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First International Bank of Israel Ltd

First International Bank of Israel Reports Financial Results for the Fourth Quarter of 2025 and full year of 2025

TEL AVIV, Israel , March 10, 2026 /PRNewswire/ -- First International Bank of Israel (TASE: FIBI) one of Israel's major banking groups, today announced its results for the Fourth quarter of 2025 and full year of 2025. Statements reflect accelerated growth and high profitability while maintaining financial strength

Financial Highlights

  • Net income of NIS 2.26 billion for 2025. Return on Equity (ROE): 16.2%.
  • Return on equity, adjusted to exclude Tier 1 capital surplus above the Bank's target ratio, reached 19.1%
  • Public credit grew by 12.9% compared to year-end 2024
  • Customer assets grew by 38.4% compared to year-end 2024, reaching NIS 1,161 billion
  • Public deposits grew by 11.1% compared to year-end 2024
  • Equity attributable to the Bank's shareholders totaled NIS 14.6 billion, reflecting a 8.8% increase compared to year-end 2024
  • Tier 1 capital ratio: 11.1%
  • Net income for the fourth quarter of 2025 totaled NIS 512 million
    The Bank's Board of Directors approved approximately NIS 522 million dividend distribution. This amount includes a NIS 266 million distribution as part of a potential future framework of distributions aimed at reducing c NIS 1 billion of capital surplus over the next two years. 
    The Bank is also evaluating additional distributions of 25% of net income through share buybacks over the next two years, subject to the adoption of appropriate frameworks.

2025 Results Summary

The FIBI Group's net income for 2025 totaled NIS 2.26 billion, a 4.7% decrease compared to 2024. Return on equity reached 16.2%. 

Return on equity, adjusted to exclude Tier 1 capital surplus above the Bank's target ratio, reached 19.1%

Total revenues grew by 2.6% in 2025 compared to 2024, totaling NIS 6.9 billion. Fee income grew by 14.4% compared to 2024, totaling NIS 1.8 billion. In the fourth quarter, fee income grew by 6.3% compared to the same quarter in the prior year.

Public credit totaled NIS 148 billion, a 12.9% increase compared to year-end 2024, and 4.7% compared to the third quarter of the year.

Public deposits totaled NIS 238.50 billion, a 11.1% increase compared to year-end 2024, and 2.4% compared to the third quarter of the year.

The total customer asset portfolio grew by 38.4% compared to year-end 2024 and by 8.1% in the fourth quarter, reaching NIS 1.16 trillion.

Equity attributable to the Bank's shareholders increased to NIS 14.6 billion, a 8.8% increase compared to year-end 2024. The Tier 1 capital ratio is 11.1%, exceeding the regulatory capital requirement by 1.87% and facilitating the continued growth of the Group's operations and a distribution of surplus capital as dividends. 

High-quality credit portfolio: the credit loss expense rate as a percentage of average public credit stands at 0.01%. The NPL (non-performing loans) ratio (the rate of non-accrual loans or loans that are 90 days or more past due, as a percentage of public credit) was 0.46%, compared to 0.53% at year-end 2024.

Operating and other expenses totaled NIS 3.19 billion, a 7.2% increase compared to the same period last year, driven primarily by brokerage commissions on capital markets activity, advertising expenses, and customer grants under the Bank of Israel's voluntary framework. The efficiency ratio for 2025 stands at 46.1%.

Capital Surplus Reduction

The Board of Directors approved a dividend distribution to shareholders totaling NIS 256 million, representing 50% of net income for the fourth quarter of 2025. Furthermore, in light of the Bank's capital surplus, the Board approved an additional NIS 266 million dividend distribution from the Bank's capital surplus, as part of a potential plan for future additional distributions in comparable amounts, to be made in 3 further installments, one every 6 months, up to a total cumulative amount of NIS 1 billion.

In addition, the Bank is evaluating the possibility of further distributions of 25% of net quarterly income over the next two years through share buyback program, subject to Board approval of these programs.

Accordingly, total dividends to be distributed in March 2026 amount to approximately NIS 522 million. If and to the extent that such share buyback programs are approved, the maximum additional amount to be distributed thereunder with respect to earnings for the fourth quarter of 2025 stands at an additional NIS 128 million.

Management Comment 

Eli Cohen, CEO of the First International Bank of Israel: "At the time of writing, the State of Israel is in the midst of Operation Lion's Roar, as the IDF and US forces are engaged in operations on the Iranian front and elsewhere, while civilians on the home front face missile attacks from Iran and Lebanon. The Israeli economy has demonstrated resilience and stability against this backdrop and throughout the complex challenges of 2025 as a whole. FIBI and its employees continue to provide professional, uninterrupted service to our customers, and we are offering a range of benefits and accommodations to assist them during this time.

FIBI's financial results for 2025 attest to the Group's resilience and our ability to adapt our business operations to changing market conditions. The accelerated growth in customer assets and the credit portfolio reflects the public's deep confidence in the Bank, its stability, and its professionalism.

We continue to invest in technological innovation and in improving customer experience, while maintaining an uncompromising standard of service and social responsibility toward our communities. This year, the Bank launched a series of digital innovations and customer value propositions, highlighting investment services: the TOP TRADE account—a competitive value proposition for young customers making their first steps in the capital market.

I wish to thank the Bank's employees for their dedication and commitment to our customers through these challenging days and in general. I also wish to express solidarity with our security forces, who continue to demonstrate strength, courage, and professionalism, and I wish us all quiet days ahead."

CONDENSED PRINCIPAL FINANCIAL INFORMATION AND PRINCIPAL EXECUTION INDICES

 

Principal execution indices



For the year ended December 31,



2025


2024


2023


2022


2021











in %

Return on equity attributed to shareholders of the Bank


(1)16.2


19.0


19.7


16.6


14.7

Return on average assets


0.86

1.02

1.06

0.89

0.82

Ratio of total income to average assets


2.6

2.9

3.2

2.9

2.6

Ratio of interest income, net to average assets


1.8

2.0

2.4

2.0

1.6

Ratio of fees to average assets


0.7

0.7

0.7

0.8

0.8

Efficiency ratio


46.1

44.1

43.5

50.9

58.3




As of December 31,



2025


2024


2023


2022


2021











in %

Ratio of tier 1 equity capital


11.10


11.31


11.35


10.42


11.46

Leverage ratio


5.04

5.18

5.26

5.19

5.34

Liquidity coverage ratio (2)


129

165

156

127

128

Net stable funding ratio


127

140

146

133

139




For the year ended December 31,



2025


2024


2023


2022


2021











in %

Ratio of provision for credit losses to credit to the public


1.11


1.25


1.36


1.02


1.05

Ratio of total provision for credit losses (3) to credit to the public


1.25


1.38

1.50

1.12

1.13

Ratio of non-accruing debts or in arrears of 90 days or more to credit to the public


0.46


0.53

0.60

0.48

0.63

Ratio of provision for credit losses to total non-accruing credit to the public


251.5


244.6

234.5

219.7

244.0

Ratio of net write-offs to average total credit to the public


(0.01)


(0.04)

0.03

0.03

(0.01)

Ratio of expenses (income) for credit losses to average total credit to the public


0.01


(0.01)

0.42

0.11

(0.23)


Principal credit quality indices

Principal data from the statement of income



For the year ended December 31,



2025


2024


2023


2022


2021











NIS million

Net profit attributed to shareholders of the Bank


2,260


2,371


2,172


1,667


1,405

Interest Income, net

4,822

4,740

4,966

3,803

2,794

Expenses (income) from credit losses

19

(16)

502

123

(216)

Total non-interest income

2,100

2,006

1,652

1,611

1,756

   Of which:  Fees

1,777

1,553

1,502

1,489

1,444

Total operating and other expenses

3,190

2,977

2,877

2,755

2,652

   Of which:  Salaries and related expenses

1,769

1,739

1,766

1,700

1,621

Primary net profit per share of NIS 0.05 par value (NIS)

22.53

23.63

21.65

16.62

14.00

Diluted net profit per share of NIS 0.05 par value (NIS)

22.52

23.63

21.65

16.62

14.00





As of December 31,



2025


2024


2023


2022


2021











NIS million

Total assets


277,833


248,563


221,593


195,955


180,470

 of which: Cash and deposits with banks

83,776

77,175

68,866

57,130

57,370

                       Securities

38,266

34,396

26,985

16,010

15,091

                       Credit to the public, net

146,374

129,416

117,622

115,961

101,164

Total liabilities

262,634

234,479

208,947

184,920

170,033

   of which:   Deposits from the public

238,509

214,755

191,125

168,269

153,447

                       Deposits from banks

1,906

2,508

4,314

4,821

5,144

                       Bonds and subordinated capital notes

6,791

4,479

4,767

4,749

3,356

Capital attributed to the shareholders of the Bank

14,614

13,430

12,071

10,559

10,003


Principal data from the balance sheet

Additional data



2025


2024


2023


2022


2021

Share price (0.01 NIS)


25,050


17,940


14,990


13,900


12,950

Dividend per share (0.01 NIS)

1,191

986

795

942

543

Average number of positions (4)

3,515

3,555

3,634

3,676

3,715

          *       The financial statements are prepared in accordance with the Public Reporting Directives and guidelines of the
                   Supervisor of Banks, which primarily adopt accounting principles generally accepted in the United States
                    (U.S. GAAP).
          (1)    The return on equity attributed to shareholders of the bank, excluding the excess of ratio of tier 1 equity capital
                    above the goal set by the Board of Directors, for the year ended December 31, 2025, amounted to 19.1%.
          (2)    The ratio is computed in respect of the three months ended at the end of the reporting period.
          (3)    Including provision in respect of off-balance sheet credit instruments.
          (4)   The number of positions includes conversion of overtime in terms of positions.

 

STATEMENT OF INCOME FOR THE YEAR ENDED DECEMBER 31

(NIS million)




Consolidated


The Bank


2025


2024


2023

2025


2024


2023

Interest Income


11,771


11,097


9,850


11,160


10,506


9,317

Interest Expenses

6,949

6,357

4,884

6,838

6,251

4,801

Interest Income, net

4,822

4,740

4,966

4,322

4,255

4,516

Expenses (income) from credit losses

19

(16)

502

(12)

(23)

484

Net Interest Income after expenses from credit losses

4,803

4,756

4,464

4,334

4,278

4,032

Non-Interest Income







Non-Interest Financing income

312

432

142

312

432

161

Fees

1,777

1,553

1,502

1,582

1,387

1,348

Other income

11

21

8

70

78

62

Total non-Interest income

2,100

2,006

1,652

1,964

1,897

1,571

Operating and other expenses







Salaries and related expenses

1,769

1,739

1,766

1,645

1,620

1,644

Maintenance and depreciation of premises and equipment

338

359

321

311

334

297

Amortizations and impairment of intangible assets

146

134

122

145

133

120

Other expenses

937

745

668

901

717

642

Total operating and other expenses

3,190

2,977

2,877

3,002

2,804

2,703

Profit before taxes

3,713

3,785

3,239

3,296

3,371

2,900

Provision for taxes on profit

1,386

1,383

1,090

1,232

1,228

973

Profit after taxes

2,327

2,402

2,149

2,064

2,143

1,927

The bank's share in profit of equity-basis investee, after taxes

35

74

113

196

228

245

Net profit:







Before attribution to non-controlling interests

2,362

2,476

2,262

2,260

2,371

2,172

Attributed to non-controlling interests

(102)

(105)

(90)

-

-

-

Attributed to shareholders of the Bank

2,260

2,371

2,172

2,260

2,371

2,172


 





Consolidated and The Bank


2025


2024


2023






NIS

Primary profit per share attributed to the shareholders of the Bank







Net profit per share of NIS 0.05 par value


22.53


23.63


21.65

Diluted profit per share attributed to the shareholders of the Bank







Net profit per share of NIS 0.05 par value


22.52


23.63


21.65


 

STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED DECEMBER 31

(NIS million)









Consolidated



2025


2024


2023

Net profit before attribution to non-controlling interests

2,362

2,476

2,262

Net profit attributed to non-controlling interests

(102)

(105)

(90)

Net profit attributed to the shareholders of the Bank

2,260

2,371

2,172

Other comprehensive income (loss) before taxes:




Adjustments of available for sale bonds to fair value, net

281

31

213

Adjustments of liabilities in respect of employee benefits(1)

(69)

(60)

25

Other comprehensive income (loss) before taxes

212

(29)

238

Related tax effect

(86)

9

(81)

Other comprehensive income (loss) before attribution to non-controlling interests, after taxes

126

(20)

157

Less other comprehensive income attributed to non-controlling interests

10

3

9

Other comprehensive income (loss) attributed to the shareholders of the Bank, after taxes

116

(23)

148

Comprehensive income before attribution to non-controlling interests

2,488

2,456

2,419

Comprehensive income attributed to non-controlling interests

(112)

(108)

(99)

Comprehensive income attributed to the shareholders of the Bank

2,376

2,348

2,320

               (1)   Mostly reflects adjustments in respect of actuarial assessments as of the end of the period regarding
                       defined benefits pension plans, of amounts recorded in the past in other comprehensive profit.

 

BALANCE SHEET AS AT DECEMBER 31

(NIS million)



Consolidated


The Bank


2025


2024

2025


2024

Assets









Cash and deposits with banks

83,776

77,175

83,652

76,194

Securities

38,266

34,396

35,548

31,996

Securities borrowed or purchased under agreements to repurchase

355

70

355

70

Credit to the public

148,014

131,050

141,342

124,573

Provision for Credit losses

(1,640)

(1,634)

(1,514)

(1,533)

Credit to the public, net

146,374

129,416

139,828

123,040

Credit to the government

1,607

1,496

880

789

Investment in equity-basis investees

875

842

1,842

1,826

Premises and equipment

871

867

852

847

Intangible assets

404

363

402

360

Assets in respect of derivative instruments

3,934

2,565

3,934

2,565

Other assets(2)

1,371

1,373

1,285

1,290

Total assets

277,833

248,563

268,578

238,977

Liabilities and Capital





Deposits from the public

238,509

214,755

233,166

207,007

Deposits from banks

1,906

2,508

3,648

4,091

Deposits from the Government

2,032

2,540

2,032

2,540

Securities lent or sold under agreements to repurchase

4,107

2,304

4,107

2,304

Bonds and subordinated capital notes

6,791

4,479

2,268

2,218

Liabilities in respect of derivative instruments

4,336

2,729

4,338

2,732

Other liabilities(1)(3)

4,953

5,164

4,405

4,655

Total liabilities

262,634

234,479

253,964

225,547

Capital attributed to the shareholders of the Bank

14,614

13,430

14,614

13,430

Non-controlling interests

585

654

-

-

Total capital

15,199

14,084

14,614

13,430

Total liabilities and capital

277,833

248,563

268,578

238,977

          (1)    Of which: provisions for credit losses in respect of off-balance sheet credit instruments in the amount of NIS 210 million and
                  NIS 177 million (consolidated) and NIS 206 million and NIS 173 million (the Bank) as of December 31, 2025 and 2024, respectively.
          (2)    Of which: other assets measured at fair value in the amount of NIS 5 million consolidated and the Bank (31.12.24 - NIS 1 million 
                   consolidated and the Bank).
          (3)    Of which: other liabilities measured at fair value in the amount of NIS 5 million consolidated and the Bank (31.12.24 - NIS 1 million
                   consolidated and the Bank).

 

STATEMENT OF CHANGES IN EQUITY

 (NIS million)



Share
capital and
premium (1)


Capital reserves
from benefit due
to share-based
payment
transactions


Total capital
and capital
reserves


Accumulated
other
comprehensive
income (loss)


Retained
earnings (2)


Total


Non-
controlling
interests


Total
capital

Balance as of January 1, 2023


927


-


927


(303)


9,925


10,549


476


11,025

Changes during 2023 -









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 of December 31, 2023

927

-

927

(155)

11,299

12,071

575

12,646

Changes during 2024 -









Net profit for the year

-

-

-

-

2,371

2,371

105

2,476

Dividend

-

-

-

-

(989)

(989)

(29)

(1,018)

Other comprehensive income (loss), after tax effect

-

-

-

(23)

-

(23)

3

(20)

Balance as of December 31, 2024

927

-

927

(178)

12,681

13,430

654

14,084

Changes during 2025 -









Net profit for the year

-

-

-

-

2,260

2,260

102

2,362

Dividend

-

-

-

-

(1,195)

(1,195)

(181)

(1,376)

Benefit due to share-based payment transactions

-

3

3

-

-

3

-

3

Other comprehensive income, after tax effect

-

-

-

116

-

116

10

126

Balance as of December 31, 2025

927

3

930

(62)

13,746

14,614

585

15,199

               (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

 

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SOURCE First International Bank of Israel