Isracard Ltd. · TASE:ISCD
Isracard — Q3 2024 Earnings Presentation
19 slides from Isracard's earnings presentation, Nov 20, 2024
Slide 1: Investor Presentation | Q3 2024
Investor Presentation | Q3 2024 This version is an translation of the official and original Hebrew version of the presentation filed the on Tel Aviv Stock Exchange on November 20 2024, and is to be used as a reference only. In case of any contradiction or incompatibility between the Hebrew and the E
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation about Isracard Ltd. (hereinafter - the “Company”) and developments in the payments and credit market in Israel or other its consolidated companies (hereinafter jointly - the “Group”) is made countries, changes in the Group’s work plan, changes in market a
Slide 3: The Israeli Economy: Gradual Recovery in Several Indicators After Significant Drop
The Israeli Economy: Gradual Recovry in Several Indicators After Significant Drop in Business Activity in October 2023 Q3 2024 saw a continuation of gradual recovery in some economic sectors, alongside ongoing uncertainty Households’ outstanding debt to the financial sector(1) Private consumption sp
Slide 4: Credit Card Sector: Transaction Volume Reflects Private Consumption Trends
Credit Card Sector: Transaction Volume Reflects Private Consumtion Trends Domestic and outbound tourism sector transaction volumes continued to grow quarter-over-quarter, alongside monthly fluctuations tied to market events Credit card transactions turnover in Israel(1) (NIS billion) 46.4 45.2 44.3
Slide 5: Isracard Q3 2024: Key Developments Wrapping a Year of Uncertainty
Isracard Q3 2024: Key Developments Wrapping a Year of Uncertainty The Credit Portfolio Crossed 9.5 Billion NIS 9.18 9.06 9.24 9.36 9.54 Commercial Credit The consistent quarter-over-quarter growth trend continued. Implementaion of the corporate strtaegy reflected in the results Consumer Credit Gradu
Slide 6: Q3 2024: Another Quarter of Progress Across Various Indicators
Q3 2024: Another Quarter of Progress Across Various Indicators Steady growth in transaction volumes, income and net income, alongside lower credit loss expenses NIS million Income from credit cards Turnover of transactions related to credit cards Active credit cards (issuing and acquiring) issued by
Slide 7: Commercial Credit: Steady Quarter-over-Quarter Growth Trend Continues
Commercial Credit: Steady Quarter-over-Quarter Growth Trend Continues Implementaion of the strategy to expand the offering and accesability of advanced products and services is reflected in Isracard’s results Commercial Credit(1) Commercial credit portfolio expansion over time(1) Q3 2024 NIS million
Slide 8: Consumer Credit: Growth Inline with the Economic State
Consumer Credit: Growth Inline with the Economic State, Alongside a Period-relevant Underwriting Policy Gradual improvement in consumer credit balance continues through results reporting date Consumer Credit Consumer credit portfolio expansion over time Q3 2024 NIS million 75% 7.2 NIS billion Intere
Slide 9: Credit Loss Expenses
Credit Loss Expenses Adjusted underwriting policy drove continous improvement since Q4 2023 Total credit loss expenses Rate of specific credit loss expense and write-offs, net, of the (NIS million) average of credit card receivables balance(1,2) 105 0.66% 0.64% 92 0.54% 0.55% 81 0.50% 75 77 69 65 0.
Slide 10: Availability and Diversity of Funding Sources Support Operating Activities
Availability and Diversity of Funding Sources Support Operating Activities and the Credit Portfolio’s Growth Potential Even in this Complex Period NIS billion Financing Sources(1) The Group’s Credit Facilities(2) Bank and other loans and commercial funding as of the balance sheet date Maximum and av
Slide 11: Financial Resilience Allows Continued Growth While Enhancing Shareholder Value
Financial Resilience Allows Continued Growth While Enhancing Shareholder Value Robust Capital and Capital Ratios Generating Shareholder Value Dividend Distributed in Q3 2024 Capital attributable to shareholders 3.1 NIS billion 53 NIS million 4.0% Dividend paid in respect of Dividend yield(1) H1 2024
Slide 12: DIGITAL FIRST: Ongoing Enhancement of Capabilities and Usage
DIGITAL FIRST: Ongoing Enhancement of Capabilities and Usage by Private and Businesses Customers Unique to Isracard: Digital Increase in number of the New process of loans to private Increase in number of loans from A-Z for businesses application users customers applied in Q3 2024 transaction detail
Slide 13: MONEY TIME is Isracard!
MONEY TIME is Isracard! Customer Value Propositions First in Israel - a Customer Service Center deployed in a Higher Education Campus Dozens of students and local residents were hired by the center within a short time An opportunity to join a leading financial organization - offering promotions, tra
Slide 14: A Year into the War: Isracard Supports the Community, Employees and Reservists
A Year into the War: Isracard Supports the Community, Employees and Those Recruited for Reserve Duty Food packages for Support for employees in evacuees prepared by reserve duty and their employees and their families family members Meetings and dialogue Presentations, meetings between ‘Iron Swords’
Slide 15: Q3 2024 in a Glance
Q3 2024 in a Glance Gradual recovery trend in Credit portfolio: continued Isracard’s business activity growth and an underwriting alongside amid uncertainty policy aligned with the state due to the ongoing war of the market Dividend: generating Isracard’s potential gains trust shareholder value 15
Slide 16: Appendices
Appendices
Slide 17: Quarterly Statement of Profit and Loss
Quarterly Statement of Profit and Loss NIS million Q3.2024 Q2/2024 Q1/2024 Q4/2023 Q3/2023 Q2/2023 Q1/2023 Income Income from merchants, net 356 335 327 296 340 326 326 Income from credit card holders 245 224 200 182 246 229 214 Interest income, net 240 237 231 236 244 233 219 Other income 11 6 7 17
Slide 18: Statement of Profit and Loss
Statement of Profit and Loss NIS million Q1-Q3.2024 Q1-Q3.2023 Income Income from merchants, net 1,018 992 Income from credit card holders 669 689 Interest income, net 708 696 Other income 24 42 Total income 2,419 2,419 Expenses Credit loss expenses 217 266 Operating expenses 863 869 Selling and mar
Slide 19: Balance Sheet
Balance Sheet NIS million September 30, 2024 December 31, 2023 Assets Cash and deposits with banks 1,181 902 Amounts receivable from banks for credit card transactions, net 7,293 6,271 Receivables for credit card transactions 16,239 14,468 Credit loss provision )499( (514) Receivables for credit car