Meitav Investment House Ltd.

Annual / Quarterly Financial Statement • Mar 19, 2025

This document is a partial unofficial translation for convenience only of the Hebrew original of the financial report of Meitav Investment House Ltd. as of December 31, 2024, that was submitted to the Tel-Aviv Stock Exchange and the Israeli Securities Authority on March 18, 2025. The Hebrew version submitted to the TASE and the Israeli Securities Authority shall be the sole legally binding version. For the details of the policy, see the Company's immediate report dated August 19, 2024 (reference number: 2024-01-08-4447)

MEITAV INVESTMENT HOUSE LTD.

CONSOLIDATED FINANCIAL STATEMENTS

AS OF DECEMBER 31, 2024

INDEX

	Page
Consolidated Statements of Financial Position	2 - 3
Consolidated Statements of Profit or Loss and Other Comprehensive Income	4
Consolidated Statements of Changes in Equity	5
Consolidated Statements of Cash Flows	6 - 8

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

	December 31,
	2024	2023
	NIS in millions
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	205	319
Short-term investments	324	648
Loans to customers	1,977	1,536
Trade receivables	105	60
Other accounts receivable	130	48
Current taxes receivable	8	9
	2,749	2,620
NON-CURRENT ASSETS:
Investments of provident fund members	103	100
Investments, loans and receivables	1,002	646
Investments in associates	22	80
Property, plant and equipment	172	169
Deferred taxes	79	46
Intangible assets	1,350	1,224
	2,728	2,265
	5,477	4,885

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

	December 31,
	2024	2023
	NIS in millions
LIABILITIES AND EQUITY
CURRENT LIABILITIES:
Credit from banks and other credit providers	1,910	1,699
Liabilities for short sale of securities	91	50
Trade payables	134	124
Other accounts payable	251	184
Liabilities for legal claims	676	637
Current taxes payable	54	66
	3,116	2,760
NON-CURRENT LIABILITIES:
Debentures	477	606
Credit from banks and other credit providers	484	299
Liabilities to provident fund members	109	105
Lease liabilities	134	123
Other accounts payable	-	2
Employee benefit liabilities	6	6
Deferred taxes	34	33
	1,244	1,174
Total liabilities	4,360	3,934
EQUITY: Share capital	77	77
Share premium	635	635
Capital reserve for share-based payment transactions	48	42
Retained earnings (accumulated deficit)	222	85
Other reserves	(134)	(117)
Equity attributable to equity holders of the Company	848	722
Non-controlling interests	269	229
Total equity	1,117	951
	5,477	4,885

March 17, 2025

Date of approval of the	Eli Barkat	Ilan Raviv	Einat Rom
financial statements	Chairman of the Board	CEO	CFO

CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

	Year ended December 31,
	2024	2023 NIS in millions (except per share data)	2022
Revenue from management fees, commissions and other, net Finance income from non-bank loans	1,301 318	1,068 245	993 199
Total revenues Income refund in respect of legal claims against the Group	1,619 (2)	1,313 (3)	1,192 4
Marketing, operating, general and administrative expenses Finance expenses on non-bank loans	1,617 1,004 134	1,310 908 92	1,196 857 62
Operating income	479	310	277
Gain (loss) from securities held for nostro portfolio investments, net Finance income Finance expenses Other income (expenses), net Company's share of losses of companies accounted for at equity, net	12 20 (85) (6) (27)	13 27 (96) 19 (22)	(4) 10 (89) 2 (24)
Income before taxes on income Taxes on income	393 103	251 94	172 77
Net income for the year	290	157	95
Other comprehensive income (loss) (net of tax effect): Actuarial gain on defined benefit plans Gain on cash flow hedges Foreign currency translation adjustments of foreign operations	- - (1)	1 - (2)	2 1 -
Total other comprehensive income (loss)	(1)	(1)	3
Total comprehensive income	289	156	98
Net income attributable to: Equity holders of the Company Non-controlling interests	256 34	130 27	74 21
	290	157	95
Comprehensive income attributable to: Equity holders of the Company Non-controlling interests	255 34	129 27	77 21
Net earnings per share attributable to equity holders of the Company (in NIS):	289	156	98
Basic net earnings	3.26	1.66	1.10
Diluted net earnings	3.26	1.66	1.09

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

	Attributable to equity holders of the Company
	Share capital	Share premium	Capital reserve from share based payment transactions	Retained earnings (accumulated deficit) NIS in millions	Other reserves	Total	Non controlling interests	Total equity
Balance at January 1, 2022 Net income for the year	66 -	505 -	18 -	(99) 74	17 -	507 74	281 21	788 95
Other comprehensive income, net	-	-	-	-	3	3	-	3
Total comprehensive income Dividend to non-controlling interests	- -	- -	- -	74 -	3 -	77 -	21 (21)	98 (21)
Share-based payment Net purchases of non	-	-	10	-	-	10	3	13
controlling interests Issue of capital to employees	-	-	-	-	(102)	(102)	(46)	(148)
and officers Issue of capital to non controlling interests	*) - -	- -	3 -	- -	- -	3 -	- 5	3 5
Balance at December 31, 2022 Net income for the year Other comprehensive loss, net	66 - -	505 - -	31 - -	(25) 130 -	(82) - (1)	495 130 (1)	243 27 -	738 157 (1)
Total comprehensive income (loss) Dividend declared and paid Dividend to non-controlling	- -	- -	- -	130 (20)	(1) -	129 (20)	27 -	156 (20)
interests Share-based payment	- -	- -	- 11	- -	- -	- 11	(21) 2	(21) 13
Net purchases of non controlling interests Issue of capital	- 11	- 130	- -	- -	(34) -	(34) 141	(22) -	(56) 141
Balance at December 31, 2023 Net income for the year Other comprehensive loss, net	77 - -	635 - -	42 - -	85 256 -	(117) - (1)	722 256 (1)	229 34 -	951 290 (1)
Total comprehensive income (loss) Dividend declared and paid	- -	- -	- -	256 (119)	(1) -	255 (119)	34 -	289 (119)
Dividend to non-controlling interests Share-based payment Issue of capital and options to	- -	- -	- 6	- -	- -	- 6	(21) 7	(21) 13
non-controlling interests (net of issuance expenses) Transaction with non controlling interest in an	-	-	-	-	15	15	34	49
associate Net purchases of non	-	-	-	-	(33)	(33)	-	(33)
controlling interests Derecognition of non controlling interests due to	-	-	-	-	2	2	(13)	(11)
sale of subsidiary	-	-	-	-	-	-	(1)	(1)
Balance at December 31, 2024	77	635	48	222	(134)	848	269	1,117

*)Less than NIS 1 million.

CONSOLIDATED STATEMENTS OF CASH FLOWS

	Year ended December 31,
	2024	2023	2022
		NIS in millions
Cash flows from operating activities:
Net income for the year	290	157	95
Adjustments to reconcile net income to net cash provided by operating activities:
Adjustments to the profit or loss items:
Depreciation of property, plant and equipment	31	33	28
Amortization of intangible assets	60	55	56
Impairment loss of investment in associate	-	7	-
Loss (gain) from sale of investments in subsidiaries	(3)	5	(12)
Amortization of deferred acquisition costs	48	29	19
Revaluation of investments to provident fund members	(3)	(3)	-
Revaluation of liabilities to provident fund members Company's share of losses of companies accounted for at	4	3	2
equity, net	27	21	24
Deferred taxes, net	(32)	(30)	(8)
Revaluation of debentures	9	12	17
Change in employee benefit liabilities, net	-	(1)	-
Gain from investments in securities measured at fair value
through profit or loss, net	(39)	(14)	(9)
Change in short-term deposits	-	(3)	-
Share-based payment	13	14	13
Gain from decrease in interests in associate	-	(39)	(3)
	115	89	127
Changes in asset and liability items:
Loans to customers, trade receivables and other accounts
receivable	(899)	53	(451)
Credit received for providing non-bank loans	594	161	185
Trade payables, provisions for legal claims and other
accounts payable	(75)	(86)	(11)
	(380)	128	(277)
Net cash provided by (used in) operating activities	25	374	(55)

CONSOLIDATED STATEMENTS OF CASH FLOWS

	Year ended December 31,
	2024	2023	2022
		NIS in millions
Cash flows from investing activities:
Sale of investments measured at fair value through profit or
loss, net	13	19	48
Purchase of property, plant and equipment	(12)	(10)	(5)
Purchase of intangible assets	(59)	(46)	(48)
Repayment of (investment in) restricted deposit	352	-	(352)
Change in restricted deposits, net	23	(8)	(6)
Investments in and loans to companies accounted for at
equity	-	(5)	(5)
Repayment of loans	6	7	6
Grant of short-term loan	-	-	(6)
Sale of investments in subsidiaries (b)	1	(15)	32
Net cash provided by (used in) investing activities	324	(58)	(336)
Cash flows from financing activities:
Issue of capital	-	141	-
Issue of Company debentures (net of issue expenses)	-	-	132
Issue of subsidiary's debentures (net of issue expenses)	-	-	333
Repayment of Company debentures	(135)	(132)	(128)
Repayment of subsidiary's debentures	(148)	(294)	(262)
Dividend paid to equity holders of the Company	(119)	(20)	-
Dividend paid to non-controlling interests	(21)	(21)	(21)
Repayment of lease liabilities	(25)	(26)	(28)
Repurchase of subsidiary's shares by the subsidiary	(1)	(12)	(12)
Issue of capital and options to non-controlling interests	49	-	5
Purchase of non-controlling interests, net	(18)	(73)	(98)
Repayment of long-term loans from banks	-	-	(15)
Receipt of long-term loans from banks	173	151	429
Receipt of loans from other credit providers	12	-	33
Proceeds from short sale (purchase) of securities, net	10	(40)	7
Short-term credit from banks, net	(240)	33	(1)
Net cash provided by (used in) financing activities	(463)	(293)	374
Increase (decrease) in cash and cash equivalents	(114)	23	(17)
Cash and cash equivalents at the beginning of the year	319	296	313
Cash and cash equivalents at the end of the year	205	319	296

CONSOLIDATED STATEMENTS OF CASH FLOWS

		Year ended December 31,
		2024	2023	2022
(a)	Additional information on the Group's cash flows from operating activities:		NIS in millions
	Cash paid during the year for: Interest	108	110	62
	Taxes on income	130	94	85
	Cash received during the year for: Interest	438	291	197
	Taxes on income	11	5	11
(b)	Sale of investments in subsidiaries:
	Working capital (excluding cash and cash equivalents) Property, plant and equipment Computer software Intangible assets Deferred taxes Lease liabilities	(2) - - - - -	(11) - - 1 - -	- 6 1 47 (2) (4)
	Total assets and liabilities of the subsidiary on date of sale Non-cash consideration Capital gain (loss) from sale of subsidiaries	(2) - 3 1	(10) - (5) (15)	48 (28) 12 32
(c)	Material non-cash transactions:
	Purchase of non-controlling interests for contingent consideration	-	17	-
	Acquisition of non-controlling interests against loan	-	-	40
	Sale of subsidiaries against loan and deferred consideration	-	-	28