Meitav breaks records: profit jumped by 31% to 142 million shekels
The largest investment house in Israel concluded a record quarter with a net profit for shareholders of 142 million shekels and net inflows of more than 14 billion shekels. The stock has risen by 42.5% in the last year - but where is all this money coming from, and what does it mean for your pension savings?
Meitav, the largest investment house in Israel, published the results of the second quarter of 2026 and recorded a record quarter in all key parameters. The net profit attributable to shareholders rose by 31% compared to the same quarter last year and amounted to about 142 million shekels, while the total assets the company manages for the public crossed the 464.5 billion shekel mark.
The growth engine is clear: a continuous stream of long-term savings funds - training funds (keren hishtalmut), provident funds, and pension funds - that continues to flow into the company, often at the expense of competitors.
Beyond the profit for shareholders, the total net profit rose by 25% and amounted to about 151 million shekels. Revenues climbed by 28% to about 614 million shekels, with the main engine being asset management activity, which brought in about 414 million shekels - a jump of 37%. The adjusted EBITDA rate reached a record of 43.2%, a figure that testifies to high operational efficiency: every additional shekel of revenue goes almost entirely to the bottom line, because operating expenses hardly increased. Earnings per share rose by 23% to 1.70 shekels.
The real story behind the numbers is the inflows. In the quarter alone, Meitav raised a net of more than 14 billion shekels in long-term and short-term savings, and continued to lead the market in inflows to provident funds, pension funds, and mutual funds. Its market share in provident funds and training funds rose to 14.3%.
Total assets under management grew by 13.6% since the end of 2025, of which about 242 billion shekels are in provident and pension funds and about 119 billion shekels in mutual funds. At the same time, the number of retail brokerage clients grew from 123,500 at the end of March to 130,000 at the end of June.
In the capital market, Meitav is traded at a valuation of about 11.2 billion shekels, after a rise of 14.5% since the beginning of the year and 42.5% in the last year. However, it is worth remembering that the stock traded at a peak of about 13.8 billion shekels in May, and has since declined - a reminder that even the stock of an asset management company is exposed to volatility.
During the quarter, Meitav also completed an exchange tender offer for Peninsula, which became a private company wholly owned by it, and the rating company Midroog raised its bond rating (series D) to Aa2.il with a stable outlook.
If your pension savings or training fund are managed at Meitav, you are effectively part of this story. The company's profit relies to a large extent on the management fees it collects from your money, and these depend on the volume of assets - which grows even when the markets rise.
But that same exposure that generates record profits in good times could work in the opposite direction if the markets fall and deposits slow down. For the saver, the bottom line is twofold: on one hand, a profitable and financially stable investment house; on the other hand, a reminder that it is worth checking the management fees and the net return.
Meitav CEO, Ilan Raviv, said:
"The second quarter results reflect the continued growth in profitability across all the company's activities. The net profit attributable to shareholders grew by 31% compared to the same quarter last year, and the adjusted EBITDA rate rose to over 43%, a record rate for us. When the results of the first half of the year are strong and beyond the plan, we are confident in our ability to exceed our annual forecast. The company now expects that profitability in 2026 will grow by more than 25% compared to 2025, subject to market conditions in the months remaining until the end of the year."
He added that the company continues to expand AI initiatives, with 55% of written communication with provident and pension fund clients now carried out using AI agents.
Meitav CFO, Einat Rom, added:
"Our growth in the quarter stemmed from continued strength in all of the company's asset management activities. Total assets under management reached a new peak. We continued to lead the market in inflows to our main savings products. Traditional mutual funds led the market consistently throughout the first half of the year. This trend continued in July as well, when the published inflow data indicate that our net inflows are more than twice those of the competitor ranked in second place."
