitability by investing in high-growth areas while optimizing costs.
First Six Months of 2024 Financial and Operational Highlights
- Total net revenues for the first half of 2024 were US$39.3 million, compared with US$38.6 million in the same period of 2023.
- Gross profit for the first half of 2024 was US$2.4 million, compared with US$2.3 million in the same period of 2023.
- Net loss for the first half of 2024 was US$4.7 million, compared with US$11.3 million in the same period of 2023.
- Adjusted EBITDA for the first half of 2024 was negative US$2.6 million, compared with negative US$2.7 million in the same period of 2023.
Business Updates
- Completed initial public offering on NASDAQ raising over $20 million of capital in July 2024.
- Launched esports-themed hospitality service through a strategic partnership with Homeinns Hotels Group in August 2024.
- Entered into the game publishing market to create a fully integrated digital entertainment ecosystem in September 2024.
- Acquired Young Will, a leader in teen culture-themed short video content which boasts a following of over 115 million fans across major Chinese social media platforms, to strengthen the Company’s position in talent management in October 2024.
- Facilitating the entry into a term sheet with the Abu Dhabi Investment Office (“ADIO”), marking the Company’s expansion into the Middle East region.
Mario Ho, Chairman and Co-CEO of NIP Group, commented, “The first half of 2024 marked a pivotal phase in our company’s evolution from an esports-focused enterprise to a comprehensive gaming company. We have successfully laid the groundwork for our revenue diversification through strategic initiatives in game publishing, talent management upgrades, and sports-themed hospitality services, while expanding our operations to encompass the Middle East market. Our event production business has demonstrated remarkable growth, achieving a 376.5% revenue increase year-over-year. In talent management, we made the strategic decision to shift away from low-margin platforms, focusing instead on high-performance opportunities that better serve our long-term objectives. These moves reflect our commitment to building a more well-rounded and robust organization. Meanwhile, our recent public listing provides us with enhanced access to capital markets, potentially accelerating our future growth initiatives. Through these strategic shifts, we are maintaining our revenue growth trajectory while expediting our path to profitability.”
Hicham Chahine, Co-CEO of NIP Group, commented, “Looking ahead, we plan on executing several key strategic initiatives through the remainder of the year and through 2025 that will position us for sustainable growth and improved profitability. We are front-loading our staffing and marketing investments in our event production segment, and we expect to realize significant benefits from these economies of scale in 2025 and beyond. Our game publishing division is set to contribute meaningful revenue starting in 2025, and its established profitability will enhance our overall margins. In addition, our recent term sheet with the Abu Dhabi Investment Office will provide crucial subsidies enabling us to not only achieve EBITDA breakeven much earlier than planned, but also accelerate our organic growth and attain the economy of scale for maintaining profitability even after the subsidy expires. We are optimistic about the potential of our new initiatives and are thrilled to see what the future will bring.”
Ben Li, CFO of NIP Group, added, “Our financial results for the first half of 2024 reflect the ongoing strategic transformation of our business. Net revenues maintained stability despite a challenging macro backdrop, primarily driven by significant expansion in our event production segment. This performance demonstrates the initial impact of our business transition initiatives. Notably, we have substantially improved our bottom line, with net losses narrowing from US$11.3 million in the first half of 2023 to US$4.7 million in the first half of 2024. Our balance sheet remains solid, providing us with the financial flexibility to execute our growth strategy while maintaining operational stability. These results underscore the effectiveness of our strategic initiatives and our commitment to balancing topline growth with lasting profitability.”
First Six Months of 2024 Financial Results
Total net revenues
Total net revenues were US$39.3 million for the first half of 2024, compared to US$38.6 million in the same period of 2023.
The following table sets forth a breakdown of the Company’s net revenues by business segments for the period indicated.
| For the Six Months Ended June 30, | ||||||
| 2023 | 2024 | |||||
| US$ | % | US$ | % | |||
| (US$ in thousands, except for %) | ||||||
| Net revenues: | ||||||
| Esports teams operation | 9,849 | 25.5 | 8,782 | 22.3 | ||
| Talent management service | 26,896 | 69.8 | 21,901 | 55.7 | ||
| Event production | 1,818 | 4.7 | 8,662 | 22.0 | ||
| Total | 38,563 | 100.0 | 39,345 | 100.0 | ||
Total net revenues for the first half of 2024 increased by 2.0% to US$39.3 million, compared with US$38.6 million in the same period of 2023.
- Esports teams operation. Net revenues from esports teams operation during the first half of 2024 were US$8.8 million, representing a change of 10.8% from US$9.8 million in the same period of 2023, reflecting the transitory impact of the Company’s shift from IP licensing revenue related to PC and Console games to league revenue share from mobile games.
- Talent management service. Net revenues from talent management services were US$21.9 million during the first half of 2024, representing a change of 18.6% from US$26.9 million in the same period of 2023, reflecting the transitory impact of the Company’s migration from low-performance to high-performance online entertainment platforms.
- Event production. Net revenues from events production increased by 376.5% to US$8.7 million in the first half of 2024, from US$1.8 million in the same period of 2023. The increase was primarily driven by the Company hosting a higher number of events in 2024, due to improved integration of internal and external resources during the period.
- Foreign exchange impact. During the first half of 2024, the Company’s total net revenues were negatively impacted by unfavorable exchange rate movements. The appreciation of the US dollar compared to the RMB has had a negative impact on operations. The functional currency of the company’s PRC subsidiaries is RMB. The company lost approximately 4 percent of the value when sales amount in RMB for the six months ended June 30, 2024, translated into the US dollar.
Cost of revenues
Cost of revenues for the first half of 2024 was US$37.0 million, compared to US$36.3 million in the same period of 2023.
The following table sets forth a breakdown of the Company’s cost of revenues by business segments for the periods indicated.
| For the Six Months Ended June 30, | ||||||
| 2023 | 2024 | |||||
| US$ | % | US$ | % | |||
| (US$ in thousands, except for %) | ||||||
| Cost of revenues: | ||||||
| Esports teams operation | 7,332 | 20.2 | 6,019 | 16.3 | ||
| Talent management service | 27,388 | 75.5 | 23,204 | 62.7 | ||
| Event production | 1,550 | 4.3 | 7,757 | 21.0 | ||
| Total | 36,270 | 100.0 | 36,980 | 100.0 | ||
- Esports teams operation. Cost of revenues from esports teams operation for the first half of 2024 decreased by 17.9% to US$6.0 million, from US$7.3 million in the same period of 2023. The decline was primarily driven by a decrease in IP licensing fees paid to athletes under Ninjas in Pyjamas.
- Talent management service. Cost of revenues from talent management service for the first half of 2024 decreased by 15.3% to US$23.2 million, from US$27.4 million in the same period of 2023. The decrease was mainly due to the decline in livestreaming service fees paid to online entertainers.
- Event production. Cost of revenues from event production for the first half of 2024 increased by 400.5% to US$7.8 million from US$1.6 million in the same period of 2023. The increase was in line with the increase in revenues recognized from the Company’s event production business.
Gross profit
Gross profit for the first half of 2024 was US$2.4 million, compared with US$2.3 million in the same period of 2023. Gross margin for the first half of 2024 was 6.0%, compared with 5.9% in the same period of 2023. The slight increase in gross profit margin was mainly attributable to the increase in event production revenues, which was partially offset by the decline in talent management service revenues.
- Esports teams operation. Esports teams operation gross profit increased to US$2.8 million in the first half of 2024, from US$2.5 million in the same period of 2023. Gross margin increased to 31.5% from 25.6% in the first half of 2023, primarily due to increased revenue from league revenue sharing and athlete transfer and rental fees, which have a higher margin.
- Talent management service. Gross loss from talent management service changed from US$0.5 million in the first half of 2023 to US$1.3 million in the same period of 2024. Gross loss margin expanding from 1.8% in the first half of 2023 to 5.9% in the same period of 2024, primarily due to declining economies of scale.
- Event production. Gross profit from event production increased to US$0.9 million in the first half of 2024, from US$0.3 million in the same period of 2023. Gross profit margin declined from 14.7% in the first half of 2023 to 10.5% in the same period of 2024, mainly due to new large-scale esports events with lower average margins that the Company hosted in the first half of 2024 as well as the Company frontloading staffing and marketing expenses to accelerate the pace towards economy of scale.
Selling and Marketing Expenses
Selling and marketing expenses for the first half of 2024 were US$2.8 million, representing a decrease of 26.7% from US$3.8 million in the same period of 2023. This was mainly attributable to a decrease in marketing and promotion expenses for talent management service, and the decrease in business costs. Selling and marketing expenses as a percentage of net revenues decreased from 9.9% in the first half of 2023 to 7.1% in the same period of 2024, mainly due to improvements in operating efficiency.
General and Administrative Expenses
General and administrative expenses for the first half of 2024 decreased by 56.6% to US$4.7 million, from US$10.8 million in the same period of 2023. The decrease was primarily due to a decline in share-based compensation expenses, as the shares under the Company’s share incentive plans were fully vested in the first half of 2023. General and administrative expenses excluding share-based compensation for management and administrative employees as a percentage of net revenues increased slightly from 11.8% in the first half of 2023 to 11.9% in the same period of 2024.
Other loss for the first half of 2024 was US$0.5 million, compared with other income of US$0.2 million in the same period of 2023. The change was primarily due to a decline in government grant income.
Net loss for the first half of 2024 was US$4.7 million, compared with US$11.3 million in the same period of 2023.
Adjusted EBITDA, which is calculated as net loss excluding interest expense, net, income tax (benefit) expense, depreciation and amortization, and share-based compensation expenses, was negative US$2.6 million for the first half of 2024, compared with negative US$2.7 million in the same period of 2023.
Cash and cash equivalents
As of June 30, 2024, the Company had cash and cash equivalents of US$6.8 million, compared with US$7.6 million as of December 31, 2023.
Use of Non-GAAP Financial Measures
Adjusted EBITDA is calculated as net loss excluding interest expense, net, income tax (benefit) expense, depreciation and amortization and share-based compensation expense. The non-GAAP financial measure is presented to enhance investors’ overall understanding of financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. GAAP. Investors are encouraged to review the reconciliation of the historical non-GAAP financial measure to the most directly comparable GAAP financial measure. As non-GAAP financial measure has material limitations as an analytical metric and may not be calculated in the same manner by all companies, it may not be comparable to other similarly titled measures used by other companies. In light of the foregoing limitations, you should not consider non-GAAP financial measure as a substitute for, or superior to, such metrics prepared in accordance with GAAP.
The following table sets forth a breakdown of non-GAAP financial measures of the company for the periods indicated.
| For the Six Months Ended June 30, | ||||||
| 2023 | 2024 | |||||
| US$ | US$ | |||||
| (US$ in thousands, except for %) | ||||||
| Net loss | (11,271 | ) | (4,666 | ) | ||
| Add: | ||||||
| Interest expense, net | 218 | 340 | ||||
| Income tax benefits | (818 | ) | (931 | ) | ||
| Depreciation and amortization(1) | 2,866 | 2,698 | ||||
| Share-based compensation expense | 6,257 | – | ||||
| Adjusted EBITDA | (2,748 | ) | (2,559 | ) | ||
| Adjusted EBITDA margin(2) | (7.1 | ) | (6.5 | ) | ||
Notes:
(1) Primarily consists of depreciation related to property and equipment, as well as amortization related to intangible assets
(2) Adjusted EBITDA as a percentage of revenues.
Exchange Rate Information
The functional currency of the company’s PRC subsidiaries is RMB, which is the local currency used by the subsidiaries to determine financial position and operation result. The functional currency of Ninjas in Pyjamas is SEK, which is the local currency used by the subsidiary to determine financial position and operation result. The Group’s financial statements are reported using U.S. Dollars (“$”). The results of operations and the consolidated statements of cash flows denominated in functional currency is translated at the average rate of exchange during the reporting period. Assets and liabilities denominated in functional currencies at the balance sheet date are translated at the applicable rates of exchange in effect at that date. The equity denominated in the functional currency is translated at the historical rate of exchange at the time of capital contribution. Because cash flows are translated based on the average translation rate, amounts related to assets and liabilities reported on the consolidated statements of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheets. Translation adjustments arising from the use of different exchange rates from period to period are included as a separate component of accumulated other comprehensive income (loss) included in consolidated statements of changes in equity (deficit). Gains or losses from foreign currency transactions are included in the results of operations.
The following table outlines the currency exchange rates published by the Federal Reserve Board were used in unaudited condensed consolidated financial statements:
| As of | ||||
| December 31, 2023 |
June 30, 2024 |
|||
| Balance sheet items, except for equity accounts | ||||
| RMB against $ | 7.0999 | 7.2672 | ||
| SEK against $ | 10.0506 | 10.5996 | ||
| For the Six Months Ended June 30, | ||||
| 2023 | 2024 | |||
| Items in the statements of operation and comprehensive loss, and statements of cash flows | ||||
| RMB against $ | 6.9283 | 7.2150 | ||
| SEK against $ | 10.4862 | 10.5473 | ||
Recent Developments
- On July 26, 2024, NIPG announced the pricing of its initial public offering of 2,250,000 American depositary shares (“ADSs”), at US$9.00 per ADS, for a total offering size of US$20.25 million. The ADSs began trading on the Nasdaq Global Market on July 26, 2024, under the ticker “NIPG”.
- On August 21, 2024, NIPG announced it had entered a strategic partnership with Homeinns Hotels Group, a leading hospitality company in China. This collaboration will establish a joint venture focused on the development and operation of esports-themed hotels, with NIPG taking the controlling stake to oversee investment, operations, and management.
- On September 9, 2024, NIPG announced it had entered the game publishing market, underscoring the Company’s strategic ambition to create a fully integrated digital entertainment ecosystem. NIPG’s game publishing strategy will be multifaceted, focusing on esports-oriented titles, as well as exploring opportunities in various game categories.
- On October 15, 2024, NIPG announced it had signed a definitive agreement to acquire Young Will, a leader in teen culture-themed short video content which boasts a following of over 115 million fans across major Chinese social media platforms. The strategic acquisition strengthened the Company’s position in talent management and served to expand its digital entertainment ecosystem.
About NIP Group
NIP Group NIPG is a digital entertainment company created for a growing global audience of gaming and esports fans. The business was formed in 2023 through a merger between legendary esports organization Ninjas in Pyjamas and digital sports group ESV5, which includes eStar Gaming, a world-leader in mobile esports. Building on the success of its competitive teams with an innovative mix of business ventures, including talent management, event production, hospitality and game publishing, NIP Group is developing transformational experiences that entertain, inspire and connect fans worldwide, to expand its global footprint and engage digital-first gamers where they are. NIP Group currently has operations in Sweden, China, Abu Dhabi and Brazil, and its esports rosters participate across multiple game titles at the biggest events around the world.
Safe Harbor Statements
This press release contains statements that constitute “forward-looking” statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “aims,” “future,” “intends,” “plans,” “believes,” “estimates,” “likely to” or other similar expressions. Among other things, the business outlook and quotations from management in this press release, as well as NIP Group’s strategic and operational plans, contain forward-looking statements. NIP Group may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including but not limited to statements about NIP Group’s beliefs, plans and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: NIP Group’s growth strategies; its future business development, results of operations and financial condition; its ability to maintain and enhance the recognition and reputation of its brand; developments in the relevant governmental laws, regulations, policies toward NIP Group’s industry; and general economic and business conditions globally and in the countries or regions where NIP Group has operations; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in NIP Group’s filings with the SEC. All information provided in this press release is as of the date of this press release, and NIP Group undertakes no obligation to update any forward-looking statement, except as required under applicable law.
For investor and media inquiries, please contact:
NIP Group Inc.
Investor Relations
Tel: +46 8133700
Email: IR@nipgroup.gg
NIP GROUP INC.
| UNAUDITED CONSOLIDATED BALANCE SHEETS (In U.S. dollars, except for share and per share data, or otherwise noted) |
||||||
| As of | ||||||
| December 31, 2023 |
June 30, 2024 |
|||||
| ASSETS | ||||||
| Current assets: | ||||||
| Cash and cash equivalents | $ | 7,594,601 | $ | 6,762,378 | ||
| Accounts receivable, net | 18,995,477 | 20,708,803 | ||||
| Amounts due from related parties | 269,817 | 227,278 | ||||
| Prepaid expenses and other current assets, net | 2,494,395 | 5,683,742 | ||||
| Total current assets | 29,354,290 | 33,382,201 | ||||
| Non-current assets: | ||||||
| Property and equipment, net | 2,917,525 | 2,606,199 | ||||
| Intangible assets, net | 133,969,114 | 126,471,993 | ||||
| Right-of-use assets | 2,124,481 | 1,807,015 | ||||
| Goodwill | 141,402,327 | 134,912,191 | ||||
| Deferred tax assets | 550,794 | 1,065,535 | ||||
| Other non-current assets | 3,521,024 | 5,100,847 | ||||
| Total non-current assets | 284,485,265 | 271,963,780 | ||||
| Total assets | $ | 313,839,555 | $ | 305,345,981 | ||
| LIABILITIES | ||||||
| Current liabilities: | ||||||
| Short-term borrowings | $ | 5,324,019 | $ | 10,870,762 | ||
| Long-term borrowing, current portion | 281,694 | 275,209 | ||||
| Accounts payable | 12,728,929 | 12,632,333 | ||||
| Payable related to league tournaments rights, current | 1,921,518 | 1,906,028 | ||||
| Accrued expenses and other liabilities | 6,106,258 | 10,169,603 | ||||
| Deferred revenue | 500,785 | 333,972 | ||||
| Operating lease liabilities, current | 644,858 | 688,065 | ||||
| Amount due to related parties, current | 1,270,663 | 920,445 | ||||
| Total current liabilities | 28,778,724 | 37,796,417 | ||||
| Non-current liabilities: | ||||||
| Long-term borrowing, non-current | 3,713,180 | 3,509,566 | ||||
| Amount due to related party, non-current | 131,017 | 131,017 | ||||
| Payable related to league tournaments rights, non-current | 2,342,940 | 2,365,306 | ||||
| Operating lease liabilities, non-current | 1,475,374 | 1,171,644 | ||||
| Deferred tax liabilities | 24,659,215 | 23,254,194 | ||||
| Total non-current liabilities: | 32,321,726 | 30,431,727 | ||||
| Total liabilities | $ | 61,100,450 | $ | 68,228,144 | ||
| NIP GROUP INC. UNAUDITED CONSOLIDATED BALANCE SHEETS (In U.S. dollars, except for share and per share data, or otherwise noted) |
||||||||
| As of | ||||||||
| December 31, 2023 |
June 30, 2024 |
|||||||
| Commitments and contingencies | ||||||||
| MEZZANINE EQUITY | ||||||||
| Class A redeemable preferred shares | $ | 114,893,066 | $ | 123,547,635 | ||||
| Class B redeemable preferred shares | 16,766,736 | 16,976,181 | ||||||
| Class B-1 redeemable preferred shares | 190,882,461 | 215,222,620 | ||||||
| Total mezzanine equity | $ | 322,542,263 | $ | 355,746,436 | ||||
| DEFICIT: | ||||||||
| Ordinary shares | $ | 3,716 | $ | 3,716 | ||||
| Subscription receivable | (3,716 | ) | (3,716 | ) | ||||
| Additional paid-in capital | – | – | ||||||
| Statutory reserve | 72,420 | 72,420 | ||||||
| Accumulated deficit | (80,300,893 | ) | (120,878,503 | ) | ||||
| Accumulated other comprehensive income (loss) | 5,425,370 | (2,803,671 | ) | |||||
| Total deficit attributable to the shareholders of NIP Group Inc. | (74,803,103 | ) | (123,609,754 | ) | ||||
| Non-controlling interests | 4,999,945 | 4,981,155 | ||||||
| Total deficit | (69,803,158 | ) | (118,628,599 | ) | ||||
| Total liabilities, mezzanine equity and deficit | $ | 313,839,555 | $ | 305,345,981 | ||||
| NIP GROUP INC. UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (In U.S. dollars, except for share and per share data, or otherwise noted) |
||||||||
| For the Six Months Ended June 30, | ||||||||
| 2023 |
2024 |
|||||||
| Net revenue – third parties | $ | 38,006,519 | $ | 38,892,846 | ||||
| Net revenue – related parties | 556,917 | 451,626 | ||||||
| Total net revenue | 38,563,436 | 39,344,472 | ||||||
| Cost of revenue – third parties | (36,043,173 | ) | (36,816,220 | ) | ||||
| Cost of revenue – related parties | (226,751 | ) | (164,238 | ) | ||||
| Total cost of revenue | (36,269,924 | ) | (36,980,458 | ) | ||||
| Gross profit | 2,293,512 | 2,364,014 | ||||||
| Operating expenses: | ||||||||
| Selling and marketing expenses | (3,806,023 | ) | (2,790,316 | ) | ||||
| General and administrative expenses | (10,795,277 | ) | (4,684,201 | ) | ||||
| Total operating expenses | (14,601,300 | ) | (7,474,517 | ) | ||||
| Operating loss | (12,307,788 | ) | (5,110,503 | ) | ||||
| Other income (expense): | ||||||||
| Other income (expense), net | 436,674 | (145,598 | ) | |||||
| Interest expense, net | (218,425 | ) | (340,486 | ) | ||||
| Total other income (expense), net | 218,249 | (486,084 | ) | |||||
| Loss before income tax expenses | (12,089,539 | ) | (5,596,587 | ) | ||||
| Income tax benefits | 818,215 | 931,032 | ||||||
| Net loss | (11,271,324 | ) | (4,665,555 | ) | ||||
| Net loss attributable to non-controlling interest | (117,584 | ) | (18,925 | ) | ||||
| Net loss attributable to NIP Group Inc. | (11,153,740 | ) | (4,646,630 | ) | ||||
| Preferred shares redemption value accretion | (12,830,373 | ) | (35,930,980 | ) | ||||
| Net loss attributable to NIP Group Inc.’s shareholders | (23,984,113 | ) | (40,577,610 | ) | ||||
| Other comprehensive income (loss): | ||||||||
| Foreign currency translation income attributable to non-controlling interest, net of nil tax | 5,237 | 135 | ||||||
| Foreign currency translation income (loss) attributable to ordinary shareholders, net of nil tax | 1,288,471 | (8,229,041 | ) | |||||
| Total comprehensive loss | $ | (9,977,616 | ) | $ | (12,894,461 | ) | ||
| Total comprehensive loss attributable to non-controlling interest | (112,347 | ) | (18,790 | ) | ||||
| Total comprehensive loss attributable to NIP Group Inc. | (9,865,269 | ) | (12,875,671 | ) | ||||
| Net loss per ordinary share | ||||||||
| Basic and Diluted | (0.71 | ) | (1.04 | ) | ||||
| Weighted average number of ordinary shares outstanding | ||||||||
| Basic and Diluted | 33,770,051 | 38,888,512 | ||||||
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Stock market today: World shares mostly gain after Trump picks billionaire for Treasury post
BANGKOK (AP) — Shares climbed in Europe and Asia on Monday, tracking last week’s gains on Wall Street, and analysts said investors were viewing President-elect Donald Trump’s choice of billionaire investor Scott Bessent as his nominee for Treasury secretary as a relatively market-friendly choice.
Bitcoin fell slightly and oil prices also declined, while U.S. futures advanced.
Germany’s DAX surged 0.7% to 19,461.11 and the CAC 40 in Paris jumped 0.9% to 7,322.70. Britain’s FTSE 100 was up 0.4% at 8,291.83.
The future for the S&P 500 was 0.4% higher while that for the Dow Jones Industrial Average gained 0.6%.
In Asian trading, Tokyo’s Nikkei 225 index gained 1.3% to 38,780.14 while the Kospi in Seoul rose 1.3% to 2,534.34. In Australia, the S&P/ASX 200 picked up 0.3% to 8,417.60.
In China, shares fell further, with the Shanghai Composite index edging 0.1% lower, to 3,263.76 and the Hang Seng in Hong Kong falling 0.4% to 19,150.99.
China’s central bank kept the interest rate on the one-year medium-term lending facility unchanged at 2%.
Shares in technology companies saw big declines, with online shopping platform Meituan falling 4% while multimedia and video games company Tencent dropped 1.5%.
India’s Sensex gained 1.1% as hundreds of supporters of the main opposition party protested against billionaire Gautam Adani, who was recently indicted in the U.S. for alleged fraud and bribery. Activists are demanding the arrests of Adani and oher associates named in the case. The Adani group has denied wrongdoing. Shares in Adani Enterprises gained 4.1%.
Taiwan’s Taiex added 0.2%. In Bangkok, the SET lost 0.2%.
This week will bring an update on consumer sentiment from the business group The Conference Board on Tuesday and key inflation data with the release Wednesday of the personal consumption expenditures index for October. The PCE is the Fed’s preferred measure of inflation and this will be the last PCE reading prior to a meeting of the Federal Reserve next month.
On Friday, stocks closed higher on Wall Street as the market posted its fifth straight gain and the Dow Jones Industrial Average notched another record high, gaining 1% to close at 44,296.51.
The S&P 500 rose 0.3%, to 5,969.34 while the Nasdaq composite rose 0.2% to 19,003.65. The Russell 2000 index rose 1.8%.
Markets have swung widely since the U.S. elections in November, and Trump’s choices to head Treasury and other key positions that influence economic and financial policies were among the factors overhanging investor sentiment.
Gold tumbles as traders turn attention to the Fed's next move
(Bloomberg) — Gold (GC=F) tumbled after surging by the most in 20 months last week, with traders ignoring a softer US dollar and shifting their attention to the Federal Reserve’s upcoming interest-rate decision.
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The precious metal is still up by more than a quarter this year, supported by central bank purchases and the Fed’s pivot to rate cuts. Haven buying has also been a feature, with prices rallying 6% last week, on an escalation in the Russia-Ukraine war. Most banks remain positive about the outlook, with Goldman Sachs Group Inc. and UBS Group AG seeing further gains in 2025.
“Prices continue to reflect the interplay between geopolitical risks and a less dovish outlook from the Federal Reserve,” said Jun Rong Yeap, a market strategist with IG Asia Pte. “Any upside inflation surprises could further sway bets towards a potential rate hold in December, with any prospects of a slower pace of rate cuts likely to offer some resistance for gold prices.”
A slew of of data this week may yield clues on the Fed’s likely rate path. These include minutes of the central bank’s November meeting, consumer confidence and personal consumption expenditure data — the monetary authority’s preferred gauge of inflation.
The drop in the dollar on Monday — which was accompanied by a decline in US bond yields — came after US President-elect Donald Trump nominated Scott Bessent to oversee the Treasury. Investors expect the hedge fund manager to prioritize economic and market stability over more radical measures.
Spot gold retreated 1.6% to $2,673.94 an ounce as of 12:02 p.m. in Singapore, dropping along with silver (SI=F), platinum (PL=F) and palladium (PA=F). The Bloomberg Dollar Spot Index declined 0.5%.
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Earnings Scheduled For November 25, 2024
Companies Reporting Before The Bell
• Alarum Technologies ALAR is likely to report quarterly earnings at $0.04 per share on revenue of $7.00 million.
• BioLine Rx BLRX is expected to report quarterly loss at $0.10 per share on revenue of $4.12 million.
• Uxin UXIN is estimated to report earnings for its second quarter.
• Super Hi International HDL is expected to report quarterly earnings at $0.21 per share on revenue of $227.49 million.
• Diana Shipping DSX is estimated to report quarterly earnings at $0.09 per share on revenue of $68.00 million.
• Bath & Body Works BBWI is expected to report quarterly earnings at $0.47 per share on revenue of $1.58 billion.
• Freightos CRGO is expected to report quarterly loss at $0.16 per share on revenue of $5.95 million.
Companies Reporting After The Bell
• BBB Foods TBBB is estimated to report quarterly earnings at $0.03 per share on revenue of $776.51 million.
• Agilent Technologies A is estimated to report quarterly earnings at $1.40 per share on revenue of $1.67 billion.
• Central Garden & Pet CENTA is likely to report quarterly loss at $0.22 per share on revenue of $706.77 million.
• Central Garden & Pet CENT is projected to report quarterly loss at $0.20 per share on revenue of $707.30 million.
• LexinFintech Holdings LX is estimated to report earnings for its third quarter.
• Hesai Gr HSAI is projected to report quarterly loss at $0.02 per share on revenue of $69.82 million.
• Leslies LESL is projected to report quarterly earnings at $0.11 per share on revenue of $404.09 million.
• Semtech SMTC is estimated to report quarterly earnings at $0.23 per share on revenue of $232.90 million.
• Agora API is estimated to report quarterly loss at $0.04 per share on revenue of $40.00 million.
• Fluence Energy FLNC is estimated to report quarterly earnings at $0.30 per share on revenue of $1.31 billion.
• Zoom Video Comms ZM is expected to report quarterly earnings at $1.31 per share on revenue of $1.16 billion.
• Woodward WWD is likely to report quarterly earnings at $1.25 per share on revenue of $812.95 million.
• Blue Bird BLBD is expected to report quarterly earnings at $0.67 per share on revenue of $324.70 million.
• Grupo Supervielle SUPV is estimated to report quarterly earnings at $0.20 per share on revenue of $199.08 million.
• New Jersey Resources NJR is projected to report quarterly earnings at $0.88 per share on revenue of $407.00 million.
• Pennant Park Investment PNNT is expected to report quarterly earnings at $0.22 per share on revenue of $36.14 million.
• PennantPark Floating Rate PFLT is projected to report quarterly earnings at $0.32 per share on revenue of $48.95 million.
• Enanta Pharma ENTA is likely to report quarterly loss at $1.16 per share on revenue of $17.93 million.
This article was generated by Benzinga’s automated content engine and reviewed by an editor.
Market News and Data brought to you by Benzinga APIs
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
First International Bank of Israel Reports Financial Results for the Third Quarter of 2024
Reflects continued growth and high profitability while maintaining financial stability
TEL AVIV, Israel, Nov. 25, 2024 /PRNewswire/ — First International Bank of Israel FIBI one of Israel’s major banking groups, today announced its results for the third quarter and nine-month period ended September 30, 2024.
Financial Highlights
Financial Highlights for the Third Quarter of 2024
- Net income of NIS 620 million and a return on equity of 19.4% in the third quarter of 2024;
- Net income of NIS 1,798 million and a return on equity of 19.4% for the first nine months of the year;
- Credit to the public grew by 6% compared to the end of 2023 and by 3.5% compared to the second quarter of the year;
- Deposits by the public grew by 11.4% compared to the end of 2023, and by 4.3% compared to the second quarter of the year;
- The portfolio of customers’ assets grew by 19% compared to the end of 2023, and reached NIS 800 billion;
- Equity attributed to the Bank’s shareholders was NIS 13 billion, an increase of 8.2% compared to the end of 2023;
- The tier 1 capital ratio was 11.41%;
- The Bank’s Board of Directors decided to distribute a dividend in the amount of NIS 248 million, representing 40% of the net income.
Financial Results of the Third Quarter 2024
Net profit for the First International Bank Group was NIS 620 million in the third quarter of 2024, an increase of 36.3 % compared to the comparative quarter in the previous year. Return on equity was 19.4%.
The net profit for the first nine months of the year was NIS 1,798 million, an increase of 7.5% compared to the comparative period in the previous year. The return on equity was 19.4%.
Expense for credit losses was NIS 22 million in the third quarter, amounting to 0.07% of the average balance of credit to the public. Income for credit losses amounted to NIS 51 million in the first nine months of the year, primarily from debt recovery. In the corresponding period of last year, expenses of NIS 336 million were recorded which was due to an increase in collective provisions because of concerns over macroeconomic impacts, amid uncertainty.
High-quality credit portfolio: the NPL (non-performing loan) ratio remained stable and reached 0.57% at the end of the third quarter. This reflects the quality of the credit portfolio, (the balance of debts not accruing or overdue by 90 days or more out of the total credit to the public). The total coverage ratio (the ratio of the total credit loss provisions to the total credit to the public) stood at 1.41%, compared to 1.37% in the comparative period last year.
The operating and other expenses were NIS 2,240 million in the first nine months of the year, an increase of 2% compared to the comparative period in the previous year, mainly due to an increase in other expenses: IT-related, donations, telecommunications and advertising. The efficiency ratio stood at 44.5%.
Credit to the public amounted to NIS 126.4 billion, an increase of 6% compared to the end of 2023. There was an increase in the credit of 3.5% in the third quarter, compared to the second quarter of the year.
Deposits by the public amounted to NIS 213 billion, an increase of 11.4% compared to the end of 2023, and 4.3% compared to the second quarter.
The total customers’ assets portfolio increased by 26% year-over-year and by 19% compared to the end of 2023, to approximately 800 billion.
Equity attributed to shareholders in the Bank increased to NIS 13 billion, an increase of 8.2% compared to the end of 2023. The tier 1 capital ratio reached 11.41%, approximately -2.2% above the regulatory requirement, reflecting the highest capital surplus in the Israeli banking system. The liquidity coverage ratio is high and stands at 171%.
Considering the requests of the Banking Supervisor regarding capital planning and profits distribution policies, the Bank’s Board of Directors decided to approve the distribution of a cash dividend to the shareholders for NIS 248 million representing 40% of the net income. The Bank’s Board of Directors will continue to review the implementation of the Bank’s dividend distribution policy in light of ongoing developments and their impact on the Israeli economy and on the Bank.
Management Comment
Eli Cohen, CEO of First International Bank, commented: ,”The Bank’s reports reflect a growth trend both on the passive side, including deposits and securities of the public, which reached a record NIS 800 billion, and also on the active side, with a considerable increase in the credit portfolio, which has been achieved while maintaining the quality of the underwriting and portfolio diversification.
“Amid economic uncertainty and the ongoing multi-front war in Israel, the First International Bank maintained high capital and liquidity cushions, ensuring resilience and our ability to continue supporting our customers. The Bank is continuing to provide benefits and relief measures for customers to help them navigate the current challenging period.
“I am proud to say that the First International Bank’s customers are the most satisfied among bank customers in Israel, reporting high satisfaction with the Bank, the professionalism of its services and their willingness to recommend the bank to their friends. This is evidenced via customer surveys, including the recent Marketest survey. This reflects the high quality service and competitiveness of the First International Bank, as well as the professionalism and the dedication of our Group’s employees, all of whom have contributed to the achievement.
“We recently announced a number of management changes at the Bank: Vered Golan was appointed to the position of Head of the Corporate Division, Dr. Moriah Hoftman-Doron was appointed to the position of Chief Legal Counsel, and Liora Shechter was appointed CEO of Mataf. I wish considerable success to the new members of our management team.”
|
CONDENSED PRINCIPAL FINANCIAL INFORMATION AND PRINCIPAL EXECUTION INDICES |
||||||
|
Principal financial ratios |
For the nine months |
For the year ended |
||||
|
2024 |
2023 |
2023 |
||||
|
in % |
||||||
|
Principal execution indices |
||||||
|
Return on equity attributed to shareholders of the Bank(1) |
19.4 |
20.5 |
19.7 |
|||
|
Return on average assets(1) |
1.05 |
1.10 |
1.06 |
|||
|
Ratio of equity capital tier 1 |
11.41 |
10.84 |
11.35 |
|||
|
Leverage ratio |
5.17 |
5.30 |
5.26 |
|||
|
Liquidity coverage ratio |
171 |
142 |
156 |
|||
|
Net stable funding ratio |
142 |
138 |
146 |
|||
|
Ratio of total income to average assets(1) |
2.9 |
3.3 |
3.2 |
|||
|
Ratio of interest income, net to average assets (1) |
2.1 |
2.5 |
2.4 |
|||
|
Ratio of fees to average assets (1) |
0.7 |
0.7 |
0.7 |
|||
|
Efficiency ratio |
44.5 |
43.6 |
43.5 |
|||
|
Credit quality indices |
||||||
|
Ratio of provision for credit losses to credit to the public |
1.29 |
1.25 |
1.36 |
|||
|
Ratio of total provision for credit losses (2) to credit to the public |
1.41 |
1.37 |
1.50 |
|||
|
Ratio of non-accruing debts or in arrears of 90 days or more to credit to the public |
0.57 |
0.49 |
0.60 |
|||
|
Ratio of provision for credit losses to total non-accruing credit to the public |
230.5 |
263.8 |
234.5 |
|||
|
Ratio of net write-offs to average total credit to the public (1) |
(0.06) |
– |
0.03 |
|||
|
Ratio of expenses (income) for credit losses to average total credit to the public (1) |
(0.06) |
0.38 |
0.42 |
|||
|
Principal data from the statement of income |
For the nine months |
|||||
|
2024 |
2023 |
|||||
|
NIS million |
||||||
|
Net profit attributed to shareholders of the Bank |
1,798 |
1,673 |
||||
|
Interest Income, net |
3,601 |
3,820 |
||||
|
Expenses (income) from credit losses |
(51) |
336 |
||||
|
Total non-Interest income |
1,436 |
1,216 |
||||
|
Of which: Fees |
1,123 |
1,131 |
||||
|
Total operating and other expenses |
2,240 |
2,197 |
||||
|
Of which: Salaries and related expenses |
1,302 |
1,353 |
||||
|
Primary net profit per share of NIS 0.05 par value (NIS) |
17.92 |
16.67 |
||||
|
Principal data from the balance sheet |
30.9.24 |
30.9.23 |
31.12.23 |
|||
|
NIS million |
||||||
|
Total assets |
242,512 |
210,673 |
221,593 |
|||
|
of which: Cash and deposits with banks |
81,440 |
61,659 |
68,866 |
|||
|
Securities |
28,860 |
22,043 |
26,985 |
|||
|
Credit to the public, net |
124,749 |
118,577 |
117,622 |
|||
|
Total liabilities |
228,823 |
198,542 |
208,947 |
|||
|
of which: Deposits from the public |
212,907 |
181,274 |
191,125 |
|||
|
Deposits from banks |
2,631 |
3,824 |
4,314 |
|||
|
Bonds and subordinated capital notes |
4,474 |
4,751 |
4,767 |
|||
|
Capital attributed to the shareholders of the Bank |
13,066 |
11,583 |
12,071 |
|||
|
Additional data |
30.9.24 |
30.9.23 |
31.12.23 |
|||
|
Share price (0.01 NIS) |
15,410 |
16,360 |
14,990 |
|||
|
Dividend per share (0.01 NIS) |
739 |
706 |
795 |
|||
|
(1) Annualized. |
||||||
|
(2) Including provision in respect of off-balance sheet credit instruments. |
||||||
|
CONSOLIDATED STATEMENT OF INCOME |
||||||||||
|
(NIS million) |
||||||||||
|
For the three months |
For the nine months |
For the year Ended |
||||||||
|
2024 |
2023 |
2024 |
2023 |
2023 |
||||||
|
(unaudited) |
(unaudited) |
(unaudited) |
(unaudited) |
(audited) |
||||||
|
Interest Income |
2,955 |
2,590 |
8,410 |
7,289 |
9,850 |
|||||
|
Interest Expenses |
1,690 |
1,363 |
4,809 |
3,469 |
4,884 |
|||||
|
Interest Income, net |
1,265 |
1,227 |
3,601 |
3,820 |
4,966 |
|||||
|
Expenses (income) from credit losses |
22 |
165 |
(51) |
336 |
502 |
|||||
|
Net Interest Income after expenses from credit losses |
1,243 |
1,062 |
3,652 |
3,484 |
4,464 |
|||||
|
Non- Interest Income |
||||||||||
|
Non-Interest Financing income |
153 |
(1) |
300 |
78 |
142 |
|||||
|
Fees |
396 |
375 |
1,123 |
1,131 |
1,502 |
|||||
|
Other income |
3 |
– |
13 |
7 |
8 |
|||||
|
Total non- Interest income |
552 |
374 |
1,436 |
1,216 |
1,652 |
|||||
|
Operating and other expenses |
||||||||||
|
Salaries and related expenses |
430 |
438 |
1,302 |
1,353 |
1,746 |
|||||
|
Maintenance and depreciation of premises and equipment |
91 |
89 |
264 |
256 |
341 |
|||||
|
Amortizations and impairment of intangible assets |
36 |
31 |
99 |
91 |
122 |
|||||
|
Other expenses |
220 |
175 |
575 |
497 |
668 |
|||||
|
Total operating and other expenses |
777 |
733 |
2,240 |
2,197 |
2,877 |
|||||
|
Profit before taxes |
1,018 |
703 |
2,848 |
2,503 |
3,239 |
|||||
|
Provision for taxes on profit |
390 |
247 |
1,033 |
869 |
1,090 |
|||||
|
Profit after taxes |
628 |
456 |
1,815 |
1,634 |
2,149 |
|||||
|
The bank’s share in profit of equity-basis investee, after taxes |
22 |
21 |
62 |
105 |
113 |
|||||
|
Net profit: |
||||||||||
|
Before attribution to non‑controlling interests |
650 |
477 |
1,877 |
1,739 |
2,262 |
|||||
|
Attributed to non‑controlling interests |
(30) |
(22) |
(79) |
(66) |
(90) |
|||||
|
Attributed to shareholders of the Bank |
620 |
455 |
1,798 |
1,673 |
2,172 |
|||||
|
NIS |
||||||||||
|
Primary profit per share attributed to the shareholders of the Bank |
||||||||||
|
Net profit per share of NIS 0.05 par value |
6.18 |
4.53 |
17.92 |
16.67 |
21.65 |
|||||
|
STATEMENT OF COMPREHENSIVE INCOME |
||||||||||
|
(NIS million) |
||||||||||
|
For the three months |
For the nine months |
For the year Ended |
||||||||
|
2024 |
2023 |
2024 |
2023 |
2023 |
||||||
|
(unaudited) |
(unaudited) |
(unaudited) |
(unaudited) |
(audited) |
||||||
|
Net profit before attribution to non‑controlling interests |
650 |
477 |
1,877 |
1,739 |
2,262 |
|||||
|
Net profit attributed to non‑controlling interests |
(30) |
(22) |
(79) |
(66) |
(90) |
|||||
|
Net profit attributed to the shareholders of the Bank |
620 |
455 |
1,798 |
1,673 |
2,172 |
|||||
|
Other comprehensive income (loss) before taxes: |
||||||||||
|
Adjustments of available for sale bonds to fair value, net |
129 |
52 |
(115) |
78 |
213 |
|||||
|
Adjustments of liabilities in respect of employee benefits(1) |
(2) |
34 |
10 |
37 |
25 |
|||||
|
Other comprehensive income (loss) before taxes |
127 |
86 |
(105) |
115 |
238 |
|||||
|
Related tax effect |
(49) |
(29) |
41 |
(40) |
(81) |
|||||
|
Other comprehensive income (loss) before attribution to non‑controlling interests, after taxes |
78 |
57 |
(64) |
75 |
157 |
|||||
|
Less other comprehensive income (loss) attributed to non‑controlling interests |
3 |
1 |
(2) |
6 |
9 |
|||||
|
Other comprehensive income (loss) attributed to the shareholders of the Bank, after taxes |
75 |
56 |
(62) |
69 |
148 |
|||||
|
Comprehensive income before attribution to non‑controlling interests |
728 |
534 |
1,813 |
1,814 |
2,419 |
|||||
|
Comprehensive income attributed to non‑controlling interests |
(33) |
(23) |
(77) |
(72) |
(99) |
|||||
|
Comprehensive income attributed to the shareholders of the Bank |
695 |
511 |
1,736 |
1,742 |
2,320 |
|||||
|
(1) Mostly reflects adjustments in respect of actuarial assessments as of the end of the period regarding defined benefits pension plans and deduction of amounts recorded in the past in other comprehensive income. |
||||||||||
|
CONSOLIDATED BALANCE SHEET |
||||||
|
(NIS million) |
||||||
|
September 30, |
December 31, |
|||||
|
2024 |
2023 |
2023 |
||||
|
(unaudited) |
(unaudited) |
(audited) |
||||
|
Assets |
||||||
|
Cash and deposits with banks |
81,440 |
61,659 |
68,866 |
|||
|
Securities |
28,860 |
22,043 |
26,985 |
|||
|
Securities borrowed |
147 |
155 |
57 |
|||
|
Credit to the public |
126,374 |
120,073 |
119,240 |
|||
|
Provision for Credit losses |
(1,625) |
(1,496) |
(1,618) |
|||
|
Credit to the public, net |
124,749 |
118,577 |
117,622 |
|||
|
Credit to the government |
1,611 |
1,015 |
1,055 |
|||
|
Investment in investee company |
854 |
776 |
786 |
|||
|
Buildings and equipment |
852 |
871 |
877 |
|||
|
Intangible assets |
350 |
305 |
328 |
|||
|
Assets in respect of derivative instruments |
2,308 |
3,940 |
3,651 |
|||
|
Other assets(2) |
1,341 |
1,332 |
1,366 |
|||
|
Total assets |
242,512 |
210,673 |
221,593 |
|||
|
Liabilities and Capital |
||||||
|
Deposits from the public |
212,907 |
181,274 |
191,125 |
|||
|
Deposits from banks |
2,631 |
3,824 |
4,314 |
|||
|
Deposits from the Government |
689 |
665 |
750 |
|||
|
Securities lent or sold under agreements to repurchase |
1,542 |
– |
– |
|||
|
Bonds and subordinated capital notes |
4,474 |
4,751 |
4,767 |
|||
|
Liabilities in respect of derivative instruments |
2,086 |
3,496 |
3,784 |
|||
|
Other liabilities(1)(3) |
4,494 |
4,532 |
4,207 |
|||
|
Total liabilities |
228,823 |
198,542 |
208,947 |
|||
|
Shareholders’ equity |
13,066 |
11,583 |
12,071 |
|||
|
Non-controlling interests |
623 |
548 |
575 |
|||
|
Total capital |
13,689 |
12,131 |
12,646 |
|||
|
Total liabilities and capital |
242,512 |
210,673 |
221,593 |
|||
|
(1) Of which: provision for credit losses in respect of off-balance sheet credit instruments in the amount of NIS 160 million and NIS 150 million and NIS 165 million at 30.9.24, 30.9.23 and 31.12.23, respectively. |
||||||
|
(2) Of which: other assets measured at fair value in the amount of NIS 16 million and NIS 13 million and NIS 10 million at 30.9.24, 30.9.23 and 31.12.23, respectively. |
||||||
|
(3) Of which: other liabilities measured at fair value in the amount of NIS 48 million and NIS 26 million and NIS 11 million at 30.9.24, 30.9.23 and 31.12.23, respectively. |
||||||
|
STATEMENT OF CHANGES IN EQUITY |
||||||||||||
|
(NIS million) |
||||||||||||
|
For the three months ended September 30, 2024 (unaudited) |
||||||||||||
|
Share |
Accumulated |
Retained |
Total |
Non- |
Total |
|||||||
|
Balance as of June 30, 2024 |
927 |
(292) |
11,980 |
12,615 |
590 |
13,205 |
||||||
|
Net profit for the period |
– |
– |
620 |
620 |
30 |
650 |
||||||
|
Dividend |
– |
– |
(244) |
(244) |
– |
(244) |
||||||
|
Other comprehensive income, after tax effect |
– |
75 |
– |
75 |
3 |
78 |
||||||
|
Balance as at September 30, 2024 |
927 |
(217) |
12,356 |
13,066 |
623 |
13,689 |
||||||
|
For the three months ended September 30, 2023 (unaudited) |
||||||||||||
|
Share |
Accumulated |
Retained |
Total |
Non- |
Total |
|||||||
|
Balance as of June 30, 2023 |
927 |
(290) |
10,655 |
11,292 |
525 |
11,817 |
||||||
|
Net profit for the period |
– |
– |
455 |
455 |
22 |
477 |
||||||
|
Dividend |
– |
– |
(220) |
(220) |
– |
(220) |
||||||
|
Other comprehensive income, after tax effect |
– |
56 |
– |
56 |
1 |
57 |
||||||
|
Balance as at September 30, 2023 |
927 |
(234) |
10,890 |
11,583 |
548 |
12,131 |
||||||
|
For the nine months ended September 30, 2024 (unaudited) |
||||||||||||
|
Share |
Accumulated |
Retained |
Total |
Non- |
Total |
|||||||
|
Balance as at December 31, 2023 (audited) |
927 |
(155) |
11,299 |
12,071 |
575 |
12,646 |
||||||
|
Net profit for the period |
– |
– |
1,798 |
1,798 |
79 |
1,877 |
||||||
|
Dividend |
– |
– |
(741) |
(741) |
(29) |
(770) |
||||||
|
Other comprehensive loss, after tax effect |
– |
(62) |
– |
(62) |
(2) |
(64) |
||||||
|
Balance as at September 30, 2024 |
927 |
(217) |
12,356 |
13,066 |
623 |
13,689 |
||||||
|
For the nine months ended September 30, 2023 (unaudited) |
||||||||||||
|
Share |
Accumulated |
Retained |
Total |
Non- |
Total |
|||||||
|
Balance as at December 31, 2022 (audited) |
927 |
(303) |
9,935 |
10,559 |
476 |
11,035 |
||||||
|
Adjustment of the opening balance, net of tax, due to the effect of initial implementation in investee company* |
– |
– |
(10) |
(10) |
– |
(10) |
||||||
|
Adjusted balance at January 1, 2023, following initial implementation |
927 |
(303) |
9,925 |
10,549 |
476 |
11,025 |
||||||
|
Net profit for the period |
– |
– |
1,673 |
1,673 |
66 |
1,739 |
||||||
|
Dividend |
– |
– |
(708) |
(708) |
– |
(708) |
||||||
|
Other comprehensive income, after tax effect |
– |
69 |
– |
69 |
6 |
75 |
||||||
|
Balance as at September 30, 2023 |
927 |
(234) |
10,890 |
11,583 |
548 |
12,131 |
||||||
|
STATEMENT OF CHANGES IN EQUITY (CONT’D) |
||||||||||||
|
(NIS million) |
||||||||||||
|
For the year ended December 31, 2023 (audited) |
||||||||||||
|
Share |
Accumulated |
Retained |
Total |
Non- |
Total |
|||||||
|
Balance as at December 31, 2022 |
927 |
(303) |
9,935 |
10,559 |
476 |
11,035 |
||||||
|
Adjustment of the opening balance, net of tax, due to the effect of initial implementation in investee company * |
– |
– |
(10) |
(10) |
– |
(10) |
||||||
|
Adjusted balance at January 1, 2023, following initial implementation |
927 |
(303) |
9,925 |
10,549 |
476 |
11,025 |
||||||
|
Net profit for the year |
– |
– |
2,172 |
2,172 |
90 |
2,262 |
||||||
|
Dividend |
– |
– |
(798) |
(798) |
– |
(798) |
||||||
|
Other comprehensive income, after tax effect |
– |
148 |
– |
148 |
9 |
157 |
||||||
|
Balance as at December 31, 2023 |
927 |
(155) |
11,299 |
12,071 |
575 |
12,646 |
||||||
|
* Cumulative effect of the initial implementation of US accounting principles in the matter of financial instruments – credit losses (ASC-326). |
||||||||||||
|
(1) Including share premium of NIS 313 million (as from 1992 onwards). |
||||||||||||
|
(2) Including an amount of NIS 2,391 million which cannot be distributed as dividend. |
||||||||||||
Contact:
Dafna Zucker
First International Bank of Israel
Zucker.d@fibi.co.il
+972-3-519-6224
View original content:https://www.prnewswire.com/news-releases/first-international-bank-of-israel-reports-financial-results-for-the-third-quarter-of-2024-302315188.html
SOURCE First International Bank of Israel
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Agilent, Bath & Body Works And 3 Stocks To Watch Heading Into Monday
With U.S. stock futures trading higher this morning on Monday, some of the stocks that may grab investor focus today are as follows:
- Wall Street expects Bath & Body Works, Inc. BBWI to report quarterly earnings at 47 cents per share on revenue of $1.58 billion before the opening bell, according to data from Benzinga Pro. Bath & Body Works shares rose 2.6% to $31.51 in after-hours trading.
- Analysts are expecting Agilent Technologies, Inc. A to post quarterly earnings at $1.41 per share on revenue of $1.67 billion. The company will release earnings after the markets close. Agilent shares gained 0.8% to $134.96 in after-hours trading.
- Silexion Therapeutics Corp SLXN reported a 1-for-9 reverse share split. Silexion Therapeutics shares dipped 11.2% to $0.2725 in the after-hours trading session.
Check out our premarket coverage here
- After the markets close, Woodward, Inc. WWD is projected to post quarterly earnings at $1.26 per share on revenue of $811.01 million. Woodward shares rose 0.3% to $176.49 in after-hours trading.
- Analysts expect Zoom Video Communications, Inc. ZM to report quarterly earnings at $1.31 per share on revenue of $1.16 billion after the closing bell. Zoom Video shares gained 1.3% to $86.95 in after-hours trading.
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Trump's Commerce Secretary Pick Howard Lutnick-Led Firm In Talks For A Bitcoin Lending Project With Tether: Report
President-elect Donald Trump’s pick for Commerce Secretary, Howard Lutnick, is in the process of forging a multi-billion dollar deal with Tether USDT/USD, the company behind the world’s largest stablecoin by market capitalization.
What happened: Cantor Fitzgerald, a financial services firm led by Lutnick, is planning to launch a program with Tether’s support that would lend dollars to clients who pledged Bitcoin BTC/USD as collateral, according to a Bloomberg, citing sources familiar with the matter.
The funding for the program is expected to start at $2 billion, eventually running up to “tens of billions.”
Both Cantor and Tether didn’t immediately return Benzinga’s request to confirm the report.
See Also: Crypto Analyst: Bitcoin Poised To Skyrocket To $180K and ‘Eventually’ Top $1M
Why It Matters: Cantor has been Tether’s Wall Street banker, acting as the custodian of billions of dollars of U.S. Treasuries that back the USDT stablecoin.
In the past, Lutnick praised Tether, stating that the company had sufficient reserves.
“I manage many, many of their assets. From what we’ve seen, and we did a lot of work, they have the money,” he said in an interview.
Lutnick’s support and his elevation to a top cabinet post come amid controversy surrounding Tether, which has been accused of aiding criminal activities like illegal gambling and money laundering.
A report last month also pointed toward a federal probe into possible misuse of Tether’s stablecoin in illegal activities. Tether CEO Paolo Ardoino, however, denied being under any investigation.
Read Next:
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© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Zoom Video Earnings Are Imminent; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call
Zoom Video Communications, Inc. ZM will release earnings results for its third quarter, after the closing bell on Monday, Nov. 25.
Analysts expect the San Jose, California-based bank to report quarterly earnings at $1.31 per share, up from $1.29 per share in the year-ago period. Zoom Video projects to report revenue of $1.16 billion for the recent quarter, compared to $1.14 billion a year earlier, according to data from Benzinga Pro.
On Aug. 21, Zoom reported quarterly earnings of $1.39 per share which beat the analyst consensus estimate of $1.21 by 14.88%. Quarterly revenue of $1.16 billion also beat the consensus estimate and is a 2.09% increase from the same period last year.
Zoom Video shares gained 5.8% to close at $85.88 on Friday.
Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.
Let’s have a look at how Benzinga’s most-accurate analysts have rated the company in the recent period.
- Rosenblatt analyst Catharine Trebnick maintained a Buy rating with a price target of $78 on Nov. 22. This analyst has an accuracy rate of 73%.
- Morgan Stanley analyst Meta Marshall maintained an Equal-Weight rating and raised the price target from $68 to $86 on Nov. 13. This analyst has an accuracy rate of 73%.
- Wedbush analyst Daniel Ives upgraded the stock from Neutral to Outperform and increased the price target from $80 to $85 on Oct. 17. This analyst has an accuracy rate of 79%.
- Deutsche Bank analyst Matthew Niknam maintained a Hold rating and increased the price target from $71 to $75 on Aug. 23. This analyst has an accuracy rate of 64%.
- Baird analyst William Power maintained an Outperform rating and cut the price target from $84 to $77 on Aug. 22. This analyst has an accuracy rate of 85%.
Considering buying ZM stock? Here’s what analysts think:
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Dow Settles At Record High As Investor Sentiment Improves: Fear Index Remains In 'Greed' Zone
The CNN Money Fear and Greed index showed further improvement in the overall market sentiment, while the index remained in the “Greed” zone on Friday.
U.S. stocks settled higher on Friday, with the Dow Jones index closing at a fresh record level during the session.
Major indices on Wall Street recorded gains last week, with the Dow gaining around 2% and the S&P 500 adding around 1.7%.
Ross Stores ROST shares gained 2% on Friday after the company reported better-than-expected third-quarter EPS results. Elastic N.V. ESTC shares jumped around 15% after the company reported better-than-expected second-quarter financial results and issued FY25 guidance above estimates.
On the economic data front, the S&P Global US Services PMI climbed to 57 in November versus 55 in the previous month, while manufacturing PMI increased to 48.8 in November from 48.5 in the previous month. The University of Michigan consumer sentiment for the US fell to 71.8 in November versus a preliminary reading of 73.
Most sectors on the S&P 500 closed on a positive note, with industrials, financials, and consumer discretionary stocks recording the biggest gains on Friday. However, utilities and communication services stocks bucked the overall market trend, closing the session lower.
The Dow Jones closed higher by around 426 points to 44,296.51 on Friday. The S&P 500 rose 0.35% to 5,969.34, while the Nasdaq Composite rose 0.16% to close at 19,003.65 during Friday’s session.
Investors are awaiting earnings results from Bath & Body Works, Inc. BBWI, Agilent Technologies, Inc. A, and Zoom Video Communications, Inc. ZM today.
What is CNN Business Fear & Greed Index?
At a current reading of 60.9, the index remained in the “Greed” zone on Friday, versus a prior reading of 57.7.
The Fear & Greed Index is a measure of the current market sentiment. It is based on the premise that higher fear exerts pressure on stock prices, while higher greed has the opposite effect. The index is calculated based on seven equal-weighted indicators. The index ranges from 0 to 100, where 0 represents maximum fear and 100 signals maximum greediness.
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El Salvador's President Nayib Bukele Says Renting Out Volcanoes To Mine Bitcoin May 'Actually Make Sense'
El Salvador president Nayib Bukele floated the idea of a “rent your volcano to mine Bitcoin BTC/USD” policy in the wake of the country’s successful geothermal-powered mining venture.
What Happened: On Sunday, Bukele took to X to share the success of El Salvador’s Bitcoin mining venture. He suggested that, given the nation’s abundant geothermal power potential, a business policy of renting volcanoes to mine Bitcoin might “make sense.”
Bukele was reacting to another X user’s post on the country’s stockpile of 474 Bitcoins mined with geothermal power, which swelled to $46 million due to the leading cryptocurrency’s ongoing bull run.
See Also: Are MicroStrategy’s Shares Worth Only $105? Investment Adviser Gary Black Weighs In
Why It Matters: El Salvador’s plan to tap its geothermal power led to the idea of the ambitious Bitcoin City project.
The city, located near a volcano, is expected to be powered by geothermal energy, exempting all of its activities, including Bitcoin mining, from all taxes except for the value-added tax. It is planned to be a full-fledged metropolis, complete with residential and commercial areas, restaurants, an airport, and a port and rail service.
To finance the development of the city, El Salvador even introduced a “Volcano Bond,” also called a Bitcoin-backed bond.
El Salvador, the first nation to adopt Bitcoin as a legal tender, has been strategically investing in the cryptocurrency under Bukele’s leadership.
As of this writing, El Salvador holds 5,944.77 Bitcoins in its treasury, worth more than $583 million at current market prices.
Price Action: At the time of writing, Bitcoin was exchanging hands at $98,122.26, down 0.20% in the last 24 hours, according to data from Benzinga Pro.
Photo by Gobierno Danilo Medina on Flickr
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