Stability in Clal Insurance profits: 614 million shekels in the second quarter

Clal Insurance earned 614 million shekels in the second quarter of 2026. Although this is an increase of 16% compared to the corresponding quarter, in the corresponding quarter last year the company's total profit was impacted by 100 million shekels due to a VAT assessment ruling (a dispute between credit card companies and the Tax Authority concerning the collection of VAT on various expenses of Israelis abroad). Excluding that provision, the profit in the current quarter decreased by 2.8%.

Similar to Migdal, and as expected, Clal also recorded a certain decrease in return on equity, which stood at 22.5% in the second quarter of the year.

Nevertheless, Clal concludes the first half of the year with a profit of 1.05 billion shekels, similar to last year (excluding the assessment) and an increase of 12% compared to the reported profit. Clal decided to distribute a dividend of 200 million shekels to investors.

Clal's reports also show that the volume of assets under its management at the end of the second quarter rose to a new record of 456 billion shekels, an increase of 16% compared to the amount a year ago. The company explains the growth in the volume of assets under management by the fact that it leads the yield table in provident funds and training funds. Indeed, since the beginning of the year, Clal has provided a return of 6.8% in the general track of training funds, about 1.5% above the industry average.

In the equity track, it is also first with a return of 11.3%, a gap of almost 3% from the average. It is also at the top in terms of 3-year returns.

Promising business environment

Clal notes that the business environment supports continued growth in the results of insurance companies. According to the company, Israel is a "strong economy that supports the growth of the insurance and savings market." It also notes in the presentation the success formula of insurance companies:

"A unique financial market with significant growth opportunities, high regulatory entry barriers, a limited number of large companies, and a tendency for consumers to prefer well-known companies."

The company also updates that it will publish new targets by the end of the year.

Yoram Nave, CEO of Clal Holdings Group, said following the reports:

"In the first half of 2026, net accumulation in pensions and provident funds amounted to over 11 billion shekels, compared to about 1.9 billion shekels in the corresponding period last year, an increase of almost 6 times, which testifies to an accelerated growth trend supported, among other things, by leadership in returns over time."

Nave added that "the profit from core business in the credit card sector in the 2nd quarter amounted to about 123 million shekels, compared to about 100 million shekels in the corresponding period last year, an increase of about 23%."