Discount Investment Corporation (TASE: DISI), one of the holding companies of Nochi Danker-controlled IDB Holding Corp. Ltd. (TASE:IDBH) today reported a 83% drop in its net profit to NIS 253 million (NIS 3 per share) for the first quarter of 2011 from NIS 1.55 billion for the corresponding quarter of 2010. The company attributed the drop to a 13-fold fall in capital gains from sales and the revaluation of assets to NIS 103 million for the first quarter from NIS 1.31 billion for the corresponding quarter.
Discount Investment received NIS 50 million in dividends from its subsidiaries during the first quarter, and a further NIS 257 million in dividends in April. The company distributed NIS 270 million in dividends during the first quarter.
Discount Investment's share of its subsidiaries' profits fell to NIS 248 million for the first quarter from NIS 316 million for the corresponding quarter.
Mobile carrier Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) contributed NIS 148 million to Discount Investment's first quarter profit, down from NIS 153 million for the corresponding quarter. The contribution from Makhteshim Agan Industries Ltd. (TASE: MAIN) parent company Koor Industries Ltd. (TASE:KOR) fell to NIS 82 million from NIS 130 million. The contribution from supermarket chain Shufersal Ltd. (TASE:SAE) fell to NIS 29 million from NIS 32 million, and the contribution from Property and Building Ltd. (TASE: PTBL) fell to NIS 17 million from NIS 47 million.
The net loss from life sciences investment company Elron Electronic Industries Ltd. (Pink Sheets: ELRNF; TASE: ELRN) narrowed to NIS 8 million for the first quarter from NIS 23 million for the corresponding quarter.
Notwithstanding the quarterly results, Discount Investment's board of directors approved pay hikes and bonuses for several executives.
Discount Investment's share price rose 1.8% by early afternoon to NIS 58.75, giving a market cap of NIS 4.92 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on May 29, 2011
© Copyright of Globes Publisher Itonut (1983) Ltd. 2011