At the same time, the Bank announced a second plan for the self-purchase of the Bank’s shares, and again in the amount of up to NIS 700 million. The Bank’s previous plan included a buyback of NIS 700 million worth of shares and was made between March and November 2018. Not only that, in addition to the buy-back of the shares, the Bank is also distributing a dividend in the amount of NIS 700 million 40% of the net profit for the quarter and NIS 437 million in cash.
In relation to the Bank’s activities, the Bank continues to show an increase in credit to the public, which is also very large compared with deposits of the public. At the same time, the Bank explains that credit to the public has increased by 2.2% since the beginning of the year, with “a significant part of the increase deriving from the granting of credit to Leumi Card during the first quarter of the year.” In addition, income from commissions decreased mainly due to the “loss” of commissions from Leumi Card, although in the first quarter of the year there was a decrease in commission income in most of the Bank’s segments.
During the quarter, the Bank, like its competitors, recorded an improvement in Tier I equity ratio, which currently stands at 11.65%, while at the same time the Bank continues to show a good improvement in its efficiency, while the ratio of expenses to operating income decreased to an impressive 57.9%, excluding non-recurring income from Leumi Card. This is compared to slightly more than 60% in every 2